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File 10/1 VIII Bahrain Oil Concession [‎163r] (353/555)

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The record is made up of 1 volume (270 folios). It was created in 15 Apr 1934-3 Jul 1934. It was written in English and Arabic. The original is part of the British Library: India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. Records and Private Papers.


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■tli6F©3.f"tsr until "bhs Company should declape ■tlia't oil has beon
discovered in "commercially exploitable quantities" when a
tonnage royalty was to be paid on all oil produced, with a
minimum payment of Rs, 30,000 per annum. The declaration as
to commercial production had to be made within five years or
the Sheikh could require the Company to surrender the lease.
In the revised draft lease the Company has deleted all
reference to a declaration of commercial production and provide
forthwith to do what under the original agreement they might not
have been required to do for five years after the granting of a
mining lease. That the Company will presumably argue is as far
as they ought to be expected to go. As they are no?/ making
arrangements to ship substantial quantities of oil, they may
admit that they would find it difficult to say that they had not
discovered oil in commercial quantities, and if oil is going to
be produced in quantity why should the Sheikh bother because he
will get his royalties?
But in fact the Company has virtually given a?;ay the
minimum of Rs.30,000 in the Agreement of the 21st November, 1933,
relating to the prospecting licence, and we might therefore claim
on behalf of the Sheikh that under the Mining Lease he could, on
the basis of the original arrangement, reasonably expect to
receive a higher minimum than the revised prospecting licence
provides for. This question is discussed in the letter from
the Petroleum Department of the 15th February, 1934, to
Mr, Laithwaite, and in the note of the discussion which Mr.
Laithwaite had with Mr. Ballantyne on the 16th May, 1934.
These tvro documents can form the basis of the further discussion
with the Company, when it is suggested an effort should be made
"to secure a larger minimum royalty than Rs.30,000
(about £2,E50), There also seems no reason why the Sheikh

About this item


The volume contains correspondence and telegrams between the Political Agent A mid-ranking political representative (equivalent to a Consul) from the diplomatic corps of the Government of India or one of its subordinate provincial governments, in charge of a Political Agency. in Bahrain, the Political Resident A senior ranking political representative (equivalent to a Consul General) from the diplomatic corps of the Government of India or one of its subordinate provincial governments, in charge of a Political Residency. in Bushire and representatives of the Bahrain Petroleum Company Limited (BAPCO) on the storage tanks calibration for the purpose of calculating the royalties payable to the Sheikh of Bahrain and on the first shipments of oil from Bahrain to Japan and Singapore.

The volume includes a copy of the draft lease contract with notes (folios 55-64), newspaper cuttings on oil in Bahrain and House of Commons' questions on Bahrain (folios 204-205). There are letters in Arabic with English translation, to and from the Sheikh.

There is an index at the end of the volume (folios 248-258).

Extent and format
1 volume (270 folios)

The documents in the volume are arranged in chronological order. There is an index at the end of the volume (folios 248-258). The index is arranged chronologically and refers to documents within the volume; it gives brief description of the correspondence with a reference number, which refers back to that correspondence in the volume.

Physical characteristics

The main foliation system starts on the 5th sheet with 1 and finishes with 259, wich is the last number given, on the 5th sheet from the back of the volume; these numbers are written in pencil, are circled and may be found in the top right corner of the recto The front of a sheet of paper or leaf, often abbreviated to 'r'. side of each folio.

Foliation anomalies: 56A and 56B; 57A and 57B; 58A and 58B; 60A and 60B; 61A and 61B; 61A and 61B; 63A and 63B.

Foliation omissions: folio 233

A second foliation sequence starts on folio 14 and continues through to folio 247; the numbering for this sequence starts at 13. These numbers are also written in pencil and may be located in the same position as the main sequence.

Written in
English and Arabic in Latin and Arabic script
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File 10/1 VIII Bahrain Oil Concession [‎163r] (353/555), British Library: India Office Records and Private Papers, IOR/R/15/2/395, in Qatar Digital Library <> [accessed 28 May 2020]

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