Page 229 - The Persian Gulf Historical Summaries (1907-1953) Vol III_Neat
P. 229
223
such harbours as may be developed by the Shaikh or His Majesty’s Government
if there is not reasonable harbour accommodation available elsewhere.
9. Telegraph, wireless and telephone installations, if any, maintained by the
Company shall be for use only in its business and as provided in the concession and
shall be so constructed and operated that their operations shall not interfere with
the operations of such wireless, telegraph or telephone installation as may be
established by the Shaikh or His Majesty's Government or their agents.
10. The Company undertakes to do nothing to prejudice the fixing of the
exterior boundaries of the sea-bed area appertaining to Ajman and not to dispute
with the Shaikh or His Majesty’s Government regarding these boundaries. Until
the fixing of the sea-bed boundaries the Company will refrain from any drilling
operations or other works permanently affecting the sea-bed or sub-soil in any
area or areas which the Shaikh or His Majesty’s Government may define.
11. The Company’s operations shall be constructed with due regard to the
character of the high seas of the waters overlaying the sea-bed appertaining to
Ajman outside territorial waters. In particular, the Company undertakes that,
in the exercise of its rights and in the fulfilment of its obligations under the con
cession, it will interfere to the minimum extent possible with, and will take adequate
precautions for the protection of, navigation, fishing and pearling; and that it will
comply with all reasonable requirements of His Majesty’s Government and of the
competent authorities of Ajman affecting fishing, pearling and the navigation of
ships and aircraft.
12. In the event of a state of national emergency or war (of the existence of
either of which His Majesty's Government shall be the sole judge) His Majesty’s
Government shall have the right of pre-emption of all crude oil and products
thereof produced under the agreement between the Company and the Shaikh in
accordance with the terms of the schedule hereto.
13. The Company acknowledges the special treaty relations now existing
between His Majesty’s Government and the Shaikh of Ajman and the rights and
obligations devolving therefrom with regard to the Shaikhdom of Ajman.
14. The Company shall obtain the prior permission of the Shaikh before
working in any particular area, in order that the Shaikh may be in a position to
fulfil his responsibilities for the protection of the Company. The Shaikh shall not
unreasonably withhold such permission, and in any case in which the Company
feels that the free movement of its personnel within the concession area is being
unnecessarily restricted, the matter shall be referred for decision to the Political
Resident.
15. The concession may, at the request of His Majesty’s Government, be
terminated by the Shaikh on the ground that the Company has failed to observe
any of the terms of this Agreement between the Company and His Majesty’s
Government, and in the event of notice of such termination being given the
arbitration provisions of the concession shall apply if the Company considers that
termination is not justified.
In witness whereof Paul Mason, C.M.G., on behalf of His Majesty’s Govern
ment, has hereunto set his hand and the Company has hereunto caused its Common
Seal to be affixed the day and year first written above.
The Schedule above referred to
Pre-emption Clause
In the event of a state of national emergency or war (of the existence of which
His Majesty’s Government shall be the sole judge)—
(1) His Majesty’s Government shall have the right of pre-emption of all crude
oil obtained under the Concession granted by the Shaikh to the Company and
of all the products thereof and shall have the right to require the Company to the
extent of any refining capacity it may have in Ajman to produce oil fuel that shall
comply with the Admiralty specifications at the time provided that Ajman oil be
of suitable kind and quality for this purpose.
(2) The Company shall use its utmost endeavours to increase so far as reason
ably possible with existing facilities the supply of oil and/or products thereof for
the Government to the extent required by the Government.
(3) The Company shall with every reasonable expedition and so as to avoid
demurrage on the vessel or vessels engaged to convey the same, do its utmost to
deliver all oil or products of oil purchased by the Government under their said
right of pre-emption in the quantities at the time and in the manner required by