The New York herald., 1922-05-05
OIL GUSHING OVER
GENOA CONFERENCE
Reported Deals by Russians
OvershadOw Other Issues
and Cause Furry.

| GENOA. May ASSOCIATED Press).-
None of the American oil towns ever
had greater oil excitement than Genoa
has had over the rumors that various
oil agreements have been entered into
by the Bolshevik delegation. Petroleum
| is gushing all over the Genoa conference.
Baku has been literally moved to
Genoa. and Azerbaijan has been put on
the map for diplomats who formerly
had little idea where that republic on
the Caspian was located. Certain dis
tricts never heard of until this week
are being discussed glibly
The Russian delegation has denied
that 1t made any contract for TIE sale of
it's output. Everybody from NJ. Tchit-
cherin down has denied reports Of all
contracts. Col j. w. Boyle a Canadian
officer, who represents the Royal Dutch
and Shell companies here, which are re-
ported to have signed contrscts with the
Scviets, has issued repeated denials
from his sick bed here.
The British Government also has de-
ried that contracts have been made with
it's knowledge, but the French corre-
$. ondents win accepting denials and are
describing "the alleged treachery."
which is supposed to have given to the
British control of the Cauca sian output.
Il was expected that oil would be the
Great prize the Russians could offer at
Genoa, consequently there is willingness
- accept any rumors and the air is full
cf them.
The Russians charge that the report
emanated from one OF the Little Entente
countries, which wanted to embarrass
the SDviets in their Genoa negotiations,
but representatives of various nom
British companies which have been dick
ering with the Bolsheviki intimate that
the Russians themselves circulated the
rumors for the purpose of squirting up
competition and getting better prices. y
M. Rakovsky made statement to-day
relative to the Russian oil output which
shows that the monthly production
averaged 47.000,000 pools in 1913 and
was nearly $4,000. 900 poods monthly in
1922. "a pood is thirty-six pounds }
He pointed out that the oil industry had
suffered less than practically any other
in the Russian collapse.
M. <rassine, although denying the
completion of any sales or development
agreements, frankly states that he is
negotiating with oil companies in many
countries. The Belgians formerly owned
many oil properties in the Baku fields,
and their objection to the Genoa con-
ference's plan for dealing with nation
allied property in Russia belonging to
foreigners Is based to a considerable de-
gree on their fear of losing their inter-
ests in Caucasian oil.
The Standard Oil Company also had
many properties in Azerbaijan. and
Americans are watching the develop
ments keenly.
TheN Soviet delegates say they are
willing to grant concessions for oil de-
velopment in small sections and are
anxious to make the development re-
gional. so as not to allow 1t to be
|monopolized. But there seems to be an
Sabsence of concession hunters at this
time. as prospective investors are not
willing to take over property which was
formerly operated by other owners, un-
til definite arrangements are made for
Soviet recognition and the reimburse
ment of former owners which would
leave the rights unclouded.