The _Anglo-Saxon Petroleum_, with its head-quarters in London, was entrusted with everything concerning the transport and sale of oil, that is to say, with the commercial side of the business. Unlike the _Bataafsche_, this company undertakes no direct exploitation, although it controls the production of a large number of subsidiary companies in Ceylon, British India, Malay, Northern and Southern China, Siam, the Philippines, Australia, New Zealand and South Africa. For the _Royal Dutch-Shell_ has an almost organic structure. Instead of reproducing itself in new companies, always the same, like the _Standard Oil_, it only receives new adherents for distinct functions. One company is entrusted with the distribution of its products, another with the exploitation of oil-fields or with refining. The _Royal Dutch_ and the _Shell_ have become to-day holding companies. In 1907 the _Royal Dutch_ ceased to be an industrial enterprise and became an omnium of oil securities. Forty per cent. of the profits resulting from this co-operation were to come to the _Shell_, 60 per cent. to the _Royal Dutch_, which has reserved the lion's share for itself. At the time of signing this agreement the _Shell_ was not without a certain anxiety. Thus it was agreed, in order to safeguard its interests, that the _Royal Dutch_ would buy, on January 1, 1907, half a million ordinary shares of the _Shell_ at the price of thirty shillings, and would undertake not to sell again without the consent of the board of directors of the _Shell_. In case of liquidation or sale by private contract before January 1, 1932, it was stipulated that the net product of the liquidation, up to £9,000,000 sterling, was to be divided equally between the _Shell_ and the _Royal Dutch_, and that only above this amount the products should be shared in the proportion of 40 and 60 per cent. We see how closely these two concerns are allied. The only difference which exists between them is that, officially, one is Dutch, the other British. Deterding's First Victory. The Chinese Campaign Freed from all obstacles in the Dutch Indies and allied with one of the most powerful British firms, the _Royal Dutch_, under the skilful guidance of Henry Deterding, was ready to attempt a conquest of the world. But for the second time it came up against the hostility of the _Standard Oil_, which waged a bitter warfare in the Far East--the famous price-war of 1910. The _Standard Oil of New York_ considered China as its private property. It had taught the Chinese to use kerosene by distributing, free of charge, lamps inscribed _Mei Foo_, or _Good Luck_. When this method became too expensive it sold them at cost price, and when the _Royal Dutch_ appeared as a competitor it was selling, in this way, two million lamps a year. With a population of 400 million Chinese, this produced an unlimited market for kerosene, for which, in comparison with petrol, the American demand is small.