'الملف رقم 10/1 X الامتياز النفطي بالبحرين' [و‎‎١] (٤٩٤/١٦)

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Dear Colonel Lo^ii, -*_
Yesterday afternoon .1 took out the revised Mining
Lease and showed it to Shaikh Hamed at Sakhrir, Shaikh Sulman was
present.
I explained to Shaikh Hamed the various sections especially
those which have been revised or inserted. I think Shaikh Hamed
now understands them though he found it difficult to follow the
meaning in the Arabic translation. The points which interested him
were firstly the amount of money payable and secondly the various
conditions safeguarding his own property.
He was rather dissatisfied by the amount of the minimum
royalty but I reminded him that it was previously only Rs 30,000
and that probably two shiploads of oil would exceed this sum in
royalties. When this was explained he seemed satisfied. He again
said that the Company should be made to export the oil which they
are able to produce, I explained that we could not make them do this.
Shaikh Sulman told Shaikh Hamed that in his opinion the Company
were anxious to export oil as then they would make some money.
• Shaikh Hamed was pleased that provision had been made to ensure that
he would be compensated ofr any appropriation by the Company of his
privately owned open land. I think though he considered that his
compensation in this event should be different to that laid down for
ordinary people, after discussing this point he said " Never mind "
and agreed to it. He was especially pleased that in the case of
arbitration the case would be dealt with according to English law,
he seemed to attach considerable importance to this point. lam
sure that he expected that on signing the lease he would receive
some cash benefit for himself from the Company, he asked whether
there was no mention of this anywhere. Shaikh Hamed asked whether the,
were to be allowed to continue drilling more and more wells without
having to pay anything more, it is difficult to make nim realise that
it should be advantageous to him for the Company to drill many wells,
on several other occasions he has expressed the same idea^ implying
that they should only be allowed to drill more wells if they pay
more cash.. Shaikh Sulman and I explained that the more wells they
^rilled the more oil they should be able to sell. I spent a long
time explaining these points but it was very difficult to keep
Shaikh Hamed's attention on the matter, he found the length of tne
Agreement very long and his attention strayed. On the whole however
w as satisfied with what had been done for him. ^ _
I have mentioned the particular points which he raised u
would say that Shaikh Sulman had a clearer understanding oi tne
Matter, it was the end of the day, and Ramadan, not the best time
for taoklins a su ^ ct of