- Monitors to Track Civilian Deaths (July 3, 2003)
...lish details of contracts obtained by corporations such as Halliburton and Bechtel and act as a clearing-house for information on allegations of civil rights... - A Rogue's Gallery of War Profiteers (July 14, 2003)
...." Little detailed information about the program has been made public. BECHTEL GROUP San Francisco-based, private for-profit engineering and constru... - Anti-War Demonstrations Turn Deadly (March 21, 2003)
...n San Francisco, where dozens of demonstrators blocked the entrance to the Bechtel building in the city's financial district, police arrested at least 200 pe... - Grand Rapids Court Interpreter Targeted and Threatened by Police for Involvement in Anti-War Demonstrations (April 9, 2004)
...hegemony in the Middle East. U.S. owned businesses such as Halliburten and Bechtel are in Iraq in a pre-planned rebuilding effort will become some of the maj... - Heady Days for Contractors in Race for Iraq Deals (November 20, 2003)
...the prime contract to rebuild Iraq's oil fields, while San Francisco-based Bechtel has the main infrastructure contract. New prime contracts are expected... - Halliburton's Iraq Awards Worth $1.7b (August 28, 2003)
...iggest single government contractor in Iraq, followed by such companies as Bechtel, a California-based engineering firm that has won hundreds of millions of... - Peace Activists Target War Profiteers (August 5, 2003)
...paign coordinator and program director at the Institute. “Halliburton, Bechtel, MCI and other war profiteers are part of a larger invasion by outside cor... - Spoils to the Victor (April 18, 2003)
...o much for that Halliburton contract, George. And all the lovely deals for Bechtel and other well-connected companies. You shouldn't have.... - Pipeline Politics Taint US War (March 18, 2002)
...s-Caspian pipeline being built under a joint venture between Turkmenistan, Bechtel Corp. and General Electric, the article noted. There are many other con... - A Tyrant 40 Years in the Making (March 14, 2003)
... against Kassem and then abandoned. Soon, Western corporations like Mobil, Bechtel and British Petroleum were doing business with Baghdad — for American firm... - You Break It, You Pay For It (December 22, 2004)
...ols and hospitals in Iraq—the ones that were supposed to be fixed by Bechtel but never were? Too often, antiwar forces have shied away from speaking ab... - No Kharabba at the End of the Tunnel (July 19, 2003)
...nd renovation of Iraq's electricity grid was awarded to the Bush-connected Bechtel Corporation. But nothing has happened so far. Baghdad South's power pl... - The Iraq War—A Catastrophic Success (December 21, 2004)
..., with more in the works. Notwithstanding the success that Halliburton, Bechtel, Dyncorp, and other “old boy” service contractors have achieved in connect... - Making Money on Terrorism (February 5, 2004)
...ility based in Albuquerque. Lockheed Martin also works in partnership with Bechtel to run the Nevada Test Site, where new nuclear weapons are tested either v... - Rumsfeld: Grab Whom You Must; Do What You Want (May 17, 2004)
...s date to compensate for the wretched period before it. Halliburton and Bechtel will not be able to protect the occupation that protected them, gave them... - Riley P. Bechtel is the CEO of Bechtel. With a net worth of $3.2 billion, he is the 50th richest person in the U.S. and the 127th richest in the world. In February 2003, he was appointed by President George W. Bush to the Export Council, which advises the president on international trade issues.
- George P. Shultz is the former U.S. Secretary of State under Ronald Reagan, former president of Bechtel, and a current Bechtel director. He also serves on the Committee for the Liberation of Iraq.
- Caspar Weinberger is the former U.S. Secretary of Defense under Ronald Reagan. Prior to holding this position, Weinberger was the Vice President, Director, and General Counsel of the Bechtel Group of companies.
- Gen. John J. Sheehan, USMC (ret.) is the former NATO Supreme Allied Commander, Atlantic and the former Special Advisor to Asia for the U.S. Defense Department. Sheehan currently serves as Bechtel's General Manager of the Petroleum and Chemical Business Unit for Europe/Africa/Middle East/South West Asia and is also a Bechtel partner. He is also a member of the Defense Policy Board.
- Ross J. Connelly is the former CEO of Bechtel Energy Resources Corporation. He currently serves on the Overseas Private Investment Corporation under George W. Bush.
