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875.6363/215: Telegram

The Chargé in Albania (Kodding) to the Secretary of State

TIRANA, July 8, 1925-10 p. m.

[Received July 9-12:06 p. m.]

45. Albanian Cabinet approved concession proposed by Standard Oil Company and referred it to Parliament yesterday. Copy to European Information Center.

KODDING

875.6363/222

The Chargé in Albania (Kodding) to the Secretary of State No. 473

TIRANA, July 13, 1925.
[Received August 5.]

SIR: With reference to my telegram No. 45 of July 8th, 10 p. m., reporting that the Albanian Government had approved the petroleum concession proposed by the Standard Oil Company of New York and referred it to parliament on the 7th instant, I have the honor to confirm the information contained therein and to add that the legislature reached this item on its schedule today. The concession was referred to the committee on National Economy without discussion. The Minister of Public Works, M. Kocha Kotta, asked that this contract be given early consideration as an urgent measure, to which request the parliament agreed.

In my despatch No. 453 of June 1, 1925, the statements of M. Guys, Secretary of the French Legation, and Mr. Sheffield of the Standard Oil Company were reported as tending to show that an agreement existed between the Anglo-Persian Oil Company and the Italian Railway Administration for the selection by the former of the oil lands granted to Italian interests by the Albanian Government. M. Branko Lazarevitch, the Yugoslav Minister, informs me that he obtained an admission to this effect several days ago from Ahmet Bey Zogu, who was informed of the arrangement from the beginning. The latter added that the agreement was much broader than one for aid in selection of territories and provided for the complete exploitation of the Italian areas by the Anglo-Persian Oil Company for which the Italian interests were to be recompensed by financial payments.

I have [etc.]

TROJAN KODDING

JULY 15, 1925.

I reopen my despatch to state that the Albanian Chamber of Deputies ratified the Standard Oil Company's proposals for a con

cession yesterday afternoon by a unanimous vote. A favorable vote in the Senate is expected within the next few days.

T. K.

875.6363/216: Telegram

The Chargé in Albania (Kodding) to the Secretary of State

TIRANA, July 20, 1925—4 p. m.

[Received July 21-5: 53 a. m.]

48. Ratification Standard Oil Company's concession in Albania completed yesterday.

KODDING

875.6363/225

The Minister in Albania (Hart) to the Secretary of State

No. 30

TIRANA, October 7, 1925.
[Received October 28.]

SIR: I have the honor to report that the Standard Oil Company of New York has completed the selection of lands under the concession ratified by the Albanian Parliament on July 14, 1925.

Selections have been made in two tracts, one of 47,000 hectares and the other of 6,000 hectares. The larger tract stretches along the northern shore of the Bay of Valona and runs north up the Adriatic coast approximately 25 miles, adjoining the western border of the Italian concession for probably 15 miles of this distance.

The smaller tract is on the north side of the Bay of Durazzo far removed from the selections made by the Anglo-Persian and the Italian companies. E. S. Sheffield, Standard Oil representative in Albania, speaks somewhat pessimistically of the outlook for oil on the lands selected for his company, but he is thought to be more optimistic than he would make believe. He is an engineer and geologist, as differentiated from the breezy oil stock promoters, and therefore has a professional reputation at stake. He admits that the geological structure is promising on that part of the selection lying on and near the Bay of Valona.

Significance also may be attached to the fact that this experienced geologist has seen fit to include in his company's concession such a large area on Durazzo bay. If oil should be found in paying quantities in this sector the competing companies doubtless would feel that their experts had been guilty of a serious oversight, because Durazzo has excellent harbor possibilities on the east side of the Adriatic and is near to an abundant timber supply, so essential to oil drilling operations on any large scale.

The Anglo-Persian Oil Company is preparing to start drilling its first well on the 12th of this month at a point about 15 miles north and slightly east of Valona.

I have [etc.]

CHAS. C. HART

APPROVAL BY THE PARLIAMENT OF ALBANIA OF THE AMERICANALBANIAN AGREEMENT EFFECTED BY AN EXCHANGE OF NOTES JUNE 23 AND 25, 1922

875.00/77

The Commissioner in Albania (Blake) to the Secretary of State

No. 3

SIR:

[Extract]

TIRANA, August 2, 1922.
[Received August 29.]

I considered it my duty to address the following communication to the Prime Minister under date of June 23, 1922:

"Mr. Prime Minister: During informal conversations which I have had the honor of holding with Your Excellency, in my unofficial capacity as American Commissioner, assurances were offered that the authorities of the Albanian State, under a decree of the Regents, would be instructed by your government to duly recognize, throughout Albanian territory, all passports issued by the American Secretary of State, especially those carried by persons of Albanian origin who have acquired American nationality in conformity with the laws of the United States of America.

