'File 61/11 VI (D 102) Hejaz-Nejd Miscellaneous' [‎200r] (426/522)

THIS DOCUMENT IS THE PROPERTY OF HIS BRITANNIC MAJESTY'S GOVERNMENT
EASTERN (Arabia).
CONFIDENTIAL.
] >
V
/7/7/w
July 18, 1934.
Section 3.
[E 4624/2792/25] No. 1.
Sir A. Ryan to Sir John Simon.—{Received July 18.)
(No. 204. Confidential.)
Sir, Jedda, July 2, 1934.
YOU are aware that at various times during the past three years attention
has been directed to the possibility of gold being discovered in the Hejaz in
commercially exploitable quantities. Interest in the subject has been stimulated
3rincipally by the activities of Mr. K. S. Twitchell, a United States citizen, who
las made several stays in the country, at first as an expert employed by the
Saudi Government for various surveys, &c., and later as a private person with
commercial interests. In February of last year he was closely associated with
Mr. Hamilton, the representative sent here by the Standard Oil Company of
California to negotiate the Hasa Oil Concession, and it was understood at that
time that he had interested one or more American concerns, whom he would
himself represent, in other mining enterprises, and more particularly gold-mining
(see, inter alia, paragraph 15 (c) of the Jedda report for February 1933). His
earlier explorations had disclosed the existence of gold, though not necessarily in
important quantities, in various places, notably the North-Western Hejaz, and
two districts not far from Taif and Medina respectively. Some or all of these
places are known historically as sources of gold in ancient times.
2. For some time after February 1933 little more was heard of gold.
Nothing appears to have come of Mr. Twitchell's efforts to interest the Ameiican
concerns more actively. Fie pursued his own activities, however, and the
continued interest of the Saudi Government in the subject was demonstiated by
the enquiry regarding gold-mining legislation in the British Empire, whic
reported in my despatch No. 372 of the 20th December last. .
3 Mr Twitchell has now succeeded in obtaining the backing ot what
appear to be important interests in the United Kingdom. He returned to Jedda
on the 27th June as representative of the recently formed Saudi Arabia
Mining Syndicate (Limited)," which, it would appear from the
registered in England as a private company with a capital of £20,00 -
shares. I understand from Mr. Twitchell that the con 1 tr ° llm | ^
new concern is that of the Anglo-Oriental and Geneia , , -.j' £
of whose directors is on the board of the syndicate, but ^ ^J^Hnd firms
the syndicate as a whole is unusually varied. Among ^e ^ P ^ /'Limited')
interested are a Mr. McDermott and Messrs. Ge at y a cni ,Lpc l■pp•^^din2 , their
whose Jedda manager confirms information from o er gc &
participation on a smaU scale ^ ^ ^ ind d n t of
the Standard Oil Companv of California. He or they, or both, have indeed been
It pa nfto mark the Association. It would have been natural for h^
in Jedda with his only compatriot, the representative of the
Standard Oil Company, but he has mstea a e P Philbv's firm
hotel. I believe him to be also entirely f d \ s ^^ d .^ gt 7 n g 0 ld Ind who
Sharqieh (Limited), w h 0 have m the pas a concern, Midian
still, I believe, control that old-establisliCi o-athpr that he explored the
(Limited). As regards ( See
possibility of working with thf Hejaz p March), but was
tssrfrraf i r »s?Si
as a •» *<•—* - ^
of this I am not sure Twitch ell's immediate objective is to treat with the
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