NEA Files: Lot 55–D36
Statement by the United States and the United Kingdom Groups
Anglo-Iranian Standard Oil Pipe Line
In reply to an inquiry by the American group regarding the preference of the British Government for a southern route for this pipe line,1 despite the greater cost involved, the British group explained that they were impressed by the advantages of the greater security which would be provided by the more southerly alignment. This would also have the advantage of facilitating an outlet to the Gulf of Aqaba, thus avoiding the Suez Canal. Future developments in northern Palestine and in the Levant states were uncertain, and it was desirable to have [Page 614] alternative outlets for the oil. It was true that the cost would be greater but the availability of oil in time of war would more than justify the extra expenditure involved.
The American group observed that this question was already being considered by the Joint Chiefs of Staff and it was thought preferable that the matter should be left in their hands at this time.