The Prize: The Epic Quest for Oil, Money, and Power

by Daniel Yergin

Goodman expected, as did the other executives in his party, that Gulf would get some kind of special price or preference, reflecting a relationship almost a half century long, the training of the many young Kuwaitis who had come to Pittsburgh and stayed with Gulf families, all the hospitality, personal relations, and connections. But no, Goodman was told to his surprise that Gulf would be treated just like any other customer. Furthermore, the Kuwaitis said, Gulf would only get enough oil for its own refineries, and not for its third-party customers in Japan and Korea. But those were the markets, Goodman replied, that Gulf had sweated blood to develop. He knew; it was his blood that had been sweated. No, said the Kuwaitis. Those were their own markets, based upon their oil, and they would sell their oil in those markets. The Gulf men could not help but notice how differently they were being treated from past days. “We would go from our hotel to the ministry, day after day, and wait,” said Goodman. “Sometimes, a junior person would come. Sometimes not.” At one point in the discussions, Goodman tried to remind a Kuwaiti official of the history, at least as he understood it, as Gulf understood it, of all that Gulf had done for Kuwait. The Kuwaiti became very angry. “Whatever you did, you got paid for,” he said. “You never did us any favors.” Then he walked out of the meeting. Ultimately, Gulf got a very small discount on oil going into its own system, but none at all on any oi...