At the San Remo conference of 1919, the German share of TPC was transferred to France. The Americans, who were also the victors of the war, demanded a share in their loot and accepted 20 percent in 1922 (later increased to 23.7 percent). However, this has not put an end to the disputes that hinder the restructuring of the company. He insisted that the « self-denial clause » should be maintained in any new agreement. The French supported Gulbenkian with a share of 23.7%. not the other participants. Map of the extent of the 1928 agreement on the red lines. In 1928, shareholders agreed to explore and develop the Middle East`s oil resources. According to his own words, Gulbenkian drew a red line on a map along the borders of the former Ottoman Empire to designate the area of operation of the enterprise.
It was decided that a shareholder could not act in this area without the consent of the others. This so-called « refusal of self-denial » clause dates back to the early 1900s, when European banks and oil companies were trying to counter Standard Oil`s commercial penetration by creating protection cartels. For Gulbenkian and the French, he guaranteed a share of Middle Eastern oil, but it turned out to be a shackle for American oil companies. Few companies in the world have been able to develop Iraqi oil resources, and even if they had existed, it is unlikely that they were in direct competition with each other. But the multinational nature and the various global objectives of CPI shareholders have created a difficult mix. America feared the depletion of oil under its own country and the return of the « Gasolineless Sundays » and sought access to the smartest prospects – the Middle East. To reinforce fears, the demand for oil in America increased by 90% between 1911 and 1918 and the number of registered vehicles increased from 1.8 million to 9.2 million between 1914 and 1920. George Otis Smith, the director of the U.S.
Geological Survey, warned that known U.S. reserves would have disappeared in exactly nine years and three months – which would have been before 1930. This influenced the price of oil to rise and encouraged the government to help oil companies find foreign deliveries. Thus, fear of bottlenecks and competition helped encourage U.S. companies to look for oil wherever they could find it, with the support of the U.S. government – which meant the Middle East. IPC shareholder brand names in 1954 (illustrated logos only) The origins of the CPI were in the Anglo-German rivalry for oil concessions in Mesopotamia, then part of the Ottoman Empire, at the beginning of the 20th century. After the negotiations with the Ottoman government proved unsuccessful, the parties united.
His chosen vehicle was the Turkish Petroleum Company (TPC) with the following holdings: the Anglo-Persian Oil Company (50%) Royal Dutch Shell (25%), of which Gulbenkian has a positive interest rate of 2.5% and Deutsche Bank (25%) respectively state aid.