THE CHINA MAIL, WEDNESDAY, JANUARY 13, 1954.
Ava Gardner and her husband Frank Sinatra arrive at Ciampino Airfield, Rome, from Madrid. There have been frequent reports that they were to separate since their marriage
have patched up
their In 1951.
Junt as frequently there have been reports to my they
quarrels.-Express Photo.
Not only do they have to get the Abadan Refinery working_but:
ZAHEDI'S BIG HEADACHE
IS: WHAT'S TO BE
DONE
WITH IRAN'S OIL
of the problems ahead of the new Iranian This article from New York outlines some Administration in its altempi to get the Nationalised oil Industry on its feel after many months of inactivity. Not only does the Government have to get the vast Anglo-Iranian Refinery working order again--for it was frequently reported that under the Mossaderh regime equipment and vital machines were removed and the vast fleet of tanker-irucks re- Bríush and by hundreds-but they have to face stiff competition from American, dured European companies which are now producing all in excess of world requirements.
An
in the New York, Jan. 12. for the purchase of oil in tran develop all elsewhere
purchases Such American expert ini, by doing so, I would estab- Middle East,
in from fran might still be com- an unworkable ant world petroleum affairs. Mrficient operation which would mercially disadvantageous be- Walter Levy, recently said have
offrets cause serious
considerations, tax for for it should be possible
producing compensation obligations to the far- former owner, and other "men of good will"
tors.
ty
adverse
it in other
16 countries
6. The establishment of large
sale oil production operations 6. Such purchases by Ameri- requires assured nevess to stable can companies might raise prob- market outlets on a long term lems for Importing soft-currency basis. No one could afford to countries arki lead to prob-
In
achieve a settlement of the Anglo-Iranian oil dispute.
Tut
settlement would have to be in accord with the
Ciri the antie himself to an oil supplier in | lemy IN connection with the political realities
whose technical or managerial | level of output Americon- fional aspirations of Iran,
competence he would not have helt concessions, possibly in- complete confidence over a long volving serious legal complica-
finns in the United States. prin-
9. Neither from a supply and a commer- demand nor from cint or brood economic point of do American companies view. can
represent the most natural large scale customer for Iranian
oll,
the one hand, and the principles of the Western world und the comineretat facts of life, on the other hand," he said.
term.
7. Adherence to these Mr Lovy was for a consider- ciples is so baste to the progress able time in Government ser of world trade and of economic vico as an oll consultant, par-development that no Govern- ticularly with
Economie ment or Western Interests the
afford to ignore them.
Co-operation Administration during its control of foreign ald Now. from the United States.
h
is in private business in the Samo capnelty
by
"Specific Problems" but possibly they might agree
what
Mr Levy then defined he called "sprelle problems" in the Iranian situation as:
owned
to handle sizable quantitics.
Second, expand-
10. If and when Iranian oil He gave a long, detailed re-
exports should be resumed on a view of the British-Iranian vi?
substantial scale, they would, controversy at a recent round
1. Iranian oil has been com- in the first instance, probably table conference sponsored pletely replaced. In the world
replace the purchases which the Middle East Institute, which market by lorge increases In British and other companies has its headquesters in Wash-British-controlled and American- have made In the Western Ington.
production. There is hemisphere and from American After summarising the deve-
at present, even excluding Iran, com
companies elsewhere. lopment of Tranian oll by Bri-
an immediate surplus
they works fillet he produe- tish Interests in the 30-odd tive capacity
crude oil ed rate of British production In year preceding the closing of
Damounting to more than 1.500,-
Breas such as Kuwalt, And, the Abadan refinery in 1951, he 000 barrels a day pressing for finally, they would offert surveyed events, including the market outlets, and the Iranians American owned production legal fight which led the British have been warned of this deve- somewhat, as a result largels to abandon Abadan, and thelopment ever since the nation-of the reduction of sales by effects of this step on Iran's alisation. economy
and the company's Commenting on the position brought about by overthrow
Mosṛadezh i panies either reduce their outing to Mr Levy, must be cf the Government last August, he de- clared: "We are once again con- cerned with the problem of the re-establishment of oil opera- tions in Iran. Only in this man ner can the country acquire the necessary means to maintain its economic and political stability and to improve the standard of living of its people,"
2. The resumption of Iranian changed oil operations on a substantial
basis
would require that other producing countries and
the
com-
from
put, or at least abstain expanding it if the outlets for Iranian oll were geared, for the time being, to the expected in crease of requirements only.
