Unocal announces it is withdrawing from the CentGas pipeline consortium, and closing three of its four offices in Central Asia. President Clinton refuses to extend diplomatic recognition to the Taliban, making business there legally problematic. A concern that Clinton will lose support among women voters for upholding the Taliban plays a role in the cancellation. [New York Times, 12/5/1998]
July-August 1999: Taliban Leaders Visit US
About a dozen Afghan leaders visit the US. They are militia commanders, mostly Taliban, and some with ties to al-Qaeda. A few are opponents of the Taliban. Their exact names and titles remain classified. For five weeks, they visit numerous locales in the US, including Mt. Rushmore. All their expenses are paid by the US government and the University of Nebraska. Thomas Gouttierre, an academic heading an Afghanistan program at the University of Nebraska, hosts their visit. Gouttierre is working as a consultant to Unocal at the time, and some Taliban visits to the US are paid for by Unocal, such as a visit two years earlier (see December 4, 1997). However, it is unknown if Unocal plays a role in this particular trip. Gouttierre had previously been paid by the CIA to create Afghan textbooks promoting violence and jihad (see 1984-1994). It is unknown if any of these visitors meet with US officials during their trip. [Chicago Tribune, 10/21/2001]
May 23, 2001: Former Unocal Employee Becomes Bush’s Special Assistant to Middle East and Central Asia
Zalmay Khalilzad is appointed Special Assistant to the President and Senior Director for Gulf, Southwest Asia and Other Regional Issues on the National Security Council. Khalilzad was an official in the Reagan and George H. W. Bush administrations. During the Clinton years, he worked for Unocal. [US Department of State, 2001; Independent, 1/10/2002] He previously worked under Deputy Defense Secretary Paul Wolfowitz and helped him write a controversial 1992 plan for US world domination.(see March 8, 1992) [New York Times, 3/23/2003] He was a member of the neoconservative think tank Project for the New American Century. The Asia Times notes, “It was Khalilzad—when he was a huge Taliban fan—who conducted the risk analysis for Unocal (Union Oil Company of California) for the infamous proposed $2 billion, 1,500 kilometer-long Turkmenistan-Afghanistan-Pakistan [TAP] gas pipeline.” [Asia Times, 12/25/2003] After 9/11, he will be appointed as special envoy to Afghanistan (see January 1, 2002) and then US ambassador to Afghanistan (see November 2003).
December 22, 2001: Karzai Assumes Power in Afghanistan
Afghan Prime Minister Hamid Karzai and his transitional government assume power in Afghanistan. The press reported a few weeks before that Karzai had been a paid consultant for Unocal at one time (Karzai and Unocal both deny this), as well as the Deputy Foreign Minister for the Taliban. [Le Monde (Paris), 12/13/2001; CNN, 12/22/2001]
January 1, 2002: Ex-Unocal Employee Becomes US Special Envoy to Afghanistan
Zalmay Khalilzad, already Special Assistant to the President and Senior Director for Gulf, Southwest Asia and Other Regional Issues, and a prominent neoconversative (see May 23, 2001), is appointed by President Bush as a special envoy to Afghanistan. [BBC, 1/1/2002] In his former role as Unocal adviser, Khalilzad participated in negotiations with the Taliban to build a pipeline through Afghanistan. He also wrote op-eds in the Washington Post in 1997 (see October 7, 1996) supporting the Taliban regime, back when Unocal was hoping to work with the Taliban. [Independent, 1/10/2002] He will be appointed US ambassador to Afghanistan in 2003 (see November 2003).
May 30, 2002: Afghan, Turkmen, and Pakistani Leaders Sign Pipeline Deal
Afghanistan’s interim leader, Hamid Karzai, Turkmenistan’s President Niyazov, and Pakistani President Musharraf meet in Islamabad and sign a memorandum of understanding on the trans-Afghanistan gas pipeline project. [Dawn (Karachi), 5/31/2002; Alexander’s Gas & Oil Connections, 6/8/2002] Afghan leader Hamid Karzai (who formerly worked for Unocal) calls Unocal the “lead company” in building the pipeline. [BBC, 5/13/2002] The Los Angeles Times comments, “To some here, it looked like the fix was in for Unocal when President Bush named a former Unocal consultant, Zalmay Khalilzad, as his special envoy to Afghanistan late last year .” [Los Angeles Times, 5/30/2002] Unocal claims that it has no interest in any Afghanistan pipeline after 9/11. However, Afghan officials say that Unocal will be the lead company in funding the pipeline. The Afghan deputy minister of mines comments on Unocal’s claim of disinterest: “Business has its secrets and mysteries. Maybe… they don’t want it to be disclosed in the media.” [Toronto Star, 3/2/2003]
May 28, 2006: Baku-Tbilisi-Ceyhan Oil Pipeline Opens
The first oil pumped from Baku, by the Caspian Sea in Azerbaijan, arrives in Ceyhan, on Turkey’s Mediterranean coast, and is loaded onto a ship. The 1,770 km pipeline, which passes through the Georgian capital of Tbilisi, bypasses Russia and Iran for geopolitical reasons. The main shareholder is British Petroleum, and other significant shareholders include the State Oil Company of Azerbaijan (SOCAR), Statoil of Norway, and the US company Unocal, which has an 8.9% interest and became interested in the project no later than 1998. Unocal begins losing interest in a pipeline across Afghanistan around the same time (see December 5, 1998). Substantial amounts to finance the $3-4 billion Baku-Tbilisi-Ceyhan (BTC) pipeline were arranged by the World Bank’s International Finance Corporation and the European Bank for Reconstruction and Development. The consortium members put up the remaining 30%. [US Congress, 2/12/1998; Alexander’s Gas and Oil Connections, 7/12/2002; Guardian, 12/1/2003; Guardian, 5/26/2005; Eurasia Daily Monitor, 5/31/2005; Turkish Weekly, 5/29/2006] Journalist Pepe Escobar comments: “In terms of no-holds-barred power politics and oil geopolitics, BTC is the real deal—a key component in the US’s overall strategy of wrestling the Caucasus and Central Asia away from Russia—and bypassing Iranian oil and gas routes… BTC makes little sense in economic terms. Oil experts know that the most cost-effective routes from the Caspian would be south through Iran or north through Russia. But BTC is a designer masterpiece of power politics—from the point of view of Washington and its corporate allies. US Vice President Dick Cheney, already in his previous incarnation as Halliburton chief, has always been a huge cheerleader for the ‘strategically significant’ BTC.” Escobar also mentions that the amount of Caspian oil was overestimated (see November 1, 2002), “the Caspian may hold only 32 billion barrels of oil—not much more than the reserves of Qatar, a small Gulf producer.” [Asia Times, 5/26/2005] However, the Caspian area is still believed to hold considerable amounts of natural gas. The construction of this pipeline does not halt plans for the construction of a natural gas pipeline from Turkmenistan across Afghanistan to the Indian Ocean (see January 18, 2005).
