Coll 30/204 ‘Persian Gulf Oil. Future of oil in its relation to the Middle East – Admiralty Memorandum on –’ [‎28r] (55/66)

-
( 1 )
-9-
Those which are known to he extremely rich in oil
deposits 9 viz:-
Iran
Iraq
Littoral of Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran.
( 2 )
Those which, though greatly inferior in their
assumed oil resources 9 are of complementary value'
furnishing means of access by pipe lines, rail*
i, etc,
and the oil areas, viz:-
ports, way leaves, etc, between the Mediterranean
Oort&fcj has <
magnitude of the
destined to take
Turkey
Syria
Palestine
Transjordan Used in three contexts: the geographical region to the east of the River Jordan (literally ‘across the River Jordan’); a British protectorate (1921-46); an independent political entity (1946-49) now known as Jordan ,
.iready been laid on the exceptional
reserves and the part they may be
in world oil economics when the tide of
production recedes or even halts in the UoSoAo A brief
examination of the actual and potential output of the
several oil areas mentioned should amply illustrate what ii
meant by u exceptional magnitude’’„
(12) IRAH
An oil concession expiring in 1993 is held by the Anglo
Iranian Oil Company over IOO 9 OOO square miles of territory in
the South and South West of Iran, So far as is known this
territory includes almost all of the major petroliferous
zones in the country, °f ‘bho ordinary shares j_ n this
Company 9 which is entirely British^ are owned by HoM.G.
The Company is naturally chary of publishing estimates of
its undeveloped reserves 9 since these would only stimulate the
Iranian Government in its constant endeavour to increase its
royalties by forcing the pace of production above the level of
economic absorption. It is 5 however 9 known that, apart from
the areas in balanced production certain structures already
discoveredj and others whose existence can be reasonably
inferred 9 are of such an extent and capacity as to justify
estimates of a total reserve running into several thousands of
million tons 9 - a figure which might quite possibly equal or
even exceed that representing the total reserve still
remaining in the UoS,A a
The annual production which reached over 10 million tons
in 19383 is in no sense an indication of potential output^ but
only of that proportion which could 5 in that year 9 be
economically produced and marketed. In this respect the
Company 1 s policy is in line with that of all the major oil
groups 9 since general production on a basis of ’potential’
would obviously lead to a chaotic dissipation of the physical
and financial assets of all concerned.