Saudi Aramco Essays

In 1900, Oil was discovered in Texas, USA, and the Hamill brothers orchestrated the drilling of the wells. The Hamills used a steam engine to drill the well. At 11000, they reached the oil reservoirs. Initially, the oil reservoirs were projected to produce 50 gallons a day but surpassed to 80,000 gallons, making the USA the largest oil producer in the world. This reflection paper seeks to discuss how the discovery of oil in Texas enhanced the economic growth in the country.

Currently Saudi Arabia is one of the leading producers of oil in the world. However, it is losing its foothold on the market. Many countries, like North America, are increasing their oil production and are looking for ways to become less dependent on foreign oil. The increased competition has caused oil prices to decrease. By producing their own oil, countries not only will increase their revenues, but will also reduce their need to rely on foreign oil. By reducing their need foreign an oil a country does not have to worry that their oil supply will be cut off if they go to war.

Oil policies went deep into the personalities and early experiences of Rockefeller and his colleagues. They had heightened uncertainty and speculation about their activities by their secrecy in building the alliance and by their evasive and legal testimony on the witness stand. There tended to be aroused antagonism because the very

The Middle East is one of the birthplaces of human kind’s civilization. Since the Ancient Egypt, Sumer, the Arab Empire, Turkey Empire, or even to present day, the Middle East has always been a valuable strategic point for not only because of its geographic location but also it full of petroleum and nature gas. According the OPEC (Organization of the Petroleum Exporting Countries) that 66% of the global oil reserves are in the Middle East and only 6% in North America, this makes a lot of powerful countries want to share a pieces of the Middle East, Stephen mentions “Much of the world 's oil wealth exists along the Persian Gulf, with particularly large reserves in Saudi Arabia, Kuwait

Over the course of this paper information regarding John D Rockefeller 's creation of the Standard Oil company will be showcased. First, information regarding Rockefeller’s entry into the oil industry will be presented. Second, how Standard Oil became the largest oil company in the United States. Next, the innovative products and procedures that Standard Oil creates to keep the company relevant throughout the era . Lastly, how the dissolution of Standard Oil paves the way for a diverse oil market with companies specializing in different productions. Now, John D Rockefeller may have been a cutthroat businessman; however, Rockefeller’s vision for Standard Oil creates a period of innovation and advancement of the none existent oil industry that remains relevant today.

The Sherman Antitrust Act broke apart Standard oil into several pieces in 1911, and one of these pieces, named Standard Oil Co. of California, would later become Chevron. It was a part of the “Seven Sisters”, which dominated the oil industry on a global level in the early 20th century. Standard oil of California could only use the name when it was in California, and so it adopted the name Chevron. In 1933, Saudi Arabia Granted the company a concession to find oil, which led to the discovery of oil in Saudi Arabia, and the world’s largest oil field.

The 20th century is the foundation for the modern world's absolute dependence on oil. In 1900 William Knox D’arcy, a British entrepreneur, funded a decade long expedition to find oil in Iran. In 1901 D’arcy proctored a six-year concession with Iranian officials that would guarantee all oil to his company and allot 16% of the proceeds back to the Iranian Shah. It was not until 1908 did D’arcy’s expedition strike oil; an event that lead to the formation of Anglo-Persian Oil Company (APOC) now formally known as British Petroleum (BP). APOC was nationalized by the British during World War I and until the 1979 Islamic Revolution served as a spring of oil for the British

The oil industry has historically cast a powerful hand in British policies. It was Lionel de Rothschild, the owner of an influential banking and oil company that loaned the British government the capital for purchasing

Until 1973, Saudi Arabia barely participated in international trade, however, during the oil crisis, Saudi Arabia’s economy grew rapidly because of their huge oil reserves (second largest in the world), and their ability to produce far more barrels than any other country. Saudi Arabia is the largest producer and exporter of oil in the world, and produce over 11.5 million barrels a day, over 7.5 million barrels a day more than Canada, at far less of a cost. Canada and Saudi Arabia are allies and benefit from each other. Canada and Saudi Arabia’s trade totals more than $3 Billion, and their market is so big because of Canada’s sanctions on Iran, another oil superpower. Saudi Arabia is Canada’s biggest trading partner in the Middle East. Saudi

Aside from causing a major shift in geopolitical power, WWII also solidified the integral role oil played politically in national security. However, following the war the United States was no longer the world’s largest oil producer

The story of the monopoly of oil by the Standard Oil Trust is one of the more dramatic storylines in the history of the U.S. economy. This monopoly on oil occurred at a time when the United States was in the middle of a transformation from an agricultural society to the greatest industrial economy the world has ever seen. The effects of the Standard Oil monopoly on the U.S., and the world, were immeasurable, and the lessons that can be learned from this incredible story are as applicable today as they were a hundred years ago (www.linfo.org, 2004).

Oil was found at Masjed Soleyman in southeastern Iran on May 26, 1908, and three years later was piped down to a newly built refinery at Abadan on the Iranian side of the Shatt-Al-Arab, not many miles below Basra.1(Stephen, 1991) Its global importance eas immediately recognized, not just by the Admiralty in London, looking for new sources of supply for its oil-fired battleships, but in other European capitals as well leading to a brief British-German-Turkish skirmish for control of the pipeline at the start of World War 1.2(Wilfred, 2007) Oil was next found in the Persian Gulf, beginning with Bahrain in 1931; there were subsequent discoveries in Kuwait, Qatar, Saudi Arabia, the Trucial states, and Oman. By 1960 the smaller Gulf states were producing 15 percent of the world 's oil, with another 10 percent or so coming from Iraq and Iran.3(Longrigg, Oil in the Middle East) By 1970 this had risen to 30 percent.4(BP Statistical Review, 2006) The story of the discovery, exploitation, and importance of Middle Eastern oil has been told in many different ways, and from many different points of view. For some it has been a source of Western triumphalism as in the case of the Aramco story , in which brave Texas "pioneers" conquer the world 's last oil frontier.5(Wallace, 1971) For others, like the Arab novelist Abad Al-Rahman Munif, it is a tale of woe, as the lives of nomadic people are disrupted by the appearance of prisons and exploitative local officials.6(Cities of Salt, 1989)

Over the last 125 years, ExxonMobil was a regional marketer of oil in the Unites States. Later it becomes one of the largest publicly traded petroleum and petrochemical enterprise in the world. An oil tanker which named

Thus most industrial nations wanted to change their dependency upon oil, which sparked many efforts in oil conservation, restrictions, and research into alternative energy resources. This issue has caused many problems in international relations there and even today it is the root of political skirmishes. Many countries believed that the oil companies should be broken up so that there would not be any monopoly in this giant industry. This time of exploration was iconic because of the pressure in the oil industry. Also, there was a prediction during this time that made a close connection between economic health and the control of oil resources.

The world’s largest producer of crude oil is Russia producing more than 5.3 million barrels per day (Barden 2017). The history of Russia’s oil industry started in the 16th