577. Telegram From the Acting Secretary of State to the Embassy in Venezuela 1

181. Under Secretary last week told Perez de la Cova2 imports Venezuelan crude oil scheduled second half ’56 considerably over first half and seem indicate continuance this trend extending 1957. As result certain amount pressure for removal Venezuela from favorable position enjoyed with Canada. Assured Perez he did not think such action forthcoming since he knew Venezuela would cooperate voluntarily reduce imports as had in past. Told Perez no danger such action as long as Venezuela continues cooperate.

Perez reports he cabled Minister Mines3 who called in producers discussed means reducing imports; was assured by major producers of cooperation.

Perez Oct. 9 informed substance draft policy statement due release later this week4 recommending continuance exemption from import restrictions Venezuelan crude, but latter to conform general import objectives. Planning include in statement reference to Venezuelan record cooperation. Although uninstructed Perez confident his Government and producers will cooperate.

In any conversations you should stress our appreciation traditional cooperation evinced Venezuelan Government and industry and express confidence our objectives will be achieved by voluntary action and that Venezuela will not be placed disadvantageous position vis-à-vis Middle East.

Hoover
  1. Source: Department of State, Central Files, 411.316/10–1156. Confidential. Drafted by Bartch and initialed by Rubottom.
  2. Carlos Pérez de la Cova, Minister Counselor for Petroleum Affairs of the Venezuelan Embassy.
  3. Edmundo Luongo Cabello.
  4. The Presidential Advisory Committee on Energy Supplies and Resources Policy released its statement on oil imports on October 17.