WHEN the Abadan refinery shut down and Iran’s oil stopped flowing early last summer the west lost 635,000 barrels of oil a day. At once the flow was increased in Saudi Arabia and Kuwait. Elsewhere, production spurted 535,000 barrels daily. Elsewhere it is up 300,000 barrels. So all of Iran’s output was made with a couple of hundred thousand barrels a day to spare.

World drilling this year is estimated at 55,000 new wells, against 47,000 last year. Thus oil may soon become a surplus commodity. Prime Minister Mossadegh of Iran should realize that his position isn’t very good in bargaining about the seized oil facilities. If statistics mean anything to him he will be reasonable with the officials of the International Bank for Reconstruction and Development, who have been visiting his country.

Senator Wiley of Wisconsin rightly warned against settlements which would encourage other countries to follow Iran’s lead in seizing foreign investments. [Alexander Wiley, R-WI] The bank is a realistic organization and not likely to get out on that limb. What it does offer is to act as receiver for the Iranian oil empire, an arrangement which still would save face for Iran. But Mossadegh had better accept soon.