American companies to British and other customers,
TRADE and COMMERCE SECTION
Markets & Employment May Be Bigger Problem Aden Refinery
NEW YORK
STOCK
May Start
MARKET Than Dollars Soon Before 1955
New York, Jan. 12. Stocks added nearly $1,000,- 000,000 to total market values today in their first advance in five resilona-a rise led by rail stocks.
Gains in the carriers ranged to more than 3 points, lifting tho average for the group by $1,40... the widest percentage gain. In the industrials, wils, tobaccos, aircrafts, elcotric
appliances,
chemicals and a host of specials
had good gains, and the average was up $1.04. Utilities improved 23 conts, reflecting small gains.
лumerous
BUSINESSMEN NEED TO
KEEP WITS ABOUT THEM
By Sydney S. Gampell Router's Financial Editor
London, Jan. 12.
Aden, Jan. 12. A new Anglo-Iranian Oil Company refinery with 5,000,000 tons а year capacity, is expected to start operating here before the end of this year.
The total cost is estimated at £40 million
The cost is heavy but the AIOC belleves it will be justified by the saving in freight costs when the refinery gets going.
Tre refinery is being built in from this busy port and is nearing com- pletion
Caution and competition are the likeliest characteristics the desert 20 miles Volume, however, eqntinued of world business in 1954. With good luck and good manage- ment it may be a satisfactory year for the U.S. economy and therefore for world economy,
light, with 1,250,000 shares
traded,
The about-face
was seen as
a technical adjustment of an
servers abld.
over-sold market condition, ob-
In the alls, Shell ran up
Land Trust and
Texas Pacific Coal and Oll Toxas Paelite Amerada 11⁄2 each.
Tobaccos came back strongly, with gains of a point in Philip Morris, 4 In American Tobacco,
% in Liggett & Myers.
Steels were firm.
201
lows.
The
Stock NY bond volume was $9,750,000.
The
American Stock
WES change volume shares.
Dow Jones were:
closing
But at best it faces some difficult transitions. To negotiate them safely, governments and businessmen will need alert and flexible policies. of the year, for the first time since the war, the British Chancellor of the Unemployment may cause more anxiety than dollars. By the end
Exchequer and other finance ministers may have stopped worrying about dollars and be worried about markets and employment instead.
that
It was started early in 1952 after the British-owned AIOC had been expelled from Iran and its lant Abadan Refinery, which had a capacity of 25 million to a year, was closed
down.
REPLACING ABADAN
Singapore Rubber as posible to
Market
Singapore, Jan, 13. The market was quiet until towards the close when it steadied on little enquiry with
work had
An inspection of the showed that
no expense been spared to get the new refcery into operation as soon replace some of the loss suffered by the closure of the Abadan plant.
Tho site chosen is close to the Persian Gulf oil fields and adjacent to this ship bunkering port for vessels pasting through the Suez Canal,
A high proportion--some two million tons of the Aden re- finery's output will be fuck oil for the Adon bunkera. Mar. 8614-67 will go to East Africa. India,
Jan. 8696-561% Feb. 2615-60TE
Jan. 55-56
M
So far the United States is, tina and Brazil have applied having most of its readjustment some realistic remedies. They at home, and it seems likely to have already shown some results atoy there. In 1949 # Almilar in Argentina. They may help Of 1,080 issues traded today, U.S. readjustment mainly affect Brazil as the year progresses, 580 advanced, 229 declined and ed the balance of payments of
There other
countries and were unchanged.
and culminated
CURVES RISING were 11 new highs set, 9 new in the waves of devaluations of
sterling
and other currencies. For the U.S. which F the Exchange But nothing of that nature can pivot of the
the cconviny ol be foreseen in
in 1994. Later in non-Communist world, officials Ex- the year conditions may give express confidence that 1854 350,000 rise to rumours not of devalua-will rank second only to the all-sellers reserved.
