03 Jun Darfur? It’s the Oil, Stupid...

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The following is information on what’s driving American Foreign Policy in Sudan, Darfur and the force of macro economics-oil- effecting African states.

http://www.globalresearch.ca/index.php?context=va&aid=5714

China and USA in New Cold War over Africa’s Oil Riches

Darfur? It’s the Oil, Stupid...

By F. William Engdahl

Global Research Contributing Editor F. William Engdahl is the author of ‘A Century of War: Anglo-American Oil Politics,’ Pluto Press Ltd. He may be contacted via his website, www.engdahl.oilgeopolitics.net.

To paraphrase the famous quip during the 1992 US Presidential debates, when an unknown William Jefferson Clinton told then-President George Herbert Walker Bush, “It’s the economy, stupid,” the present concern of the current Washington Administration over Darfur in southern Sudan is not, if we were to look closely, genuine concern over genocide against the peoples in that poorest of poor part of a forsaken section of Africa.

No. “It’s the oil, stupid.”

Hereby hangs a tale of cynical dimension appropriate to a Washington Administration that has shown no regard for its own genocide in Iraq, when its control over major oil reserves is involved. What’s at stake in the battle for Darfur? Control over oil, lots and lots of oil.

The case of Darfur, a forbidding piece of sun-parched real estate in the southern part of Sudan, illustrates the new Cold War over oil, where the dramatic rise in China’s oil demand to fuel its booming growth has led Beijing to embark on an aggressive policy of—ironically-- dollar diplomacy. With its more than $1.3 trillion in mainly US dollar reserves at the Peoples’ National Bank of China, Beijing is engaging in active petroleum geopolitics. Africa is a major focus, and in Africa, the central region between Sudan and Chad is priority. This is defining a major new front in what, since the US invasion of Iraq in 2003, is a new Cold War between Washington and Beijing over control of major oil sources. So far Beijing has played its cards a bit more cleverly than Washington. Darfur is a major battleground in this high-stakes contest for oil control.

China Oil diplomacy

In recent months, Beijing has embarked on a series of initiatives designed to secure long-term raw materials sources from one of the planet’s most endowed regions—the African subcontinent. No raw material has higher priority in Beijing at present than the securing of long term oil sources.

Today China draws an estimated 30% of its crude oil from Africa. That explains an extraordinary series of diplomatic initiatives, which have left Washington furious. China is using no-strings-attached dollar credits to gain access to Africa’s vast raw material wealth, leaving Washington’s typical control game via the World Bank and International Monetary Fund (IMF) out in the cold. Who needs the painful medicine of the IMF when China gives easy terms and builds roads and schools to boot?

In November last year Beijing hosted an extraordinary summit of 40 African heads of state. They literally rolled out the red carpet for the heads of among others Algeria, Nigeria, Mali, Angola, Central African Republic, Zambia, and South Africa.

China has just done an oil deal, linking the Peoples Republic of China with the continent's two largest nations - Nigeria and South Africa. China's CNOC will lift the oil in Nigeria, via a consortium that also includes South African Petroleum Co. giving China access to what could be 175,000 barrels a day by 2008. It’s a $2.27 billion deal that gives state-controlled CNOC a 45% stake in a large offshore Nigeria oil field. Previously, Nigeria had been considered in Washington to be an asset of the Anglo-American oil majors, Exxon Mobil, Shell and Chevron.

China has been generous in dispensing its soft loans, with no interest or outright grants to some of the poorest debtor states of Africa. The loans have gone to infrastructure including highways, hospitals, and schools, a stark contrast to the brutal austerity demands of the IMF and World Bank. In 2006 China committed more than $8 billion to Nigeria, Angola and Mozambique, versus $2.3 billion to all sub-Saharan Africa from the World Bank. Ghana is negotiating a $1.2 billion Chinese electrification loan. Unlike the World Bank, a de facto arm of US foreign economic policy, China shrewdly attaches no strings to its loans.

This oil-related Chinese diplomacy has led to the bizarre accusation from Washington that Beijing is trying to “secure oil at the sources,” something Washington foreign policy has itself been preoccupied with for at least a Century.

No source of oil has been more the focus of China-US oil conflict of late than Sudan, home of Darfur.

Sudan oil riches . . ."

This article copied from: http://www.globalresearch.ca/index.php?context=va&aid=5714

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Last modified on Sunday, 02 October 2016 23:55