835.6363/12–1147: Telegram

The Ambassador in Argentina (Bruce) to the Secretary of State


1438. President and Bramuglia assured us today absolutely no thought expropriation or forced sale foreign oil producing properties; companies have replied in negative and Government accepts their reply, thereby closing matter. President stated had been under strong pressure from Nationalists but assured us would make no statement December 13 which could be interpreted as against foreign companies. [Page 299] We have urged against any statement that further development petroleum properties reserved for national Government. Bramuglia has promised make final effort persuade President omit any statement which would exclude foreign companies from participation in further exploration and development. We presented President memorandum which he said he would study carefully.