Forget the resource curse. There are few things most countries would welcome more than the discovery of massive, untapped oil reserves. But for Iraq, which has been producing oil since 1927, harvesting the "black gold" has been fraught with political infighting, economic strongarming, and physical peril. From early disputes with the foreign-owned Iraq Petroleum Company to the disruptions of the first and second Iraq wars, Baghdad's status as an oil-producing superstar has never been realized. But as Ben Van Heuvelen describes in Foreign Policy, Iraq's oil production may be about to shift into high gear -- whether or not the Iraqi people are prepared.
Van Heuvelen reports that new contracts with multinational oil companies could make Iraq an oil producer to rival regional heavyweight Saudi Arabia, but the fledgling democracy is straining under the demands of brokering such lucrative deals. Underdeveloped infrastructure, regional disputes, and weak leadership could jeoardize the country's ability to fully realize its potential. As Van Heuvelen writes, "while the geopolitical implications of Iraq's efforts to become an energy giant are dizzying ... there's no guarantee that the country can overcome the daunting challenges facing its oil industry."
Above, an Iraqi worker checks oil valves at the Dora refinery in Baghdad in 1998. Under the U.N. oil-for-food accord, Iraq received shipments of spare parts for its battered oil industry. While the program was meant to help Iraqi citizens by providing humanitarian services and goods in exchange for oil, widespread corruption was revealed when the program was halted in 2003.
KARIM SAHIB/AFP/Getty Images
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