File No. 812.6363/230

Mr. Parker, representing American interests, to the Secretary of State


315. Preparations are being made to issue, probably latter part this week, decree revising taxes on petroleum production. Understand that general purport new tax arrangement will be to impose graduated impost upon petroleum according to its quality or gravity. Scheme proposed several months ago for nationalization all oil lands is still alive to extent that it remains under consideration by Government. Rouaix, Minister Fomento and Gomez head of petroleum division in the Department leave to-morrow for Tampico to study question of nationalization on ground.