File No. 812.6363/200.

[Untitled]

No. 1546.]

Sir: I have the honor to transmit herewith a copy of a decree and its English translation issued by the First Chief of the Constitutionalist Army on the fifteenth of November, 1915. * * *.

I have [etc.]

Thomas H. Bevan.
[Page 891]
[Inclosure—Translation.]

Petroleum Circular No. 11.

This Department, in order to comply with the decree issued in Vera Cruz on the 8th [7th?] of January of the present year by the First Chief of the Constitutionalist Army, charged with the Executive Power of the Nation, and taking into account:

That, it is absolutely necessary to favor the public interests, which are frequently deceived by companies or individuals who claim to be proprietors of lands in the development of petroleum and its kindred substances, in many instances the existence of such companies being imaginary, or not uniting the indispensable conditions to guarantee the people who buy oil shares;

That similar companies, of good faith, dedicated to the same purposes, suffer grave injury to their interests because of lack of confidence infused into the public, not knowing the status of companies or individuals who propose the sale of oil shares or stock;

Therefore the Government must remedy these evils, and, in order to apply all of the remedies which are at its command for giving due impetus to an industry of such national importance—

Has decreed the following:

First. Within the term of two months counted from the date of this order, all of the companies or persons engaged in the oil industry shall register in the office of this Department and present a declaration in duplicate containing the following data:

A.
The name of the company or persons interested in oil matters.
B.
The principal residence and offices and branch offices in other parts of the Republic.
C.
The capital invested.
D.
If an incorporated company, furnish the following:
1.
Under what laws the company is organized.
2.
Who are the organizers of the company.
3.
Who are the directors and board of managers at the present time.
E.
Properties:
1.
Number of lots, their location, designating the hacienda, municipality, canton, district and state.
2.
Area occupied; date of acquisition.
3.
Place where the contract was recorded, and the person who sold.
F.
Lepses:
1.
Enumeration of the lots.
2.
Their location, citing the hacienda, municipality, canton, district and state.
3.
Area of the surface of the land.
4.
Owner of the land.
5.
Time of the duration of the contract.
6.
Conditions of the lease.
7.
Date of the lease, and place where it was recorded.
G.
Camps:
1.
Their name and location.
2.
Number of projected wells.
3.
Number of wells in course of drilling.
4.
Number of producing wells.
5.
Depth of each well.
6.
Capacity of production of each well.
H.
Pipe lines:
1.
Location and description of the installations.
2.
Length and diameter of the pipe lines.
3.
Their daily capacity for conveyance.
4.
Location, name and number of pumping stations.
5.
Number of tanks for the storage of oil, their location, capacity, and the material of which they are constructed.

Second. The persons or companies who do not present said declaration for registration in this Department, within the time indicated, will not be recognized as having any legal existence, nor will they be granted permission for the exploration and exploitation of petroleum, in conformity with the decree of January 8 [7?] of this year already mentioned.

The foregoing is brought to the attention of the companies and persons engaged in the petroleum industry by publication for three successive times in the official newspaper El Constitucionalista for its fulfillment.

Pastor Rouaix.