File 10/5 II Hasa oil: CASOC's activities in Hasa; development of Ras Tannura; Political Agent's visit to Hasa [‎21r] (54/656)

i
SECBET
Copy of Text of •Oil' 1 Agreement between the
"Standard Oil of Cali^o^nia ,, and H»MoKing Abdul-
Aziz A1 Saudo
Received 25o4«1955*
0O0-—-----
This agreement made between ShaiMi Abdul la Stil iman Al
Hamdan Minister of Finance of Saudi Arabia, acting on bebalf
of Saudi Arab Government (hereinafter referred to as the
•Government"), of the one part and L.N,Hamilton, acting on
behalf of Standard Oil Company of Californai(hereinafter
referred to as the "Company"), of the other part.
It is hereby agreed between the Governie nt and the Company
in manner following
Article la
The Government hereby grants to the Company on the terms
and conditions hereinafter mentioned, and with respect to the
area defined below, the exclusive right, fcr a period of sixty
yeats from the effective date hereof to explore, prospect, drill
for, extract, treat, manufacture, transport, deal with, cairy
away ar.d export petroleum, asphalt, nphtha, natural greases,
ozokerite, and other hydrocarbons, anc' the derivatives of all
such products, It is understood however that such ngnt aoes
not include the exclusive right to sell crude or refined pro
ducts within the area described below or within Sauai Arabia*
Article S «
The area covered by tke exclusive right referred to in
Article 1 hereof is all of Eastern Saudi Arabia, from its
Eastern boundary (including islands and territorial wavers)
westward to the westerly edge of the Daoana ana from the
Northern boundary to the southern boundary of the Saudi Arabia,
provided that from the northern end of the westerly edge of '.he
Lahana the westerly boundary of the area in question shaxx
continue in a straight line north 20 degrees west to the
northern boundary of Saudi Arabia ana from the southern end
of the westerly edge of the Bahana, such
nue in a straight line south 30 degrees east to the southern
boundary of Saudi Arabia© ^ ,
For convenience this area may be feferred to as the
"exclusive area"»
Article 3 «
Within the time agreed in Article ^ ^
the Company shall make a payment to trie Govern
thousand pounds gold, or its equivalent.
Art icle 4 e
The Company shall pay the Government annually ^
five thousand pounds gold, or its equivalent# For J ■_ 1 .
this payment is termed an "annual rental" and it p y
advanceo The first annual rental shall be paia ^thin
t ime