Wednesday, J u [y 19, 1972
THE MICHIGAN DAILY
Page Nine
U.S. firm signs deal for
use of Soviet oil
Skylab facilities viewed
Two members of the Skylab crew relax while showing newsmen
around an Orbital Workshop mockup at the Manned Spacecraft
Center in Houston. The workshop is part of the Skylab program,
the aim of which is to put three men in space for 28 days.
COUNCIL WARY:
Miami police chief
set for GOP cony.
MIAMI BEACH, (M - Miami
Beach Police Chief Rocky Po-
merance is optimistic that he'll
be able to keep things just as
cool during the Republican Na-
tional Convention next month
as he did for the Democratic
conclave last week.
He plans to use the same
methods -- methods that al-
ready have drawn criticism
from some people worried about
marijuana smoking and nude
bathing.'
Discussing" the Democratic
meeting, Pomerance said, "I
think that the climate and the
tone set this time will be a sort
of a pattern for the next con-
vention," adding, "The general
law enforcement posture will re-
main the same."
"Throughout the whole event,
we established priorities, and
the highest priority was the
public safety of the delegates.
the citizens and the protesters."
The week-long convention re-
sulted in only two arrests. Two
policemen were slightly injured;
During the 1968 Democratic
Convention in Chicago, there
were 68 arrests and 1,381 pro-
testers, policemen and bystand-
era were Injured.
There are movements under
way, however, to tighten secur-
ity during the GOP Conven-
tion. They stem from charges
that there was marijuana smok-
ing and nude bathing in the 36-
acre Flamingo Park where the
Miami Beach City Council al-
lowed about 1,500 nondelegates
to camp.
Dade C o u n t y Republican
Chairman Robert Rosasco said:
"Our position is that everyone,
delegate and nondelegate, be
treated equally under the law.
"During the Democratic Con-
vention, there was only lip serv-
ice given to this equal treat-
ment concept."
Rosasco said: "Letting them
assemble there gives them add-
ed opportunity to plan and or-
ganize. If they are kept dis-
persed, they won't be such a
threat."
The council has yet to deter-
mine whether to open the park
to protesters next month. Po-
merance said he understood that
state and national Republican
leaders would leave it up to lo-
cal officials.
Attorney Ellis Rubin, head of
a group called Operation Back-
bone, said he feels the same
way, and will ask the council
to refuse camping permission
during the Aug. 21-24' GOP
Convention.
More than 3,000 protesters
showed up for the Democratic
Convention, but more are ex-
pected next month.
Pomerance said: "There are
some crazies mixed in, but those
are the same ones who would
start a riot at a circus or a rock
concert or the scene of an acci-
dent. Political philosophies have
absolutely no bearing on it."
Sinatra
quizzed.
by Hous
WASHINGTON (') - Enter-
tainer Frank Sinatra told House
investigators Tuesday he knows
nothing about the Cosa Nostra
and insisted he merely made an
investment in a New England
racetrack allegedly backed by
organized-crime money.
In fact, said Sinatra, he with-
drew his $55,000 investment
when he learned that he had
been elected, without his per-
mission, as a director and of-
ficer of now-defunct Berkshire
Downs in Hancock, Mass.
Sinatra appeared for 90 min-
utes before a standing-room-
only crowd at a hearing of the
House Select Crime Committee.
Even before he made his ap-
pearance, Sinatra won a pro-
cedural point with the com-
mittee when he refused to tes-
tify in the presence of radio-
television or cameras.
Chairman Claude Pepper (D-
Fla.) agreed to the restriction
even though the rule Sinatra
invoked pertains only to sub-
poenaed witnesses and the en-
tertainer appeared voluntarily.
Sinatra ignored a scheduled
appearance before the commit-
tee June 8 and flew to London
reportedly to close a movie deal
and to watch a horse race.
Committee counsel Joseph
Phillips said he couldn't under-
stand why Sinatra had trouble
remembering meetings he had
with Gaetano "Three Finger
Brown" Luchese, late boss of a
New York Mafia family.
Sinatra said he had met
Luchese when he entertained at
the 500 Club in Atlantic City,
N.J., but he couldn't remember
the details.
LONDON (A)-An American
industrialist has announced a
five-year technical cooperation
agreement for using Soviet oil
and natural gas that could be-
come a major landmark in East-
West trade worth billions of
dollars.
