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Exchange of Letters Between the President and the Shah of Iran Concerning the Settlement of the Oil Problem.

August 05, 1954

[Released August 5, 1954. Dated August 4, 1954]

Your Imperial Majesty:

The important news that your Government, in negotiation with the British, French, Dutch and United States oil companies, has reached, in principle, a fair and equitable settlement to the difficult oil problem is indeed gratifying.

Your Majesty must take great satisfaction at the success of this significant phase in the negotiations to which you personally have made a valuable contribution. I am confident that implementation of this agreement, under Your Majesty's leadership, will mark the beginning of a new era of economic progress and stability for your country.

Like myself, all Americans have a deep concern for the well-being of Iran. With them I have watched closely your courageous efforts, your steadfastness over the past difficult years, and with them I too have hoped that you might achieve the goals you so earnestly desire. The attainment of an oil settlement along the lines which have been announced should be a significant step in the direction of the realization of your aspirations for your people.

There is concrete evidence of the friendship that exists between our two countries and of our desire that Iran prosper independently in the family of free nations. We have endeavored to be helpful in the form of economic and technical assistance and we are happy to have helped in finding a solution to the oil problem.

I can assure Your Majesty of the continued friendly interest of the United States in the welfare and progress of Iran, and of the admiration of the American people for your enlightened leadership.

With sincere best wishes for the health and happiness of Your Majesty and the people of Iran,



Note: His Imperial Majesty's reply, released August 9, follows:

Mr. President:

I am deeply grateful for your letter of August 5th and appreciate the friendly feelings which have inspired it.

It is, indeed, a source of satisfaction to me that my government has been able to arrive, in principle, at a settlement of the oil dispute, which, in the light of present world conditions, appears to be as equitable a solution of a difficult problem as could have been reached.

Ever since nationalization of the oil industry, which corresponded with the aspirations of my people, it has been my constant endeavor to facilitate and hasten a fair agreement within the framework of the relevant laws.

You can rest assured that the valuable contribution which you personally, Mr. President, The American Government and your distinguished Ambassador, Loy Henderson, have made to this end is highly prized.

It is now my hope that the implementation of the agreement will not be long delayed.

With the attainment of this goal and with increased American assistance, I share your feeling that we may look forward to an era of economic and social development which will improve the lot of my people, as well as further consolidate the security of the Middle East.

I cannot sufficiently lay stress on the fact that American assistance to Iran has been most timely and helpful. My people reciprocate to the full the friendship of your noble nation.

Whilst renewing the expression of my gratitude for your cooperation, I tender warm wishes for the welfare of the American people under your wise leadership.

Yours sincerely,


Dwight D. Eisenhower, Exchange of Letters Between the President and the Shah of Iran Concerning the Settlement of the Oil Problem. Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/232439

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