- W. Kenneth Davis is a former Bechtel senior vice-president and is the former U.S. Deputy Energy Secretary.
- Aguas del Tunari
- Airport Group International Holdings, LLC
- Alterra Partners
- Alliance Bechtel-Linde
- Alterra Partners (U.K.)
- Arabian Bechtel Corporation
- Bantrel, Inc. (Calgary)
- BCN Data Systems (U.K.)
- Bechtel Babcock and Wilcox Idaho, LLC
- Bechtel Bettis, Inc.
- Bechtel Canada, Inc.
- Bechtel Capital Partners LLC
- Bechtel China, Inc.
- Bechtel CITIC Engineering, Inc. (China)
- Bechtel COSAPI (Peru)
- Bechtel Constructors Corporation
- Bechtel-ENKA Joint Venture (Turkey)
- Bechtel Enterprises Holdings, Inc. (BEn)
- Bechtel Financing Services, LLC
- Power Generation Engineering and Services Co. (PGESCo) (Egypt)
- Bechtel Great Britain Ltd. (U.K.)
- Bechtel Infrastructure Corporation (BINFRA)
- Bechtel Jacobs Company LLC
- Bechtel Hanford Inc.
- Bechtel Metodo Telecomunicacoes Ltda. (BMT) (Brazil)
- Bechtel National Inc.
- Bechtel Nevada Corporation
- Bechtel Northern Corporation
- Bechtel Overseas Corporation
- Bechtel/Parsons Brinkerhoff joint venture
- Bechtel Petroleum, Inc. (U.S.A.)
- Bechtel Plant Machinery, Inc.
- Bechtel Power Corp. (U.S.A.)
- Bechtel SAIC LLC
- Bechtel Savannah River, Inc.
- Bechtel-Sigdo Koppers joint venture (Chile)
- Bechtel-Technip Joint Venture
- Becon Construction Company, Inc.
- BPR-Bechtel
- Bechtel Telecommunications
- Cliffwood-Blue Moon Joint Venture, Inc.
- Colstrip Energy LP
- Dabhol Power Company (DBC), joint venture with General Electric and Enron (India)
- Dual Drilling Company
- Eastern Bechtel Co. Ltd.
- EnergyWorks LLC
- The Fremont Group
- Incepta Group PLC
- InterGen (joint venture with Shell Oil)
- International Water
- IPSI LLC
- Lectrix
- Lima Airport Partners
- NetCon Thailand (joint venture with Lucent)
- Nexant
- NorthGas, Ltd. (joint venture with Gazprom in Russia)
- PSG International (partnership with General Electric)
- Saudi Arabian Bechtel Company (Saudi Arabia)
- Sequoia Ventures, Inc.
- Spruce Limited Partnership
- United Infrastructure Company (Chicago) (before Bechtel bought out its partner's share in 1998)
- Technology Ventures Group
- USGen Power Services, LP
- Hong Kong International Airport
- Chunnel
- dual-use petrochemical plants in Iraq before the Gulf War
- Kuwait oil fires after the Gulf War
- Bekme hydroelectric dam in Turkey (1983)
- the huge Tengiz oil field in Kazakhstan (1997)
- joint venture with Shell Oil (called Intergen) to build, own, and operate three natural gas power plants in Turkey
- several United States Department of Energy projects including the Y-12 Oak Ridge enriched uranium storage facility
- Pantex nuclear weapons lab in Texas
- chemical weapons disposal facility in Anniston, Alabama
- rebuilding of sections of Croatian highway between Zagreb and Split in 1998 (a $990 million project funded by the U.S. Export-Import Bank)
- Big Dig
- Dabhol Power Project (joint venture with Enron and General Electric in Maharashtra, India (marking the biggest foreign investment in the history of India)
- Trans-Caspian Pipeline (another joint venture with Enron and General Electric
- Bechtel company website
- Friends in High Places: The Bechtel Story: The Most Secret Corporation and How It Engineered the World, by Laton McCartney, 1988. (ISBN 0345360443)
- Welcome Aboard the Iraq Gravy Train, an editorial by Terry Jones, April 12, 2003.
