841.6363/359b

Circular Instruction to Certain American Diplomatic and Consular Officers in the Netherlands and Its Dependencies10

Sirs: The Department desires to be confidentially informed as to the legal and actual status of British oil companies operating in Dutch-controlled territories, possessions, protectorates, etc., with a view to ascertaining whether any British companies enjoy practical advantages in Dutch territories which are denied to American corporations in such a manner as would constitute effective discrimination against American companies in favor of companies of British nationality.

You are therefore instructed to investigate and report on the following aspects of the conditions under which foreign oil companies operate in your district:

1)
What are the pertinent local laws and practices, i. e., whether foreign corporations may in fact operate mineral concessions in your district or whether such operations are reserved to Dutch-controlled companies;
2)
Whether British companies have obtained and are operating mineral concessions in Dutch territory;
3)
Whether American companies are operating in the same Dutch territory;
4)
Whether, in case it is found that British companies are operating in Dutch territory, American companies have been refused an opportunity to enter this territory;
5)
What other restrictions are imposed upon the leasing of land, exploration, production, transportation, storage, export and sale or [Page 547] distribution of petroleum and petroleum products which are effective discriminations against the operations of American companies in favor of British or other foreign oil companies.

Any further information which may seem to you to be pertinent to this subject should also be communicated to the Department.

I am [etc.]

W. R. Castle, Jr.
  1. On October 23 a similar instruction, mutatis mutandis, was sent to certain American diplomatic and consular officers in Great Britain and its dependencies (841.6363/359a).