Future closings:- tion but of up-valution of ster-time records of 1953, and averages ing against the dollar.
the business curves will be No rubber per i Given a reasonably prosperous rising again well before the end Jan. 12 year in the U.S., the outlook for of the year. Since a continuous No. 2 rubber per lu.
2017 the non-dollar countries would inflationary boom is ruled out, No. 3
pat be
quite good. Germany. Jørund would have been ruinous in
Spot unbiled 104.71 example, should be able to go the end, these predictions are as Blanket crepe 171.33 on regaining her export markets good as could reasonably be No. pale crepe
without wrecking Britain's.
expected. By and large, that is what has been happening. Cases of under-
In the aftermath of half a cutting and unfair competition, dozen booms which all bunched real or alleged. attract most together, the US. is in transition publicity, but they are probably from an overload to a reason exceptions.
able load-stepping down from Always with the proviso about abnormal to normal. So far, the
U.S., such countries +9 process has been orderly. There No. 1 spot Ras
Settlement house term: France and Japan should be is always a danger of the pen-Feb. able to surmount their remain-culum temporarily swinging too March ing inflationary problems with-far. Washington's most effective April/Tune out too much anxiety for their arti
ami-slump remedy may be tox Generni markets, cit basis, porta: balance of payments.
cuts. Washington undoubtedly Jan.
30 Industrials 20 rath
18 utilities
63 stocks 48 bonds
Comm. future price index
62.00
-United Press,
New York Sugar Market
New York, Jan. 12. World No. 4 sugar futures closed today unchanged to 1 point lower with sales of 50 contracts.
Domestic No. 0 sugar futures closed unchanged to one
point con- lower with sales of 196 tracts. Future closings:--
Contract No. 4 (world)
March
May July
3.30h 3.206 3.290
September
3.30b
March (1935)
3:80n
Spot-cents per lbs. fob Cuba) 1.70
Contract No. 6
March
There are also clher "Import- ant conditions" which,
accord-
ab- served if the Iranian oil opera, tions are to be resumed large scale.
May
July
September
on A
the
No. 4
40-47%
45-06 United Press.
LONDON MARKET
London, Jan. 12.
The rubber market was quiet with No. 1 Ras spot quoted at 17%. pence per lb. Prices
July/Sept.
Some of the Latin American has the will to avert any serious h Mor. countries still have tough in-setback, since a depression might flationary problems but Argen-not merely defeat but destroyi
the
Republican Party. The con- sensus of unoMcial as well 214 offcial economists is that Wash- ington also has the means, it it is alert to apply them in time.
UNINSPIRING MARKETS
HONGKONG
SHARE MARKET
aro
17-171
17-171 17-171
1794-1762
LÚTL-17 101-17
1034-10%
United Press.
NEW YORK MARKET
More highly refined products
Pakistan and Ceylon.
British and Dutch engineers are building the harbour and an Américan' team of oil specialists directing the relinery construc- tion-China Mall Special.
Australia May Ease Import Restrictions
Melbourne, Jan. 12. The Australkini Cabinet If expected to agree soon to further New York, Jan. 12. relaxation of inport restrictions, Rubber futures today closed but the casing would be confined unchanged to 5 points higher to imports from the steriing bloc, with sales of five coniracts,· the Melbourne Ago said today,
The paper sald ̋rio relaxation The dull situation prevailing wez "Ukoly on imports from the In the market since the holidays] dollar orea or from Japan, show little sign of a break-up today, dealers sald.
The Soviet bloc's problems of economic readjustment probably more serious than those of the U.S. But they are Jess
Spot' No. 1 Rs were important to the non-Communist at 20% cents a pound.
5.45 (From Our Correspondent) world. Some of them have com-closings:
November Spot-cents per ib. cif Ny ex-
dock)
United Press.
CHICAGO GRAIN FUTURES
* HK Bank... 1080 INSURANCES
Lombard
Union
Underwriters
SHIPPING
Waterboat
56
BSO
..
