'File 8/15 Arab Series - 1933-1939' [‎118r] (235/434)

3. Work on tlie road from Jedda to the Mahd is still in progress, and I under
stand that as far as approximately 72 miles from Jedda the road may be described,
from the point of view of light motor transport, as good. The central portion of
the total distance still presents difficulty, but the syndicate are now equipped
with modern road-making machinery. Activity also continues at the Jedda “ ter
minal ’ of the road, where the construction ot the compound referred to in para
graph 4 of the despatch under reference, on an area now stated to be 300 by 150
yards, is proceeding steadily.
4. I am sending copies of this despatch and enclosure to the Department of
Overseas Trade and to His Excellency the High Commissioner for Transjordan Used in three contexts: the geographical region to the east of the River Jordan (literally ‘across the River Jordan’); a British protectorate (1921-46); an independent political entity (1946-49) now known as Jordan .
Enclosure.
Memorandum respecting the Saudi Arabian Mining Syndicate (Limited) Mining
Concession, dated the 11th January 1936.
(a) Areas being worked, or about to be worked (or prospected in the near future).
The operations of the Saudi Arabian Mining Syndicate commenced in March
1935 at the Mahd-adli-Dhahab (position according to latest estimates at 23 degrees
30 minutes north by 41 degrees east) and near Yanbu The latter workings, where
Mr. Shanks was engaged, were abandoned in the early summer, but the former have
continued and have been developed with considerable prospects of success.
Under the terms of the original concession reported to the Foreign Office by
Sir Andrew Ryan’s despatch No. 56 of the 24th February 1935 [Serial No. (31) in
File No. 1-N./35)], by which areas which it is desired to prospect further should be
designated within one year, and areas for exploitation must be fixed and subsidiary
exploitation companies formed within two years of the date of the concession, it is
becoming a matter of urgency to determine the areas which can be worked profit
ably.
Mr. Shanks has been away prospecting for the past two months or more (he
returned on the 21st December, 1935), but had not had much success. His pros
pecting trip is believed to have taken him in an easterly and north-easterly direc
tion, well into Nejd, almost but not quite as far as the Jebel Hilit (see below).
At the end of 1935 arrangements were stated to be under way for four separate
prospecting parties to go out into the concessionary area, the districts to be ex
plored being, it is said, Yanbu’ (in spite of previous failure in that neighbourhood).
Wejh and two others not at present definitely known. M. Van de Poll left for Wejh
about the end of December in this connexion.
(b) Facts known as regards handing over the Mahd to an Exploitation Company.
The little we know on this subject may be summarised as follows. The first
mention, I believe, was by a member of the Saudi Arabian Mining Syndicate to a
member of the Legation early in August, 1935. This was reported to the Foreign
Office in our despatch No. 227 of the 6th August, 1935 [Serial No. (57) in File No.
1-N./35]. Towards the end of October, 1935, another member of the Saudi Arabian
Mining Syndicate stated that the syndicate had given “ the new company ” one
square mile to survey, a conversation which was reported in our despatch No. 339
of the 26fch November, 1935 [Serial No. (10)], paragraph 5.
It is difficult to determine from these brief references whether the Mahd itself
is to be turned over to the subsidiary (it seems most probable) , or whether an adja
cent area is being made over to it, or both.
(c) Facts known or surmised regarding Difficulties with the Saudi Arab Govern
ment.
Difficulties are believed to have arisen with the Saudi Arab Government
over the definition of the boundaries to the original concession. These boundaries
are given at paragraph 2 of the enclosure to Sir Andrew Ryan’s despatch to the
Foreign Office No. 56 of the 24th February 1935, and were published in the
Umm-al-Qura of the 12th February, 1935. In December 1935 a member of the
Legation staff had access for a short time to a map in possession of the Saudi
Arabian Mining Syndicate, on which a boundary line was traced. This was
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