The new North-west. [volume] (Deer Lodge, Mont.) 1869-1897, 1876-10-06
PETROLEUM.
The Remarkable Advance IN OIL and It's Results
Effects Of the Recent Depression.
On Cry, Pa, Sept. IA, s76.

/ -,.s.i 80. On Cry, Pa, Sept. IA, s76. /
Perhaps in no section Of, the country has
there been 50 complete a revolution in
business affairs within the past menth as
in the oil producing territory of Western
Pennsylvania. For several years past de-
preston, inactivity and failures have been
the order Of the day, No part Of the coun-
try suffered more from the hard times.
Now, however, everything is changed.
The cloud Of depression has dri:.ed quietly
away and in its place may be seen all the
evidences of thrift, enterprise and all that
marks q locality as prosperous. i, g Four
dollar Oil = is a reality, and all branches Of
the trade are consequently happy-happys
because they are making money. aatI
/ ,a,., THE REASON OF DEPRESSION. ,-..,,,,,,
i For two Or three years, past the great
staple of this section, petroleum oil, has
been furnished foreign consumers at about
the cost of production. The exporters
combined and would pay the producers
only SO much. The producers had the oil
and were compelled to sell for what they
could get. Prices continued to decline and
producers to fail. Large wells could only
be, made to pay. Small ones, with pro-
ducing capacity Of only six or eight barrels
per diem, were abandoned, and the owners
continued to hunt for new territory in
which they could obtain gushers. Fortunes
were lost, and many as good business men
as the country furnishes were driven to.
irretrievable bankruptcy and some even to
madhouses. The price continued to go,
downward until oil at the wells sold for
forty cents per barrel. Such scene Of
desolation and ruin as followed it would be
difficult to imagine. Small oil towns like,
Pithole, Bully Hill, Cashup, Triumph Hill
and others were deserted. Towns with a
population of 5000 to 10000. were left
within three months with less; than half a,
dozen voters. Old derricks, engines, pump
houses and the like marked the spot which
had once been the scene of great riches and
excitement. E5S421i i'Af12" *53'a 24sa' Efs
bsdIgE aisi BETTER TIMES fIG mid ba58
Such having been the case 1T is mot re-
markable that, with the return of better
times, there comes a grateful feeling TO all.
The great improvement was made during
the month of August. biDuring that time
the price of crude oil nearly doubled and
some of the most fabulous fortunes were
made in a single day. One day there oc-
ccnrred an appreciation Of about seventy
five cents per barrel and one individual
operator in Oil City realized profit of
some $500, 900. s The advance in the market
and the consequent better feeling which
prevails are primarily attributable to the
greatly increased demand for consumption,
together with not enough increase inlthe
production to offset it. a During the month
of August, this year, there were com pleted
in the whole oil district 26S wells, forty one
Of which were dry and worthless The
aggregate daily production ofIthese9 was
1896 barrels, or an average Of about twelve
barrels for each well completed. During
the same month last year only sixty six
wells were completed, but the aggregate
production of these was 1, ,445 barrels, or
an average of about twenty two barrels per
well. Thus it will be seen that the wells
completed this year are only about one
half as large producers as those of 1876.
A. large percent of the 1853 wells completed
| are located in the immediate vicinity of
other wells, and will diminish their pro-
duction accordingly. '-''''
y During August tivxos -~e-s iSs, ~paIls cnnl-
pleted in Butler county, with an aggregate
daily, yield of o743 barrels ~ in Clarion
| county, with daily yield Of |, 3i8 barrels
81 in Venango, predicting 367 barrels daily;
SO in Warren. producing 276 barrels, and
30 in Mexican, with an aggregate daily
production of 652 barrels. ), On the 1st day
| of September there were drilling in the
entire oil region 36f wells, with rigs up in
readiness to commence 383 Others Prob
ably 243 of these will be, completed during
the present month, and it is safe to predict
| that their average production win not be
above ten barrels each. ~ a9t5 "eiiAol4
1.-The dailyproduction of the entire regior
at present is 26, 500 barrels AN increase
Tof, fully ], 800 as compared with July, Thit
is small increase to be derived from the
enormous host OF new wells. As exhibit
ing s9klq bfi@ nsfi5iniz ,i}45slhI' I'naoa 90 81
EIbngi1g THE INCREASED DEMAND asnal 3
for this illumlnant it may be stated tina
the total shipments from the region o
crude oil, or its equivalent in refined, dur
ing August, 1876, were s9i,921 barrels
andsin the spending month this yea
la, IL, 200, showing an increase this year 2
282.2 .2SS barrels This shows that dnrin!
August, this year, 81, S78 barrels were dali,
taken from the regien. ~ oDeductingf from
this the daily production, 26, 800, We in'
11,378 barrels have daily been taken iron
the reserve stock on hand. The tota
amount Of stock in the region is 8, SO
barrels. Were the shipments and produc
I tor, to continue, the same it would requir
Ionly about $50 days to remove every barre
of stock from the region. The CROWN
consumption will require a huge amour
t'durii1g the rest Of the year, and five-dolla
oil now seems much nearer than did three
! dollar a little over month ago. Th
present price is $3 go at, the wells, th
market having advanced nearly W durin
the month. The price one year ago to-da
was ninety-five cents. Producers exhib
characteristic energy in prosecuting dove
i opments to the utmost, but even this foil
can hardly prevent the upward march j
price of, the grand illuminant of the nin'
teenth century. :, - esH L.ss,S' -,
81 IiFTs1aG9 I'D. .1a9L .-.I9laal29 zwadJ5GA
lGogsia8 sdT-T 5EH3 2. --I1EII- .I..8I.fgl yd3
70 Disappearance Of Large California Lake.
agagIgFs CAT .sFdia8----e-- gitiagI ss hG8da
EtliWhile In this city, says the Nirginiacit
, CAronsck, Lieus. Wheeler dcalledaon IL
James, the we'll known, civil and lninin
II engineer. m the course Of the conyers
ton that er,sued between the two gentl
! men, Lieut.. Wheeler referred to certa
section Of Lower California in which III
ias~zl. II =, as7Q CO.. !,