Markets are likely to be un- Inspiring. Not having got drunk during the boom, Wall-Stocet has no hangover in the after- math great improvemnant on 1028,
Australian Miolsters would tell Mr R. A. Butler of their plan to ease restrictions at talks in quoted Camberra on Thursday, the Age Future | said.
20.200
20.300 20.30t
20,30b 20.200
5.03
pensations, as for example the
5,036
Business done
6.706
5.50
on the Stock way in which Russia's need to Exchango this morning amount-sell gold has helped Britain ed to $480,572.30. Noon quota-meet her burdeniome end-year Hans and the morning's trans-debt payments to the U.S. and actionis: SHARES BUYERS SELLERS SALES BANKS
March
May
to
July
Acpt.
Dec. March
20,301
Canada.
United Press.
Spot
2081
K. Whart
March 210%(H) 208% (L)
200-2091
July
Ztwy
September
200
200
2021
Corn, No. 2, yellow
be
granted and
IC-
Spot March
1341-14. May
154,5 July
150 September New York dour, 200 the
akck
$15.801 United Presi.
10736
foreign experts is needed to "A substantial group of
provide the necessary technica? 3. Even on this assump- and managerial Bltills," ho a sold. tion, there exista, for variety of reasons no largo "Such a group will face Q scale market for Iranian oil ranging for the adjustment of
most difficult problem in or in the Western hemisphere. the operations to the changed The natural outlet for sucli conditions. It will be respon- Then 'Mr Levy defined what oil is the Eastern hemi-able for the expenditure of a
and requirements great deal of money ever he called, "the general prin-sphere,
settle there increase annually by "This group, to carry out its operations can be resumed. In the ciples involvod ment." These, he said, include: only 250,000 to 300,000 bar-assignment, must
The
principle that nation-
International rela a day. alisation under law requires (In the absence of
1.
Seven Principles
A satisfactory agreement
the previous owners)
adequate the mere willingness major companies is small
pay without. the ability
to
pay
will not
fore
be
the necessary power sponsibility and must be free from political and any other un- warranted Interference.
com.
Chicago. Jan. 12. Clering prices per bushel in cents: Wheat, No. 2, Fed
4. The number of customers with in all-importing countries, par- prompt, ticularly of the Eastern heml- and effective com- sphere, not adated with the
and "This point is of particu-
lar importance as no to the volume of their sales do so being insufficient.
limited. The resumption of sub-pany would commit itself to
HK Bank Dividend 2. if foreign investment in an stantial shipments of Iranian the purchase of large quan- underdeveloped country is oll
oll thus requires co-operation
The Directors of The Hong- kong nationalised, the whole nation-with those oil companies which titles of Iranian oil over a
and Shanghal Banking alisation
that out only supply the bulk of the require long term if it did not have Corporation announce effort destroy the enterprise but may ments of the free world.
fron-clad assurances that the of the prosts of the Bank for also lead to economic and
5. American interests at pre- Iranian oil industry would the year ending December 31, po Ileal collapse of the caput Middle East production
sent control over 60 per cent of be continually operated by 1953, a final dividend of 23 per 3. Nationalisation can be
and
ahare (nett after deduction into effect only with the
roserves con- proven
(excluding a competent and absolutely
Hongkong Corporation Unued assistance of the previous Iran) as compared with about reliable technical and com- Tax) will be paid, leaving a
balance properties have 45 per cent early in 1951. Their mercial management.'
of owner whose
approximately been nationalised, and he would share in European Imports of
$9,875,000 to be carried for- obviously not be prepared "to | crude oil and products amounts - "While it is not possible to ward, The sum of $4,000,000 has extend such help? except on the to son
some, 37 per cent and in predict the course of the pre been written off Bank Premises basis of an agreement and of a European refining capacity to sent negotiations and the shape. Account. The accounts are still.
