"My speech is getting long, but I see in your faces a question which
I do not want to leave unanswered: The revision of our petroleum
policy as announced by me at the Palacio de Miraflores on that
memorable occasion. The National Government, in fulfillment of one
of its inevitable duties, firm in its purposes and sure of its action,
proposes to obtain a fairer State participation from the exploitation
of petroleum, and also that its industrial process be a sure source of
work for the Venezuelan laborer. I must observe that this Govern-
ment, obedient to the Law, endorser of the guarantees which honor
our Constitution, watchful of the righteousness of its procedures and
not in the least given to hastiness, respects the rights legally acquired,
does not consider as adversaries those enterprises which have brought
their capital to extend the development of our natural wealth; but,
animated by a spirit of right and justice it believes that Venezuela
should receive an adequate participation in keeping with its posi-
tion as owner of that which constitutes the real source of that industry,
and that its industrial process should have its principal headquarters
in Venezuela in order that the opportunities for the employment of
Venezuelan labor may be intensified. The Government does not
attack, it tries to convince and is sure that in its purpose there is
fair satisfaction for the Nation and a steady and secure equilibrium
for industry because agreements are lasting only when they have
a basis of equity and justice. I have said that the Government is not
given to hastiness and when, from the Presidential Seat I announced
the revision of our petroleum policy, it was because I felt sure that
we would come to it by one way or the other, by means of conviction
and cooperation or by legal means; if, unfortunately, all of the ex-
pected results can not be obtained by the first means, then, leaving
aside the reasons for equity, the Government, arming itself with in-
controvertible juridical and moral power shall proceed, in the name
of the Republic, to regain possession of that which corresponds to
it by right.
  From the very same moment that I assumed the Presidency, I
became extremely interested in this matter of our petroleum policy,
which I consider of the utmost importance to our economic develop-
ment, and it is my conviction that the year 1942 will see the end of
a cycle in the history of our petroleum: the cycle of trial of ignorance
and empiricism; today we know what we have and it is a duty of my
Government to initiate the first stage of what we might call the era
of technical, economical and financial exploitation at the service of
the State in cooperation with the enterprises associated with us to
transform in effective wealth the potential richness of our subsoil."
                                                            FLACK



753



VENEZUELA