811.20 Defense (M)/2093a: Telegram

The Secretary of State to the Ambassador in Colombia (Braden)

124. The Metals Reserve Company63a is willing to buy all the Colombian platinum production less such part of that production as is now being shipped commercially to private buyers in the United States. The agreement would provide for the purchase of a fixed number of ounces and this amount would be in excess of the present production. The agreement would thus be in effect a commitment to buy the entire production. The agreement might be for one year or possibly a longer period. This arrangement would be on the following conditions:

First, the Colombian Government would establish an export control barring the export of platinum except to the United States. Second, a decree or other governmental regulation would be issued requiring all the small producers to sell their entire production of platinum to the Colombia Central Bank or some other governmental organization.

Please advise whether you believe that the Government of Colombia would be willing to make arrangements along these lines if such an offer were made by the Metals Reserve Company.

  1. A purchasing agency of the Reconstruction Finance Corporation operating under the Federal Loan Agency.