By Kristian Coates Ulrichsen
Kristian Coates Ulrichsen records the startling upward push of the Arab Gulf States as local powers with foreign succeed in and offers a definitive account of the way they've got develop into embedded within the international method of energy, politics, and policy-making.
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Additional info for The Gulf States in International Political Economy
Example text
In Kuwait, the state took control of the KOC in 1975 and five years later created the Kuwait Petroleum Corporation (KPC) as an umbrella organisation integrating 32 The Gulf States in International Political Economy the various upstream and downstream operations under government control. The newly independent government in Qatar established Qatar Petroleum in 1974 and nationalised all oil companies in 1977, while Qatargas was created in 1984 to produce liquefied natural gas for export to Japan. In Saudi Arabia, the nationalisation of Aramco took place in stages between 1973, when the government first acquired a 25 per cent share of the company, and 1980, when it took full control (and formally changed its name to Saudi Aramco in 1988 when it also took over all remaining operational functions in the kingdom’s oil and gas fields).
29 This required the urgent creation of a system of functional governing ministries, coordinated by the establishment of a Council of Ministers in October 1953, and capable of absorbing and spending the incoming monies. 1 shows. In Kuwait, a concession to explore for oil was granted to the newly formed Kuwait Oil Company (a joint venture founded in 1934 by the Anglo-Persian Oil Company and America’s Gulf Oil). Large quantities of oil were located at Burgan in 1938, nine days before the discovery of oil in Saudi Arabia, but, as in Saudi Arabia, full exploration and development was delayed until after 1945.
The chapter opens by documenting how the impact of globalisation has reconfigured concepts of power and called into question previously dominant assumptions regarding the structure and balance of the international system. Although regional disparities in resource endowment and wealth mean that the Gulf States cannot be treated as a monolithic bloc, there is a certain degree of similarity about the mechanisms deployed to enhance their international standing. Thus, the second half of this chapter documents the enabling factors that have underpinned such new approaches to the conduct of international affairs in the GCC states.