- Crude Vision, a report by the Washington, D.C.-based Institute for Policy Studies, March 24, 2003. Reproduces the full text of internal Bechtel memos detailing the corporations long involvement with Iraqi oil
- Bechtel v. Bolivia: The Bolivian Water Revolt, anti-globalisation viewpoint on Bechtel's involvement in Bolivia
- The Bechtel-bin Laden connection, CNN/Money Magazine, May 5 2003.
- Bechtel's roots in the Mideast, San Francisco Chronicle, May 4 2003
- Disinfopedia article on Bechtel
- Forbes List of Largest Companies
Bechtel Corporation
(Redirected from Bechtel)
Bechtel Corporation (Bechtel Group) is the largest civil engineering company in the world. With headquarters in San Francisco, Bechtel was ranked as the 6th largest privately-owned company in the United States. As of 2002, Bechtel had 47,000 employees working on 900 projects with $11.6 billion in revenue.
Bechtel was a major contributor in the building of the Hoover Dam in the 1930s. It has also been involved in several other high profile construction engineering projects, including the Chunnel, numerous power projects, including pipelines, refineries, and nuclear power plants, the BART, Jubail Industrial City in Saudi Arabia, Hong Kong International Airport, the Big Dig, and most recently the rebuilding of the civil infrastructure of Iraq funded by the United States Agency for International Development (USAID).
The Bechtel family has owned Bechtel since the company's creation in the 1920s. Bechtel's size, its political clout, and its penchant for privacy have made it a perennial target for journalists and politicians since the 1930s. Bechtel has maintained strong relationships with officials in many U.S. administrations, including those of Reagan, George H. W. Bush, and George W. Bush. The company also has strong ties to other governments, particularly the Saudi Royal Family.
Recently, the company has come under criticism for alleged mismanagement of the Big Dig project, its financial links to the bin Laden family, and the manner in which it received Iraqi rebuilding contracts after the U.S. invasion of Iraq in 2003. Politicians in the United States and in Europe have raised accusations of cronyism between the Bush administration and Bechtel.
For many years, Bechtel has been a strong proponent of the privatization of utilities, highways, airports, and other facilities traditionally managed by governments. The company owns and operates its own power plants, oil refineries, water systems, and airports in several countries including the United States, Turkey, and Saudi Arabia. Bechtel's long involvement with oil, power, and water overseas have been a focus of criticism by the growing anti-globalization and environmental movements.
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Company History and Timeline
Early 1900s
Bechtel has always been a family owned company. Its founder, Warren A. Bechtel, started as an employee of the burgeoning U.S. railroad industry in 1898 after his Oklahoma cattle ranch failed. Over the next 20 years, he built up a sizeable contracting business that specialized in railroad and highway building.
In 1919, Warren Bechtel and his partners (including his brother Arthur) built the Klamath Highway in California. In 1921, Warren Bechtel partners won a contract to build the water tunnels for the Caribou Hydroelectric Facility in California. In 1925, Warren A. Bechtel was joined by his sons Warren Jr., Stephen, and Ken and they incorporated as W.A. Bechtel Company. In 1926, the new company got its first major contract, the Bowman Lake Dam in California.
1930s
In 1928, the U.S. Congress passed the Boulder Canyon Project Act, which mandated the construction of a hydroelectric dam on the Colorado River. The dam was originally supposed to be called the Boulder Dam, but was later renamed (after some controversy) the Hoover Dam in honor of President Herbert Hoover. It was the largest civil engineering project ever undertaken at the time.
Over the next two years, several companies competed for dam-building contracts. To compete for the contract, the W.A. Bechtel Company joined with five competitors to form the Six Companies Corporation. This partnership was formed for the sole purpose of the Hoover Dam project, and their combined strength virtually guaranteed that they would be able to submit the most competitive bid. On March 11, 1931, the United States Department of the Interior selected Six Companies to build the dam. Construction of the Hoover Dam began in late 1931 and finished in 1936, two years ahead of schedule.
Warren A. Bechtel died suddenly while traveling abroad in 1933, in the midst of the Hoover Dam project. His son Stephen took over as president of the company and served in that position until he was succeeded by his son Stephen Jr. in 1947.
World War II
After the Hoover Dam, Bechtel's reputation was soaring. However, Stephen Bechtel wanted the company to become more than just a construction firm. He pushed the W.A. Bechtel Company to undertake more complex engineering projects and oil contracts.
