Qatar: royalties to Sheikh

This file relates to the Ruler of Qatar Sheikh Ali Bin Abdulla Al Thani’s request for a rise in the value of the oil royalties he receives from Petroleum Development (Qatar) Limited (PDQ) and Petroleum Concessions Limited (PCL). It contains correspondence concerning:

• PDQ’s arrangements for oil royalty payments, with the instructions from the company to B H Lermitte to negotiate for quarterly instead of monthly payments
• Sheikh Ali’s desire for a rise in the royalties he receives in light of the changed circumstances of Qatar since his father signed the concession agreement
• HMG’s advice to the Ruler to make a formal approach to PDQ on the matter
• PCL’s reply that they will agree to a rate increase if the Ruler meets certain conditions, including port access, police protection and future concession rights; the response of the Ruler to these conditions
• Delayed response of the company to the Ruler’s reply and their eventual decision to send representatives to discuss the matter with the Ruler in Qatar
• Conclusion of the negotiations and the agreement of PDQ to develop Doha’s Port