1973 oil crisisIn October 1973, the members of the Organization of Arab Petroleum Exporting Countries (OAPEC), led by King Faisal of Saudi Arabia, proclaimed an oil embargo targeted at nations that had supported Israel during the Yom Kippur War. The initial nations targeted were Canada, Japan, the Netherlands, the United Kingdom and the United States, though the embargo also later extended to Portugal, Rhodesia and South Africa. By the end of the embargo in March 1974, the price of oil had risen nearly 300%, from US to nearly globally; US prices were significantly higher.
Saudi ArabiaSaudi Arabia, officially the Kingdom of Saudi Arabia (KSA), is a country in West Asia. It covers the bulk of the Arabian Peninsula, and has a land area of about , making it the fifth-largest country in Asia, the second-largest in the Arab world, and the largest in West Asia and the Middle East. It is bordered by the Red Sea to the west; Jordan, Iraq, and Kuwait to the north; the Persian Gulf, Qatar and the United Arab Emirates to the east; Oman to the southeast; and Yemen to the south.
Cold WarThe Cold War was a period of geopolitical tension between the United States and the Soviet Union and their respective allies, the Western Bloc and the Eastern Bloc. The term cold war is used because there was no large-scale fighting directly between the two superpowers, but they each supported opposing sides in major regional conflicts known as proxy wars. The conflict was based on the ideological and geopolitical struggle for global influence by these two superpowers, following their roles as the Allies of World War II that led to victory against Nazi Germany and Imperial Japan in 1945.
EgyptEgypt (مصر ALA mɑsʕr), officially the Arab Republic of Egypt, is a transcontinental country spanning the northeast corner of Africa and the Sinai Peninsula in the southwest corner of Asia. It is bordered by the Mediterranean Sea to the north, the Gaza Strip of Palestine and Israel to the northeast, the Red Sea to the east, Sudan to the south, and Libya to the west. The Gulf of Aqaba in the northeast separates Egypt from Jordan and Saudi Arabia.
Kuwait CityKuwait City (مدينة الكويت) is the capital and largest city of Kuwait. Located at the heart of the country on the south shore of Kuwait Bay on the Persian Gulf, it is the political, cultural and economical centre of the emirate, containing Kuwait's Seif Palace, government offices, and the headquarters of most Kuwaiti corporations and banks. It is one of the hottest cities in summer on earth, with average summer high temperatures over 45 °C (113 °F) for three months of the year.
Iranian RevolutionThe Iranian Revolution (انقلاب ایران, Enqelâb-e Irân ʔeɴɢeˌlɒːbe ʔiːɾɒːn), or the Islamic Revolution (انقلاب اسلامی, Enqelâb-e Eslâmī), was a series of events that culminated in the overthrow of the Pahlavi dynasty in 1979. The revolution also led to the replacement of the Imperial State of Iran by the present-day Islamic Republic of Iran, as the monarchical government of Mohammed Reza Pahlavi was superseded by the theocratic government of Ruhollah Khomeini, a religious cleric who had headed one of the rebel factions.
Gulf WarThe Gulf War was an armed conflict between Iraq and a 42-country coalition led by the United States. The coalition's efforts against Iraq were carried out in two key phases: Operation Desert Shield, which marked the military buildup from August 1990 to January 1991; and Operation Desert Storm, which began with the aerial bombing campaign against Iraq on 17 January 1991 and came to a close with the American-led Liberation of Kuwait on 28 February 1991. On 2 August 1990, Iraq invaded neighboring Kuwait, and had fully occupied the country within two days.
United StatesThe United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America and consisting of 50 states, a federal district, five major unincorporated territories, nine Minor Outlying Islands, and 326 Indian reservations. It is the world's third-largest country by both land and total area. It shares land borders with Canada to its north and with Mexico to its south and has maritime borders with the Bahamas, Cuba, Russia, and other nations.
IraqIraq, officially the Republic of Iraq, is a country in the Middle East. It is a federal parliamentary republic that consists of 19 governorates. The country is bordered by Turkey to the north, Iran to the east, the Persian Gulf and Kuwait to the southeast, Saudi Arabia to the south, Jordan to the southwest and Syria to the west. The capital and largest city is Baghdad. The Iraqi people are diverse; mostly Arabs, as well as Kurds, Turkmen, Assyrians, Armenians, Yazidis, Mandaeans, Persians and Shabakis with similarly diverse geography and wildlife.
BPBP p.l.c. (formerly The British Petroleum Company p.l.c and BP Amoco p.l.c) is a British multinational oil and gas company headquartered in London, England. It is one of the oil and gas "supermajors" and one of the world's largest companies measured by revenues and profits. It is a vertically integrated company operating in all areas of the oil and gas industry, including exploration and extraction, refining, distribution and marketing, power generation, and trading.
