For more than two years, many of the world's oil-producing countries have been intensifying their drive to nationalize their oil industries. Last week the campaign passed a milestone: Kuwait became the first Arab country to achieve 100% ownership of its producing company. For $50.5 million the government bought the remaining 40% of Kuwait Oil Co. that had been owned by Gulf Oil and British Petroleum. Although the settlement followed months of acrimonious negotiations presided over by Oil Minister Abdel Muttaleb al Kazimi, it scarcely came as a surprise: the government had announced plans in March to complete its takeover. Nonetheless, the deal underscores the progress that producing countries are making in wresting control of drilling and pumping operations away from the major Western oil companies, and relegating the companies to the roles of technical advisers, contract drillers and buyers of state-owned oil. The status of nationalization elsewhere:
Saudi Arabia. The government now owns 60% of Aramco, the Persian Gulf region's only integrated oil company, and is negotiating to buy out the remaining 40%. It once expected to complete the takeover by the end of 1974, but talks have been stalled. Last week, however, Saudi Oil Minister Ahmed Zaki Yamani and officials of Aramco's four American owners slipped quietly into London for secret negotiations that are said to have reached a decisive stage.
Libya. The operations of six companies have already been 100% nationalized, and the government has taken majority stakes in eight others, including Mobil, Exxon and Occidental. In addition Occidental and Libya last week settled a dispute over production levels in two Libyan fields; the dispute had threatened to jeopardize a 1973 pact that left Occidental with a 49% interest in its Libyan operations.
United Arab Emirates. Abu Dhabi, the leading producer, has been negotiating sporadically to raise from 60% to 100% the emirates' ownership of local production, but it has indicated that it plans to leave the current 60%-40% arrangement intact through 1976. Says U.A.E. Petroleum Minister Mani Said Utaiba: "We feel we shouldn't rush things."
Venezuela. Nationalization of all oil operations will be completed by Jan. 1. Venezuelan Oil Minister Valentin Hernandez said the government would pay 39 foreign companies slightly more than $1 billion in cash and 6% bonds for their holdings. Exxon will get $512 million, Shell $240 million. The companies are not satisfied—Exxon reportedly had hoped to get $90 million more —but they have reluctantly accepted the government's offer and are planning to market nationalized Venezuelan oil in North America and Europe.
Nigeria. The government at present owns 55% of the oil operations of Gulf, Mobil, Texaco and a Shell-British Petroleum joint venture. And as recently as August, it disclaimed any attempt to grab for more. Nonetheless, some oilmen expect an effort at complete nationalization soon.