Office of the Historian

223. Memorandum of Conversation1

Washington, October 8, 1968.

SUBJECT

  • IPC Report on Baghdad
[Page 409]

PARTICIPANTS

  • Mr. A. K. Wolgast, Esso, New York
  • Mr. Bryan H. Baas, NEA/ARN

Mr. Wolgast phoned to pass on a report received from a Mobil Oil Company employee who had recently been in Baghdad.2 He had limited contacts with Iraqi Government officials but he talked with a number of other individuals there including Ghanim Uquaily, former General Manager of the Iraq National Oil Company.

The Mobil representative reported that the GOI is taking extreme repressive measures against opponents of the regime, including the left wing of the Baath Party. Among the prominent people who have reportedly been jailed are Subhi Abdul Hamid and Arif Abdul Razzaq.3

The Mobil representative was very pessimistic about the oil situation. He believes that the Iraqi Government has not yet formulated an oil policy. The GOI needs money badly and may offer settlement of specific minor issues as a quid pro quo for cash payments. However, it does not appear that the GOI is prepared to settle any territorial problems. In this connection, there is nothing new on the question of IPC development of North Rumaila under contract to the INOC.

When the Mobil representative met with Uquaily he was asked if IPC was still concerned about repercussions elsewhere over any agreement that might be reached with the GOI. He was assured that this indeed was a concern of IPC. Uquaily also wanted to know if the IPC partners had given CFP a green light to negotiate for Iraqi territory. The answer was negative.

Former Oil Minister Abdul Aziz Wattari will reportedly return to Iraq as a private citizen in the near future. Uquaily said that no political significance should be applied to his return.

In conclusion, Mr. Wolgast said that an IPC team is going to Baghdad this weekend for exploratory talks. The team will not be authorized to negotiate or discuss any substantive points, thereby avoiding any confrontation with the GOI at this time.

  1. Source: National Archives and Records Administration, RG 59, Records of the Department of State, Central Files, 1967–69, PET 1 IRAQ. Confidential. Drafted by Baas.↩
  2. The Mobil Oil Company official presumably was Vice President Henry Moses who had informed the Embassy in Beirut on October 7 about his recent trip to Iraq. (Airgram A–1386 from Beirut, October 7; ibid., PET 6 IRAQ)↩
  3. Moses believed he had witnessed the aftermath of a coup attempt. (Ibid.)↩