The World-Struggle for OilL'Espagnol de la Tramerye, Pierre Paul Ernest
History
The World-Struggle for Oil
L'Espagnol de la Tramerye, Pierre Paul Ernest
Petroleum; Petroleum industry and trade; War -- Economic aspects
Russia has never been able to retrieve her position. Her production,
which in 1901 was 50 per cent. of that of the whole world, was not more
than 20 per cent. two years before the War, and in 1918 had fallen to
7.86 per cent. The cause is chiefly the diminution of production of the
"black region" of Baku, in the peninsula of Apsheron, which juts out
into the Caspian Sea and is connected with the open seas by a railway
and by a pipe 800 kilometres long, through which the annual flow of oil
towards Europe before the great world catastrophe amounted to 400,000
tons. In five years the average yield of the wells diminished by 40
per cent., while the mean depth of the borings was increased by 25
per cent. It was necessary to dig more and more deeply to find less
and less oil. The old oil-fields of Baku were nearing exhaustion. Now
they alone furnished four-fifths of the production of Russia. That
is why, in 1918, Russia lost the second place, which she had held so
long, to her young rival Mexico. It is true that the two revolutions
which she had to undergo in this quarter century helped the process
considerably. The revolution of 1905 caused the bloody disturbances
of the Caucasus: the finest factories were burnt and numerous wells
destroyed. Great unrest continued incessantly in this region until the
triumph of Lenin. But there are still in Russia oil-fields of very
considerable extent, scarcely touched before 1914, which the world
cannot afford to dispense with.[6]
The United States, Russia, Mexico, Rumania, these were, in order of
importance, the four chief oil-producing countries before the War.
Rumania shares with America the distinction of being the first country
in which rock-oil was extracted. The same year in which Colonel Drake
made his experiments at Tytusville 250 tons were extracted from a well
by hand-pumping: the oil was only just below the surface. Since then
Rumanian production has continually increased. It was 500,000 tons when
the region of Moreni, one of the richest in the world, was discovered.
Foreign capital flowed in immediately, and Rumanian production reached
its highest point in 1913 with 2 million tons. The War gave it an
appreciable setback; at the present time it does not come to more than
half this figure.[7]
[Illustration: Pre-war production of oil in Mexico, Rumania, the Dutch
Indies and Galicia.]
Although the production of Rumania, hampered by the lack of electricity
which hinders the borings, has recovered with difficulty, that of
Mexico, often a prey to civil war, has known no pause in its incredible
progress. In ten years it has passed from 3 to 160 million barrels,
carrying its share in world production from 1 per cent. to 23 per cent.
The figures are worth quoting:--
Public-domain text, read in full here on John Shaqi.
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