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
Thereupon a vigorous Note arrived at The Hague from Mr. Hughes, the
Secretary of State, who nearly defeated Wilson on the occasion of his
re-election to the Presidency and who holds to-day the most important
post in Mr. Coolidge's Cabinet. Mr. Hughes ordered the United States
Ambassador to insist vigorously that the Dutch Government should
grant the same facilities in the Dutch Indies to American as to other
companies. For, he said, the nationals of all countries have an equal
right to vital natural resources, and one cannot forbid access to one
particular nation. "We do not seek preference over other countries, but
we do not wish other countries to obtain advantages to our detriment.
And concerning oil, the solution of the problem is to give equal rights
to all the companies of all nations."
The Government of the Netherlands sent to Washington its reply to the
American Note. It drew special attention to the disinterestedness shown
by the Americans at the time when competition was free, a time chosen
by the _Royal Dutch_ to make a much more advantageous offer than those
of its rivals. In 1915 the exploitation of the deposits in the Sumatra
regions was granted to the State; but in 1918 this ruling was modified,
and it was decided that exploitation might take place directly by the
State, or through the agency of a company, or under the system of a
State-controlled monopoly.
At this time no American protest had reached the Dutch Government,
and none was sent until after the signing of the contract between the
_Royal Dutch_ and the Government.
However, added the Note, there still remain numerous valuable
oil-fields in the East Indies, and the Dutch Government would be
prepared to grant concessions to American capital.
This affair seems to have been by no means settled by the vote of the
Dutch Lower Chamber. The polemic continued between Washington and The
Hague. In May 1921 the American Government demanded the publication of
its Note of April 19th, which The Hague was determined to keep secret.
And in Holland the Colonial Secretary was violently reproached for
having concealed from the Chamber the details of the correspondence
exchanged with the United States. I have been able to procure the text
of the letter submitted by the _Standard_:
"The development of petroleum deposits is at present a vital question
for every country, and increasing attention must be devoted to it by
the whole world. The Dutch colonies have the good fortune to possess
extremely rich petroleum deposits, especially in the Djambi region. The
_Standard Oil_, an American limited liability petroleum company, asks
to be allowed to share in the development of the deposits at Djambi,
and a decision must shortly be taken on the matter. Considering the
great extent of the oil-fields of Djambi, the Dutch Government will
certainly not consider it to the interest of the country and people to
allow them to be exploited by a single company.
Public-domain text, read in full here on John Shaqi.
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