The South African Civil Society Information Service

The Geopolitics of Energy in Eurasia: Oil, Gas and the Real Afghan War

By Pepe Escobar · 16 May 2009

As Barack Obama heads into his second hundred days in office, let's head for the big picture ourselves, the ultimate global plot line, the tumultuous rush towards a new, polycentric world order. In its first hundred days, the Obama presidency introduced us to a brand new acronym, OCO for Overseas Contingency Operations, formerly known as GWOT (as in Global War on Terror). Use either name, or anything else you want, and what you're really talking about is what's happening on the immense energy battlefield that extends from Iran to the Pacific Ocean. It's there that the Liquid War for the control of Eurasia takes place.

Yep, it all comes down to black gold and "blue gold" (natural gas), hydrocarbon wealth beyond compare, and so it's time to trek back to that ever-flowing wonderland -- Pipelineistan. It's time to dust off the acronyms, especially the SCO or Shanghai Cooperative Organization, the Asian response to NATO, and learn a few new ones like IPI and TAPI. Above all, it's time to check out the most recent moves on the giant chessboard of Eurasia, where Washington wants to be a crucial, if not dominant, player.

We've already seen Pipelineistan wars in Kosovo and Georgia, and we've followed Washington's favorite pipeline, the BTC, which was supposed to tilt the flow of energy westward, sending oil coursing past both Iran and Russia. Things didn't quite turn out that way, but we've got to move on, the New Great Game never stops. Now, it's time to grasp just what the Asian Energy Security Grid is all about, visit a surreal natural gas republic, and understand why that Grid is so deeply implicated in the Af-Pak war.

Every time I've visited Iran, energy analysts stress the total "interdependence of Asia and Persian Gulf geo-ecopolitics." What they mean is the ultimate importance to various great and regional powers of Asian integration via a sprawling mass of energy pipelines that will someday, somehow, link the Persian Gulf, Central Asia, South Asia, Russia, and China. The major Iranian card in the Asian integration game is the gigantic South Pars natural gas field (which Iran shares with Qatar). It is estimated to hold at least 9% of the world's proven natural gas reserves.

As much as Washington may live in perpetual denial, Russia and Iran together control roughly 20% of the world's oil reserves and nearly 50% of its gas reserves. Think about that for a moment. It's little wonder that, for the leadership of both countries as well as China's, the idea of Asian integration, of the Grid, is sacrosanct.

If it ever gets built, a major node on that Grid will surely be the prospective $7.6 billion Iran-Pakistan-India (IPI) pipeline, also known as the "peace pipeline." After years of wrangling, a nearly miraculous agreement for its construction was initialed in 2008. At least in this rare case, both Pakistan and India stood shoulder to shoulder in rejecting relentless pressure from the Bush administration to scotch the deal.

It couldn't be otherwise. Pakistan, after all, is an energy-poor, desperate customer of the Grid. One year ago, in a speech at Beijing's Tsinghua University, then-President Pervez Musharraf did everything but drop to his knees and beg China to dump money into pipelines linking the Persian Gulf and Pakistan with China's Far West. If this were to happen, it might help transform Pakistan from a near-failed state into a mighty "energy corridor" to the Middle East. If you think of a pipeline as an umbilical cord, it goes without saying that IPI, far more than any form of U.S. aid (or outright interference), would go the extra mile in stabilizing the Pak half of Obama's Af-Pak theater of operations, and even possibly relieve it of its India obsession.

If Pakistan's fate is in question, Iran's is another matter. Though currently only holding "observer" status in the Shanghai Cooperation Organization (SCO), sooner or later it will inevitably become a full member and so enjoy NATO-style, an-attack-on-one-of-us-is-an-attack-on-all-of-us protection. Imagine, then, the cataclysmic consequences of an Israeli preemptive strike (backed by Washington or not) on Iran's nuclear facilities. The SCO will tackle this knotty issue at its next summit in June, in Yekaterinburg, Russia.

Iran's relations with both Russia and China are swell -- and will remain so no matter who is elected the new Iranian president next month. China desperately needs Iranian oil and gas, has already clinched a $100 billion gas "deal of the century" with the Iranians, and has loads of weapons and cheap consumer goods to sell. No less close to Iran, Russia wants to sell them even more weapons, as well as nuclear energy technology.

And then, moving ever eastward on the great Grid, there's Turkmenistan, lodged deep in Central Asia, which, unlike Iran, you may never have heard a thing about. Let's correct that now.

Gurbanguly Is the Man

Alas, the sun-king of Turkmenistan, the wily, wacky Saparmurat "Turkmenbashi" Nyazov, "the father of all Turkmen" (descendants of a formidable race of nomadic horseback warriors who used to attack Silk Road caravans) is now dead. But far from forgotten.

