Page 44 - The Persian Gulf Historical Summaries (1907-1953) Vol III

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2. Under instructions from His Majesty’s Government I now enclose a copy
of an Agreement which has been concluded between His Majesty’s Government
and the Bahrain Petroleum Company Limited in London on the 29th June, 1940.
3. I am to inform you that the understanding described below has been
reached with the Company: —
(o) Should any of the terms of the Agreements between Your Highness and the
Company be inconsistent or in conflict with the terms of the Agreement
between the Company and His Majesty’s Government signed in London
on the 29th June, 1940, the Agreements between Your Highness and
the Company will to the extent of any such inconsistency or conflict
be subordinate to and be controlled by the terms of the Agreement
between the Company and His Majesty’s Government.
(b) If the Company should fail to observe any of the terms of the Agreement
between the Company and His Majesty’s Government signed in London
on the 29th June, 1940 or if the alleged failure having been disputed by
the Company, the matter has been referred to arbitration under Article
XXII of the Company’s Agreement with Your Highness dated the 29th
December, 1934 (which is made applicable to the case by Article 10
of the Agreement between the Company and His Majesty’s Govern­
ment) and any failure so found by arbitration should not be remedied
within the time set by the arbitrators for so doing then the Company
agrees that Your Highness will be entitled to terminate the Agreement
between the Company and yourself.
4. 1 request Your Highness to let me have a reply to this letter to the effect
that you understand the nature of the arrangements set out above and that you
agree to them. On receipt of Your Highness’s reply His Majesty’s Government will
obtain from the Company formal confirmation of their acceptance of the arrange­
ments and will communicate such confirmation to Your Highness.

(c)
Letter dated July 17, 1940 from the Ruler of Bahrain to the Political Agent,
Bahrain agreeing to the conditions set out in (b) above and undertaking
to be guided by His Majesty’s Government’s advice in exercising his right
of termination of the concession
In reply to your letter No. C/557 dated the 6th July, 1940 we write to inform
you that we have taken notice of the conditions set out in your letter and that we
agree to them.
We undertake moreover that we will be guided by the advice of His Majesty’s
Government in regard to the termination of the concession which is referred to in
paragraph 3 (b) of your letter.

No. 4
Supplementary Agreement between the Ruler of Bahrain and the Bahrein
Petroleum Company extending to December 24, 2024, the Lease of
December 29, 1934, and amending and supplementing the Provisions
contained in it and in the two Deeds of Modification of June 3, 1936,
and June 19, 1940, relating to (i) Payment for the Importation of Crude
Oil into Bahrain, (ii) Compensation for the Ruler in the event of the
Suspension of Operations by the Company and (iii) Yearly Quantities
of Petrol to be supplied Free of Charge by the Company to the Bahrain
Government, dated December 8, 1952
This Deed made between His Highness Sheikh Sir Sulman Bin Hamad A1
Khalifah, K.C.M.G., K.C.I.E., Sheikh of Bahrain (in this Deed called “ His High­
ness ”), on his own behalf and in the name and on behalf of his heirs and
successors in whom is or shall be vested for the time being the responsibility for
the control and government of the State of Bahrain, of the one part, and the
Bahrein Petroleum Company Limited (in this Deed called “ the Company ”) of
the other part, and being supplemental to a Lease dated the 29th day of December,
1934 (in this Deed called “the Lease’’) made between the Company and His*
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