Monday, Jun. 27, 1955
Progress in Rome
For the Fourth World Petroleum Congress, oilmen from 44 nations chose Rome, headquarters of Italy's monopolistic Ente Nazionale Idrocarburi (E.N.I.), the state-owned oil company that has consistently fought private international development of Italy's oil resources (TIME, Nov. 29). Italy-had offered to be host to the congress, and the oilmen had accepted. The 3,200 delegates hoped to impress E.N.I. and its Boss Enrico Mattel with the power and efficiency of private oilmen, thus persuade E.N.I, to be more cooperative.
Italy's oil industry desperately needs foreign capital and know-how. But foreign oilmen have stayed out, largely because a new mining bill favorable to foreign capital has been fought by E.N.I. and pigeonholed in Italy's Parliament since 1953.
At the congress last week, the delegates steered clear of directly mentioning Italy's exclusion of foreign capital. But toward the close, Walter J. Levy, an oil consultant for several U.S. companies, made a speech that contained some plain talking. Said he: "The functioning of world oil operations is based on the joint endeavors and the continuous contribution of all participants . . . Each participant must abstain from exercising such pressure that others would be discouraged from making their necessary and legitimate contribution to the world oil economy."
By week's end, when the congress broke up, there was some solid evidence that Economist Levy and other delegates had gotten their point across. In Italy's Senate, Don Luigi Sturzo, 83-year-old founder of the Demo-Christian Party, an implacable foe of statism and an old enemy of E.N.I.'s Mattei, rose to demand quick passage of the new mining act. Said he: "There is no good reason why private firms, either Italian or foreign, should not carry out research with their own capital and at their own risk." As for E.N.I, itself, even the state authority seemed to be weakening a bit. Said Italy's Budget Minister Ezio Vanoni, a steadfast Mattei supporter, at the closing session: "To realize these sources of wealth . . . asks the collaboration of all forces and all initiatives. The Italian government is hence pledged to friendly countries not to neglect exploitation of whatever resources exist in this country." To U.S. oilmen in Italy, it all had the sound of progress. Said one: "I still want to see some action before I get too enthusiastic. But the fact that he would even make such a speech is grounds for optimism."
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