Chapter 39 The Anglo-American "Red Line Agreement"

So far, the power struggle between Britain and the United States to dominate the world's financial and economic affairs has calmed down.The oil war, which caused more than ten years of turmoil in the world, finally "ceasefire". It is this background that led to the establishment of a more influential Anglo-American oil cartel, commonly known as the "Seven Sisters". In 1927, at Archinakari, the Scottish castle of Shell oil company Sir Henry Deterding, the peace agreement was formally signed.John Cadman of the Anglo-Persian Petroleum Company (now BP Petroleum Company), representing the British government, and Walter Tigo, president of the Rockefeller Standard Oil Company of New Jersey (ie Exxon), used hunting as a cover to reach an agreement to establish The agreement of the most powerful economic cartel in modern history.

Their secret agreement was officially known as the 1928 "Facit Accompli" Agreement, or the Achinakari Agreement.The British and American oil majors agreed to accept existing market divisions and shares, agreed to set secret world oil cartel prices, and agreed to stop destructive competition and price wars that had been fought for a decade.The two governments ratified the private agreement that became known as the "Red Line Agreement" that same year.Since then, the hegemony of the Anglo-Americans to control the world's oil reserves has been formed with few interruptions.Any attempt to break this hegemony was met with relentless blows, as we shall see later.

In 1927, Britain and a weakened France agreed to let Americans into the Middle East, and the secret wartime agreement was amended to reflect the change.A red line was drawn from the Dardanelles down through Palestine to Yemen and up to the Persian Gulf.The region includes Turkey, Syria, Lebanon, Saudi Arabia, Jordan, Iraq and Kuwait.Within the red line, the oil interest groups of the three countries have delineated most of the interests that have continued to this day.In Iraq, Anglo-Persian Petroleum, Royal Dutch Shell, and France's Petroleum de France (which "got" a share of Turkish Petroleum, which had been owned by Deutsche Bank since 1914), the Rockefeller Group had 75-year rights to Iraqi oil fields. monopoly development rights.Kuwait's oil fields were distributed to the Anglo-Persian Petroleum Company and the Gulf Oil Company of the Mellon family of the United States.

By 1932, all seven major British and American companies were part of the Archinacarri Cartel.The seven companies are: Esso (Standard Oil of New Jersey), Mobil (Standard Oil of New York), Gulf Oil, Texaco, Standard Oil of California (Chevrolet), and Royal Dutch Shell and Anglo-Persian Oil Company. The cartel then developed a strategy against non-cartel companies (what they called "outsiders").According to the terms of the cartel's agreement: (the cartel) recognized that an uncontrolled distribution channel should be transformed into a controlled channel; based on this consideration, it is recommended that the parties to the "established fact" agreement (i.e. Member firms) acquire market-active distribution companies that are not parties to the "established fact" agreement, which can increase market stability.

It quickly became clear that the cartel was also poised to take on disobedient "outsider" companies. There is no doubt that the backbone of the Anglo-American "special relationship" is propped up by the control of oil.What new actions are to be taken is also clear so far.