The Locomotives of the Algerian Hydrocarbon Industry: Anti-Colonialism, Nationalism, and Rentierism

The Birth Of The Algerian Hydrocarbon Industry And The Transformation Of Hydrocarbon Resources Into A Commodity Of Exploitation

Although the existence of hydrocarbon resources in Algeria was known centuries ago (Aissaoui, 2001: 40), the transformation of these resources into an industrial product was materialized within the framework of France's colonial goals and policies. In the nineteenth century, when oil production became an indicator of power for modern nation-states, France lacked an integrated oil industry with production and distribution activities and managed to join the international oil market following a delayed and painful process compared to the US, Britain and Russia. It was only after the World War I that France was able to come up with a rival company to compete with Standard Oil and Royal Dutch-Shell, which had established regional monopolies through shares in international oil production (Sassi, 2003). The position of France among the victorious states at the end of the war provided it with advantages in the field of energy as well as many other political issues. Two important developments in the post-war period marked a new beginning for the French oil industry: the granting of shares to the Turkish Petroleum Company (TPC) in Iraq in 1920 and the establishment of Compagnie française des pétroles (CFP) in 1924. Due to the involvement of American companies in the sharing of Iraqi oil and the outbreak of a new world war soon after, France's hopes for the continuity of energy supply were replaced by security problems.