The Iranian History Article :

Standard Oil Deal Approved

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November, 21, 1921 A.D.:
Standard Oil Deal Approved

By: Mir M.Hosseini

The Iranian parliament approved the bill which gave the American Standard Oil company the right to exploration of oil in north Iran in the area that included five provinces of Azerbaijan, Astarabad, Guilan, Mazandaran, and Khorasan for a period of five years. Iran's share was a net %10 of the petroleum without bearing any expenses. Details of Iran's share and supervision was to be presented to the parliament in a separate draft and Standard Oil could not transfer the rights to another company or country.
Iranians did not want to give to neither the British nor the Russians access to North Oil fields because of geopolitical reasons. This bill's first consequence was a protest note on Nov, 25 from Britain who owned the same rights in south and did not want to share vast resources with any other country. On Dec, 23, an official protest was submitted by the Soviet Plenipotentiary minister in Tehran.
Britain succeeded in convincing the US to share the rights with the Anglo-Persian company arguing that exporting oil from the south would not be possible because of the exclusive rights preserved in D'Arcy agreement, moreover using the Soviet route was out of question.
On Feb, 28, 1922, a new deal was presented to the Iranian PM indicating that Standard Oil was forming partnership with the Anglo-Persian oil company for the north petroleum. On March, 4, 1922, the Iranian PM sent a note to the American consulate in Tehran indicating that the new deal is refused because of political problems that it would create in Iran. Majlis approved another draft in correction of the previous one on June, 16, 1922, adding a 10 million dollar loan as a precondition by Standard Oil or any other American company who was interested in obtaining the rights to the north petroleum.
Despite efforts, American companies could not actually enter the Iranian petroleum sector until the coup against Mosaddegh.

KEY TERMS:American , Anglo-Persian , Astara , Astarabad , Azerbaijan , Britain , British , Guilan , Iran , Iranian , Khorasan , Majlis , Mazandaran , Mosaddegh , North Oil , Persia , Persian , Plenipotentiary , Russia , Russian , Soviet , Standard Oil , Tehran , US

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