Dr. Armand Hammer, chair-
man of the board of Occidental
Petroleum Corp. of Los Angeles,
told a news conference yesterday
that the agreement was signed
in Moscow,. Juiy 14, Occidental
is the ninth larges U.s. petrol-
um company.
Hammer refused to put a
price tag on the agreement, but
an Occidental source said: "This
is the biggest Russian deal ever
completed by an American com-
pany
Oil industry sources here es-
timated that a deal to explore,
produce, transport and market
Soviet crude oil and natural gas
from the rich developing Tyu-
men fields in western Siberia
could be worth $3 billion.
This was the figure put on
the biggest foreign oil deal with
the Soviets to date, a 20-year
agreement by ENI of Italy sign-
ed in 1969 to exchange pipeline
and other equipment for Soviet
gas.
Hammer said the Occidental
deal was one of, the first major.
break-throughs resulting from
the -decision tken in May by
President Nixon and Soviet
leaders in Moscow to expand
technical cooperation.
"In 51 years of dealing with
the Soviet government, I have
never found the grounds more
favorable for the rapid expan-
sion of East-West trade than
exists at present," Hammer de-
clared.
The agreement Hammer an-
nounced covered four other
fields besides oil and gas-agri-
cultural fertilizers and chemi-
cals, metal treating and metal
plating, design and building of
hotels, and utilization of solid
wastes.
Talks on technical cooperation
in all these fields'are due to be-
gin in Moscow Sept. 11, Hammer
reported.
The American industrialist re-
fused to give precise details on
the deal on grounds that he was
barred from doing so by the
terms of the agreement with the
Russians.
Experts here said the most
important part was likely to be
technical and financial assist-
ance by Occidental in return for
supplies of Soviet crude oil and
natural gas. The building of
one 3,000-mile pipeline from the
Tyumen fields alone is a $1
billion project.
Such a project would open up
the prospect of Soviet oil and
gas flowing eventually to the
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TECHNICOLOR 9'l'rom Warner Bras.,
United States. The idea is not as
remote as it may have sounded
once.
The Russians supply all the
oil and gas for Iceland. Even
U.S. Air Force planes based
near Reykjavik, the Icelandic
capital, tank up on Russian fuel
before taking off to shadow
Soviet spy planes.
Hammer said the agreement
with the Russians was being
announced jointly here and in
Moscow.
For domestic reasons, the Rus-
sians often delay such an-
nouncements and Hammer has
ta much experience with Soviet
officials to make any disclosures
before arrangements are firmly
set.
Hammer said the agreement
is not restricted to the - five
areas mentioned and could
eventually involve other firms
on a consortium basis. He addedi
it includes compensation for
Massive.
strikesI
By The Associated Press
Electrical service was restored
to 200,000 Brooklyn residents
yesterday after a steamy 11-hour
blackout that occurred during
the summer's first Northeast
power crisis. New England was
staggered by a record demand
for electricity as a result of a
four-dlay heat wave.
Six of Consolidated Edison's
10 feeder cables broke down in
Brooklyn, leading to what was
described as the worst blackout
since the 1965 Northeast power
failure.
All power was stopped at 9:53
on Monday and with it went re-
frigerators and air-conditioning
deposits
transfer of scientific and tech-
nical know-how, and the sale of
patents and licenses. Occidental
is also interested in other com-
modities such as Soviet chrome
and nickel ore, Hammer noted.
Terms of payment were not
disclosed, but Hammer's re-
marks implied an exchange of
Soviet raw material in return for
Occidental equipment and know-
how.
Other firms in the West and
Japan have turned down chances
to exploit Soviet gas and oil,
partly because of the tremen-
dous investment costs in build-
ing long pipelines over rough
terrain, and partly because pay-
ment would have to be based on
credit and future production.
The Soviet Ministry of the
Petroleum industry estimated in
1970 total gas reserves in the
Tyumen fields at 11 trillion
cubic meters.
blackout
;rooklyn
units while temperatures soared
as high as 80 degrees. Service
was not restored until 11 am.
yesterday.
Con Edison blamed the feed-
er breakdown on air-condition-
ing demands, plus the cumula-
tive damage incurred during one
of the wettest springs and early
summers on record.
Con Edison said it met Mon-
day's peak demand of 7.5 mil-
lion kilowatts of electricity only
by cutting down its voltage by
three per cent. In addition, the
company was buying more than
a million kilowatts of power
from outside sources.
AMESRIA
BEAWUFIL
' NIEMRYCEBSOI
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