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

by Daniel Yergin

To extend such an invitation was a humiliating admission of defeat for Fraser. Nor were the American companies thrilled to accept it. Writing to Secretary of State Dulles, a Jersey vice-president said, “From the strictly commercial viewpoint, our Company has no particular interest in entering such a group but we are very conscious of the large national security interests involved. We, therefore, are prepared to make all reasonable efforts.”17 But, before Jersey and the other companies would make such efforts, and indeed before anything further could be done, there was another obstacle to be surmounted. It was a most awkward matter: the U.S. government was bringing a giant antitrust case against the major oil companies—the very same companies that it was seeking to push into the new consortium to bolster Iran. The Justice Department once again was busily gearing up a criminal suit against those companies for belonging to an “international petroleum cartel” and for engaging in exactly the sort of business relationships that the State Department was now promoting for Iran. It was an altogether confusing state of affairs and not one likely to fill the companies with enthusiasm for joining a consortium.