Delaying the 'discovery' of oil in West New Guinea

Abstract

Having relinquished sovereignty of the Netherlands East Indies (Indonesia), Dutch colonial authorities retained the western half of New Guinea for another 13 years until American intervention in 1962. Only 5% of Dutch New Guinea was under administrative control at the time of Indonesian independence but, by 1962, it was unmistakably Dutch and, as such, the focus of a successful, anti-colonial campaign mounted by President Sukarno. He and President Kennedy had conferred primarily for political reasons; neither was briefed on the potential bonanza of oil awaiting exploitation in the territory. Yet Royal Dutch Shell and Standard Oil were both aware of the presence of oil, as was the Japanese admiral in command of this area during World War II. It was not just Indonesian opposition, but also an unwitting alliance with this 'oil intelligence', that ultimately ousted the Dutch from New Guinea. © 1999 The Journal of Pacific History Inc.