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'CONFIDENTIAL 86/31 VOL. B.64 OIL IN ITS RELATION TO THE MIDDLE EAST' [‎263r] (530/578)

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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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Year
1936
1937
1938
Production in tons.
17,000
. *
23,000
29,000
0:i -.L.Q£.ij[,. ii S i y1*,. *. Vte' Anglo-Pel 1 si an Oil company, by
virtue of a -concession obtain^ from-Persia in 1901 , carrying
the right to exploit oil resources throughout Persia, how
possesses oil .rights in certain territcrie-s transferred by Persie
to mrkey just before the last war. These rights had been
acknowledged by Turkey in 1913. An agreement was made between
the Company and Iraq in 1925, and modified-in 1926, bv which the
* the
^ feraer, cn/l&tter's insistence that if the Company meant to
operate in Iraq it must do sc by means of. an Iraqi Company, y.
agreed to change its name to Khanacin Oil Company and to operate
* '' 24
m Iraq ©n the following conditions.
•d) A refinery near Kheneqin would be erected to supply
the Iraqi market. - 'u ./iyA
.. . y j-tr i
(2) The Company would have the right to transit Iraqi
or Persian oil through iiyq to the Sea.
(3) It would pay -to the Government a fixed royalty
instead of a profit-sharing royalty as provided in the original
concession.
. ■ . •
(4) The period ci the original concession would be extended
from 64 to 99 years.
(5) Oil would be so 1 c. in Iraq at rates *cheaper then those
for the outside markets". •’
- y’ L < *
* *
The Khanaqin Company-has found oil at Neft Khans. From
this field,- Iraq’s oil my.ds have been supplied... A refinery,
was constructed in 1927 cn the banks of the Al-wand river close
to the town of Khanaqin. Three miles distent from the refinery
end-.adjoining the railway terminus at Khanaqin, - has been construct
, , v j .■ .me o-- -:
ed a - bulk storage depot and can making^ factory An East India Company trading post. , towhich- supplies
of metor■ spirit, avis ticn spirit, fuel and gas cil^&nd Kerosene
, 1 : ’ L ' J • 25
are pumped by a pipe line from the refinery. ;•

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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.

Written in
English in Latin script
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'CONFIDENTIAL 86/31 VOL. B.64 OIL IN ITS RELATION TO THE MIDDLE EAST' [‎263r] (530/578), British Library: India Office Records and Private Papers, IOR/R/15/1/700, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100086676321.0x000083> [accessed 29 March 2024]

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