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'CONFIDENTIAL 86/31 VOL. B.64 OIL IN ITS RELATION TO THE MIDDLE EAST' [‎23r] (50/578)

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The record is made up of 1 volume (285 folios). It was created in 11 Oct 1940-22 Aug 1945. It was written in English. The original is part of the British Library: 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. Records and Private Papers Documents collected in a private capacity. .

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PART Vi
BAHREIN (BAHREIN PETRQLEUk, COY)
1. Production areas are -
(a) HAS TANTJRA, on the mainland of Arabia opposite
the island of Bahrein.
(b) Bahrein Island.
2. (a) The Bahrein Refinery produces motor spirit
of average 70.5 octane' number: kerosene of 1st and 2nd
qualities; diesel oil; fuel oil.
If special plant (alkylating plant) were put
in (a year’s notice required) the Company could produce
up to 95 to 100 octane number, but this v/ould reduce
the residue to production of 65 octane motor spirit which,
although it could be boosted by T.E.L., would not leave
the motor spirit a business proposition. The Company is,
therefore, opposed to output of aviation spirit on business
grounds. By the terms of its concession, 'however, the
British Government can enforce its will in this respect
in that it can take over the whole concern at a valuation,
the Company being registered in Canada.
("b) Aviation spirit .
90 or 100 Octane. Production of 100 octane is
impossible with present plant. After the installation of
plant, which would take a year, if 95 to 100 octane were
required to be produced, the Company could turn out about
five hundred barrels a day, i.e; about 67 tons per day or
20,000 gallons ,( 600 , OOOgallons per month).
87 octane . At about two months’ notice it could
turn out 26,000 barrels a month of D.T.D.230 = approximately
115 tons or 34,500 gallons per day) 1 , 035>000 gallons per
month). This D.T.D.230 would, however, have a T.E.L.
content up to 9 c.c. per U.S.gallon . This exceeds the
Air Hinistry’s permissible limit of 4 c.c.s.
Such production v/ould reduce the outturn of
motor spirit (of reduced octane number) by about 150 tons
per day.
T.E.L. and blending plant available locally.
Normal stock of T.E.L. is 12,000,000 c.cs., i.e.
sufficient for 2,400,000 gallons of D.T.D.230.
(c) Motor spirit .
Output about 1,500 tons per day, 13 >500,000
gallons per month. Average 70^5* See remarks above as
regards effect on turning over to production of aviation
spirit.
(d) Other products .
No lubricants. The Company has recently sent a
very large, report on the subject of output of kerosene,
Diesel and Fuel Oils to the Admiralty. This report
particularly refers to fuel oils. The Admiralty is opposed
to acceptance of the existing output on account of the high
sulphur content, but has has been pointed out that the
U.S.A.

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Content

The volume comprises correspondence and discussions regarding the economic and political situation in relation to oil in the Middle East during and immediately after the Second World War. At the centre of the discussions are talks which took place in Washington DC between US and UK government officials looking at the global importance of oil, which focused particularly on oil in the Middle East.

The talks concluded with the production of a memorandum of understanding which was published 8 August 1944 as the Agreement on Petroleum between the Government of the United States of America and the Government of the United Kingdom of Great Britain and Northern Ireland, otherwise known as the Anglo-American Oil Agreement (1945).

Also included in the volume is correspondence between the 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 The historical term used to describe the body of water between the Arabian Peninsula and Iran. (Charles Geoffrey Prior), the Secretary to the Government of India, External Affairs Department (Olaf Kirkpatrick Caroe), 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. , and His Majesty’s Minister at Jeddah (Stanley Jordan) regarding two proposed pipelines. The first being the ‘trans-arabian pipeline’ which it was proposed would link the Middle East to the Mediterranean. The proposal was initially postponed owing to heavy criticism of it in the United States press but was later taken up by the Arabian American Oil Company (ARAMCO). The second proposal from the Bahrain Petroleum Company (BAPCO) and the California Arabian Standard Oil Company (CASOC, later renamed ARAMCO) was for a pipeline to take crude oil from Dhahran [Aẓ-Ẓahrān], Saudi Arabia to the BAPCO refinery at Bahrain.

Also included is correspondence between the Chief Local Representative for BAPCO (Milton H Lipp, Ward P Anderson) and the Adviser to the Government of Bahrain (Charles Dalrymple Belgrave) regarding possible sites for the pipeline and the reservation of required land. Further discussion centred on the question of the eastern frontier of Saudi Arabia, which was in dispute, and whether His Majesty’s Government should look to tackle the matter at that time with the Saudi Arab Government or wait until the progress of the oil companies required its resolution. Jabal Naksh and Khor-al-Odaid [Khawr al ‘Udayd], which were claimed by Qatar and Abu Dhabi respectively, and whose claims were supported by His Majesty’s Government but contested by Saudi Arabia were discussed as being key areas in the frontier dispute.

Another matter discussed in the volume was a visit paid by the Mission of the Petroleum Reserves Corporation to the Middle East. The Mission’s purpose was to review resources of petroleum in the Middle East and its itinerary included visits to Kuwait, Dhahran, and Bahrain. The mission was headed by Everette Lee Degoyler and also included the eminent geologists and petroleum experts Dr George Martin Lees, William Embry Wrather, and John Herhold Murrell.

Other matters touched on in the volume include a request by ARAMCO to undertake a hydrographic survey of the coast line of the Kuwait Neutral Zone; the possibility of resuming oil field production in Qatar and Kuwait provided the necessary equipment could be obtained from the USA; articles published in American journals and newspapers regarding the global oil situation and oil in the Middle East; and a visit paid by Major Frank Holmes to Kuwait in 1944.

Also included in the volume are a number of notes and memorandums relating to oil in the Middle East:

A series of file notes which were maintained as a record of the correspondence in the volume can be found at folios 272-283.

Extent and format
1 volume (285 folios)
Arrangement

The volume contains a table of contents on folio 5 comprising of subject headings and page references. The papers are arranged in approximate chronological order from the front to the rear of the file.

Physical characteristics

Foliation: the main foliation sequence (used for referencing) commences at the front cover with 1, and terminates at the inside back cover with 287; these numbers are written in pencil, are circled, and are located in the top right corner of the recto The front of a sheet of paper or leaf, often abbreviated to 'r'. side of each folio. An additional foliation sequence is present in parallel between ff 7-270; these numbers are also written in pencil, but are not circled, and are located in the same position as the main sequence. A previous foliation sequence, which is also circled, has been superseded and therefore crossed out.

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English in Latin script
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'CONFIDENTIAL 86/31 VOL. B.64 OIL IN ITS RELATION TO THE MIDDLE EAST' [‎23r] (50/578), British Library: India Office Records and Private Papers, IOR/R/15/1/700, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100086676319.0x000033> [accessed 29 March 2024]

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