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'Confidential D 107 86/5-I Eastern and General Syndicate Ltd. - Saudi Arabia' [108v] (221/386)
The record is made up of 1 volume (213 folios). It was created in 5 Mar 1933-30 Jan 1935. It was written in English. 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 Documents collected in a private capacity. .
Transcription
This transcription is created automatically. It may contain errors.
4
the sales. It is understood that the Company is in no case bound to extract, store
and sell any mineral oil, and it is also understood that the Company is not bound
to pay any royalty in respect of the oil used for the ordinary running of its
plant in the Saudi Arab Kingdom.
Article 13.
The Government have the right through their properly authorised repre
sentatives to inspect, during ordinary working hours, the work carried out by
the Company in accordance with the provisions of this agreement and to check
and verify the quantities produced. The Company shall always measure the
quantities of oil produced and stored and which run from the field depot, in
accordance with the practice observed in first-class oil-fields, and shall keep true
and correct accounts of them; similarly for the mineral oils which it may produce,
store and sell, properly authorised Government representatives have the right to
check these accounts at all convenient times. After the expiry of one half year i
from the date on which oil is discovered in commercial quantities, the Company
shall submit to the Government a half-yearly account within a period of three
months from the end of the said half year, and a statement showing the amount
of royalty due to the Government for that half year. The Government shall
be bound to treat these accounts and statements as confidential, with the exception
of those figures which they may find it necessary to publish for financial purposes.
The royalty due to the Government shall be paid at the end of each half year
from the date on which oil is discovered in commercial quantities, within three
months of the end of that half year. In the event of any dispute occurring in
respect of the amount of royalty due for a half year, the Company shall hand
over to the Government, within the period stipulated above, that part of the
royalty which is not in dispute.
The matter of dispute which may arise between the two parties shall be
settled by mutual agreement; if a settlement is not arrived at in this manner,
the dispute shall be settled by arbitration as provided for in this agreement.
Any amount the payment of which is decided as a result of this settlement shall
be paid to the Government within sixty days of the date on which the decision
is given.
Article 14.
It is agreed that all gold payments provided for in this agreement, whether
gold pounds or gold shillings, shall be calculated by means of English gold
pounds in accordance with their weight and pureness at the time of payment.
It is also agreed that the payments of gold currency provided for in this agree
ment, whether gold pounds or gold shillings, may be made by means of an
equivalent amount of American dollars or pounds sterling. It is furthermore
agreed that such payment in sterling or in American dollars, corresponding to
the amount of the first loan and the first year’s rent, shall be calculated according
to the rate of exchange on the day of payment of those sums, but that apart
from this the equivalent in sterling or American dollars of the gold pounds or
gold shillings, due under the terms of this agreement, shall be reckoned on the
basis of the average rate of exchange during the three months immediately
preceding the date of payment of that equivalent.
Article 15.
All payments provided for in this agreement and due to the Government
shall either be paid to them direct or shall be placed to their credit in the bank
which they may appoint in writing. The Government have the right to change
this bank from time to time provided that they inform the Company of such
action in writing, so as to give the Company sufficient time to enable them to
arrange for subsequent payments to be made to the new bank. It is agreed that
the Government should nominate for this purpose a bank in either Saudi Arabia,
the United States of America, England, or Holland, provided that no bank
be fixed in Saudi Arabia unless it has a correspondent in the United States of
America, England or Holland, through whom money can be remitted to Saudi
Arabia. In the event of the Company having made any payment to the
Government in the proper manner, or having deposited the sum due to them in
About this item
- Content
The volume contains correspondence to and from 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 the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. (Trenchard Craven Fowle, Percy Gordon Loch), 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. at Bahrain (Percy Gordon Loch), and 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. at Kuwait (Harold Richard Patrick Dickson) regarding matters in Saudi Arabia and their affect, particularly on Kuwait and Bahrain. The main topic of discussion being a concession in Hasa, Saudi Arabia which was contested by the Standard Oil Company of California and the Iraq Petroleum Company, and was awarded to Standard Oil in July 1933.
The correspondence, primarily between HM's Minister at Jedda (Sir Andrew Ryan) and the Secretary of State for Foreign Affairs (Sir John Simon) includes details of the negotiations and translations of the concession agreement which was published in Umm-al-Qura in July 1933. Also discussed are attempts to obtain information about the special agreement between Standard Oil and the Sa'udi Arab Government which was not published and which contained details of the exact values of the concession, the area covered by it, and a clause relating to the Kuwait-Najd neutral zone concession. Later correspondence also discusses the progress being made by Standard Oil in developing their concession.
Other matters discussed in the file include:
- correspondence from 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. at Kuwait regarding rumours that the Shaikh of Kuwait (Shaikh Aḥmad al-Jābir Āl Ṣabāḥ) travelled to Najd to meet with Ibn Saud (‘Abd al-‘Azīz bin ‘Abd al-Raḥmān bin Fayṣal Āl Sa‘ūd), King of Saudi Arabia, or one of his close advisers to discuss matters including a potential alleviation of the blockade on Kuwait and their joining forces in regards to the oil concession agreement in the neutral zone (ff 6-17);
- a memorandum written by the Petroleum Department about Petroleum in Arabia which covers the topics: Petroleum prospects in Arabia, interested or potentially interested companies, past concessions affecting Saudi Arabia, the present position. The memorandum includes brief summaries of all the key oil companies and interested parties in oil concessions in Arabia (ff 90-91);
- correspondence regarding the prohibition on private planes flying to Bahrain and a request by the Standard Oil Company of California to use Bahrain as their base of operations during their survey of Hasa which was denied, and the eventual decision to allow Standard Oil's aeroplane to land at Bahrain should there be a serious medical emergency involving either their staff or those of the Mesopotamia-Persia corporation (ff 112, 131-133, 155-156, 173-175);
- a record of an interview which Frederick Charles Starling of the Mines Department had with Edmund William Janson of the Eastern and General Syndicate Limited in which Eastern and General's interest in a possible concession in Asir was discussed along with their activities in regard to previous concessions (ff 147-149).
A series of file notes which were maintained as a record of the correspondence in the volume can be found at folios 179-187.
- Extent and format
- 1 volume (213 folios)
- Arrangement
The papers are arranged in approximate chronological order from the front to the rear of the file.
- Physical characteristics
Foliation: The main foliation sequence (used for referencing) commences at the front cover, and terminates at the inside back cover; these numbers are
written in pencil, are circled, and are located 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. An additional foliation sequence is present in parallel between ff 6-192; these numbers are also written in pencil, and can be found in the same position as the main sequence, but they are not circled.
- Written in
- English in Latin script View the complete information for this record
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'Confidential D 107 86/5-I Eastern and General Syndicate Ltd. - Saudi Arabia' [108v] (221/386), British Library: India Office Records and Private Papers, IOR/R/15/1/667, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100025704696.0x000016> [accessed 16 April 2024]
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Copyright: How to use this content
- Reference
- IOR/R/15/1/667
- Title
- 'Confidential D 107 86/5-I Eastern and General Syndicate Ltd. - Saudi Arabia'
- Pages
- front, back, spine, edge, head, tail, front-i, 2r:28v, 30r:143v, 145r:156v, 158r:175v, 177r:190v, back-i
- Author
- East India Company, the Board of Control, the India Office, or other British Government Department
- Usage terms
- Open Government Licence