1990 oil price shock and prices began to fall. On August 2, 1990, The Republic of Iraq invaded the State of Kuwait, leading to a 7-month occupation of Kuwait and an eventual U.S.-led military intervention. While Iraq officially claimed Kuwait was stealing its oil via slant drilling, its true motives were more complicated and less clear. At the time of the invasion, Iraq owed Kuwait $14 billion of outstanding debt that Kuwait had loaned it during the 1980–1988 Iran–Iraq War. In addition, Iraq felt Kuwait was overproducing oil, lowering prices and hurting Iraqi oil profits in a time of financial stress. In the buildup
Baiji, Iraq Baiji, Iraq Baiji (; also spelled Bayji) is a city of about 200,000 inhabitants in northern Iraq. It is located some 130 miles north of Baghdad, on the main road to Mosul. It is a major industrial centre best known for its oil refinery, the biggest in Iraq, and has a large power plant. With regards to transport in the area, Baiji is a junction of the national railway network. After the invasion of Kuwait in 1990, dozens of British civilians taken captive in Kuwait were held at the Baiji oil refinery, apparently as human shields. The city was bombed