British Diplomatic Oil Crisis: Contemporary Anglo-Saxon Geopolitical Rivalries in the Persian Gulf: Drawing a Lesson? Or Sir Anthony Eden‘s Delusion of Grandeur.

On 14th
April 1954, formal talks began. Negotiations went forward
until the middle of May when the three negotiators returned abruptly
to London for consultations. ‘The main difficulty was over the
question of effective management of the oil fields and refinery,’
51 and how any agreement could be fitted
within the terms of the Nationalisation Law. On 20th June the
negotiators were back in Teheran, ‘a formula was, after much
heart-searching, found that satisfied the Persian Government’s idea
sovereignty while giving the consortium the control they considered
essential over the operations.’ 52 On 5th
August 1954 the International Consortium and the Iranian delegation
announced full agreement.

The
companies making up the consortium were the Anglo-Iranian Oil
Company, Standard Oil of New Jersey, Standard Oil of California,
Gulf Oil Corporation, the Texas Company, Socony Vacuum Company, the
Compagnie, Francaise des Petroles, and Royal Dutch Shell.

A.I.O.C.
with a 40% share, Royal Dutch/Shell with 14%, the Compagnie
Francaise des Petroles with 6% and five U.S. (major) oil companies
each with 8%; Standard Oil of California, Standard Oil of New
Jersey, Socony Vacuum, Gulf Oil and Texas Oil.53

The terms of the agreement were: