PERSIAN OIL

Hokitika Guardian, 26 January 1933, Page 5

PERSIAN OIL

LEAGUE REVIEW

FRIENDLY SETTLEMENT HOPED

(British Official WirelessJ

RUGBY, January 24

The L oague Council -appointed M. Bene* (Czechoslovakia) a s rappor- , t G nr on the- dispute between Britain and Persia, regarding the repudiation of the Anglo-Pensian Company's contract. Tbe matter will- bo taken up by the Council on Thursday. The Persian delegation at Geneva has already revealed gome oi the arguments by which they hope to justify tlio repudiation of the contract, and their contention is that, as the Company ought to have had recourse to the Persian Courts, the cage is amt one with vu.iich the League ought to deal. It appears j that many of the 'statements contained 1 i u the Persian Government’s memorandum were based on a misunderstanding, and id is hoped that the majority of the points will easily b e cleared up, upon explanation in the conciliatory atmosphere of the League. Sir John Simon (British Foreign Secretary), will justify the action oi the British Government, in bringing the ease before tihe League, a course of actjo,n which, it is hoped in London, will produce an amicable and equitable 'Settlement, beneficial to both par ties. Some surprise was caused in London by the statement in the Persian Government's memorandum, that the ■Aaigio-Persnin Company confined its extraction of oil for over 30 years to an area of pttie more than or.o 'Square nine and also the contention that the Company intended to develop the concession to the fullest possible limits. Actually, th e area of the Company’s Persian oilfields, from the -whole of which toil )is now .being extracted, amouiit s to about ISG square miies. The Company hag technically examined over 150,000 square miles, drilled 14D,C00 Teet),, carried out S3O geological surveys, and spent. £3,500,000 on work of this character, outside the two proved producing oilfields.