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History of Oil<br />

Musa Island ensured that, when <strong>the</strong><br />

Mubarak field was discovered <strong>in</strong> 1972,<br />

its oil would be shared with Iran. This<br />

oilfield was found about 35 km east of<br />

<strong>the</strong> island by <strong>the</strong> Buttes Gas and Oil<br />

Company operat<strong>in</strong>g through Crescent<br />

Petroleum. Initially, <strong>the</strong> field went<br />

on stream at high rates, and o<strong>the</strong>r<br />

wells tested even higher, but by 1983<br />

production had slumped to 6,400 bopd<br />

and to 5,900 bopd two years later.<br />

Draw<strong>in</strong>g L<strong>in</strong>es on <strong>the</strong> Sea<br />

Oil exploration gave rise to several<br />

disputes between <strong>the</strong> rulers over <strong>the</strong>ir<br />

maritime boundaries. Kuwait was <strong>in</strong> an<br />

awkward position: bordered by Saudi<br />

Arabia and Iraq, and fac<strong>in</strong>g Iran. This led<br />

to arguments over maritime boundaries<br />

that would fetter oil exploration and<br />

development. A dispute between Saudi<br />

Arabia and Bahra<strong>in</strong> over <strong>the</strong> Fasht Bu<br />

Saafa oilfield was settled <strong>in</strong> 1958 with<br />

<strong>the</strong> former extract<strong>in</strong>g <strong>the</strong> oil and <strong>the</strong><br />

latter shar<strong>in</strong>g <strong>the</strong> proceeds. Qatar and<br />

Abu Dhabi argued over Halul Island<br />

until two British experts determ<strong>in</strong>ed<br />

that it belonged to <strong>the</strong> former and <strong>the</strong><br />

Al Bunduq oilfield was to be shared<br />

between <strong>the</strong>m. Dubai and Abu Dhabi<br />

were at loggerheads for many years over<br />

<strong>the</strong>ir maritime boundary, particularly<br />

when <strong>the</strong> Fateh field was discovered,<br />

until <strong>the</strong> matter was settled <strong>in</strong> 1968.<br />

Dur<strong>in</strong>g <strong>the</strong> 1930s, an ongo<strong>in</strong>g<br />

dispute between Qatar and Bahra<strong>in</strong><br />

over <strong>the</strong> Hawar Islands was exacerbated<br />

The Zakum Central Supercomplex <strong>in</strong> 1979.<br />

by <strong>the</strong> prospect of f<strong>in</strong>d<strong>in</strong>g oil <strong>in</strong> <strong>the</strong><br />

area. The British representative ruled<br />

aga<strong>in</strong>st Qatar and, when it came to<br />

delimit<strong>in</strong>g <strong>the</strong> maritime boundaries <strong>in</strong><br />

1947, <strong>the</strong> UK government confirmed<br />

his decision. The dispute was eventually<br />

Dubai Khazzan No.1 be<strong>in</strong>g towed to its site <strong>in</strong> <strong>the</strong> Fateh oilfield <strong>in</strong> August 1969.<br />

BP Archive<br />

settled by <strong>in</strong>ternational arbitration<br />

<strong>in</strong> 2001: Bahra<strong>in</strong> reta<strong>in</strong>ed <strong>the</strong> Hawar<br />

Islands and Qatar kept Zubarah, part of<br />

<strong>the</strong> ma<strong>in</strong>land to which Bahra<strong>in</strong> had laid<br />

a claim.<br />

More about strategic ga<strong>in</strong> than oil<br />

prospects, <strong>the</strong> dispute between <strong>the</strong><br />

United Arab Emirates (UAE) and Iran<br />

over <strong>the</strong> Abu Musa and Tunb islands<br />

was <strong>the</strong> most serious territorial issue.<br />

In 1971, on <strong>the</strong> eve of <strong>the</strong> <strong>in</strong>auguration<br />

of <strong>the</strong> UAE, Iranian forces occupied <strong>the</strong><br />

islands and claimed <strong>the</strong>m for <strong>the</strong> Shah.<br />

The two Arabian claimants – Sharjah<br />

and Ras al-Khaimah – became part<br />

of <strong>the</strong> UAE, which took up <strong>the</strong> claim<br />

on <strong>the</strong>ir behalf; but it is unresolved<br />

and rema<strong>in</strong>s a contentious issue <strong>in</strong> <strong>the</strong><br />

region today.<br />

Quent<strong>in</strong> Morton’s book, The<br />

Petroleum Gulf: The Discovery and<br />

Development of Offshore Oil <strong>in</strong> <strong>the</strong><br />

United Arab Emirates, is to be published<br />

<strong>in</strong> 2016 by <strong>the</strong> UAE National Archives.<br />

Acknowledgement:<br />

Thanks to Dr Alan Heward and Peter<br />

Morton for <strong>the</strong>ir assistance.<br />

BP Archive<br />

52 GEOExPro November 2015

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