THE OTAGO DAILY TIMES Monday, August 12, 1946. PERSIAN OIL

Otago Daily Times, Issue 26228, 12 August 1946, Page 4

THE OTAGO DAILY TIMES Monday, August 12, 1946. PERSIAN OIL

The recent report from New Delhi that troops have been sent to Basra for the purposes of protecting AngloIndian interests in South Persia should circumstances demand it focuses attention on the struggle for power that is going on in and around Persia. Diplomatically, this move must be viewed as a counter to the Russian to dominate the province of Azerbaijan in the north, while certain sections of the Persian Government will not fail to draw the obvious conclusion from this Anglo-Indian reply to their attempts to surrender the country to even greater Soviet influence. If the Persian Government is faithful to its stated declaration, that it “ will never permit foreign interference in Persian national affairs,” the troops are likely to remain in their barracks across the Mesopotamian border. A recurrence of the inspired industrial troubles at the oilfields, however, will find Great Britain ready to protect her vital interests in the Persian Gulf area. The Anglo-Iranian Oil Company’s fields in South Persia, and the refinery at Abadan, represent one of the largest of Great Britain’s overseas investments, and they made a material contribution to Allied victories on all fronts during the recent conflict. The securing of these supplies for the Allied fighting machine was one of the prime factors which decided Anglo-Russian intervention in the country and the eviction of a pro-Axis regime. -Last year the Anglo-Iranian Company’s wells produced 16,890,000 tons of crude oil, an all-time record. The capacity of the refinery at Abadan, which is now probably producing more oil than any other refinery in the world, is almost double what it was before the war. A considerable percentage of this oil goes to India, which relies very largely on Iranian oil for her transport needs, and any sudden cessation in the supply would create grave difficulties for tjie Indian Government in maintaining essential services.

Persian oil has a vital role to play in the future welfare of the peoples of the world, and it is in the joint interests not only of the Persians and British, but of the world at large, that this should be so. The British Foreign Office stated recently that it would be prepared to assist the company to complete its welfare and housing plans in the oilfields area, but drew attention to the fact that the responsibility lay on the Persian Government to ensure the conditions of security in the country that would enable Persian oil to play its full part both in Persian and world economy. Already great advances have' been made by the company in catering for the living requirements of its thousands of employees. More than 14,000 houses and quarters have been built, and roads, sewers, electricity, water, and other facilities have been supplied. Two general hospitals and a large number of out-patient clinics and travelling clinics are maintained, and 17 schools have been built and presented to the Iranian authorities. Industrially, Great Britain has built up an enviable reputation among southern Iranians. It is in the political sphere that she has lost respect, according to a correspondent in The Times, by failing to give positive aid to the progressive political factions which are now seeking help from the Soviet. In its present unsettled condition Persia is a source of potential danger to world peace, and until its Government is strong enough to determine its own policies towards its various neighbours, the clash of British and Russian interests there should be kept under careful scrutiny by the United Nations.