File 4949/1912 Pt 1 ‘Persian Gulf: Abu Musa oxide’ [‎130r] (268/566)

with the much superior produce of the Hormuz mines, the price it could have secured
would have been so low as to render the venture almost unremunerative, and
Messrs. Wonckhaus would probably have had large stocks left on their hands which
they could only have unloaded very gradually even at the low price obtainable. In
fdhese circumstances Mr. Stuck considers it inconceivable that Messrs. Wonckhaus
wouM have availed themselves of the renewal clause of their contract; indeed,
financially he thinks they may deem themselves fortunate to have had their contract
terminated after one year and four months of its operation. If this is anything like
an accurate statement of the facts, it would seem that Messrs. Wonckhaus cannot
reasonably look for compensation in respect of the renewal clause of their contract.
It is now possible to estimate the amount of compensation which may be allowed
to Messrs. Wonckhaus on the basis of the foregoing. The c.i.f. price per ton of
Abu Musa oxide at Hamburg may be calculated as follows :—
Per Ton
(of 20 cwt.)
Cost price f.o.b. Abu Musa as per contract ..
freight—17s. 6<7.—less 5 per cenr. commission
Marine insurance f per cent, of 40s.
Discharging .
Discount 1 per cent, on sale price, 40s.
Total
s. d.
15 0-0
16 7*5
0 3-6
0 9-0
0 4-8
33 6-9
The average sale price being 405., the net profit per ton on this basis would be
65 . 5ygr£, or a profit of 1,713L 65 . 8 d. on the total of 5,333^ tons.
That this estimate is a fair one, is illustrated by the fact that Mr. Strick considers
a profit of 20 per cent, on the selling price to be excellent and more than could
ordinarily be expected. The compensation allowed to Messrs. Wonckhaus on the above
basis is equivalent to a profit of over 15 per cent, on the cost price.
The estimate moreover takes no account of the fact that Messrs. Wonckhaus have
been allowed to remove large quantities of oxide since the termination of their contract.
It appears from information supplied by the Foreign Office and the 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. that,
excluding two shipments of 700 tons each by the tc Stolzenfels ” and the “ Muhamm ’’
which were made in March 1906 (i.e., before the commencement of the contract) and
excluding also a shipment of 400 tons in May 1910, by the “ Nasiri ” apparently for
Hassan s account, the shipments of oxide made by Messrs. Wonckhaus since the
commencement of this contract were as follows :—
Date.
Vessel.
Quantity.
June 2, 1907..
“ Nasiri ” . .
Tons.
300
July 16, 1907
“ Tentonia ”
500 (? 900)
April, 1908 ..
“ Louise ”. .
1,810
May, 1911 .. :
(?)
300
November 14, 1912
(?)
300
Total
..
3,210 (? 3,610)
At least 3,210 tons were, therefore, shipped by the firm since the commencement of
their contract, of which no less than 2,410 tons were shipped after the termination of
the contract in pursuance of His Majesty’s Government’s permission.
Lastly, there remains the question of the amount which should reasonably be
allowed to Messrs, Wonckhaus in settlement of their direct losses, viz.; in respect of
advances to the mining company and of implements lost on the island (see paragraph 3
of the Board s letter of the 9th January). As regards advances to the mining company
the Board note from the memorandum of Sir P. Cox, copy of which was enclosed
with the Foreign Office’s letter of the 10 th February that, according to Hassan’s
statements, these amounted to only 2,000 rupees Indian silver coin also widely used in the Persian Gulf. . It appears further that the
amount of compensation to be allowed for implements—comprising apparently some
buckets and planks left on the island—is extremely small. According to a telegram
from His Majesty’s residency An office of the East India Company and, later, of the British Raj, established in the provinces and regions considered part of, or under the influence of, British India. at Bushire, copy of which was communicated to the
Board by the 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. , the planks which were the property of the Hamburg-