4.1.8

TNCs - Aramco & Anglo-Iranian Oil

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TNCs - Aramco & Anglo-Iranian Oil

TNCs can bring expertise to regions, but they can also exploit countries' natural resources and interfere in geopolitics.

TNCs bringing expertise

TNCs bringing expertise

  • The shah (king) of Iran sold a concession to a British company, Anglo-Iranian Oil, in the early 1900s, allowing the company to develop and refine Iran's oil.
  • When Iran tried to nationalise their oil operations in 1953, they did not have workers with enough skill to run the oil operations themselves.
  • Similarly, in Saudi Arabia, Aramco was an American company that worked with the King of Saudi Arabia to find and produce oil.
  • Without these TNCs, oil may not have been developed until decades later.
TNCs interfering in politics

TNCs interfering in politics

  • When Mohammad Mossadegh tried to nationalise the Anglo-Iranian Oil Company, the British government supported a coup organised by Kermit Roosevelt against him and restored the shah.
  • When the oil industry was nationalised, the British banned foreign oil workers from moving to Iran to support the Iranian oil industry.
  • In Saudi Arabia, the al-Saud family had a 50:50 profit share with Aramco. Iran had a worse deal with the Anglo-Iranian Oil Company and the British company refused to renegotiate it.
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1

Tectonic Processes & Hazards

2

Option 2A: Glaciated Landscapes & Change

3

Option 2B: Coastal Landscapes & Change

4

Globalisation

5

Option 4A: Regenerating Places

6

Option 4B: Diverse Places

7

The Water Cycle & Water Insecurity (A2 only)

8

The Carbon Cycle & Energy Security (A2 only)

9

Superpowers (A2 only)

10

Option 8A: Health & Human Rights (A2 only)

11

Option 8B: Migration & Identity (A2 only)

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