890g.6363 T 84/92
The President of the Standard Oil Company of New Jersey (W. C. Teagle) to the Secretary of State
[Received April 18.]
My Dear Mr. Secretary: For your information, I beg to advise you of recent development in connection with, the negotiations between the American Group and representatives of the present partners of the Turkish Petroleum Company, Limited, for a participation of our Group in that Company.
Mr. H. E. Nichols, one of the Directors of the Anglo-Persian Oil Company, Limited, and also Managing Director of the Turkish Petroleum Company, Limited, accompanied by an assistant, Mr. E. H. Keeling, arrived here March 25th to carry on the discussions in New York with the American Group on behalf of the Anglo-Persian and Royal Dutch interests in the Turkish Petroleum Company. These gentlemen were not directly authorized to represent the French Government interests in the Company.
The proposal which Mr. Nichols brought with him for consideration by the American Group was not acceptable to the Group. Counterproposals were made by our Group and were under consideration by Mr. Nichols up to the time of his return to London on the 14th instant. He will advise our Group of the views of the respective partners in the Turkish Petroleum Company regarding them. Inasmuch as the negotiations are still in progress, I shall not burden you with an explanation regarding them, unless you wish to be informed.
A draft of the Open Door Formula was agreed upon with Mr. Nichols which we anticipate will be accepted by the present partners in the Turkish Petroleum Company for adoption by that Company. A copy is enclosed for your files. Should you at the present time have any criticism regarding the provisions of this draft, we shall be glad to receive it at your convenience.
The American Group’s counter-proposal is open to acceptance by the other Groups until May 21st. Yours very truly,