In 1936, Bechtel built the 8-mile long San Francisco-Oakland Bay Bridge. In 1937, Bechtel became joined forces with John McCone's engineering company to form an engineering/construction firm called Bechtel-McCone Company.
On July 19, 1940, President Roosevelt signed the Two-Ocean Naval Expansion Act, which authorized the construction of two huge fleets in both the Atlantic and Pacific theaters. The U.S. Maritime Commission selected Bechtel to build a new shipyard for the Pacific fleet. The Bechtel Shipyards were constructed in Sausalito, California and produced hundreds of cargo ships and oil tankers for the Navy. John McCone's California Shipbuilding Company was also awarded many large and profitable shipbuilding contracts starting in early 1941 and continuing through the end of the war.
While the United States built its so-called arsenal of democracy, war planners were increasingly worried about what would happen if the Axis gained control of the world's oil reserves. The Italian invasion of Egypt and Libya in September 1940 was a cause for deep concern, as was the April 1941 coup in Iraq which brought the pro-German Golden Square faction to power.
Matters came to a head after the Japanese attack on Pearl Harbor in December 1941. War planners concerned that the Japanese would invade Alaska and threaten the northern oil fields, which were becoming an important part of the U.S. oil supply. In April 1942, the United States Army authorized the creation of the ALCAN (Alaskan-Canadian Highway) to allow troops and supplies to be moved to Alaska, and the CANOL oil pipeline was authorized soon afterwards.
The CANOL pipeline contract was awarded to Bechtel-Price-Callahan, a partnership formed for the purpose between the W.A. Bechtel Co., the H.C. Price Co., and the W.E. Callahan Construction Co. In June 1942, the Japanese invaded the Aleutian Islands off the coast of Alaska, and the construction began in earnest. However, due to poor planning by the Army and mismanagement by the contractors, the CANOL project was a total failure. The pipeline consumed more oil than it produced and cost taxpayers an enormous amount of money. Furthermore, as time went on, it became clear that the Japanese were not able to invade Alaska. The CANOL pipeline was abandoned after a mere 11 months in operation.
During the pre-war period in late 1940 and early 1941, there were several scandals and allegations involving wartime profiteering and widespread corruption at a number of defense contractors. In 1941, the Senate created the Special Committee to Investigate the National Defense Program at the urging of Senator Harry Truman. This committee, chaired by Truman, spent two years investigating waste and corruption in the defense industry.
In 1943, the "Truman Committee" released a scathing judgement of the $143 million CANOL project, calling it more destructive to the war effort than any act of sabotage by an enemy. Bechtel-Price-Callahan was singled out for criticism for its role in the cost overruns and mismanagement that plagued the project. The Committee was later to criticize the shipbuilding industry for its wartime activities, including fraud, bribery, and other forms of corruption.
After the war, the W.A. Bechtel Company bought out John McCone's share in Bechtel-McCone and incorporated as Bechtel Corporation. John McCone went on to head the Atomic Energy Commission and later the CIA (see below).
Post-war era: late 40s through 50s
In 1947, Bechtel expanded its oil pipeline business with its construction of the Trans-Arabian pipeline in Saudi Arabia. At over 1,000 miles, this was the longest pipeline in the world at the time. In addition to the pipeline itself, Bechtel was responsible for building large parts of the modern infrastructures of Saudi Arabia and Kuwait, including airports, sea ports, and oil refineries.
In 1946, the United States Congress authorized government research into nuclear power with the Atomic Energy Act of 1946. This act created the Atomic Energy Commission, which was later headed by Bechtel's former partner John McCone. Following President Eisenhower's famous Atoms for Peace speech in 1953, commercial research into nuclear power was authorized.
In 1956, Bechtel was selected to build the world's first nuclear power reactor, the Dresden-1 in Illinois. Construction began in 1957 and the plant was fully online in 1960.
In 1959, a Bechtel partnership called Parsons Brinckerhoff-Tudor-Bechtel was awarded the contract for San Francisco's Bay Area Rapid Transit system. The system, completed in 1972, was used as a model for other urban transit systems around the world.
