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Securing Iraqi oil for Israel: The plot thickens
Mosul-Haifa pipeline said to be high on US agenda

Analyst says link is gone: ‘There’s not a meter of it left, at least in Arab territory. It was cannibalized over the years’

Ed Blanche
Special to The Daily Star

BEIRUT: Israel, like the Bush administration, is backing Iraqi opposition leader Ahmed Chalabi in the scramble for power in Baghdad because he is understood to be sympathetic to opening some kind of relationship with the Jewish state and to resurrecting the Mosul-Haifa oil pipeline that would transform the region’s energy map.
Behind the scenes, the Americans are seriously pushing both proposals with the Iraqi National Congress (INC), the umbrella for a wide range of anti-Saddam groups, most of which operated in exile until the Iraqi dictator’s regime collapsed earlier this month. But Washington’s game plan is running into stiff opposition from Iraq’s Shiite majority, which seeks to dominate the post-Saddam government and which is increasingly hostile to the US and its Iraqi surrogates like the INC, including Chalabi ­ even though he is a Shiite.
Tehran’s reported efforts to encourage leading Shiite clerics to demand an Islamic republic are likely, if they are as widespread as the Americans claim they are, to further spoil US efforts to promote Israel’s interests in the post-Saddam era. Indeed, the Bush administration’s support for Iraq to enter into what eventually would have to be recognition of the Jewish state by a country that has been one of its most implacable enemies helps reinforce the widely held belief that the war in Iraq was launched to strengthen Israel.
US sources said that securing an Iraqi peace treaty with Israel would be high on the administration’s agenda. Chalabi, who last week returned to Iraq after four decades in exile, is understood to have discussed recognition of Israel if he and the INC secure power in Baghdad.
Chalabi has forged strong ties with the White House and Pentagon in recent years. But there are many in the State Department and the Central Intelligence Agency, which has worked closely with the INC since the 1991 Gulf War, who do not believe his largely exile organization has enough popular support in Iraq. Chalabi has also built a strong following in the American Jewish community, whose influence on US policy in the Middle East is considerable.
“There’s no track record of anyone else in Iraqi leadership having a relationship with the Jewish community,” the Jewish Telegraph Agency (JTA) quoted Tom Neumann, executive director of the Jewish Institute for National Security Affairs, as saying in Washington this month.
Both sides saw benefits from this relationship. The INC saw a way to tap Jewish influence in America and Israel and to drum up increased support for its cause. The Jewish organizations saw an opportunity to pave the way for better relations between Israel and Iraq if and when Chalabi’s group attains power.
“Because Saddam was so anti-Israel, the hope is that all of Saddam’s policies will be revisited, including his relationship with Israel and the United States,” Neumann said. “There’s no reason for the Iraqi people to have a problem with Israel.”
The INC’s relationship with the Jewish Institute for National Security Affairs (JINSA) is of particular significance. It has been developing for a decade. JINSA has close ties with the Pentagon and US defense companies and counts among its board such prominent figures as Vice-President Dick Cheney, his chief of staff Lewis “Scooter” Libby, Deputy Defense Secretary Paul Wolfowitz, and the eminence grise of the  pro-Israel neoconservatives, Richard Perle, recently forced to step down as chairman of the Pentagon’s influential Defense Policy Board because of his business interests. Retired US General Jay Garner, who has been tasked with overseeing the reconstruction of Iraq, has traveled with JINSA groups to Israel and supported the organization’s agenda.
According to the JTA, some observers worry that a public relationship could work against the interests of Jewish groups and the Iraqi opposition. Michael Amitay, executive director of the Washington Kurdish Institute, said that Jewish groups might run into problems by working only with Chalabi and Entifadh Qanbar, director of the INC’s Washington office, because the group does not have strong support in Iraq.
Jewish support for Chalabi could “drive a wedge between Chalabi and other forces in the Iraqi opposition,” said Amitay, whose father, Morris, is vice-chairman of JINSA’s board of directors. It would be “much more helpful if Jewish groups reached out to other groups, such as the Kurds,” as well, he said, since pressure to garner support from inside Iraq and the rest of the Arab world could force the INC to abandon its pro-Israel stance.
Qanbar has said that the INC reached out to the Jewish community because it was the best way to get to the Israeli government. Israel, he believes, should reciprocate by reaching out to the group and getting more involved in creating political change in Iraq. He believes good relations with Israel are possible under a new regime because Saddam was hostile toward Israel, not the Iraqi people. That sounds a lot like wishful thinking, considering that Iraqi troops fought Israel in 1948-49 and that the Iraqi people have been subjected to decades of anti-Israel propaganda since then.
The Mosul-Haifa oil project came to light on March 31, when Israel’s Haaretz daily reported that National Infrastructure Minister Joseph Paritzky was seriously considering the possibility of reopening the pipeline, which has been closed since 1948.
According to Walid Khadduri, editor in chief of the respected Middle East Economic Survey (MEES) based in Cyprus, the old pipeline no longer exists.
“There’s not a meter of it left, at least in Arab territory,” he told The Daily Star. “It was cannibalized over the years and there are even built-up areas now where the pipeline used to run. So any pipeline would have to be built from scratch.”
It would also have to run through Jordan. Israeli officials said that talks have been held with Amman on this and they are “optimistic.” The Jordanians say there have been no discussions, but given the anti-US hostility sweeping the Arab world that’s something they would have difficulty admitting to.
However, Amman, which depended on Iraq for heavily discounted oil with UN agreement, had been negotiating with Baghdad before the war to build a pipeline from the Kirkuk oil fields to the kingdom rather than trucking the fuel, so presumably any deal involving the Israelis as well could simply mean extending that project to Haifa.
Paritzky has said the Americans support the idea, which would also mean that the US could tap into Iraqi oil pumped to the Mediterranean where it could be loaded onto tankers for westward shipment. That would lessen American dependence on Saudi oil, something the Bush administration has been striving to achieve, particularly since Sept. 11. It is understood from diplomatic sources that the Bush administration has insisted that it would not support the lifting of United Nations sanctions on Iraq unless Baghdad agreed to supply Israel with oil.
James Akins, a former US ambassador to Saudi Arabia and one of the leading US Arabists, has been quoted as saying: “There would be a fee for transit rights through Jordan, just as there would be fees for Israel from those using what would be the Haifa terminal. After all, this is a new world order now. This is what things look like, particularly if we wipe out Syria. It just goes to show that this is all about oil, for the United States and its ally.”
The weekly Observer in London quoted a US intelligence official as saying the Mosul-Haifa pipeline “has long been a dream of a powerful section of the people now driving this administration and the war in Iraq to safeguard Israel’s energy supplies as well as that of the US. The Haifa pipeline was something that existed, was resurrected as a dream and is now a viable project of a powerful section of the people now driving this administration and the war in Iraq to safeguard Israel’s energy supplies as well as those of the US. The Haifa pipeline was something that existed, was resurrected as a dream and is now a viable project ­ albeit one with a lot of building to do.”


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DS 25/04/03


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