Page 42 - The Persian Gulf Historical Summaries (1907-1953) Vol III_Neat

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Government concerning amendments to or interpretations of, the Mining Lease or to
any supplements thereof or concerning any other matters of direct concern to His
Majesty’s Government, as indicated by His Britannic Majesty’s Political Agent,
shall be made through His Britannic Majesty’s Political Agent in Bahrain. Com­
munications with the Bahrain Government relating only to the conduct or regu­
lation of ordinary company operations may be directly between the Chief Local
Representative and the Adviser to the Bahrain Government; with copies to the
Political Agent. The approval of His Majesty’s Government shall be required for
the person so designated. A reasonable time shall be allowed for the replacement
of the Chief Local Representative in the event of the post falling vacant.
5. As many of the employees of the Company in Bahrain as is consistent with
the efficient carrying on of the undertaking shall at all times be British subjects or
subjects of the Shaikh.
6. Subject to the terms of its Agreements with the Shaikh the Company
undertakes at all times to pay due deference to the wishes of the Shaikh and to the
advice of the Political Agent and the Political Resident in the Persian Gulf.
7. Notwithstanding anything contained in the Agreements between the
Company and the Shaikh the Company shall not have the right to use or occupy,
and shall not include in the areas selected for the purpose of its operations, any
sites which may have been selected by or on behalf of the Shaikh or His Majesty’s
Government for defence purposes, for aerodromes, aeroplane or seaplane bases or
for wireless and telegraph installations or in connexion with the development of
harbours, provided that with the consent of His Majesty’s Government which shall
not be unreasonably withheld the Company shall have the right to use for the
purposes of its operations such harbours as may be developed by the Shaikh or His
Majesty's Government if there is not reasonable harbour accommodation available
elsewhere within the Shaik’s territories. Subject to the terms of the Agreements
with the Shaikh harbours and harbour facilities developed by the Company shall
be under its complete and exclusive control, provided that with the consent of the
Company which shall not be unreasonably withheld His Majesty’s Government
shall have the right to use such harbours and harbour facilities for the purposes of
His Majesty’s naval, military or air forces if their requirements cannot adequately
be met elsewhere within the Shaikh’s territories.
8. Telegraph, wireless and telephone installations, if any, maintained by the
Company shall be of use only in its business and shall be so constructed and
operated that their operations shall not interfere with the operations of such wire­
less, telegraph or telephone installations as may be established by or under the
authority of the Shaikh or His Majesty’s Government.
9. If, in the event of national emergency or war, His Majesty’s Government
should render the normal commercial operations of the Company impossible by
taking any such action as that described in the schedule hereto, the Company will
co-operate with His Majesty’s Government in the production and delivery of oil
to the order of His Majesty’s Government in the manner and on the terms and
conditions in the said schedule set forth.
10. In the event of notice of termination of the Agreement between the
Company and the Shaikh being given by the Shaikh on the ground that the
Company has failed to observe any of the terms of the present Agreement between
the Company and His Majesty’s Government, the arbitration provisions of the said
Agreement between the Company and the Shaikh shall apply if the Company
considers that notice of termination on such grounds is not justified, and in that
event the Shaikh shall not cancel the said Agreement until arbitration takes place
in accordance with the said provisions and unless the Company fails to comply
with the award of the arbitrators within the reasonable time which shall be fixed
by the arbitrators for so doing.

SCHEDULE
(1) In the event of all or any of the crude oil gotten under the Concession
granted by the Shaikh to the Company and all or any of the products thereof being
taken over by His Majesty’s Government
(i) The Company will, to the extent of any refining capacity it may have in
Bahrain produce oil fuel that shall comply with the Admiralty specifications at the
time provided that Bahrain oil be of a suitable kind and quality for this purpose.

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