The World-Struggle for OilL'Espagnol de la Tramerye, Pierre Paul Ernest
History
The World-Struggle for Oil
L'Espagnol de la Tramerye, Pierre Paul Ernest
Petroleum; Petroleum industry and trade; War -- Economic aspects
As soon as they received word of these new arrangements the British and
American newspapers thundered against the unhappy President Carranza,
whose fall from power was not long delayed. Taught by his example, his
successor attempted a policy of conciliation, but in vain. The present
President, General Obregon, is faced with the same difficulties, but
holds firm. The Mexican Government hopes to free itself for ever, by
means of the Constitution of 1917, from the diplomatic interference
which has poisoned its existence. But the Obregon Government, though
moderate, is not strong. It is supported by the middle-classes, but
has the army and the people against it. Now, for some time, unfortunate
tendencies have been shown by the Mexican people. It has just indulged
in a Communist Congress, with the object of "grouping all the forces of
the proletariat."
If President Wilson always maintained a policy of non-intervention
towards Mexico--a policy, moreover, which was severely criticized
within the United States--his successor at the White House meant
to make himself felt there as well as in other parts of the world.
President Harding had among his ministers Mr. Fall[17] of New Mexico,
who has always interested himself in this question, and who at one time
made energetic protests. He demanded that American citizens should not
be expelled from Mexico on the simple order of the President of the
Republic, and that a Commission should assess, at the earliest moment,
the damages suffered by Americans during the Revolution-requirements
contrary to the Constitution.
Thus I was not particularly surprised to hear that the Committee of
the United States Senate had undertaken to recognize the new Mexican
Government only on the condition that the article of the Constitution
of 1917 which forbids foreigners to hold mineral rights _was not
applied to United States citizens_.
The _Mexican Eagle_, however, is undisturbed. Pearson was clever
enough, at its formation, to place it under Mexican law. His borings
have continued uninterruptedly, while American companies were obliged
to suspend operations and wait for Government authority.
Pearson and the Mexican Eagle
The struggle between Pearson and the _Standard Oil_ became at one time
so acute that the United States Government acquiesced in the payment
by American oil companies operating in Mexico of royalties to bandits
and insurgents as though to the established Government.[18] The general
insecurity was such that certain American companies paid 1,500 dollars
_a month_ to a bandit in the Tampico district on the understanding that
he would guarantee not to cut their pipe-lines.
Public-domain text, read in full here on John Shaqi.
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