262. Airgram From the Embassy in Germany to the Department of State1
SUBJECT
- Oil Supply Situation
Herr Kling of the Economics Ministry (Deputy Assistant Secretary) has confirmed information given us by the Bonn representative of Esso, A.G. to the effect that the crisis point in the German oil supply situation has been passed, and that supplies currently and for the foreseeable future are adequate for normal operations. There is, consequently, no present intention of permitting draw-downs of mandatory reserve stocks of crude oil or products. Both sources said that there have not as yet been any reported receipts of Libyan oil, although Kling pointed out that the government is not asking any questions as to the country of origin of oil entering the FRG via pipeline; it is permitting all Middle East oil to be declared as “Arab State” oil. Country of origin statistics will therefore have a permanent gap for the current year.
Kling highly praised the performance of the companies during the past weeks in providing a continuing flow of crude through cooperation [Page 469] and organization. If the situation continued as at present, the perennial claim of the coal interests that only German coal can be relied upon as a safe form of energy will be deprived of validity. This would clear away one obstacle to the reduction of German coal production capacity and the extension of the duty-free coal import quota.
- Source: National Archives and Records Administration, RG 59, Records of the Department of State, Central Files, 1967–69, PET 2 GERW. Limited Official Use. Drafted and approved by M.J. Dux (ECON). Also sent to London, Paris for OECD, Hamburg, and Beirut.↩