338. Telegram From the Embassy in Israel to the Department of State1

356. Rome for Ambassador Johnston.2 Ambassador Johnston’s talks with Israel Prime Minister and Finance Minister and their staffs went very well.3 On technical side the two ministers indicated, although reluctantly and after some discussion, that the compromise proposal of dividing the salt water 50–50 between Arab States and Israel would be acceptable to them although, in view of the uncertain status project on the Arab side, they do not plan formally to submit it to the new Cabinet at this time. It thus appears that informally both Israel and the Arab States have reached a common basis on a water settlement formula and that the sole but formidable remaining obstacle is to obtain Arab concurrence at the political level.

In the earlier discussion yesterday, both Sharett and Eshkol took position that, having reached agreement with Ambassador Johnston, and two years having elapsed since negotiations commenced, Israel should regard itself as free to proceed with its work at Bnat Yaacov. After Johnston had discussed political implications of this and the assurances which had been given him by Nasser and other political leaders on Arab side that Arab states could be brought within two or three months to point of agreeing to plan, the Israel Ministers finally agreed to defer resumption of work for temporary period. Finance Minister Eshkol talked in terms of similar two or three months period, but in subsequent conversation with Sharett,Johnston was assured that work at Bnat Yaacov would not be resumed until March 1 and that if an agreement with Arabs was a real prospect at that time, resumption of work might be deferred for short additional period. Both Sharett and Eshkol expressed skepticism regarding sincerity of Arab desires for water settlement and emphasized the firm intention of GOI to proceed with Israel’s water program should Arabs fail to give political concurrence to technical understanding within period indicated. Eshkol expressed hope that USG would give moral and material assistance to Israel in proceeding with its unilateral water development should Arabs fail to accept the plan within time [Page 590] limitation.Johnston replied he would submit Finance Minister’s request to Secretary and other US Government officials upon his return to Washington.

Following telegram transmits joint communiqué of 2 delegations which was issued last night upon conclusion conversations.4Johnston left Israel by plane this morning en route to New York and Washington.

Lawson
  1. Source: Department of State, Central Files, 684A.85322/10–1455. Confidential; Priority. Received at 8:28 a.m., October 15. Sent priority to Rome and repeated to London, Paris, Cairo, Damascus, Amman, and Beirut.
  2. Johnston stopped in Rome on October 14 before proceeding to the United States.
  3. No other record of these meetings has been found in Department of State files.
  4. See footnote 6, Document 336.