Baku as a center of the world oil industry

By the 19th century, Azerbaijan was by far the leader in the world's oil and gas
industry. In 1846 Azerbaijan drilled its first oil well in Bibi-Heybat. Our country
is often referred to as "The Oil Capital of the World," and there is a good reason
for that. In 1901 Baku was producing more than half of all the world's oil.

During its early Oil Boom, between 1885 and 1920, Azerbaijan benefited greatly
from the expertise of well-known chemists and geologists from Europe and Russia.
As a result of the oil boom, Baku turned into an international investment center. By
the end of the XIX century, the oil-producing company of the Nobel Brothers and
Rotshilds company controlled more than 40% of the oil market. Then the leading
foreign banks had opened in Baku overseas representations to control the
international capital.

Our oil also contributed in World Wars. It had an important role in the supply of
the Russian Navy both on the eve and during the World War I. From the first days
of the war, the demand for oil fuel in the Russian Navy has increased. Gasoline,
kerosene, and fuel oil products for the Russian navy were transported by the Nobel
Brothers. But in 1920, when the Bolsheviks captured Azerbaijan, all private
property - including oil wells and factories - was confiscated. After that, the
Republic's entire oil industry was directed toward the purposes of the Soviet
Union, including a tremendous output of oil for the World War II effort. German in
its Eastern policy paid special attention to Azerbaijan. One of the biggest reason
for this was Baku’s oil and USSR's heavy dependency on it.

 Essay 32 34
 Case 10