Baku at All Costs: The Politics of Oil in the New Soviet State By Sara G. Brinegar A dissertation submitted in partial fulfillment of the requirements for the degree of Doctor of Philosophy (History) at the UNIVERSITY OF WISCONSIN-MADISON 2014 Date of final oral examination: 05/12/2014 The dissertation is approved by the following members of the Final Oral Committee: Francine Hirsch, Associate Professor, History David M. McDonald, Professor, History Rudy Koshar, Professor, Religious Studies Michael A. Reynolds, Associate Professor, Near Eastern Studies Judd Kinzley, Assistant Professor, History i ACKNOWLEDGEMENTS I used to imagine how I would compose my acknowledgements as a way to keep me focused on long weekend runs- one of the various coping mechanisms for making it through graduate school. As I pushed through the miles, I would remind myself that, just like those runs graduate school would not last forever, despite my senses telling me otherwise. As I added miles, so too did I accrue debts. First, I want to thank the members of my dissertation committee and my advisor, Francine Hirsch, foremost. I could not have asked for a better mentor. She encouraged me to follow my project, pushed me to ask questions, to clarify my ideas, and to understand the implications of my arguments. Her passion for history, argument, and scholarship is an inspiration and she has profoundly shaped my understanding of Soviet history and made me a better writer and thinker. I will always be grateful for her support. David McDonald believed in my research from the beginning. He was a constant advocate in a field that can be dismissive of diplomatic history and foreign policy. His views on the state and the abiding role of institutions in Russian and Soviet history are evident throughout this dissertation. I would like to thank Rudy Koshar for insightful questions that always push me to see problems in a new light. Michael Reynolds and Judd Kinzley both deserve recognition for offering superior suggestions and commentary as members of my dissertation committee. My interest in Russian and Soviet history began as an undergraduate student at Michigan State University where I was encouraged to pursue my studies by Lewis Siegelbaum, Linda Racioppi, and Michael Schechter. I would like to thank them for their support. As an MA student at the University of Illinois Urbana-Champaign, I am grateful for the wonderful encouragement and inspiration I received from Mark Steinberg and Diane Koenker. I have incurred many debts ii during years of language training, particularly from the KORA institute in Vladimir, Russia where I spent a wonderful year from 2003-2004 learning Russian. For Azerbaijani, I would like to single out Fiala Abdullayeva. She was my instructor first at Indiana University’s SWSEEL program in 2008 and again at the Azerbaijan University of Languages in Baku, Azerbaijan in 2009. She is a true teacher. I have had the good fortune to receive financial support for language training, archival trips, and write-up grants. I would like to thank the UW Center for Russia, East Europe, and Central Asia, the Alice Mortensen Fund, the UW History Department, the IREX Embassy policy specialist program, the Fulbright-Hays Doctoral Dissertation Research Abroad (DDRA) Program, the Wisconsin-Summer Mellon Fellowship, the Chancellor’s Borderlands Fellowship, and funding from the Social Science Research Council (SSRC) Eurasian Fellowship. I should also mention the National Security Education Program (NSEP) David L. Boren undergraduate scholarship, which provided me with the opportunity to study intensive Russian for a year in Vladimir, Russia. In Madison, I owe special thanks to the members of our kruzhok, including Jambul Akkaziev, Athan Biss, Roberto Carmack, Kathryn Ciancia, Dennis Choi, Kathleen Conti, Maya Holzman, Tamara Polyakova, Ben Raiklin, Heather Sonntag, and everyone else who came over the years. Leslie Abadie deserves recognition for her constant goodwill. I would also like to thank a number of readers and helpers. Funda Derin for learning Azerbaijani with me; Aimee Dobbs, whose friendship and help were invaluable in Baku; Boris Kolotnitskii and Doug Rogers for taking the time to read what became Chapter 1 and offering excellent critiques; and, Uli Schamiloglu, whose seminars gave me the chance to read widely on my topic. I would like to thank Jeff Sahadeo for reading drafts and always offering encouragement; Marina Sorokina for iii beer, sushi, and very sound advice; the readers in Shelly Chan’s dissertation seminar, especially Sean Bloch and Anne Giblin, who suffered through rough drafts, and readers at the SSRC workshop in New Haven. I am also thankful for the collegiality and research suggestions from Sam Hirst and Oscar Sanchez-Sibony. I am grateful to all of you for your time and thoughts. In Azerbaijan, I would like to thank, Sabina Aliyeva, Professor Jala Garibova, Khayala Ismailova, Gulnara, Sabuhi, and Fuad for opening their home to me, and Professor Samad Seyidov for sponsoring my letter of affiliation. I would also like to express my appreciation to the staff at the Republic of Azerbaijan State Archive for wonderful research assistance and hot tea on very long and cold days. I had an equally warm welcome in Moscow at the Russian State Archive for Social and Political History, the Russian State Archive of the Economy, and the State Archive of the Russian Federation. Thank you to Sean Guillory for years of friendship and mentorship. Alex Hazanov, for great conversations, translations, and in general being a constant sounding board and friend. Elizabeth Bowen, you are an inspiration. Rebecca Liebing for being there through this whole