6139008-History-of-Money

Even so, Saudi production was nowhere near full capacity. Complex conditions were negotiated between the bigcompanies to ensure that new production from the Middle East would be marketed without major competition. A USgovernment report said in 1952 that the seven international oil companies operating in the Middle East were jointlycontrolling oil prices. This report gave rise to the expression The Seven Sisters for the companies involved: the fourAramco members, Exxon, Mobil, Chevron, and Texaco; the Kuwaiti partners Gulf and BP (British Petroleum); and Shell,which had a share in the Iraq Petroleum Company, and had enormous marketing capacity. Although they had astranglehold on Middle East oil as early as the 1930s, the Seven Sisters were still in control as late as 1972, when theyproduced 91% of the Middle East's oil and 77% of World supply outside the US and the communist countries.The Seven Sisters thus controlled Middle East production, in a way that would have seemed inconceivable to John D.Rockefeller. It was also obvious that the oil industry was susceptible to control at the refining and marketing end of themarket, as the Standard Oil Trust had shown at the turn of the century. The break-up of the Standard Oil in 1911 hadeffectively warned off any overt attempts at controlling the large American market for a long time, but the sameconstraints did not apply to the rest of the World. The cartel's activities in controlling marketing were widely known andoften approved during the 1930s, as we saw. In the United States, the oil companies had to be much more circumspect intheir efforts to control production or marketing. Although the Standard Oil Trust was broken up into several dozen"independent" units in 1911, there was a great deal of interlocking share holding, and the Rockefeller interests heldenough shares in enough of the companies to influence mutual interactions. In 1938, for example, Rockefeller interestsheld 20% of Exxon, 16% of Mobil, 12% of Chevron, and 11% of Amoco, and since all the other shares were widelydispersed, that was considered "working control" in all four companies by the Government.The major oil companies (majors) had already negotiated the basic Achnacarry Agreement when a major crisis erupted forthem in Texas. On October 3, 1930, the gigantic East Texas field was discovered by an independent wildcatter, and newcrude oil began literally to pour into the domestic market in 1931. The oil companies were faced by a dramatic new sourceof oil that they did not control. They began to buy up leases in the new fields, but the quantity of oil was too great to beabsorbed easily, and the East Texas fields were soon producing a million barrels a day, one-third of all United Statesproduction. The majors were able to survive the crisis by their control over refining and marketing. However much newcrude oil was found, it still had to be refined and marketed through a system that was already tightly controlled. Themajors, in effect, could simply state what they would pay for crude oil from the new fields. As new oil began to flow, thatprice was about 70¢/barrel. The majors now began to promote policies under the cloak of "conservation" that would limit"wasteful" production: it was already clear that pumping oil too rapidly from a field could damage long-term production.The ends were entirely correct and respectable, of course, but certainly the conversion to conservation was well timed. Asthe majors decided that free-for-all production must stop, they filled Austin, Texas with lobbyists, and in November 1932,the Texas legislature passed the Market Demand Act. Under "conservation," the law defined as "prohibitable waste" anyproduction that was in excess of "market demand."As soon as the Act became law, the majors dropped their offering price to 25¢ a barrel on January 1933, and then to 10¢a barrel. Naturally this cut production dramatically, as "market demand" dropped. The majors bought up tens of millionsof barrels at give-away prices before many of the independents went out of business, and the price did not rise back up to$1 a barrel until September 1933, as the majors gained control. In 1935 Congress passed an Interstate Compact toConserve Oil and Gas and the Connelly Act. Between them, these laws assigned strict production quotas to each State. Inthe end, US domestic production was limited under the cloak of conserving natural resources. Once again, the ends wereadmirable, but it's clear that the legislation was passed on behalf of the majors. By 1958 Texas oil wells were allowed topump oil for only 97 days a year. The legislation was used to hold down production in order to maintain stable prices. TheUnited States was brought into the second World war when in July 1941, President Roosevelt signed an embargo to stopall shipping to Japan. This was said to be in retaliation for the recent Japanese invasion of French Indo-China. Roosevelt'sU.S. embargo cut off the Japanese oil supply, which would have quickly shut down Japan's entire economy. In lateNovember 1941 the Japanese sent a written "war warning" through diplomatic channels to Washington, demanding thatthe embargo be stopped, or else American sites in the Pacific would be attacked in retaliation. That formal diplomaticwarning was ignored and the U.S. made no reply. Just two weeks later the Japanese bombed the American embargo shipslocated in Pearl Harbor with the full pre-knowledge of Roosevelt (see History of Fake Terror on the CD).In 1939 and '40, the Germans and Italians did not attack Russia as the Big Three had planned. Instead, German GeneralRommel rushed across North Africa to grab the Suez Canal and control all oil shipping through the canal. Rommel thenplanned to drive through to Persia and toss out the British from the British-Persian oil fields. Meanwhile, after a failedattack on Russia in 1939, the Japanese swept through Southeast Asia and seized all the oil holdings of Royal Dutch Shell.With the defeat of Japan in 1945, most of those Royal Dutch fields came under the control of Rockefeller's Standard Oil.Hitler had planned to capture the oil fields in Romania by 1939 so Germany would have its own supply of oil. This wasaccomplished. Then Rommel was to have captured the oil fields in Persia by 1941,the oil fields in Russia in 1942. Onlythen would Hitler have sufficient fuel for prosecuting a war with the United States. But less than a week after the PearlHarbor attack, the Japanese convinced Hitler to declare war on the United States. Hitler agreed only if the Japanese wouldattack Russia, since German troops were now bogged down in Russia and Hitler would gain strategic advantage if theRussians had to defend themselves from Japan on their eastern flank. When the Japanese failed to attack Russia, Hitlerwas driven out of Russia and now was without a fuel source. The Romanian oil fields in Ploesti were insufficient forGermany to carry on a war on two fronts, and Germany's war effort began to collapse. The last major German campaignwas the Battle of the Bulge, in which Field Marshal Gerd von Rundstedt was to attack the invading allies with his tanks,then capture the Allied fuel dumps. This would stop the American and British forces and obtain the necessary fuel forGermany to continue its war effort. But General Eisenhower ordered the Allied fuel dumps burned and Germany wasdefeated.The Hidden History Of Money & New World Order Usury Secrets Revealed at last! Page 618