The New York herald., 1921-04-30
HOLLAND WARNED
ON OIL MONOPOLY
Free Opportunity Demanded
i'm American Note to
Netherlands.
TO BAR FOREIGN CAPITAL
Reciprocity Of Rights May
Bring Adoption Of Policy
Of Exclusion.
70 BAR FOREIGN CAPITAL
Special Despatch to THE NEw YoRK HEsaLD.
New York Herald Bureau.

New York Herald Bureau.
Washington, ID. C., April 90.
Access to the oil under public lands
OF the United States will be denied
foreign Governments which refuse to
permit nations OF the United States to
participate in the development of oil
fields under their control.
The position of the United States is
made clear in a letter addressed by
ter at The Hague, to the Minister OF
Foreign Affairs for the Netherlands
ana made public by the State Depart
ment to-day.
That new policy is part Of the world
race for the control of petroleum and
is specifically directed TO the Neither
lands Government because of its prac-
tice OF excluding American nationals
from the oil fields OF its East Indian
possessions. The specific cause for the
note was the proposal that a monopoly
be given OF the Djambl oil field in Su-
matra 10 Dutch company, allied with
the Shell group and said 70 b. con-
trolled by British capital.
The Harding Administration takes the
position that the United States has borne
the burden OF supplying a large part OF
the petroleum consumed py other coun-
tries. Dutch capital has had free access
to American oil deposits and the petro-
leum resources OF no other country have
-. Ira og
America The United states believes
equal opportunity should be extended to
the nationals OF all countries provided
American interests are granted equal op-
portunity in foreign lands.
II policy OF exclusion Is to be
adopted the United States gives warning
to the Dutch Government and the rest
or the world in note from Mr. Phillips
which says in part
Il have pointed out that the United
States has for years carried burden of
supplying a large part OF the petroleum
consumed by other countries and that
the petroleum resources of no other
country have been So heavily drawn
upon TO meet foreign needs az the petrol
cum resources Of the United States.
nave OUT INIT III Aiif
ample supplies OF petroleum have become
indispensable 10 the life and prosperity
or my country as a whole
"Tn these circumstances my Govern
ment finds no alternative than the adop-
tion OF the principle Of equally good
opportunity, with the proviso that no
foreign capital may operate In public
lands unless its Government acccrds
similar or like privileges 10 American
citizens: and. furthermore. l have sub
riitted that in the light OF the future
needs Of the United states such vei
limited and purely defensive provisions
az the above might become inadequate
should the principle OF equality Of OBJ
portunity not be recognized In foreign
Countries.
In this connection ] desire most
ca rnestly 70 divert 10 your EScellency's
attention the fact that American capital
stands ready 70 assist In the develop
ment Of the Djambl fields and other oil
deposits in the Netherlands Indies. IN
conclusion. I venture % say once more
that my Government attaches tile high
Get Importance to the recognition OF the
principles Of the reciprocity and equal
opportunity IN the solution of the on
problems. as well as the extension to
American capital organized under Dutch
law OF the same privileges and benefits
which are granted 70 other foreign capi-
tai similarly organized under the laws Of
the Netherlands"