The Under Secretary of State (Olds) to the Commercial Counselor of the British Embassy (Broderick)

My Dear Sir John: The Department has been informed that an order appeared in the Diario Oficial of July 25, 1927, indicating that a Mr. H. H. Hallatt who, it is understood, is acting on behalf of the British owned company “El Aguila” has filed a request for permission to drill for oil on certain lands near Puerto Mexico, State of Vera Cruz. The Department is also informed that the lands in question are owned by B. A. Ingalsbee, E. L. Beck, George W. Cook and Burton W. Wilson, all of them being American citizens.

In view of the desirability of avoiding, so far as possible, any appearance of controversy between British and American oil interests in Mexico at this time, I am wondering if it would be possible for you to approach your Minister in Mexico requesting a report in the matter so that in case the facts as presented to the Department are verified by your representative, consideration could be given to methods for adjusting the matter without formal reference to the Mexican Government.

I enclose a copy of a translation of the request for concession as published in the Diario Oficial of July 25, 1927.1

Sincerely yours,

Robert E. Olds
  1. Not printed.