Iran torpedoes US plans for Iraqi oil

Asia Times

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. ..... The deal was brokered after negotiations in the holy city of Qom in Iran involving the two Shi'ite factions - the Da'wa Party and the Supreme Islamic Iraqi Council (SIIC) - which have been locked in conflict with Muqtada al-Sadr's Mahdi Army in southern Iraq. It appears that one of the most shadowy figures of the Iranian security establishment, General Qassem Suleimani, commander of the Quds Force of Iranian Revolutionary Guards Corps (IRGC) personally mediated in the intra-Iraqi Shi'ite negotiations. Suleimani is in charge of the IRGC's operations abroad.


US military commanders routinely blame the Quds for all their woes in Iraq. The fact that the representatives of Da'wa and SIIC secretly traveled to Qom under the very nose of American and British intelligence and sought Quds mediation to broker a deal conveys a huge political message. Iran signals that security considerations rather than politics or religion prevailed.

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Conceivably, Tehran would have decided with its accumulated centuries-old Persian wisdom that certain things in life are always best left unspoken, especially stunning successes. Besides, it is far more productive to leave Washington to contemplate over happenings and draw the unavoidable conclusion that if it musters the courage to make that existential choice, Iran can be an immensely valuable factor of stability for Iraq.

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Yet, all in all, (Ayatollah Ahmad ) Jannati politely refrained from expressing Iran's complete disapproval of the conduct of Maliki in carrying out the offensive as part of the US game plan to establish control of Basra, which is the principal artery for American oil majors to evacuate Iraqi oil. The Sadrists oppose the current plans for opening up the nationalized Iraqi oil industry to foreign exploitation.

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Out of the dramatic developments of the past week, several questions arise, the principal being that the Bush administration's triumphalism over the so-called Iraq "surge" strategy has become irredeemably farcical, and, two, US doublespeak has become badly exposed. What stands out is that Washington promoted the latest round of violence in Basra, whereas Iran cried halt to it. The awesome influence of Tehran has become all too apparent. How does Bush come to terms with it?


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.

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Bush hasn't yet spoken. US Secretary of Defense Robert Gates put on a brave face, saying first-hand information was limited, but based on that, "they seem to have done a pretty good job". To be sure, Cheney must be furious that Tehran torpedoed the entire US strategy for Big Oil. He has had a hard time shepherding the pro-West Arab regimes in the region, especially Saudi Arabia, up to this point.

Besides, nothing infuriates Cheney more than when US oil interests are hit. Thus, the most critical few weeks in the decades-long US-Iran standoff may have just begun. Last week, five former US secretaries of state who served in Democratic and Republican administrations - Henry Kissinger, James Baker, Warren Christopher, Madeline Albright and Colin Powell - sat at a round-table discussion in Athens and reached a consensus to urge the next US administration to open a line of dialogue with Iran.......