The Soviet Union was a net importer of oil (mostly from Romania) through 1953 as slow recovery of crude oil production combined with the need to import high-quality petroleum products led the Soviets to turn to Eastern Europe to acquire the necessary supplies. Damage, disruption, overuse, transportation problems, equipment shortages, and competing priorities led to a sharp decline in Soviet oil production during World War II. In addition, the Soviets lacked sufficient refinery capacity, especially for high-quality products such as aviation gasoline, diesel fuel, and kerosene.
A joint Soviet-Romanian oil company set up in 1945 gave the Soviets control of around 30 percent of Romanian production and refinery capacity, and in 1948 the Romanian government effectively nationalized the remainder of the oil industry. Romanian oil production, 34.7 million barrels in 1945, dropped to 32 million barrels in 1950, before rising to 78.6 million barrels in 1955 and 93.7 million barrels in 1965.758 Almost all Romanian oil exports went either to the Soviet Union or to other Communist-controlled states in Eastern Europe.
The Soviets also obtained oil from their occupation zone in Austria. In 1946, the Soviets confiscated the oil fields in their zone and put them under a Soviet Mineral Oil Administration. Austrian oil production, most of which was in the Soviet zone, rose from 3.1 million barrels in 1945 to 24.9 million barrels in 1955. According to Austrian statistics, the Soviets took 60-70 percent of Austrian oil production between 1947 and 1955.759
Soviet oil production expanded from 154.9 million barrels in 1945 to 509.7 million barrels in 1955 and 1.78 billion barrels in 1965. In 1945, around 80 percent of Soviet oil production originated in the Caucasus, mostly in the Baku region in Azerbaijan, but production shifted in the postwar period to the Volga-Urals region, which accounted for around 60% of Soviet oil production by 1955, and over 70% by the early 1960s. As Soviet oil production increased and transportation networks improved, oil and natural gas began to claim a larger share of Soviet energy consumption, rising from 17.4% of energy consumption in 1950 to around 30-35% by 1965. Soviet per capita consumption of petroleum products rose from 1.3 barrels in 1948 to 4.3 barrels in 1958.760
The Soviet Union became a net exporter in 1954, with the bulk of exports going to Communist-controlled countries, most of which were dependent on the Soviets for oil. Romania, Albania, and China were exceptions, a factor in their ability to take an independent stance toward the Soviet Union in the 1960s. Although the Soviets charged their allies somewhat higher prices than they charged Western customers, they provided markets for products that were unable to compete in other countries. The Soviets also used oil to support friendly regimes in the Third World; Soviet oil helped Cuba survive the cutoff of oil from Western companies after 1960.
The United States was the world’s leading oil producer until 1974, accounting for around 66% of world oil production in 1945, 44% in 1955, and 25.8% in 1965. US domestic oil production expanded from 1.71 billion barrels in 1945 to 2.48 billion barrels in 1955, and 2.84 billion barrels in 1965. Proved reserves increased from 19.9 billion barrels in 1945 to 30 billion barrels in 1955, and 31.3 billion barrels in 1965. The postwar increases in production and reserves were achieved through development of already existing fields, greatly expanding drilling efforts, and the opening of offshore oil fields in the Gulf of
Mexico. Not only were more wells drilled, but they were, on average, deeper and more expensive than before the war. Discovery of new fields declined sharply, especially in the largest-size classes.
Following World War II, automobiles, trucks, buses, airplanes, and diesel-powered locomotives replaced steam and electric-powered modes of transportation. Neglect of public transportation and dispersed housing patterns, fostered by increasing suburbanization, encouraged increased automobile use, and the nation’s truck population expanded sharply as trucks increased their share of intercity freight traffic. Oil also made inroads in the residential heating market, and industries and utilities began to turn to oil. The growth of the petrochemical industry further increased the demand for oil. US annual per capita consumption of oil rose from 13.3 barrels in 1945 to 18.7 barrels in 1955 and 21.3 barrels in 1965, and oil increased its share of total US energy consumption from 30.5% in 1945 to 44.1% in 1955, before falling to 43.6% in 1965.
World History
