'File 10/1 F Collection of Persian Gulf Light Dues: from Tankers of BAPCO and CASOC' [‎204r] (416/468)

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| INDIA CiPFIOE,
V/HITEHALL,
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BY l ? Ab T iilR IvlA .IL Januaxy, 1943*
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Sir, « fV
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I am directed by the Secretary of State to refer to your letter
of the 27th June, 1942, No, 30^ / Ctl(l^)3B, on the question of the
payment of contributions to the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. Lighting Servioo by the
Bahrein Petroleum Company and the California Arabian Standard Oil
Company.
X-y 0 ' '
2. Progress in this matter has been delayed by the olaim of the
Saudi Arabian Government that any agreement relating to the servicing
of the lights at Has Tanura owned by' the 0. A* S« 0* C v should be made,
not between that Company and the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. Lighing Service, but
between the Governments of Saudi Arabia and India (see correspondence
onding with the telegram from the Government, of India, External
Affairs Department, No # 6330 of August 19th <942). On the receipt
of that telegram the matter was discussed -v/ith Mr. Ballantyne, who
roprosents both the Companies in London. It was suggested to him,
as cv possible solution of the difficulties which had arisen with the
Saudi Arabian Government, that the C. A.S.0.C, should make no specific
contribution to the Lighting Service, but that instead the contribution
^ to be paid by the Bahrein Petroleum Company, who are in very close
' relations with the Company operating on the mainland, should bo
oorrespondingly increased. A letter, a copy of which is enclosed,
hajg now been received from Mr. Ballrjityno, which states that the
Bahrein Petroleum Ooi -ipany cannot see their way to give effect to this
suggestion. This letter also shows that the C,A, 3.0.0. have not yet
reached agreement v/ith the Saudi Arabian Gcvemment regarding the
proposed arrangement relating to the payment of a contribution by the
Oompany to the Lighting Service j and that a further communication
cp this aspect of the matter may be expected.
J. The Bahrein Petroleum Company, for their part, are willing to
proceed with negotiations for an agreement under which they would
13 Secretary to tho undertake/
Government of India,
Commerce Department.