Evening star., 1951-06-29
Truman Still Hopeful
On Iran, but Is Silent
On u. 5. as Mediator
By Joseph A. Fox

President Truman thinks thel
Iranian oil trouble could and
should-be settled, but he hasl
nothing to say about the possi-I
bility of this Government acting
as mediator in the explosive sit
uation.
Describing the collision between
British and Iranian interests asl
very serious. in a news conferenceI
discussion late yesterday, Mr..
Truman said he was hopeful of
settlement, and added that there
was plenty of opportunity for
such a development.
The Anglo -Iranian Oil Co. and
the Iranian and British govern
ments should get together, he con-
tinued, and the United States
already seeking to win peaceful
solution, will keep going along this
line.
Not Asked to Mediate.
The President said he could not
project himself into the settlement
that it wasn't in his sector.
He has not been asked to medi-
ate and he dismissed as hypo-
thetical question as to his course
If such an appeal were made.
Mr.. Truman made his state
ments short while after receiv-
ing a letter from the Iranian
Premier, Mohammed Mossadegh.
saying his country is making every
effort to maintain the westward
flow of oil-and declaring British
interests will be at fault if there
is breakdown in distribution.
The Premier, however. made
clear that his government in
tended to make the nationaliza-
ton of the oil industry stick and
gave no inkling of being open to
mediation.
Answered Truman Note.
He was responding to a COM
munication from Mr.. Truman. and
closed with an appeal for support
from this country in the situation.
MIR. Truman told his news con-
ference that he appreciated the
Premier'S note, and said it was
being considered.
Meanwhile, the plan of Ameri-
can oil companies to supply oil
from other sources, if the Iranian
flow is choked off, was approved
by Mobilization Director Charles
E. Wilson, who said it will greatly
assist in the accomplishment OF
our national defense program"
Under the plan 18 companies
will pool storage and distribution
facilities, tankers, tank cars and
pipelines. The program also in
wolves increased production oi
some refined petroleum products
exchanges and "loans" of oil
among companies. and the elm
ination of empty tanker hauls
Ofhcials here said the Ameri-
can pool probably couldn't supply
enough to make up for the TOO, ,00(
barrels daily supplied by 1rar
but could meet "a good share oi
this demand"
Possible Shortage Seen.
To do so, it wouldn't necessarily
have to tap the oil resources which
the United States needs for its
own expanding defense program
Presumably all the oil involved
would come from Saudi Arabia
Kuwait and Venezuela.
Nevertheless. there was talk ir
Government circles of a possible
shortage in this country. Price
Stabilizer Michael v. Disable tolt
a reporter he knew of no plan fol
rationing gasoline. but he said i
might be necessary for officials t.
give some thought to stand-b,
rationing system-just in case.
The companies making up tn
new pool include:
Arabian American Oil Co
Standard Oil of California, Stand
ard Oil of New Jersey. Tide Wate
Oil Co.. Gulf Oil Corp. .Socony
Vacuum Oil Co., The Texas Co
American Independent Oil Co
Barber Oil Corp, Caltex o
Products Co., Creole Petroleum
Corp. Conorado Petroleum Corp
Pacific Western Oil Corp. Stand
ard Vacuum Oil Co., Superior o
Co.. Union Oil Co. of Californi;
Venezuela Petroleum Co. and Al
lantic Refining Co.