The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1919-08-07
MEXICO To TAKE
OIL LEGISLATION
Up IN FEW DAYS
WHOLE PETROLEUM PROBLEM is
TURNED OVER TO MEXICAN
CONGRESS- FOR SOLUTION

middle OF TINS month by the tNtTaoIul
nary session OF the Mexican congress,
which will base its consideration OF the
measure on the message sent to II last
November by President CarranZa, ac-
cording to statement made today TO the
Associated Press by Leon Salines, act
ing head of the department of industry
and commerce and also chief OF the
oil bureau of that department. Senior
Salinas declared that insofar ~ his
department was concerned, the uues-
ton of new oil legislation was closed,
saying that the department IN issuing
provisional permits for oil interests TO
sink wells had turned the whole ques'
tion over to the congress for final dis
position.
Discussing the reports that japanese
interests are securin goil lands on the
Atlantic and Pacific coasts of Mexico,
Senor Salinas declared that his depart
ment had no official record OF such
transactions and that Japanese oil men
had made no Inquiries at the depart
ment He admitted, however, that IL
would be possible for them to obtain
holdings from private individuals and
vised AS to these deals. Since most or
the oil territory along the Atlantic
coast is held By American, British or
other interests. Senor Salinas said II
seemed hardly probable that any new
comers could acquire important hold
ings by purchasing small tracts from
MeXiCans.
Referring to "circular No. g." giving
permission for the sinking of Oil wells,
which was issued under date of August
| by the direction of President Carran-
"a. the acting head of the department
said:
This circular is intended to be
Temporary solution of the fuel problem.
Oil companies have complained that
their supplies We're running low and
that they could not fill their contracts
because they We're not permitted to
drill wells as Il result of the noncom
plance with the provisions of the decree
of July 81, 1918. The Mexican govern
ment. for the purpose of showing IT'S
helpful disposition, gives PERMISSION LOT
companies to drill wells. providing they
subject themselves to the law which
will be enacted by the Mexican congress.
"If the companies do not agree to
obey the regulations which will be laid
down they will show unreasonable OBJ /
Stinacy The government has always /
been disposed to listen to their appeals
when such appeals did not attack legal |
principles which the government rs .
under strict obligation to keep and to .
enforce upon others. The immediate
problem of the companies
having supplies for supplying fuel OIL
Is solved by the circular"
Senior Salinas said that in addition to
he message sent to congress last No
,ember by President Carranza, there
we're special reports for consideration
~ the committees of congress which
will deal with the subject. There is,
n addition a special report from the
senate committee which visited the pc
roleum fields a few months ago, which,
combined with other data, was, he said.
amply sufficient for framing new leg
station"
Nothing is said regarding the attitude
which oil companies will take with re
,ard to circular No. g. which was
yiyen out to meet objections made by
,l companies which declared that com
,liance with recent decrees would re
nit in the loss of rights for which
hey have been fighting. 1t is under
tood they have contended that if they
,ave accepted the conditions contained
n the DEGREES prior TO the issuance of
circular No. g." they would. in effect,
.ccept the naturalization Of their prop
rtv. The DEGREES have provided for
he payment of royalties on production.
nd such payments would be, it is held.
n substance u recognition of nation
liZation.
Senior Salinas declared that during
Iis recent visit in New York, Alberto
'ani, present Mexican minister to
rance. was informed by an official OF
n oil company that "the oil companies
ad not a cent for Mexico but millions
q oppose Mexico" Senior Salinas said
he Mexican government had fun
nowledge concerning oil companies
,hich were leading campaign against
he Mexican government" but that de
pite this fact the Mexican government
not using this knowledge to hamper
ne companies operations although this
ould be easily done" He drew com
arison between Mexican oil legislta-
on and the alleged "confiscation OF
roperty in connection with prohibition
gislation in the United States, affect
lg foreign investments there"
Senior Salinas declared his department
as preparing q pamphlet for distribu-
on which would give the complete
istory Of recent oil DEGREES and legis