process and never doubting me. A special thank you to Melissa Anderson. I don’t know how I would have made it through graduate school without her. Thank you for the emotional support and being an all-around friend, colleague, constant reader, deft editor, and cheerleader. The Baku Crew was and continues to be utterly irreplaceable: Michelle Ann Brady, Leah Feldman, Krista Goff, Sarah Hennessey, Aleksei Lund, Marcy McCullaugh, Kazim Zeynalzade, and Amy Petersen. For Friday nights, wine, road trips, too much TV and general mischief. Regardless of what comes next, the Baku Crew was worth the trip. I was lucky enough to have my dad come visit me in Azerbaijan, where we had several memorable adventures some of them iv involving jumping over fires. In Moscow, my roommates Marcy McCullaugh (whom I followed from Baku) and Maya Holzman kept me honest in fitness and work. Marcus Bacher deserves endless thanks for keeping me sane. And for feeding me. A lot. He always helps me see the bigger picture both in writing and in life. You have had to deal with the ups-and-downs of writing as much as I did. You make things better and I’m glad you are around. My sister Stacy Brinegar and brother-in-law Ross Carlson have been two of my best friends. Thank you both for always being there and thank you for being adventurous enough, together with Renee Fles, to come to Russia for an epic trip. And to my older brother John Brinegar, even though you are often far away I know you always have my back. I should add the Emma-potomus, a continual source of amusement My parents deserve my greatest thanks. Teresa Peterson and John Brinegar have been amazing sources of support. My mother has always made sure I have a home to return to when I needed it most and I cannot ever thank her enough. Her doors are always open and without her, I don’t know how I would have done this. My father has also provided constant support and encouragement. His advice has made the difference for me more than once over the last seven years. I love you both. v TABLE OF CONTENTS Acknowledgements………………………………………………………………………………...i Table of Contents………………………………………………………………………………….v List of terms………………………………………………………………………………………vi Note on Translation and Transliteration………………………………………………………....vii Maps and Pictures …………………………………………………………………………........viii Introduction: The Situation is Catastrophic…………………………………………….................1 Chapter 1: From Baku to Batumi, or Oil and Unification in Transcaucasia..................................20 Chapter 2: Looking Behind Genoa: the Oil Question and Soviet Concessions Policy………….68 Chapter 3: Beyond Baku. Soviet Misadventures in Gilan……………………………………...122 Chapter 4: Creating a Buffer Zone. Kevir-Khurian, Ltd. and Soviet Oil Prospects…………....170 Chapter 5: Revolution in the Provinces, Reconsidered………………………………………...219 Conclusion………………..…………………………………………………………………….263 Bibliography……………………………………………………………………………………269 vi LIST OF TERMS Ədalət (Justice) Social Democratic Organization (later Political Party) of Iranian immigrants in Baku, merged with Hümmət ASSR Azerbaijan Soviet Socialist Republic Azneft' Azerbaijan Oil Trust Azneftekom Azerbaijan Oil Committee (precursor to Azneft') Azsovnarkom Council of People’s Commissars of Azerbaijan Baksovet Baku City Soviet CCC Central Control Commission Comintern Communist International GKK Main Concessions Committee Glavkoneft Main Oil Committee Hümmət (Endeavor) Azeri and Muslim Social Democratic Organization Iranburo Iranian Bureau of the Russian Communist Party Kavburo Caucasian Bureau of the Russian Communist Party Müsavat (Equality) Azerbaijani Political Party, Ruling Party of Azerbaijan Democratic Republic NEP New Economic Policy NKF People’s Commissariat of Finance NKID Commissariat of Foreign Affairs NKVT People’s Commissariat of Foreign Trade Neftesindikat Oil Syndicate Obvneshtorg Unified Foreign Trade Politburo Political Bureau of the Russian Communist Party RSFSR Russian Soviet Federated Socialist Republic Sovnarkom Council of People’s Commissars TsK AKP (b) Central Committee of the Azerbaijan Communist Party TsK RKP (b) Central Committee of the Russian Communist Party TSFSR Transcaucasian Soviet Federated Socialist Republic VES Higher Economic Council VSNKh Supreme Council of the Economy vii NOTE ON TRANSLATION AND TRANSLITERATION Unless otherwise indicated, all translations are my own. All Russian names and quotations have been transliterated into the Latin alphabet using a modified system based on the Library of Congress. All names have been transcribed according to the Library of Congress transliteration of the Russian spelling, not popular Anglophone forms. For example, Serebrovsky and Mikoyan are written Serebrovskii and Mikoian. I have chosen to use the familiar Politburo and Kavburo rather than the Politbiuro and Kavbiuro. The diacritic (') indicates a soft sign (ь). All Azeri names and titles, when possible, have been transliterated according to the Latin alphabet adopted by the Republic of Azerbaijan in 1991. This revised Latin alphabet includes the following additional letters: Ə [æ], X [kh], and Q [k]. For example, some of the names of the major Azeris and political parties discussed in this work and their popular forms are: Nəriman Nərimanov (Nəriman Nərimanov), Mirzə Davud Hüseynov (Mirza Davud Huseinov), Ruxnulla Axundov (Rukhnulla Axundov), Adaeət (Ədalət), Hümmət (Himmat/Hummet). When my primary sources are Russian-language, I have maintained the Russian transliteration found in the records, e.g. Gusienov instead of Hüseynov and Mirza Kuchuk Khan. I also use Persia and Iran interchangeably as it was at the time. viii MAPS AND PICTURES http://www.turkey-visit.com/azerbaijan-map.asp