Marathon Oil had a great stake in the political situation in Libya. Between 2009 and 2010 sales of crude oil to the Libyan National Oil Company accounted for 13 percent of Marathon Oil’s annual revenue. In 2010, Marathon Oil’s investment in Libya was approximately $760 million, and the company had ambitions to increase drilling by 2011. By December 2010, Marathon Oil had already issued a 10-K Form stating that continued conflict in Libya could cause their revenues and margins to decline and limit their future growth prospects. By 2011, halted productions began to impact Marathon Oil’s revenues, even while the company continued to cover maintenance costs for their facilities.
Besides oil companies and human rights groups, defense contractors were the main clients mentioning Libya in their lobbying efforts, with Halliburton and Boeing among the top clients. In 2010 alone, the defense industry spent over $138.8 million on federal-level lobbying. Their lobbying efforts proved successful. Members of Congress voted against budget cuts for the defense sector, expressing concern over reduced defense spending during active military engagement in Libya.
Meanwhile, Sen. John McCain, Sen. Carl Levin, Sen. Dianne Feinstein, and Sen. Lindsey Graham received campaign contributions from the leading defense contractors Lockheed Martin, Northrop Grumman, General Dynamics, Boeing, and BAE Systems.
Further, President Obama, who confirmed U.S. support for military involvement in Libya, received substantial campaign contributions from the oil and defense industries. Anthony Gregory, who studies the influence of Wall Street and Banks on U.S. foreign policy, argues that Obama’s reliance on military contractors and Arab oil explains his engagement in Libya. Gregory found that the U.S. Federal Reserve provided the central bank of Libya with $26 billion of almost interest free emergency loans between 2007 and 2010. At the same time, the central bank was the only business exempt from U.S. sanctions against Libya.
Obama’s advocacy for U.S. military engagement paid off. During the 2012 presidential election cycle, Obama was the top recipient of contributions from individuals affiliated with the defense sector, noting his military engagement in Libya as one of the reasons for their support.
http://ethics.harvard.edu/blog/does-us-foreign-policy-serve-people
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