Standard OilStandard Oil Company, Inc., was an American oil production, transportation, refining, and marketing company that operated from 1870 to 1911. At its height, Standard Oil was the largest petroleum company in the world, and its success made its co-founder and chairman, John D. Rockefeller, among the wealthiest Americans of all time and among the richest people in modern history. Its history as one of the world's first and largest multinational corporations ended in 1911, when the U.S. Supreme Court ruled that it was an illegal monopoly.
Price of oilThe price of oil, or the oil price, generally refers to the spot price of a barrel () of benchmark crude oil—a reference price for buyers and sellers of crude oil such as West Texas Intermediate (WTI), Brent Crude, Dubai Crude, OPEC Reference Basket, Tapis crude, Bonny Light, Urals oil, Isthmus, and Western Canadian Select (WCS). Oil prices are determined by global supply and demand, rather than any country's domestic production level. The global price of crude oil was relatively consistent in the nineteenth century and early twentieth century.
KuwaitKuwait (kʊˈweɪt; الكويت al-Kuwayt, ɪl‿ɪkweːt or lɪkweːt), officially the State of Kuwait (دولة الكويت ), is a country in the Middle East. It is situated in the northern edge of Eastern Arabia at the tip of the Persian Gulf, bordering Iraq to the north and Saudi Arabia to the south. Kuwait also shares maritime borders with Iran. Kuwait has a coastal length of approximately . Most of the country's population reside in the urban agglomeration of the capital and largest city Kuwait City. , Kuwait has a population of 4.
Petroleum industryThe petroleum industry, also known as the oil industry or the oil patch, includes the global processes of exploration, extraction, refining, transportation (often by oil tankers and pipelines), and marketing of petroleum products. The largest volume products of the industry are fuel oil and gasoline (petrol). Petroleum is also the raw material for many chemical products, including pharmaceuticals, solvents, fertilizers, pesticides, synthetic fragrances, and plastics.
QatarQatar (UKˈkætɑr,_ˈkʌt-,_ˈgæt-,_ˈgʌt-,_kæˈtɑr,_gæ-,_kə-, USˈkɑːtɑr,_kəˈtɑr; Arabic: قطر, romanized: Qaṭar ˈqɑtʕɑr; local vernacular pronunciation: ˈɡɪtʕɑr), officially the State of Qatar, is a country in West Asia. It occupies the Qatar Peninsula on the northeastern coast of the Arabian Peninsula in the Middle East; it shares its sole land border with Saudi Arabia to the south, with the rest of its territory surrounded by the Persian Gulf. The Gulf of Bahrain, an inlet of the Persian Gulf, separates Qatar from nearby Bahrain.
Arab SpringThe Arab Spring (ar-rabīʻ al-ʻarabī) was a series of anti-government protests, uprisings and armed rebellions that spread across much of the Arab world in the early 2010s. It began in Tunisia in response to corruption and economic stagnation. From Tunisia, the protests then spread to five other countries: Libya, Egypt, Yemen, Syria and Bahrain. Rulers were deposed (Zine El Abidine Ben Ali of Tunisia in 2011, Muammar Gaddafi of Libya in 2011, Hosni Mubarak of Egypt in 2011, and Ali Abdullah Saleh of Yemen in 2012) or major uprisings and social violence occurred including riots, civil wars, or insurgencies.
Peak oilPeak oil is the point in time when the maximum rate of global oil production is reached, after which production will begin an irreversible decline. It is related to the distinct concept of oil depletion; while global petroleum reserves are finite, the limiting factor is not whether the oil exists but whether it can be extracted economically at a given price. A secular decline in oil extraction could be caused both by depletion of accessible reserves and by reductions in demand that reduce the price relative to the cost of extraction, as might be induced to reduce carbon emissions.
PetroleumPetroleum, also known as crude oil, or simply oil, is a naturally occurring yellowish-black liquid mixture of mainly hydrocarbons, and is found in geological formations. The name petroleum covers both naturally occurring unprocessed crude oil and petroleum products that consist of refined crude oil. A fossil fuel, petroleum is formed when large quantities of dead organisms, mostly zooplankton and algae, are buried underneath sedimentary rock and subjected to both prolonged heat and pressure.
1980s oil glutThe 1980s oil glut was a significant surplus of crude oil caused by falling demand following the 1970s energy crisis. The world price of oil had peaked in 1980 at over US35perbarrel(equivalentto per barrel in dollars, when adjusted for inflation); it fell in 1986 from 27tobelow10 (to in dollars). The glut began in the early 1980s as a result of slowed economic activity in industrial countries due to the crises of the 1970s, especially in 1973 and 1979, and the energy conservation spurred by high fuel prices. Bahrain'Bahrain (bɑːˈreɪn ; bæxˈreɪn; al-Baḥrayn, locally æl baħˈreːn), officially the Kingdom of Bahrain', is an island country in West Asia. It is situated on the Persian Gulf, and comprises a small archipelago made up of 50 natural islands and an additional 33 artificial islands, centered on Bahrain Island which makes up around 83 per cent of the country's landmass. Bahrain is situated between Qatar and the northeastern coast of Saudi Arabia, to which it is connected by the King Fahd Causeway.