Buttlement of
Only 25
subject to, audit. of any final settlement, the re- 6. On the other hand, British view will serve to define reason- 4. In any case, 'the previous and other European Interests
clearly the likely aren investor could not afford to now own only some 40 per cent of negotiation, jeopardise his investment posi- of present Middle East produc-within that arenit” should tion In other countries where tion and proven reserves, as be pla posable for men of he may have Interest, which compared with about 55 per cent
have not been expropriated."
the
21s par
cont
nbly
•p to achiwa, an' usteo-
ROOK
In oarly 1951. But their presentment in accordance," with the
3. International oil ⠀ opera- | market share in European im- political resuitiers and the
tions are handled to A соп siderable extent through a few
Jargo Integrated companiow none
of which could afford to pro-
Fronte
DOCKS, ETC.
.. 10.00
Provident (0) 13:30 13:4 1500 (NÍ 12.00 1000 S'hat Dock...19 Wheelock
LAND, ETC.
8.03
HK Hotel BK Lund 70%
S'hat Land Humphreys. 18.30 Really
UTILITIES
*Tram
Star Ferry
Commodities range from PENINSULAR scarcity in cocoa and coffee
to
13,40 superabundance in wheat, cotton 12.60 and all.
8 0.03 2000
# 1400 B 10000
A
...
In general, the inflationary beoni having already
Koren
1000 905 been squeezed out, It does not 1500 0.00 have to be squeezed out again. in the more
2500
If things go
·77 30077 competitive wrongs, there is
1000 A 0.03
100 200 23 31.00
weather,
the
the
1896 7815 danger of dumping, particularly 1.40
of the U.S. farm surpluses. Given average 27.07% 4000 2.08
11000 2.54 8upposed restrictions
3000 7 2.05 wheat and cotton crops are per- haps likeller to enlarge than to ...... 27.00
49 241 200 14 reduce the surpluses. C. Light (0) 14.30 1435 1630 6.14.40
1300 14.30 All told, officials and business- C. Light (N) 11.50 1140 1000 11.80
1200 1130 men will need to keep their wits Electric ....20.80 30 100 2012 about them in 1854-Router,
1400 30. Telephone INDUSTRIALS · 27.20
Cement
.... 19.20 10.40
Hops
10. 10.00 STURLIS, ETC.
Dairy
20 20.30 300
Wated
Le Crawford CUTTONS
19.30 1000
500 10.30 1000 + 14.00
US COMMODITY
MARKETS
500
29.80
Textils, Corp, - 3.10 1000 MISCELLANEOUS
New York Cotton
Yama
cent and in re-national aspirations of Tran, onaren Buing capacity, hard and the principles ar
7. If American, oil companies of the, Western worldir; and the det would purchase. Irakian
· vide#tortutical Hirdo and malce price no higher that: that commercial-facts of Ting on the
at other hand. China Man
·transport and juurkota available which they could obtain or Bocciai
New York, Jan.12.
Jos
Pricens
11 Jan.
New York, Jan. 12.
It reported that Senator Nell O'Sullivan, Minister for Trade |zed Cunani, had recently been
discussing the position with consultative committee on imm- ports and senior officials of his deportment-Reuter.
& ORIENTAL
STEAM NAVIGATION COMPANY
R.M.S. “CORFU“
SAILS:
NOTICE TO PASSENGERS
BAGGAGE:
Friday the 16th January, at 12.00 noon for the UNITED KINGDOM via Straits, Colombo, Bombay, Aden and Port Said.
Passengers are requested to send ALL baggage to the Hongkong & Kowloon Wharf. Coʻs Godown at No. 2 Gate, CANTON ROAD ENTRANCE, : by. NOON on Thursday, 14th January, 1964.
Strength in import © Items SPECIAL NOTE: With the exception of hand packages
fentured the commodity tradings
today with cocoa' and' coffee in the lead:
200 143 100 /142
Domestic Jiems „moved årre- gularly, Grains closed lawer,
Exchange Rates At Chicago wheat closed off
art, soybeans off: 1%
carried by passengers themselves, ALL BAGGAGE must pass through the Wharf Co's Godown for loading on board by ship's slings only,pok "BAGGAGE COOLIES WILL NOT BE
TOL ENTER PERMITTED WHARF.
should
THE