British government buys Anglo-Persian Oil Company

Despite fears of increasing tension with Russia, the British government is to buy the Anglo-Persian Oil Company. The move to acquire a controlling interest in the company and to invest £2,200,000 was today sanctioned by the House of Commons.

The commitment of the Admiralty to the use of oil by the British Navy dictates that a large reserve of oil, sufficient for all war purposes, must be maintained. Winston Churchill, First Lord of the Admiralty, told the House of Commons that they were currently at the mercy of the open market and that those who controlled the oil companies could charge extortionate prices.

The Illustrated London News give an idea as to how a ship powered exclusively by oil might look. Click to enlarge. (Image: Illustrated London News [London, England], 26 July 1913)