The Barre daily times. (Barre, Vt.) 1897-1959, 1919-08-09
DOUBTS JAPANESE ACQUISITION.
Mexican Official Does Not Believe Orien'
tails Are Purchasing Oil Wells

Mexico City, Tuesday, Aug, Soil leg
islation will be taken UP about the mid
die of this month by the extraordinary
session of the Mexican Congress, which
will base its consideration of the subject
on the message sent to Congress last No;
vember Carranza, according to state
ment made to-day to the Associated
Press by Leon Salinas, acting head of the
department Of industry and commerce
and also chief of the oil bureau of that
department. Senior Salinas declared that
insofar as his department was concerned,
the question of new oil legislation was
closed, saying that the department, in
issuing provisional permits for oil inter.
ests to sink wells had turned the whole
question over to Congress for final dis
position.
Discussing the reports that japanese
interests are securing oil lands on the
Atlantic and Pacific coasts of Mexico,
Senior Salinas declared that his depart
ment had no official record of such trans
actions and that Japanese oil men had
made no inquiries at the department.
He admitted however, that it would be
possible for them to secure holdings from
private individuals and that his depart
ment would not be advised as to these
deals. Since most of the oil territory
along the Atlantic coast is held by Amer
lean, British or other interests, Senior
Salinas said it seemed hardly probable
that any newcomers could acquire i'm
portant holdings by purchasing small
tracts from Mexieans.
Referring to Circular No o." giving
permission for the sinking of oil wells,
which was issued under date of Aug.
by the direction of President Carranza,
the acting head of the department said /;
"This circular is intended to be tenn
porary solution of the fuel problem. Oil
companies have complained that their
supplies were running low and that they
could not fill their contracts because they
were not permitted to drill wells as a
result of the Noncompliance with the
provisions of the decree of July 81, 1918.
The Mexican government, for the pur-
pose of showing its helpful disposition,
wells, providing they subject themselves
to the law which will be enacted by the
Mexican Congress
IF the companies do not agreesto obey
the regulations which will be laid down
they will show unreasonable obstinacy.
The government has always been dis
posed to listen to their appeals when
such appeals did not attack legal prin-
ciples which the government is under
strict obligation to keep and to enforce
upon others. The immediate commercial
problem OF the companies having CON
tracts for supplying fuel oil is solved by
this circular"
Senior Salinas said that in addition to
the message sent to Congress last No
vember by the president there was a
number of other reports ready for con-
sideration by the committees of Congress
which viii deal with the subject. There
is, in addition, a special report from the
Senate commission which visited the pet.
roleum fields a few months ago, which
combined with other data was Sufficient
for framing new legislation.
Nothing is yet available regarding the
attitude which oil companies will take
with regard to circular No. g." which
was given out to meet objections made
by oil companies which declared that
compliance with recent DEGREES would re-
suit in the loss of rights for which they
have been fighting. It is understood
they have contended that if they accept
ed the conditions contained in the DEGREES
prior to the issuance of circular No. o.
they would, in effect, accept the nation
alization of their property. The DEGREES
have provided for the payment of royal
ties on production and such payments
would be, it is held, in substance, a recog-
milton of naturalization.
Senior Salinas declared that during his
recent visit in New York, Alberto PAM,
present Mexican minister to France, was
informed by an official Of an oil company
that "the oil companies had not cent
for Mexico but millions to oppose Mex
ico." Senior Salinas said the Mexican
government had full knowledge concern
ing oil companies which were leading a
campaign against the Mexican govern
ment," but that despite this fact the
Mexican government is not using this
knowledge to hamper the companise' OPP
erations, although this could be easily
DONE"