Edward N. Hurley, Chairman, Shipping Board, to Raymond B. Stevens, Vice-Chairman, Shipping Board, and Representative, Allied Maritime Transport Council
Chronological Copy. File No. <42-2-4>
Cablegram Received April <8, 1918.> 23009. SFM
Opnav, Washington. Ser. No. 4739
C-3 Apr 11
4739. Boards Navy 49 for Stevens from Hurley. After reading please deliver to Foley and Thomas following:
Referring to their cable 57 AC the figures and data submitted by them shows the following:
(A) That the British stock position shows large increase as compared with the stock position of the different petroleum products as reported by the British Mission end of September. Fuel oil stock increased from 709,000 tons reported as is stock UK end of September to 1,177,000 tons is UK and Mediterranean Sea end of February as reported your cable 4845.
(B) That by the rerouting of certain British tankers as per your statement “X” revised by your letter Nov. 25th 2967 thousand gross tons are made available for Atlantic service.
According to the National Petroleum War Service Committee the deficit in tanker tonnage is <in> order to permit the operation of refineries on the Gulf and Atlantic sea board even on the reduced basis of 1917 is 198,000 gross tons. This means a reduction in output of these refineries of over 20,000,000 barrels a year as compared with their output in 1916. These refineries should be operated at maximum capacity.
In view of these facts it is again urged that policy of taking supplies from nearest source and suggested rerouting of British tankers to be put into effect. Conference will be held here 20 April and it is most important that the British should carefully consider this and submit promptly definite proposals regard[ing] rerouting prior to that time as there is strong feeling here that unless such proposals are satisfactory following policy should be put into effect forthwith----
(First) That the United States can and will supply cargo of petroleum products for all vessels assigned to United States ports to load.
(Second) United States will supply all of the French requirements with the exception of Toluolnaptha and will provide American tankers to transport the French requirements in excess of the quantity which can be transported by the French-owned but British-registered tankers in French service.
(Third) The United States of America would arrange to supply all of the Italian requirements and provide American tankers to transport the Italian requirements in excess of the quantity which can be transported by the Italian owned tankers in this service.
(Fourth) The United States will supply the cargoes and tankers necessary for the transportation of the requirements of all its over-seas force and fleet.
(Fifth) England to furnish its own transportation for all its petroleum requirements. 19008. 4739.
N.B. “Nov 25th”and“2967”come garbled. “is order” comes clear after “tanker tonnage”