Libyan oil discovered in 1935

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What if the oil in Libya was found 20 years earlier? It could have been discovered and produced with the technology of the time. From what I read no one was looking for it. By 1938 it was in production. The Pact of Steel now has a reliable oil source. Would Italy go to war and risk their oil fields or would they be more embodened because of their oil? How much better could the Germans be with oil?
 
If Libya had oil I can easily see it being taken by the British and French in Africa. Maybe the Germans prioritize the importance of keeping Libya, but I would bet Hitler would look at the oil in Romania and the Caucasus as being more tempting.
 
I don't see Benny being less likely to enter the war just because he had oil fields to develop - his decision to enter IOTL was not so much an act of desperation (which is what a sudden windfall like this could have averted) as a desire to be on the winning side and wanting to expand. Nor do I see it having much of an impact on WWII - do they even really have time to develop it in a couple years? Doubt it; they're wasting resources on Ethiopia for one (unless this is butterflied), and just generally gearing up; the oil reserves seem to be mostly in interior Libya while Italian colonization was focused on the coastal areas, which might also be a problem. So Italy probably wouldn't have much of an oil production capability by the time of WWII. On the other hand, maybe (though not certainly) the French and the Brits would have been more likely to try and keep the Stresa Front together if there was the prospect of having Italy as a trading partner for oil, I guess?
 
Royal Navy Submarine commanders have their own Happy Time as Italy has neither the escorts nor the SONAR to adequately protect the convoys.
 
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