File 1569/1913 'Trans-Persian Railway' [‎94r] (198/594)

cannot agree to Bunder Abbas as a terminal, even if temnorarv noint nf +V, •,
To take the Ime to Bunder Abbas even if assured of the pos^iLity in the fntureof
its subsequent extension to Chahbar, does not appear expedient aR q Lk , ,]
travel for a distance of 600 versts along the absolutely tn\oast of th^ aTf of
, • n< ? i . 1S shown l, .- ) he the natural terminus, there are no grounds for
approaching it by a circuitous route in place of direct from Kerman. S
6. Taking into consideration the international character of the enterprise and
equally the fact that the portion of the line mentioned in this point would not traverse
the British but the neutral /.one, it appears just and necessary that no one group of
the company shall enjoy therein any preferential rights, ancf that influence and right
of vote shall be divided to an absolutely equal degree between all three groifps
Moreover, considering it extremely desirable to submit questions respecting the
construction of railways in the neutral zone to mutual consideration, for the sake
o, a possible agreement of respective interests, the Imperial Government have already
notified the .Russian group that an extension of the Trans-Persian line beyond the
limits of the Kussian sphere cannot be realised previous to the conclusion of negotiations
on this matter between the two Governments interested.
6. The Imperial Government and the Russian group of the Societe d’Etudes
were not aware that previous to the raising of the question of the construction of the
Trans-Persian line, the British Government were already bound by a promise of
support for the Persian Railway Syndicate. For their own part, the Imperial
Government would not have objected, but would have even regarded the fusion of
these two companies desirable. However, from information in'their possession, the
international groups constituting the Societe d'Rtudes apparently regard the Persian
Railway Syndicate as not sufficiently stable from a financial point of view, and
therefore, as it appeals, would not effect the amalgamation specified with any particular
eagerness.
With respect to the railways specified by the syndicate, it must be noted that
the line Bunder Abbas-Shiraz-Ahwaz is absolutely unnecessary to Persia, and has
not any significance for local trade. It would appear that similarly it cannot have
any importance for British trade, as it is quite devoid of a character of a line of
penetration. It would run through an unpopulated and mountainous locality almost
parallel with the coast line at no great distance from it, and would connect two points,
communication between which could be easily maintained by water. The endeavour
of . the syndicate to effect a realisation of this line can have only one interpretation :
this line must form subsequently one of the links of a railway which will connect the
Bagdad Railway with India. It is sufficient to cast a glance at the map to be
convinced of this. If the syndicate succeeds in obtaining a concession for this line,
there will be danger of the subsequent formation of a combination resembling the
well-known agreement between the shipping company of Lynch and the German Bank.
In view of these considerations, the Imperial Government cannot but be averse to the
line in question
While having no objections against the other railways proposed (of which the
line Mohammerah-Khoremabad is already guaranteed by an option), the Imperial
Government, in accordance with the opinion of the Russian group of the Societe
d’Etudes, imagine that at any rate the Trans-Persian Railway could be linked up
with the line Chahbar-Regan-Bali-Kerman, if this latter line is constructed by the
Syndicate of Persian Railways. Finally, the Imperial Government consider it necessary
again to note that they cannot agree with the known endeavour of the syndicate in
question to secure for itself the right to construct almost all the railways in the neutral
zone. That this is the aim of the syndicate is clearly seen in the projected agreement
with the Persian Government as drawn up by the syndicate. This fact has alreadv
been the subject of personal explanations between M. Sazonof and Sir E. Grey.
The Russian Government regard it as unquestionably necessary to guarantee for
Russians undertaking enterprises, even if in company with international groups, a
similar right to railway construction in the zone specified, and in particular mention the
following lines :— 1
1. Ispahan-Shiraz.
2. Ispahan-Ahwaz.
3. Yezd-Kerman.
4. Yezd-Shiraz.
5. Ispahan-Khoremabad.