Oil/OPEC

By subinpark

  • Creation

    Creation
    *OPEC was created during the Baghdad Conference by the nations of Iran, Iraq, Kuwait, Saudi Arabia and Venezuela.
    *The oil producing countries are purred into action by a decision by the so-called “Seven Sisters”
    *OPEC's goal was to reduce the price of crude oil they supply to the world.

  • Teheran Agreement

    Teheran Agreement
    *OPEC holds the Teheran Conference.
    *During this confernece, the oil producing countries diecide to make a Teheran Agreement.
    *The Teheran Agreement’s content is about increasing the price of oil by 2.5% annually.

  • Tripoli Agreement

    Tripoli Agreement
    *OPEC holds another conference.
    * In this conference, the member countris of OPEC decide on the Tripoli Agreement.
    *The Tripoli Agreement’s content decides to increase the declared price of olil from $2.50 per barrel to $4.44 per barrel.

  • Geneva Agreement

    Geneva Agreement
    *The Geneva Agreement is created.
    *Because of Tripoli Agreement, OPEC member countries realize the increasing of oil-price.
    *In succcession they demand the reincreasing the oil-price for the cover a loss by dollars.

  • The Outbreak of Middle East

    The Outbreak of Middle East
    *At the outbreak of war in the Middle East, Middle East oil producing countries raise their declared prices 70%.
    *This time Israel decides to use pretroleum as a way of war.
    *So the olil producing countries decide to limite the price of crude oil.

  • The Revolution of Iran

    The Revolution of Iran
    *A revolution occurred in Iran, then the second biggest oil seller after Saudi Arabia.
    *This revolution produces a second oil shock.
    *Supply never runs out, but Japanese buyers scramble for stocks because of fear it might.

  • War between Iraq and Iran

    War between Iraq and Iran
    *Iraq invaded Iran in the first war between OPEC members.
    *During the eight year conflict, with its attacks on oil-thankers in the Pearsian Gulf, growth production plunged to a 20-year low.

  • War between Iraq and Kuwait

    War between Iraq and Kuwait
    *Iraq declars war on Kuwait for taking oil fields.
    *Iraq’s invasion makes the price of overrise.
    *Finally the Iraq’s invasion of Kuwait and the Fist Gulf War sends prices to a then all time high of $41.90 a barrel.

  • US

    US
    *U.S.-led invasion of Iraq temporarily removes 2.5 million barrels per day from the market.
    *Just before the invasion, prices spike to $39.99.

    *The price strength temporarily fades, but rising demand growth, led by Asia, stokes a sustained bull-run across oil and other commodities from late 2003/2004 onwards.

  • Deal with OPEC

    Deal with OPEC
    *A consortium grouping US and European oil giants Exxon Mobil Corporation and Royal Dutch Shell PLC signed a $50 billion deal to develop one of Iraq's most prized oil fields.
    *As the OPEC nation looks to revamp its battered energy sector. *The deal to develop the 8.6 billion West Qurna Stage 1 field is the third such agreement in less than a week between a foreign oil consortium and Iraq.