The Chinese were huge fans of the Turkmenbashi. And the joy was mutual. One key reason the Central Asians love to do business with China is that the Middle Kingdom, unlike both Russia and the United States, carries little modern imperial baggage. And of course, China will never carp about human rights or foment a color-coded revolution of any sort.

The Chinese are already moving to successfully lobby the new Turkmen president, the spectacularly named Gurbanguly Berdymukhamedov, to speed up the construction of the Mother of All Pipelines. This Turkmen-Kazakh-China Pipelineistan corridor from eastern Turkmenistan to China's Guangdong province will be the longest and most expensive pipeline in the world, 7,000 kilometers of steel pipe at a staggering cost of $26 billion. When China signed the agreement to build it in 2007, they made sure to add a clever little geopolitical kicker. The agreement explicitly states that "Chinese interests" will not be "threatened from [Turkmenistan's] territory by third parties." In translation: no Pentagon bases allowed in that country.

China's deft energy diplomacy game plan in the former Soviet republics of Central Asia is a pure winner. In the case of Turkmenistan, lucrative deals are offered and partnerships with Russia are encouraged to boost Turkmen gas production. There are to be no Russian-Chinese antagonisms, as befits the main partners in the SCO, because the Asian Energy Security Grid story is really and truly about them.

By the way, elsewhere on the Grid, those two countries recently agreed to extend the East Siberian-Pacific Ocean oil pipeline to China by the end of 2010. After all, energy-ravenous China badly needs not just Turkmen gas, but Russia's liquefied natural gas (LNG).

With energy prices low and the global economy melting down, times are sure to be tough for the Kremlin through at least 2010, but this won't derail its push to forge a Central Asian energy club within the SCO. Think of all this as essentially an energy entente cordiale with China. Russian Deputy Industry and Energy Minister Ivan Materov has been among those insistently swearing that this will not someday lead to a "gas OPEC" within the SCO. It remains to be seen how the Obama national security team decides to counteract the successful Russian strategy of undermining by all possible means a U.S.-promoted East-West Caspian Sea energy corridor, while solidifying a Russian-controlled Pipelineistan stretching from Kazakhstan to Greece that will monopolize the flow of energy to Western Europe.

The Real Afghan War

In the ever-shifting New Great Game in Eurasia, a key question -- why Afghanistan matters -- is simply not part of the discussion in the United States. (Hint: It has nothing to do with the liberation of Afghan women.) In part, this is because the idea that energy and Afghanistan might have anything in common is verboten.

And yet, rest assured, nothing of significance takes place in Eurasia without an energy angle. In the case of Afghanistan, keep in mind that Central and South Asia have been considered by American strategists crucial places to plant the flag; and once the Soviet Union collapsed, control of the energy-rich former Soviet republics in the region was quickly seen as essential to future U.S. global power. It would be there, as they imagined it, that the U.S. Empire of Bases would intersect crucially with Pipelineistan in a way that would leave both Russia and China on the defensive.

Think of Afghanistan, then, as an overlooked subplot in the ongoing Liquid War. After all, an overarching goal of U.S. foreign policy since President Richard Nixon's era in the early 1970s has been to split Russia and China. The leadership of the SCO has been focused on this since the U.S. Congress passed the Silk Road Strategy Act five days before beginning the bombing of Serbia in March 1999. That act clearly identified American geo-strategic interests from the Black Sea to western China with building a mosaic of American protectorates in Central Asia and militarizing the Eurasian energy corridor.

Afghanistan, as it happens, sits conveniently at the crossroads of any new Silk Road linking the Caucasus to western China, and four nuclear powers (China, Russia, Pakistan, and India) lurk in the vicinity. "Losing" Afghanistan and its key network of U.S. military bases would, from the Pentagon's point of view, be a disaster, and though it may be a secondary matter in the New Great Game of the moment, it's worth remembering that the country itself is a lot more than the towering mountains of the Hindu Kush and immense deserts: it's believed to be rich in unexplored deposits of natural gas, petroleum, coal, copper, chrome, talc, barites, sulfur, lead, zinc, and iron ore, as well as precious and semiprecious stones.

And there's something highly toxic to be added to this already lethal mix: don't forget the narco-dollar angle -- the fact that the global heroin cartels that feast on Afghanistan only work with U.S. dollars, not euros. For the SCO, the top security threat in Afghanistan isn't the Taliban, but the drug business. Russia's anti-drug czar Viktor Ivanov routinely blasts the disaster that passes for a U.S./NATO anti-drug war there, stressing that Afghan heroin now kills 30,000 Russians annually, twice as many as were killed during the decade-long U.S.-supported anti-Soviet Afghan jihad of the 1980s.

