File 1421/1908 Pt 3 'Persia: oil; negotiations between the Shaikh of Mohammerah and the Anglo-Persian Oil Co.' [‎324r] (213/338)

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land on Abadan under the terms of their concession, and requesting that the Central
Government would either assign it to them or instruct their Governor at Mohammerah
to do so.
I imbibed this useful hint in the course of conversation with Hai'i Rais, who I
R ^ mention, was most helpful throughout, and well deserved the honorarium which
I understand the company decided to give him on the conclusion of the agreement.
I have, &c.
P. Z. COX, Major, British Resident in the Persian
Gulf, and His Britannic Majesty’s Consul-
General for Pars, fyc.
Inclosure 1 in No. 1 .
Consul-General Cox to the Sheikh of Mohammerah.
(Translation.)
(After compliments ) AhwaZt July 16> 1909
I rlAv ii/ the honour to state, with reference to article 8 of the agreement which
has this day, the IGth July, 1909, been entered into between your Excellency and the
Anglo-Persian Oil Company, that I am authorized to assure you that when the
concession expires, should the I ersian Government claim the buildings erected by
the company on the lands held by the said company from yourself, the British
Government will affoid you assistance towards the realization of an adjustment which
may leave the said buildings in your own possession.
(Usual complimentary ending.)
P. Z. COX, Major, 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, and His Britannic Majesty’s Consul-
General for Pars, fyc.
Inclosure 2 in No. 1 .
Notes on the details of the Anglo-Persian Oil Company’s Agreement with the Sheikh
of Mohammerah, dated July 16, 1909.
PREAMBLE. ‘ On behalf of himself, heirs, and successors,” &c. 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.
(ii.) 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 1 —A right of way 30 yards wide, independent of the ground taken up
for the pipeline, is a very liberal allowance.
Art. 2.—“ Free of date trees.” The sheikh feared that “ uncultivated ” 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.
Art. 3.—(i.) 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 conflagration, 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, &c., will presumably be covered by insurance.
The sheikh was greatly exercised as to his possible liability.
Art. 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”
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