Politics of power

Jan. 3, 2000
I have read with much interest your editorial of Sept. 27, 1999, (p. 23) and the comments of Armen Sahakian which appear in your Nov. 24, 1999, issue (p. 6).

I have read with much interest your editorial of Sept. 27, 1999, (p. 23) and the comments of Armen Sahakian which appear in your Nov. 24, 1999, issue (p. 6).

There is no denying that, often times, the policies of the US government have been contrary to American business interests. At other times, as in the case you are mentioning, they have resulted in the blind application of the politics of power. Although this attitude is to be deplored, we believe that in many cases the oilmen themselves are at the origin of the problem.

Since its very beginnings, the oil business and politics have been inseparable, yet the record shows that oilmen have been largely unsuccessful at finding satisfactory solutions to the political problems associated with oil, in great part because of their egos, provincialism, and their own concern for power.

To paraphrase a well-known saying, "oil is too important to be left in the hands of oilmen"; consequently, throughout the years politicians and middlemen (now called consultants) have been involved in finding solutions to the problems involving oil. One of the names that comes to mind is Calouste Gulbenkian; himself from that part of the world mentioned in your editorial.

Perhaps because of their early personal experience or the very nature of their business, oilmen and oil companies have been notoriously secretive. This, as we know, has led to the poor image that the oil business has with the public at large. If oilmen want to further their interests internationally, we would recommend that they learn more about the cultures of the host country where they operate and most of all that they maintain a dialogue with their government representatives whether in the host country or within their own country since, by contract, they operate under the laws of both.

As we enter the second millennium, communications is the word. In that regard, we have been quietly involved, for a period of 3 years, with a sensitive project which involves four countries and five governments (including the government of the US). We can claim, hopefully without arrogance, that presently the project is "on track"; but this has been accomplished through countless hours of communications by phone, fax, e-mail, and a few visits.

The success of the project can be mostly attributed to an open attitude, the free exchange of information between the parties, and the "guiding hand" of the oilmen to explain to the politicians and negotiators the fine technical points of the project at hand. In this regard, we have nothing but praise for the representatives of the US Department of State and of four other countries, all with different cultures, languages, and business philosophies.

Mr. Sahakian, whose international talents have been long recognized and appreciated by the oil industry, various host countries, and by other prestigious organizations, is well aware that the fine art of diplomacy depends on a thorough understanding of people and being able to define mutual interests. This can only be accomplished through effective communications and much patience.

Let us hope that the oilmen of this century, who have undeniably accomplished numerous technological wonders, may also develop an awareness of these two attributes which seem to have eluded many of them to date, resulting in regrettable situations such as the one you have described.

Robert Bertagne
President
Marex Inc.
Houston