'Building on our own abilities': Suriname’s State Oil Company as a Development Agent

This paper analyses the conditions under which the Surinamese State Oil
Company (Staatsolie) has been consolidated, not only as a firm oriented at the
production of oil, but also as a development agent. Staatsolie’s chances to
success seemed rather slim at its creation in the beginning of the 1980s, mainly
because of the non-developmental, patrimonial character of Surinamese
politics and the nature of Suriname’s state, which has traditionally been
oriented toward patronage and clientelism.
The analysis documents the origins of Staatsolie and focuses on its
commitment to the acquisition and further development of technological and
managerial expertise. At present, Staatsolie ranks among the most successful
companies in Suriname and its contributions to the economy of this small
middle-income country are considerable.
The success of Staatsolie’s attempt to become a development agent is
attributed, in particular, to the company’s double strategy. The internal part of
this strategy, derived from the management vision and ideological commitment
of the company’s leadership, was aimed at developing technological and
management skills. The external part of the strategy was aimed at steering away
from political influences on the company and playing out politically the formallegal position of the firm in the petroleum sector. After 25 years of Staatsolie, it
is argued that the factors that were responsible for the company’s success may
turn out to be the main challenges for the years ahead.