New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1872-12-27
TIE PETROLEUM PUZZLE.
rro,r rufrl., ARE DONE IN ME OIL REGIONs

HOW TpINt,.S ARE DONE IN THE OIL REGIONS.
rur pRopucgrs AND REFINERs EFFECT AN
AGRERMENT-oi.t TO BE ENHANCED IN
| PRICE-TERMs OF THE CONTRACT.
IvRoM AN OCCASIONAL CoRaEs5oSD&dfo OF TIE TRIBUNE
! TIrUsvILLE, Penn, Dec, 2s.-The efforts
which for the past six months have been making 10
effect combination between the producing md refining
interests Of the country to establish and maBTaln hga
prices for kerosene OIL have With at last 50
far that agreement has been made and decision
taken put It's provisions into effect The readers OF
THE TRIBUNE already know OF the attempts made by the
producers to found agency which should by control
ling all the OIL produced be able to sell u 70 the rehners
at such prices they fit 20 establish This plan
contemplated capital OF 81 10000, and as the producers
themselves could be induced after the employ
ment OF the most plausible arguments, 10 raise over
tenth part Of this sum- and outside capitalists net mani
Testing that eager desire which II
pected they would TO take the stock. II was
psrforce abandoned. The Producers Council in their
extremity expressed Willingness and desire TO
listen TO a proposition from the Renners' Associaon
The willing, and meeting. In this city, OF
committees from the two organizations resulted in
document styled the Treaty Of Titusye," the main
provisions Of which preserved In the agreement TO
be hereafter given When this treaty referred back
Producers Council for ratification, they refused
TO accept t. but Instructed their committee
to what terms they would accept Provided with these
Instructions the committee went New-York. met the
rehners' committee again. and, after secret session OF
nearly week, terminating on Thursday last they
adopted agreement, Of which the following are the
leading features the committees prefacng them with
the statement that the necessities OF trade call for
operation between the producers and reduers OF OIL for
purposes OF mutual protection
First Each Association 10 appoint committee 10 see
that the provisions Of this agreement are executed III
second: Each Association to have controller, who
shall examine daily the affairs OF the other ana MAKE
third Each Association to keep accurate books Of se
FourtI; The ReHners Association 20 admit all existing
re6neres 70 membership aud participation ID we iH.sls
menbers ana the Producers Association to allow
ducers the same privilege with respect 10 ther A9''ci4
Fitth, The Producers Association TO sell crude oil
exclusively the Redners Association, and the latter
SiTh Producers enjoying the benefits Of the contract
SerentI The Rsfiner5 Association agree that they
will until after 60 days from the date OF the contract
sell any portion OF the crude or refined held by
them until they have purchased equivalent d crude
oil 10 take the place OF that sold Fnrther they are W
take daily such quantities Of crude as the markets OF the
Eigds The price OF crude oil so purchased and sold
common points" payments TO be made as follows:
Not ess than s. 10 cash TO be paid upon tbe delivery oi
agreemen and the remainder to be paid provided as
When refined oil is sold 10 New-YOrk at 20 cents per
gallon additional amount is to be PAID, bat Tor every
one cent per gallon OF advance in the price OF
sales refined oil NewYork 2j cents per barrel shall
be to se pee o. ~ nS eue cS ayane uS
tie price reaches s. per barrel proportion:
s he pad for each fraction o. one cent per gallon in
the price OF sales o! rehned OIL az rev
Of refined oil in NewYork, and OF crude oil at common
points TO be adjusted by the representative committee
Ninth! The representative commlttees may az any
time when necessary so to do reduce the prices OK
them above the maximum prices above named, the In,
crease and reduction in prices ana he casa
There are fye more sections which in brief provide
that settlements be made month that the profits
all crude oil sold Tor export BY members OF the Re
Rners Association be credited TO the Producers Asso-
citation: either association may discontinue the agree
ment at any time by giving days notice in writing
the in full force aud effect for five
years from the 10Th inst unless terminated by
notice and finally amendments and alterations to bs
made at any time by the representative committees,
subject to the approval Of their associations.
The agreement laid before the Producers Council
yesterday and, it conforms to the instructions Given
their committee it scarcely necessary to say that it
was ratified, only five voting in the negative The mi
nority the erection OF reneres by the producers
aud the retaining OF an entre cono Oh INC pusIhss.
They predict early failure OF the present arrange
ment 60, . ii. ,
in order 10 strengthen both associations and ndeavor TO
impars better tone 10 the market resolutions were
25th inst to the ls OF July next OF wells
actually drilling the date first named that the use Of
stimulate production be discontinued during the
period, 50 Tar as practicable recommending that work
oils drilling be suspended FOR ten hours each
IA and last t0at the Council ter 70 the district asso.
u.ecgs Ike recommendation that the pumping Of ~
wells having daily production exceeding .e1 barrels
suspended hours In each a. until otherws direc ed.
resolution directed acc as the representative Com
mttee Of the Association A an evidence OF GOOD faith
rcners agree to commence with giving order or
100000 barrels Of crude OIL making cash advance 81
s. % barrel aud TO market the refined at i
cents per gallon. netting the producer about = a.
Oh will PROBABLY commence To move under ,1s agree
On tGe 26th Inst, and toe money that mmedi
y aJw into the region VIII help materially c ease
reat strlpgency prevailing in the money market.
Watcher this combination Will prove Successful =
question on which many ooub5s are expressed; bnt 40
al events, Il rehQers stand by their agreement II
wilt doubtless have flr trial the producers, "a TIE
language OF tie President OF THEN Council, a.c "
10 accept anything that will give them twenty-EOur
hours relief"