(Source: New Statesman)

By Buchan, James
Fuel for thought Crude World: the Violent Twilight of Oil Peter
Maass Allen Lane, 288pp, Pounds 20 The use of refined petroleum as
fuel, which began in the 1850s, freed hundreds of millions of people
from the toil of centuries, gave hundreds of millions more a life of
ease and plenty, and, by allowing great cities to feed themselves
from every corner of the world, multiplied the population of the
earth fivefold. Oil also gave the world a new and terrible kind of
warfare, rendered great tracts of land uninhabitable to man and
beast, and transferred to the atmosphere enough fossilised carbon to
threaten the very survival of humanity.
There are signs that the age of petroleum has passed its zenith.
Adjusted for inflation, a barrel of crude oil now sells for three
times its longrun average. The large western oil companies, which
cartellised the industry for much of the 20 th century, are now
selling more oil than they find, and are thus in the throes of
liquidation. For the US magazine journalist Peter Maass, we are in a
sort of petroleum twilight in which the search for and extraction of
crude oil is becoming daily more difficult, dangerous, corrupt,
violent and messy. It is in the nature of international trade to
obscure the distant consequences of our actions. Few Californian
drivers recognise that their commute begins in the squalor and
desecration of Ecuador's Oriente Province and ends in the loss of 4,
000 American lives in Iraq. In this short and vivid book, Maass
seeks to show them how these things are linked.
Starting off in Firdos Square, Baghdad, where the statue of
Saddam Hussein is being torn down, Maass assembles grim evidence of
the curse of oil on its producers: in Nigeria, a journey upriver in
the Niger Delta, past hideously polluted swamps and Shell's Potemkin
villages; in Azerbaijan, the Intourist hotel in Baku in the 1990s;
the D aura refinery in Baghdad; a Lukoil board meeting in Moscow; an
oil-company town in Saudi Arabia; and in Venezuela the fortress of
El Country Club, Caracas.
Oil is of no use to the local poor, because it uses capital, not
labour. In one marvellous scene, Maass visits Marathon Oil
Corporation's gasliquefaction plant on the island of Bioko in
Equatorial Guinea, where even the paint is imported. "Those are
local rocks," says the Texan manager, pointing to the kerbstones,
"but importing them would be cheaper."
Maass shows how oil exports cause the local currency to
appreciate, sucking in luxury goods that displace domestic industry
and agriculture, causing unemployment to rise, and widening the gulf
between rich and poor.