It may be found useful for me, on my part, to reiterate at this time points of view which I have already explained to Your Excellency concerning the attitude of the Department of State, in the interpretation and application of laws affecting naturalization in the United States, which is, to wit, that a naturalized citizen who returns to his country of origin and there resides continuously for a period of more than two years, shall be considered to have expatriated himself and thereby to have ceased any longer to be entitled to the rights of American citizenship, unless (a) such residence in his country of origin is for the purpose of trading directly and principally with the United States, or (b) to enable him to pursue studies or engage in missionary or other legitimate cultural and philanthropical work, or (c) because a state of poor health prevents his immediate return to the United States. The right of a naturalized citizen to benefit by any of these exceptions must be proven in each case by the submission of satisfactory evidence to the Department of State.

It would be a further source of gratification to me to be able to draw to the attention of my government the fact that similar assurances had been given by the Government of Albania that favorednation treatment also would be accorded American interests in Albania, coincident with an initiation of formal diplomatic relations

between the Government of Albania and that of the United States of America; and that the Albanian Government will include this provision as a treaty clause in any future commercial convention that may be drawn up between Albania and the American Government. In connection with the above, for the completion of the archives of this Commission, I venture to suggest the propriety of our confirming these understandings by an exchange of written communications.

Please accept, Mr. Prime Minister, the assurances of my highest consideration." "9

To the above, the Prime Minister replied as follows, under date of June 25, 1922:

"Mr. Commissioner: In response to your letter of June 23, 1922, I beg to state that the Albanian Government feels the utmost satisfaction to enter into correspondence with the unofficial representative of the United States Government, which more than once has saved Albania from partition and utter destruction, by pleading her cause during most critical periods of her history.

In connection with the two points you bring forth in your letter as needing settlement, before you could take any steps in favor of the official recognition of the Government of Albania by that of the United States, allow me to communicate to you that:

1. The Albanian Government will recognize the passports given by the authorities of the United States of America, to persons of Albanian origin, who are naturalized Americans in conformity with the American laws concerning nationalities.

2. In case a commercial treaty is concluded between the Government of the United States of America and that of Albania, the latter promises to insert in the said treaty, the most favored nation clause. Meanwhile, following the official recognition of the Government of Albania by that of the United States, and pending the conclusion of the treaty above mentioned, the American interests in Albania will receive the most favored nation treatment.

Furthermore, the Albanian Government is ready to show all kinds of facilities to the installation of American capital in Albania, as well as to accord concessions to American concerns.

Please accept, Mr. Commissioner, the assurances of my highest consideration."

I have [etc.]

MAXWELL BLAKE

711.75/9

The Minister in Albania (Hart) to the Secretary of State

No. 44

TIRANA, December 16, 1925.
[Received January 11, 1926.]

SIR: Engagements made by the Albanian state as the conditions upon which recognition was granted by the American Government

on July 28, 1922,28 have at last been removed from the field of controversy, as I had the honor to report in my telegram No. 63 of December 14, 8 p. m.29 By a unanimous vote both houses of parliament have approved these conventions in substantially the form set forth in the note of Djafer Ypi, president of the Council of Ministers, to Maxwell Blake, American Commissioner, under date of June 25, 1922.

Included herewith are copies of the measure as approved and of the report of the Minister for Foreign Affairs.

I have [etc.]

CHAS. C. HART

[Enclosure 1-Translation]

Proposed Law Approving the American-Albanian Agreement of June 23 and 25, 1922

The approval is proposed of the two conditions presented below: 1. The Albanian Government will recognize the passports granted by the authorities of the United States of America, in conformity with American laws concerning nationalities, to persons of Albanian origin naturalized in America.

2. In the event of the conclusion of a commercial treaty between the Government of the United States of America and the Government of Albania the latter promises to insert, on the basis of reciprocity, in the above mentioned treaty, the most favored nation clause. Meanwhile, following the official recognition of the Government of Albania by that of the United States of America and pending the conclusion of the treaty above mentioned the American interests in Albania shall receive the most favored nation treatment as well as the Albanian interests in America.

3. This law takes effect on the day of its publication.

4. The Ministry of Foreign Affairs and the Ministry of the Interior are charged with the execution of this law.

23

SUL STAROVA

Min. of Finance and Min.

a. i. of Justice.

M. JUKA

Min. of Pub. Works and Min. a. i. of the Interior.

See Foreign Relations, 1922, vol. 1, pp. 594 ff. 29 Not printed.

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