Iran torpedoes US plans for Iraqi oil

In the highly competitive world of international politics, nation states very rarely miss an opportunity to crow about success stories. The opportunity comes rare, mostly by default, and seldom enduring. By any standards of showmanship, therefore, Tehran has set a new benchmark of reticence.

By all accounts, Iran played a decisive role in hammering out the peace deal among the Shi’ite factions in Iraq. A bloody week of human killing on the Tigris River ended on Sunday. Details are sketchy, however, since they must come from non-Iranian sources. Tehran keeps silent about its role.



…What has happened is essentially that Iran has frustrated the joint US-British objective of gaining control of Basra, without which the strategy of establishing control over the fabulous oil fields of southern Iraq will not work. Control of Basra is a pre-requisite before American oil majors make their multi-billion investments to kick start large-scale oil production in Iraq. Iraq’s Southern Oil Company is headquartered in Basra. Highly strategic installations are concentrated in the region, such as pipeline networks, pumping stations, refineries and loading terminals. The American oil majors will insist on fastening these installations.

The game plan for control of Basra now needs to be reworked. The idea was to take Basra in hand now so that the Sadrists would be thwarted from taking over the local administration in elections in October – in other words, to ensure the political underpinning for Basra. All indications are that the Sadrists are riding a huge wave of popular support. They have caught the imagination of the poor, downtrodden, dispossessed masses in the majority Shi’ite community. They are hard to replace in democratic elections. The sense of frustration in Washington and London must be very deep that Basra is not yet fastened. Time is running out for Bush to make sure that his successor in the White House inherits an irreversible process in the US’s Iraq policy.

Asia Times