Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-06-30
CAPTURED THE WORLD.
The Standard Oil Company Has Spread Its
Protective Wings Over Every Place but
the Russian Fields; and They VIII Prob
ably Fall in Line With the Others


BERLIN, June ss.-Reference has already
been made in these dispatches to the action
of the Prussian Minister of Commerce, Herr
Won Berlepsoh, against the German -Ameri-
can Petroleum Company. Bremen is one Of
the greatest coal oil markets in the world.
How the great oil company got its grip on
that place and subsequently on all Germany
is explained by an article recently published
in the Weser Zeittnq. From this it appears
that the leading Bremen firm, Albert Nicolas
Schultz Son, consented to the formation
OF a stock company because they were
poweriess to resist the Standard Oil Com
pany, and had they resisted Bremen would
have lost the importing trade without bene-
nting Germany, for the Standard Oil Com
pany had also made arrangements with
August Sanders Co. and G. 7. II. Siemens
q Co., two great Hamburg houses, and would
s1uply have transferred the entire coal Oil
importation to Hamburg
The German-American Petroleum Com
pany transports its oil in tanksteamers.th thus
evad1ng the German duty on barrels. If
possesses great barrel factories in Germany,
and transfers the oil from the steamers
directly into the barrels. The German firms
which have combined with the Standard
take care only of the wholesale trade and
transportation into the interior. The whole
OF Germany is divided into districts as
signed to the different firms belonging to
the combination. Tanks have already been
erected at Riesa, Duisburg and Mannheim,
and it is now feared that the entire retail
trade will fall into the hands of local
branches of the great monopoly.
The Company is Absorbing Everything.
The great company appears determined
to absorb every branch of the coal oil trade.
First it got control of the American well
owners and reiners then of the American
export business, next ofthe private shipping
interests, then of the European importing
business, then of the export from European
ports. and now it seems to be trying to seize
the entire retail trade. 1t is q monopoly OF
the whole world and q private one at that,
with its seat in America. If it succeeds In
buying out OF combining with the men who
control the production of Russian coal oil,
then the supply of the whole world VIII pc
subject to the power of few gentlemen III
New York.
If there is one man in Berlin who Is well
informed in matters pertaining to the coal
oil trade 1t Is Max Gaede, director Of the
German-RusSian Naphtha Importing Com
pany, the German branch of Nobel Brothers,
the principal producers of Russian oil. The
Nobels,.who own many OIL wells at baku,
produce annually 10000 barrels-about
one-third of the entire Russian output.
They have a feet of tank steamers on the
Baltic and Mediterranean. They have re-
ceiving tanks at LuDeck, Genoa, Marseliies,
ample means and could maintain their inde-
pendence if anybody could. Yet, Judging
by the following interview, they expect 70
be swallowed up like all the rest Dy tne
American corporation.
The correspondent of the Associated Press
asked Mr. Gaede what he thought of the
movements of the Standard Oil Company
and how they would affect the trade in
Europe and especially in Germany.
A Rivals Opinion of Its Power.
According to my information" said Mr..
Gaede, "the Standard Oil Company has
within the last few months managed to se-
n = Of II l+lo lo,- in,
Bremen and Hamburg which are engaged in
for their interests and improvements, and
then organized them into a stock company,
the eGerman-American Petroleum Company,
in which it holds the controlling interest 1t
bought Schultz & Co., of Bremen, and Riede-
mann & Co., of Geestemunde, for 10000 900
marks. 1t paid proportionally large sums of
money to Hamburg houses. All these houses
same thing at Rotterdam and at Antwerp,
where it has formed stock companies with a
capital of about 100000 guilders each, in
order to control the trade of Holland and
Belgium. We have just now received the
information that the Standard Oil Company
has brought out the firm of Walter
& Co., of Venice, who control the oil trade of
immense receiving tanks and depots at
Venice, Genoa and Savona in Italy, and Arth-
Goldau in Switzerland. Now it has combined
with the: Standard on Company, which Of
=
name of the Societa Italo-Americana Pei
Petrolia. The capital, fully paid up, is 2,5O0-
900 francs. You see, the Standard is getting in
some time to come, but fear that eventually
we must also submit. The. Standard pos
sesses such unlimited capital that it can
achieve almost everything"
"Is there any truth in the report of its COM
bining with the Rothschildss" asked the cor
II cannot tell" said Mr. Gaede, ''but if so, it
fhcR ldor>
but a very small part of the Russian Oil wells
not more than one-twelfth. Their total
production is only about 100000 barrels, so
they cannot influence the market much.
Here is a full statement of the entire Russian
output" continued Mr.. Gaede, showing q
statement
"The entire production, as you will see, is
only 6s, ,0O0 900 'pud,' equal to about 100000
barrels Deduct from this the home supply,
the Oil exported to Asia, Egypt Turkey,
Italy, Belgium and England and you will see
that we cannot supply Germany, which
alone uses over 10000 900 hundred weight of
oil year. No, until. some cheaper substi-
tute for coal oil is found or invented, the
Standard Oil Company will have control of
the trade the world over"
What will be the consequences OF this
power and supreme control? Will
the price of coal oil be raised?"
Goal oil, replied Mr.. Gaede, "is so cheap
sumner it will make but little difference if he
pays a few pence per gallon more or less.
We shall, of court, be glad to have them
raise the price, as our oil will rise accord
lngly.n
ut is thought in Germany that the COM
pany, after getting control of the importing
trade, will try and do away with the jobbers
and retailers by erecting its own tanks
everywhere" said the correspondent.
IL do not think so. As lOngas the German
American Petroleum Company gets its own
price for its products it will not care to in
terfere with its own customers, for they
must all DuV from that COmDaQV.b
The Government Cannot Interfere.
"You are aware that the German Govern
ment has ordered an investigation to be
made regarding this new combination. Can
not the Government break the power of the
company by special laws?"
mo, it can do nothing. Everything has
been done in strictly legal way. There
Is apparently no ring, only q regular mer-
camille corporation. If the Standard Oil !
chooses to raise the price of its
products in America and sell at these higher |
prices to the German corporation, what can |
dot"
"Then you think that company is without |
4 rival and without competition?"
1--WE are still in business" replied Mr.. |
been formed at Stettin for the purpose of |
building tank steamers and tank depots for |
the importation of coal oil. 1t has a capital |
Of 2, 900 marks. 1t will be quickly killed
Oy Ine otdnuaru, OI, what Is mOre llhely, IL
will be bought out. In fact, am not sure |
but that it was formed solely for the latter
purpose. There are, however, some good
men connected with the new company, and
may be mistaken as to their purposes"
Mr.. Gaede'S talk and manner conveyed |
;he impression that he thought the Standard
Dill Company powerful enough to defeat all
opposition and that realizing this fact, his
company would gracefully surrender if hard
pressed and if big price were paid for the
surrender. Should this take place, then the
standard would hold uncontrolled sway on
he continent The Rnard of Elders of the