Evening star., 1928-03-28

The most significant aspect OF the
new oil regulations signed yesterday by
President Gales Of Mexico is that they
bring 10 an end decade Of controversy
between the United States and Mexico
without permitting claims Of victory on
either size They remove objections by
the United states 10 certain provisions
ot the Mexican petroleum laws, but al
the same tirne they uphold principle.
which from the first have been con-
tended for by Mexico. The agreement
as embodied In the new regulations has
been reached through surrender b.
both governments OF minor demands
without loss OF dignity by either Ir
the end, the fundamental principles c.
the Mexican Law are indorSeo and
backed by the United States Govern
rent. Thus the United States agrees
with Mexico that ownership Of surface
lands does not necessarily or auto
maticaIly create ownership OF minerals
under the surface. Mexico, on the
other hand. agrees not TO require COM
pulsory exchange Of unlimited conces-
sions for limited concessions: it agrees
with the United States upon what
proofs o? ownership to oil lands In
1877 must be established. and it agrees
that once an owner has been granted
. concession and proved his right 'c
that concession he does not have tc
obtain il all over again.
The agreement bringing to a close the
bitter and acrimonious controversy Of
the last ten years, which during the
last three years reached a dangerous
irapasss, is q great tribute 70 the work
ef Ambassador Morrow. When the
President appointed Mr.. Morrow to the
dimcult post Of Ambassador to Mexico
relations between the two republics had
been strained almost to the breaking
point. The selection OF Mr.. Morrow
took the country by surprise. II was
not . political appointment, for the
President was merely summoning an
able man from private life TO execute
az important mission for his country
This fact diSaTmed political opponents
and made Mr. Morrows choice almost
. nom partisan matter. The Senate
prompt confirmation, plus favorable re-
action Grcm the country. showed that
the Presidents action was popular
ore. Nov Mr.. Morrow has himself
vindicated the wisdom Of the Presi-
dents choice.
It was on October 30. 1925, that 5ecre-
tary Kellogg warned Mexico that
further discussions over the oil Law were
useless, ard that II Mexico committed
an overt act through conhscation of
American property critical situation
would be precipitated. While there vas
10 overt act, relations continued
strained. Last Pail the Mexican su-
preue Court handed down q decision
. the effect that article q Of the MeZi-
can constitution In the matter Of pstro-
ieurn vas rot retroactive IN spirit or In
letter" and this decision, favorable %
American oil companies. was followed
b. q later decision b. Mexican cir
cult court holding that certain articles
cf the Mexican Oh law. objected 10 b.
American oil companies, Were unoonsn-
tutlonsi. President Gales recognized
the force Of these decisions by having
the Mexican Congress amend the petro-
isurn laws. but It remained for Anbas-
saoeY KorTow tc bring about the agree
nent, embodied in the oil regulation
1lst signed, which have removed thc
chief obstacles 70 complete accord be-
tween the republics.
Whether Anerican oil concerns giA
find the new regulations wholly &C.
csptabls remains V Be seen. Eut IL docs
not make great deal Of difference.
The American Government nov sp-
proYes ne Mexican regulations as the
stsne Iss nationals must adjust the'f
asus3ee accordingly or else fight their
bktslee alone