Reference Staughton concessions Timor oil and recent despatches
relating to possible Japanese penetration. Staughton [1] has
granted option over his rights in Timor to E. J. Pascoe a past
director of Oil Search Ltd a well-known Australian Company which
is receiving grants from Commonwealth Government and which it is
understood from Pascoe is prepared to survey and develop oilfields
in Timor if larger concessions than Staughton leases can be
obtained.

Commonwealth Government would appreciate enquiry through H.M.

Ambassador at Lisbon [2] to ascertain whether oil concessions
covering whole of Portuguese Timor with the exception of Staughton
leases have been granted any other company. If not, is there
possibility of Staughton or an Australian company commanding ample
capital procuring them and on what terms and conditions?
A direct approach by letter to the Governor, Dilli [3], by Pascoe
in June last has brought no reply.

HODGSON