And then, of course, there are those competing pipelines that, if ever built, either would or wouldn't exclude Iran and Russia from the action to their south. In April 2008, Turkmenistan, Afghanistan, Pakistan, and India actually signed an agreement to build a long-dreamt-about $7.6 billion (and counting) pipeline, whose acronym TAPI combines the first letters of their names and would also someday deliver natural gas from Turkmenistan to Pakistan and India without the involvement of either Iran or Russia. It would cut right through the heart of Western Afghanistan, in Herat, and head south across lightly populated Nimruz and Helmand provinces, where the Taliban, various Pashtun guerrillas and assorted highway robbers now merrily run rings around U.S. and NATO forces and where -- surprise! -- the U.S. is now building in Dasht-e-Margo ("the Desert of Death") a new mega-base to host President Obama's surge troops.

TAPI's rival is the already mentioned IPI, also theoretically underway and widely derided by Heritage Foundation types in the U.S., who regularly launch blasts of angry prose at the nefarious idea of India and Pakistan importing gas from "evil" Iran. Theoretically, TAPI's construction will start in 2010 and the gas would begin flowing by 2015. (Don't hold your breath.) Embattled Afghan President Hamid Karzai, who can hardly secure a few square blocks of central Kabul, even with the help of international forces, nonetheless offered assurances last year that he would not only rid his country of millions of land mines along TAPI's route, but somehow get rid of the Taliban in the bargain.

Should there be investors (nursed by Afghan opium dreams) delirious enough to sink their money into such a pipeline -- and that's a monumental if -- Afghanistan would collect only $160 million a year in transit fees, a mere bagatelle even if it does represent a big chunk of the embattled Karzai's current annual revenue. Count on one thing though, if it ever happened, the Taliban and assorted warlords/highway robbers would be sure to get a cut of the action.

A Clinton-Bush-Obama Great Game

TAPI's roller-coaster history actually begins in the mid-1990s, the Clinton era, when the Taliban were dined (but not wined) by the California-based energy company Unocal and the Clinton machine. In 1995, Unocal first came up with the pipeline idea, even then a product of Washington's fatal urge to bypass both Iran and Russia. Next, Unocal talked to the Turkmenbashi, then to the Taliban, and so launched a classic New Great Game gambit that has yet to end and without which you can't understand the Afghan war Obama has inherited.

A Taliban delegation, thanks to Unocal, enjoyed Houston's hospitality in early 1997 and then Washington's in December of that year. When it came to energy negotiations, the Taliban's leadership was anything but medieval. They were tough bargainers, also cannily courting the Argentinean private oil company Bridas, which had secured the right to explore and exploit oil reserves in eastern Turkmenistan.

In August 1997, financially unstable Bridas sold 60% of its stock to Amoco, which merged the next year with British Petroleum. A key Amoco consultant happened to be that ubiquitous Eurasian player, former national security advisor Zbig Brzezinski, while another such luminary, Henry Kissinger, just happened to be a consultant for Unocal. BP-Amoco, already developing the Baku-Tblisi-Ceyhan (BTC) pipeline, now became the major player in what had already been dubbed the Trans-Afghan Pipeline or TAP. Inevitably, Unocal and BP-Amoco went to war and let the lawyers settle things in a Texas court, where, in October 1998 as the Clinton years drew to an end, BP-Amoco seemed to emerge with the upper hand.

Under newly elected president George W. Bush, however, Unocal snuck back into the game and, as early as January 2001, was cozying up to the Taliban yet again, this time supported by a star-studded governmental cast of characters, including Undersecretary of State Richard Armitage, himself a former Unocal lobbyist. The Taliban were duly invited back to Washington in March 2001 via Rahmatullah Hashimi, a top aide to "The Shadow," the movement's leader Mullah Omar.

Negotiations eventually broke down because of those pesky transit fees the Taliban demanded. Beware the Empire's fury. At a Group of Eight summit meeting in Genoa in July 2001, Western diplomats indicated that the Bush administration had decided to take the Taliban down before year's end. (Pakistani diplomats in Islamabad would later confirm this to me.) The attacks of September 11, 2001 just slightly accelerated the schedule. Nicknamed "the kebab seller" in Kabul, Hamid Karzai, a former CIA asset and Unocal representative, who had entertained visiting Taliban members at barbecues in Houston, was soon forced down Afghan throats as the country's new leader.

Among the first fruits of Donald Rumsfeld's bombing and invasion of Afghanistan in the fall of 2001 was the signing by Karzai, Pakistani President Musharraf and Turkmenistan's Nyazov of an agreement committing themselves to build TAP, and so was formally launched a Pipelineistan extension from Central to South Asia with brand USA stamped all over it.

Russian President Vladimir Putin did nothing -- until September 2006, that is, when he d

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