Thus, an insecure government will want the oil reserves exhausted as quickly 
as possible"

As in Kaguta and company stealing as the Buganda would say " oliya mu Kavuyo"

Matek




�It depends on what production profile the government of the country wants, 
which is also determined by the security of the government,� Birley said in 
an interview with ICIJ. �Thus, an insecure government will want the oil 
reserves exhausted as quickly as possible.�  

The latest sign of insecurity � a March 2002 coup attempt that resulted in 
the arrest of 120 dissidents � has rattled the nerves of the multinational 
oil companies. Jose Luis Mbomio, community development manager of Hess 
Triton, told ICIJ that the oil companies compiled a report after the coup, 
assessing the security situation and detailing possible options if the 
country were to disintegrate into violence. The report looked at the risks to 
investment and possible security measures to put in place.

Of major concern is how to secure the country�s three modest ports in Malabo, 
Luba and Bata. The bigger challenge will be the protection of offshore oil 
rigs and vessels.

Some U.S. oil companies already include former U.S. military men in their 
security departments in Equatorial Guinea in what appears to be a strategic 
move to inject a greater level of protection into operations. Ritchie, who 
asked that his last name not be used, is an Earth satellite engineer who 
spent 10 years in the U.S. Navy and a couple of years in Nigeria working on 
government contracts and for oil multinationals before joining Marathon in 
Malabo. Another American engineer at Marathon, who gave his name only as 
Curtis, spent four years in the U.S. Army. Neither thinks much of the 
government or its military. �The troops are undisciplined, unprofessional and 
illiterate,� said Curtis. �They can also be very defiant.�

 

Oil from troubled waters

Equatorial Guinea was a Spanish colony, unique in sub-Saharan Africa, and has 
had a checkered political history since independence in 1968. During 
Christmas celebrations in 1975, dictator Francisco Macias Nguema ordered his 
militia to kill 150 political opponents in the Malabo stadium as loudspeakers 
blared, �Those were the days my friend.� By 1976, two-thirds of the elected 
assembly had disappeared and an estimated one-third of the population was 
either dead or in exile. In 1979, Nguema was tried and executed after his 
nephew, the current president Obiang, deposed him in a coup.

The country has been a nominal constitutional democracy since 1991, but the 
1996 presidential and the 1999 legislative elections were marred by fraud and 
other irregularities.  Though no specific law prohibits public dissent, to 
speak against the president is widely regarded as a crime, and those who 
openly criticize the government often end up in jail. In April and May 2002, 
following the aborted coup, several key opposition figures were arrested for 
�breach of national security.� Lawyer Fabian Nseu Nguema of the opposition 
People�s Union, the country�s second major opposition party, was arrested on 
April 29 for �insulting the head of state� and, according to his wife, Elodia 
Nchama, suffered �physical and psychological torture� while in custody. Most 
of those detained are kept at Black           
 Beach prison, a notorious interrogation and detention center.

The U.S. State Department has routinely complained about the country�s human 
rights record, and Washington closed its embassy there in 1995. In 1999, the 
International Monetary Fund pulled the plug on any economic assistance to 
Equatorial Guinea because of government corruption. 

Oil money has exacerbated that corruption. The landscape in Malabo and Bata, 
the two major cities in Equatorial Guinea, is dotted with state-of-the-art 
buildings belonging to the president and senior members of his government 
that stand in stark contrast to the slums in which the majority of people 
live. In 2000, the president bought a house in the posh Washington, D.C., 
suburb of Potomac, Maryland, for $2.6 million and another one in nearby 
Rockville, Maryland, for $1.15 million. The president�s son, Teodoro N. 
Obiang, purchased a house in the ritzy celebrity haven of Bel Air, Los 
Angeles, in March 2001, for $5.8 million. Actress Farrah Fawcett lives across 
the street. The younger Obiang, who is also his country�s minister of 
Forests, Fishing and the Environment and is in the running to succeed his 
father as president, also owns a record label and publishing company in Los 
Angeles called TNO Entertainment, which specializes in rap records.

The average Equatorial Guinean, by contrast, has seen little of the country�s 
oil wealth. A United Nations development report ranked the country�s per 
capita gross domestic product of $4,676 as 79th out of 149 countries in the 
world in 2001, but even this is barely reflected on the ground. In 2000, the 
World Bank reported that the average income per capita was a little over $2 a 
day.


 
Despite Equatorial Guinea's oil wealth, most
residents live in squalor
(Grossman/AfricaPhotos.com)




�After the oil is taken, the money will be taken away and shared,� said Rosa, 
a local restaurant operator, who has no expectations of benefiting from the 
country�s oil wealth.

�This place is bad,� added David, a bulky Canadian oil field worker, sitting 
at the seaside Shangri-la bar in Malabo � pubs being about the only thriving 
local businesses in Equatorial Guinea. �I am here only because of the oil,� 
he added, asking that his last name not be used.

Chantal Kengueleoua, the deputy U.N. Development Program representative in 
Malabo, warned of the consequences of the government�s failure to use its oil 
wealth to develop an economic infrastructure and provide for the education 
and well-being of its people. �The government and U.S. oil companies here 
must invest in the local economy or else we are creating the pre-conditions 
for conflict,� she said in an interview.
 

Reply via email to