Show MEXICO fAll FAILS J RANT nANT OIL ml 2 IJ DEMANDS I t. t Statement Sets Forth Position 1 tiO of New Re Regime ime on Concessions J f I t o. CITY June June 28 or s which which have been ca carried el on with Vf the the executive department by br petroleum Interests since the establishment of ot the provisional gov govern govern- r m ment have completely failed to bring brine from the about concessions requested government regarding petroleum regulations regu regil- lations which were promulgated Under tinder under un Un- der the administration of ot President Carranza OILMEN'S DEMANDS Official announcement of ot the pi progress progress og ogress ress of pf negotiations was made here last night and It was declared the tho following following fol fol- fol- fol lowing concessions were asked Nullification r of ot all petroleum legislation leis legis 0 lation based upon article 27 of ot the co constitution placing In effect the org rg rg- rg Inal regulations regarding oil ope a v cancellation of ot seventy-five seventy permits which the government already I has granted for drilling operations on national lands which include C coastal tal and nd river bank territory MEXICO'S SIDE OF IT R Representatives of or the petroleum interests In- In conferred with Gen Jacinto Trevino secretary of ot industry corn com merc and arid labor Saturday night The following statement was Issued to the press pres by this department department- During the second conference be between between bew be- tw tween en representatives of ot those p petroleum petro tro- tro leum c companies which have not compiled com corn piled with Carranza government de decrees decrees dl de- crees crees and General TrevIno an and ot other er departmental chiefs these representatives tives requested suspension of ot concessions conces conces- ISIon In federal zones and nullification tion o of 01 those concessions concessions' already granted It was asserted the nation had no property rights in the ted federal ral zone ione one for this zone was vas created solely for tor forr forthe the common common good and to establish r free navigation while petroleum concessions concessions concessions con con- cessions pervert the object aimed at through the law declaring this zone federal federl property They asserted these 1 conce concessions d damage mage holders of ot adla- adla t e cent lands since the Inte In t the te e federal zone can extract oil from deposits which the companies they represented now are These arguments were easily answered OBSERVE CONSTITUTION r The statement then declares tho the ex executive ex- ex department could not without violating the constitution refuse refus concessions concessions con con- cessions to individuals for tor operations operations' on national land that it Is Js not legal not to apply constitutional provisions because organic law upon that subject sub sub- is Is lacking that lacking organic law existing law which develops the constitution tion must be applied For this reason It was said the mining In law w of ot 1901 serves for a basis In granting mining concessions while the petroleum petroleum petroleum petro petro- leum law of ot 1901 acts in the same lame capacity regarding petroleum conces- conces conces conces- dons v FURTHER NEGOTIATIONS The statement also declares that the assertion the executive department 7 10 has has' no right to grant concessions in national lands Is without foundation since paragraph 4 of ot article 27 ot of the constitution gives the president the right to grant concessions throughout the tho national territory It was likewise denied that the companies represented d at the conference are being damaged through concessions granted In national national na na- na- na lands adjoining their hold holdings lOgs i It was added that concessions granted I under the Carranza decree decree- would produce pro pro- pro pro-I duce Immense national revenues arid and the statement concluded by saying saying o that although no decision v as reached the interested parties have resolved to return for tor the of ot exchanging Ideas with the ministry with a a. view to see if It Is possible to arrive at an agreement favorable to all all interests ts |