60s and 70s
Throughout the 1960s and 1970s, Bechtel expanded its energy engineering business. In 1963, Bechtel began construction of the San Onofre nuclear power plant in California. This was also a time of diversification into other areas. In the late 1960s, Bechtel launched its development, finance, and investment arm named Bechtel Enterprises Holdings, Inc. This firm was able to leverage Bechtel's experience, its capital, and its government ties to help other companies compete for engineering contracts in the U.S. and around the world.
In 1972, Bechtel was awarded a $13 billion contract for the James Bay hydroelectric project in northwest Quebec. The project was completed in 1985 and drew criticism from the growing environment movements in the U.S. and Canada.
In 1976, Bechtel was awarded a contract to build Jubail Industrial City in Saudi Arabia. By 1992, the 360-square mile city of Jubail was one of the most modern cities in Saudi Arabia, with a population of over 70,000. After the successful completion of the project in the late 1980s, Bechtel's contract was extended by the government of Saudi Arabia through 2007.
1980s and beyond
In 2000, the government of Bolivia privatized its water industry and awarded a large water contract for Bolivia's 3rd-largest city, Cochabamba, to a Bechtel subsidiary named Aguas del Tunari (which was formed for that purpose). Shortly thereafter, the company tripled the water rates in that city, an action which resulted in protests and rioting. Despite the Bolivian police's attempts to quell the rioting, the situation continued to deteriorate. Amidst Bolivia's nationwide economic collapse and growing national unrest over the state of the economy, the Bolivian government was forced to withdraw the water contract. In 2001, Bechtel filed suit the Bolivian government for $25 million in lost profits. The continuing legal battle has attracted attention from anti-globalization and anti-capitalist groups.
In early 2003, the Boston Globe launched an investigation into Bechtel's role in massive cost overruns and accounting irregularities in Boston's Big Dig project totaling over $1 billion. The Globe, along with the Associated Press, filed papers requesting that Massachusetts Turnpike Authority make public the results of all Bechtel's performance audits related to the Big Dig. Bechtel sought a preliminary injunction to block the release of the documents, but the superior court judge in the case denied Bechtel's request on April 11, 2003, opening the way for public release of the documents.
Bechtel has long had close ties to the American government. From 1974 to 1982 George Schultz, former Secretary of Treasury and future Secretary of State, was president and director. As Secretary of State, Schultz sent Donald Rumsfeld to Iraq to discuss with Saddam Hussein a Bechtel contract for an oil pipeline to Jordan.
In 1988 Bechtel was awarded a contract to build a chemical plant in Iraq, but construction was halted with the Iraq invasion of Kuwait. On April 17, 2003, following the 2003 U.S. invasion of Iraq, USAID awarded a $680 million reconstruction contract to Bechtel. This placed Bechtel in the spotlight along with other American firms like Halliburton who have come under intense international scrutiny for receiving no-bid contracts for the rebuilding of Iraq.
Like most large American companies, Bechtel has contributed large amounts of money to United States politicians (over a million dollars in campaign contributions between 1999 and 2002). The company has particularly close ties with the current U.S. administration, and critics in both the U.S. and allies like Britain have questioned the process by which the U.S. awards Iraq contracts to American companies.
On May 5, 2003, The New Yorker ran an article revealing that the bin Laden family have invested $10 million in The Fremont Group, a private equity fund owned by the Bechtel family (the fund was formerly called Bechtel Investments).
Former and Current Executives
See also
American companies, Cochabamba protests of 2000, Big Dig, Riley P. Bechtel, Stephen D. Bechtel, Sr., Warren A. Bechtel
Joint Ventures and Subsidiaries
TODO (other Bechtel projects)
South America: Aracaria Power project, Brazil; Jorge Chávez International Airport in Lima, Peru; a nickel smelter for the Cerro Matoso mine in Colombia; Antamina coper mine, Peru; Klabin Riocell pulp mill, Brazil
North America: Bajo power project, Mexico; AT&T wireless network, US wide; Equinix business exchange, US wide; Delta Energy Center, California
Europe, Middle East, Africa: OGD2 Gas, United Arab Emirates; Athens Metro, Greece; Coca-Cola plant, Ireland; Croatian Motorway; Shoaiba power plant, Saudi Arabia; Rail improvement projects, UK
Asia: CSPC petrochem plant, China; Meizhou Wan power station, China
External References