File 1421/1908 Pt 3 'Persia: oil; negotiations between the Shaikh of Mohammerah and the Anglo-Persian Oil Co.' [‎320v] (206/338)

8
Translation.
Dated Ahwaz, the 16th July 1909.
From— Major P. Z. Cox, C.S.I., C I E., 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. ^
and Consul-General for Pars, etc.,
To—H.E. Sheikh Khaza’l Khan, Sardar Leader of a tribe or a polity; also refers to a military rank or title given to a commander of an army or division. Arfa, Amir Nuyan, Sheikh of Mohammerah.
After Compliments—
I have the honour to state, with reference to Article 8 of the Agreement
which has this day, 16th July 1909, been entered into between Your Excellency
and the Anglo-Persian Oil Company, that I am authorised to assure you that
when the Concession expires, should the Persian Government claim the buildings
erected by the Company on the lands held by the said company from yourself,
the British Government will afford you assistance towards the realization of an
adjustment which may leave the said buildings in your own possession.
(Usual complimentary ending).
Notes on the details of the Anglo-Persian Oil Company's Agreement with the
Sheikh of Mohammerah^ dated 16th July iqoq.
\
Preamble, (i) On behalf of himself, heirs and successors'' etc .—This
passage contains one of the three fundamental points on which the Sheikh held
out to the last minute. He insisted on the Oil Company substituting for “ heirs
and successors ” the words “ sons and lineal descendants.*’ The manner of
disposal of it is explained in the covering letter to this memorandum.
(it) It was considered important to insert at the outset the reference to the
principal Concession from the Persian Government and its exclusive character, as
evidence of the Sheikh’s cognizance and recognition of it.
Article /.—A right of way 30 yards wide, independent of the ground taken
up for the pipeline, is a very liberal allowance.
Article 2. — (i) “ Free of date trees.” The Sheikh feared that “ uncultivat
ed ” might not be sufficient to protect ground bearing date trees, and therefore
wished for this change.
(ii) In the Sheikh’s skeleton agreement with me, he only gave the Company
option to purchase at the same rate up to one year ; the Company in their draft
altered the period to three years, and the Sheikh after discussion agreed to
split the difference.
Article 3 .—(/) The question of the reversion of the buildings arises in this
Article. It was, as I anticipated, the chief difficulty and was got over eventually
in the way explained in my covering letter.
(ii) In connection with this Article the Sheikh was possessed with, the fear
that tribal enemies might, in order to do him injury, bore a hole in the pipe at any
point where it was exposed, and by applying a match create an enormous con
flagration, and that the Company would come down on him for the damage.
I gather that it would be practically impossible to cause a serious fire in
this way. Moreover, the Company’s buildings, oil, etc., will presumably be covered
by insurance. The Sheikh was greatly exercised as to his possible liability.
Article 4. —(i) In the wording of this Article the word “ lab ” in the Persian
meaning “ lip ” or “ edge ” has been designedly used in preference to “ side ”
or “ bank ” which the Sheikh used. This course was taken in order to preclude
the possibility of the Sheikh saying afterwards that the terms of this Article
would be fulfilled by his giving land some distance back from the river without
frontage actually on it. This has occurred in a previous case.
(ii) The Sheikh expressed his objection to giving any land at all on the right
bank. He argued that the right bank was not so secure in the first place, and that
in the second place no land had ever been given on that bank, and if he gave any
now much undesirable gossip would result ; and that as he could not understand