811.20 (D) Regulations/4797: Telegram

The Ambassador in Peru ( Norweb ) to the Secretary of State

515. Reference Department’s 352, September 22.61 I am pleased to report that Metals Reserve representative Smith this afternoon [Page 535] signed the agreement with the Director General of Finance. Official communiqué will be published Thursday morning62 containing résumé of agreement with short explanation of how basic prices are determined and description of “floor under market principle”. It is requested that you withhold publicity until Thursday morning, that is until after the Government communiqué has been published here.

According to a statement of the Finance Minister the Government of Peru has decided to terminate molybdenum shipments to Japan as of today. British diplomatic authorities in Lima informed me today that Great Britain will definitely purchase the residue of the 1941 molybdenum contract with Japan as well as the 83 metric tons salvaged from the German vessel Monserrate.

Chargeable to Metals Reserve Company.

  1. Not printed.
  2. October 2. See El Peruano Diario Oficial, October 3, 1941, p. 1.