891.6363/811: Telegram

The Secretary of State to the Minister in Iran ( Dreyfus )

645. Following is for background information of Legation in connection with Department’s 637, December 20 and may be transmitted [Page 628] to Stewart in your discretion. It traces the course of negotiations to date and establishes fact that the Standard Vacuum Company has been in touch with Iranians since February 1943 regarding an oil concession.

1.
Iranian commercial attaché in Washington inquired of Standard Vacuum in February whether it was interested in a concession. Company replied affirmatively but suggested waiting because of Iranian political situation.
2.
Iranian trade commission in cables of September 12 and 17 to Iranian Government reported that company was interested, mentioning especially the Iranian coastal region west of Indian Baluchistan, and asked whether Iranian Government was prepared to receive company’s representatives.
3.
Iranian Government in reply of October 21 to above cables expressed interest and stated further advice would be furnished when a decision was reached.
4.
Iranian Minister on December 11 informed company that representative might make preparations to depart and be ready to leave on further notice. Company is ready to send representative, probably second week in January, but departure is contingent on further instructions from Iranian Minister.
5.
Company states it is interested not only in coastal strip some 200 miles wide along Iran’s south coast west of Indian Baluchistan but also in other area or areas inland.
6.
It is possible that present activities of British oil company representatives in Tehran resulted from information given 2 or 3 months ago to the American representative of the Anglo-Iranian Oil Company by an official of the Standard Vacuum to effect that latter company was negotiating for an Iranian concession.
Hull