long long ago.
The Genesis of the Oil-Denial PolicyAs the Cold War was moving to center stage in American foreign policy in 1948, a new worry emerged in the White House: that the Soviet Union could come to control oil supplies in the Middle East. It is no coincidence that much of the early preoccupation with the potential Soviet threat after the end of World War II centered on the remaining Soviet presence in Iran. But unknown to the public until the recent declassification of National Security Council documents (first uncovered by a reporter for the Kansas City Star, Steve Everly) was the extent of Truman administration concern about the possible Soviet takeover of the oil fields. Equally surprising was that the Truman administration built its strategy not so much on defending the oil fields in the face of a possible Soviet invasion, as on denying the Soviet Union use of the oil fields if it should invade.
The administration quickly developed a detailed plan that was signed by President Truman in 1949 as NSC 26/2 and later supplemented by a series of additional NSC directives. The plan, developed in coordination with the British government and American and British oil companies without the knowledge of governments in the region, called for moving explosives to the Middle East, where they would be stored for use. In case of a Soviet invasion, and as a last resort, the oil installations and refineries would be blown up and oil fields plugged to make it impossible for the Soviet Union to use the oil resources.
So great was the fear that the Soviets might exploit the region's oil that the administration considered deploying "radiological" weapons. Ultimately that option was rejected by the Central Intelligence Agency, as revealed in another recently declassified document,
NSC 26/3, dated June 29, 1950. The explanation was this: "Denial of the wells by radiological means can be accomplished to prevent an enemy from utilizing the oil fields, but it could not prevent him from forcing 'expendable' Arabs to enter contaminated areas to open well heads and deplete the reservoirs. Therefore, aside from other effects on the Arab population, it is not considered that radiological means are practicable as a conservation measure." In other words, the logic of the rejection was that besides denying oil to the enemy, the policy also sought future "conservation" of oil, which "means a preservation of the resources for our own use after our reoccupation." Ultimately, more conventional plugging methods were recommended.
The plan was implemented and explosives were moved to the region.
http://www.brookings.edu/press/REVIEW/spring2002/telhami.htm