Page 205 - The Persian Gulf Historical Summaries (1907-1953) Vol II

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In 1941 the Sultan’s approval was obtained to the construction by the Royal Navy
ot a signal station on the island. In 1951 when the Persian Gulf Lighting Service
wished to erect a radio beacon on the island the Political Resident recommended
that the Quoin Islands should be regarded as Muscat territory and the Sultan’s
approval obtained.*"4) This recommendation was accepted and approval obtained
accordingly.
£7‘ Tile Kuria Muria islands, which arc known locally as the Jazair Bin
Ghalfan, off the southern coast of Arabia were ceded to Queen Victoria in 1854 by
Sultan Sa’id I.*"’) They arc nominally part of the Aden Colony but are dealt with
administratively by the Political Resident.(*') There are about fifty persons living
on Hallaniyah and the other islands arc uninhabited. Hallaniyah is visited from
time to time by one of Her Majesty's ships with or without a Political Officer on
board. On such occasions a few provisions are usually presented to the inhabitants
who are extremely poor but otherwise nothing is done for their welfare. In 1950
they described themselves as Sultanate subjects and they probably derive from
Murbat on the mainland from which place they obtain their supplies. The islands
are now of no commercial or strategic value and in 1949 the Political Resident
suggested that they might be offered to the Sultan as an inducement to part with
Gwadur. The suggestion was not accepted as it was thought that there might
be an advantage in retaining them for use as a quid pro quo on some other
occasion.*"")

VIII.—Oil
{a) Muscat and Oman
5S. The oil concession granted to the Anglo-Pcrsian Oil Company in 1925**’)
appears to have been abandoned owing to the disappointing results of geological
surveys.
59. At the end of 1935 the Sultan asked the Political Agent to find a British
company to prospect for oil in his territories. In the following year he was told
that a company had been found and would send a representative to visit him.
Nothing came of this for the time being and in January 1937 he apparently on his
own initiative sent some samples of oil seepages in Muscat to the Standard Oil
Company of California. Some correspondence between him and the company
followed and at the beginning of June the Political Resident was instructed to press
the Sultan to submit any communication he wished to make to the company
through official channels and to remind him of his obligations not to grant an oil
concession without consulting and without the approval of His Majesty’s
Government.C0) No action was taken on this as by the time the instructions
reached the Political Agent a representative of Petroleum Concessions Limited had
arrived in Muscat and started negotiations with the Sultan. These were rapidly
completed and an agreement was signed on June 24.f') The agreement covers all
the territory within the Sultanate of Muscat and Oman, except Dhofar and
Gwadur, but under Article 12 the company recognises that certain parts of the
territory are not safe for its operations and the Sultan undertakes to use his good
offices with a view to making it possible for representatives of the company to enter
such parts to inform the company as soon as they became safe. The agreement
is for 75 years but it included an option of five years within which the company
were at liberty to terminate it. The company undertook to pay the Sultan
Rs 100.000 on signature and Rs. 5,000 a month during the option period. On
declaring their intention of taking up the concession they were to pay a further sum
of Rs 100,000 plus Rs. 84,000 a year for the first five years and Rs. 96,000 a year
for subsequent years unless the royalty payable to the Sultan at the rate of Rs. 3/-
ner ton of oil exceeded these amounts. In 1942 the option period was extended
for two years and on May 8, 1944, the company made a declaration in writing
taking up the concession.
1401/22 of April 18. 1951 (EA 1402/11 of 1951).
(41) p.R. to F.O.
<“> ro'toFO0' 78865/50 of August 29. 1950(EA 1019/9 of 1950).
(»j F.O- to P R- Despatch 43 (E 6677/1053/91 of June 3. 1949).
<;:> ^ra;o74FaoP' p8ZP39i8/37 of June 21. 1937 (E 3343/12/91 of 1937).
(••) No. 1 V, O.A.C.