Coll 30/124A 'Koweit (Neutral Zone) Oil Concession: Negotiations with Petroleum Concessions Ltd.' [‎425r] (849/883)

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IW.VARD TOLKORfl^
nYPHER TELEGRA M (O.T.P.I
Political Resilient in the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran.
Secretary of State for India.
Government of India and Koweife*
Bushire, 17.50 hours, 26th June, 1945»
22.25 hours, 26th June, 1945.
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1145. GUARD
Your t Q 1 ^ ^ 76 June 19th-
It seems clear from supplemental agreement dated May 31st 1939
to Saudi Arabia Oil Concession that Arabia America Oil Company
?successors to California Arabia Standard Oil Company) possesses all
concessionary rights in Koweit neutral sons that Government of Saudi
Arabia is entitled to grant
2 Sheikh of Koweit's (? attitude) that he had no (? intention of)
granting any concessionary rights in neutral zone reiterated as
recently as December 1944 vide 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. telggram no. 22,,
15th. Gulf Oil Go-operation (sic), who own half interesu xn Ko ^'r ll/
Oil Comuany* is however one of three companies behind trans-Arabia
pipe line and may be expected to bring to bear tlirough American
interests in Koweit Oil Company every inducement on Shei-h, .o grant
not only facilities (? required) for construction o. pipe line but
also concessionary rights to American inheres os m specified zone.
3, On the face of it Aramoo-s present request does not amount to
seeking of any concession(?ary) rights. Plan of pips line nowever,
so far as is known here, provides for feeder line from Koweit south
west to main pipe line.* > This might deter construction ox refinery
at Koweit which Sheikh is keen on. Discovery of practical. Landing
place on coast of neutral zone may also affect development of water
front at Koweit.
4 . My latest information regarding pipe line project is that
contained in papers received under 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. printed letter
External 585^ tianuary 3.3'ch 3-945* In the essence oi more incorma^ion
as to the policy of. His Majesty 1 s Government towards pipe line
project generally I have not yet informed Sheikh of Aramco s reauest
for permission to survey coast. I have further learnt on recent visit
to Abadan that Lloyd Hamilton regards construction of pipe line a
certainty. Sheikh (? is) (? likely to) follow our advice in the
matter but I should be glad to learn whether he should be pressed to
accorc permission should he be (V reluctant) to do so*. He is also
likely to enquire attitude of His Majesty’s Government towards pipe
line project.
5 I should (7 also) be glad if possible (? to be) in a position
to inform the Sheikh what Agency An office of the East India Company and, later, of the British Raj, headed by an agent. Company will employ to carry out_
survey if permission is granted,
BECD. F-l. t- A
23 JUN'O^