Page 143 - The Origins of the United Arab Emirates_Neat
P. 143

The Preliminary Oil Concessions:         109

        survey  the shaykhdom, Fowlc approached the Anglo-Persian Oil
        Company (APOC). He wished this company, in which the British
        Government had held the controlling interest since 1914, to enter
        the field before any other concern. As a result, on 1 August 1935
        Sultan granted the D’Arcy Exploration Company, a subsidiary of
        the APOC, a two-year option to explore for oil; the object of
        the option was to secure the right to negotiate for an oil concession
        within that period of time.4 Following this, the D’Arcy Exploration
        Company opened negotiations for similar options elsewhere on the
        Trucial Coast.
          Hajji Abdallah Williamson, who led the negotiations, was to
        be a leading figure in the development of oil on the Trucial Coast
        until 1937, and was at first regarded warmly by the rulers and
        the British authorities alike. A great adventurer whose life story
        was as remarkable as it was varied, Williamson was an Englishman
        who became converted to Islam towards the end of the nineteenth
        century; after living as a bedouin in areas within what are now
        Iraq and Saudi Arabia, during World War I he re-established
        his ties with Britain, and in 1924 joined the APOC.5 His great
        knowledge of Arabia made him ideally suited to the job of securing
        options, and before long he was able to obtain the signatures
        of the shaykhs of Sharjah and Dubai to agreements similar to
        the one signed by Shaykh Sultan of Ras al-Khaimah.6
          The Anglo-Iranian Oil Company (AIOC), as it became known
        after 1935, thus became the first company to enter the Trucial
        Coast through the options granted to its subsidiary. When the
        APOC first showed an interest in the Trucial Coast, it was clear
        to the India Office that any form of activity relative to oil should
        be limited to British subjects. In 1935 a representative of the company
        asked for permission to allow an American geologist of the Iraq
        Petroleum Company (IPC)7 to go to Abu Dhabi for exploration
        work. The India Office confirmed that it was ‘very anxious to
        facilitate the task of the British element in the Iraq Petroleum
        Company of establishing themselves in these areas’, but would not
        ‘welcome the despatch to the Trucial Coast of an American, or
        of any foreigner’.8 Although all foreigners were included in the
        general policy of excluding non-British interests, the principal fear
        underlying the policy was that of infiltration by American interests.
        American oil companies established themselves swiftly and efficiently
        in Arabia, beginning in 1928, when the Standard Oil Company
        of California (Socal) won the Bahraini concession from the shaykh
        of Bahrain after the Iraq Petroleum Company, which, under the
        Red Line Agreement of 1928,9 had priority rights there, had made
        it clear that it was not interested. The discovery of oil in Bahrain
        was followed in 1933 by Socal’s success in competing with IPC
   138   139   140   141   142   143   144   145   146   147   148