The herald. [microfilm reel] (Los Angeles [Calif.]) 1893-1900, 1895-10-08
THE LOCAL OIL SITUATION
Effects of the Advent Of the
Standard Oil Company
IT WILL COME TO STAY
Producers and Co nsumers Alike viii Be
Affected
The Attitude Of the H:xchange-wiIi Continue
Its Efforts to Stlcare TranspsrtA ion
by Sea-0e neral OIL Items

past week are still manifest. Something
underneath is doubt less causing the dis
turbance. OF tnat everyone is sure,
though of what magnitude or import
ance the thing may be even the. wisest
ones are in doubt.
The Standard Oil pmp any has set It's
foot within the local territory, bringing
with 1t deal of sp ecuation as to what
will result from its coming. Some are
still lnquiring why it came, while others
ask: HAS 1t really conner An old oil
producer who belongs TO the exchange
maintains that the reports of the advance
of the Standard Oil company into the
local market have been circulated for III 9
purpose of strengthening the opposition
to the exchange and that the compan y
will never enter the field
This opinon has so me backing and has
received credence, but it is without foun-
dalton. Such an institution as the Stand
ard Oil com pany wou Id never allow its
name to be used In the interests of few
oil men in remote field where it could
have no motive for So doing. That the
great com pany has er uttered the Los An
geles field is positiv ely asserted by its
agens, J. G. Harvey. The company will
not enter the field as buyer yet, as the
tests of fuel oil now being made under
its direction have not been com pletei.
1t is an unusual proceeding for the
Standard Oil company to publish its inten-
tions before they are carried into execu-
ton, and for that reason the reported &C.
tion of the company has been doubted.
In this instance, however. it was thought
best by the MANAGEMENT to depart from
Al - IS 49,
nounce is intention of entering the Lo,
Angeles field at the time it did tor fear
producers might bind themselves by long
contracts and thus impede the corpora
tion in getting a hold. The announce
mept had the effect of lettering some
who would otherwise have pledged them
selves to the exchange, while those who
were standing out III opposition are now
ready TO join with the com pany against
the exchange. As matter of
fact, no oil has been sold to the Stand
ard company. In truth the company will
not be IN position to buy for some time
to come. II cannot be said that prices
have risen materially as result of the
prospective new bidders in the market.
By a great many the advent of the COM
pany is hailed with joy, while Others
speak obviously aoSut it.
The exchange seems not to be affected
one way or another. The officers said
yesterday that their plans would not be
altered by the expected change in affairs,
but that they would continue as before
to prosecute the work of securing trans
portation by sea. They say the Standard
Oil con- pany cannot affect their interests.
If the corporation enters the field as
buyer, it will probably buy through the
exchange, just as any other purchaser
must do.
so far as the determination OF the
memb ers of the exchange is concerned.
there is no question. They will fight it
out as best tiey can. But the situation
is nevertheless influenced to certain de-
gree by the coming of the Standard.
Transportation companies VIII hesitate
now before entering into contract with
the exchange when they are aware that
the yare going to have to com pete with
the great oil trust. If long delay in secur-
ing water transportation results, the ex-
change will be weakened. which will
mean a CORES ponding gain for the
Standard. Should the latter company
eventually secure control OF the in
dustry in this locality, as it has in
nearly every other section where it has
entered, great changes may be wrought,
affecting not only the producer but the
consumer as we'll.
GENERAL OIL ITEMS.
The executive committee of the ex-
change held an important meeting yes
terday afternoon. at which thorough
QlSClSslOu VI iHe prtseHb s.tudLlOu was
INDUCED in. Communications were read
from outside parties and referred to the
proper committees. Steps were taken to
continue the work of extending the ex-
change and other routine business tran
sacted, after which the meeting was ad-
journed subject to the call of the chair.
The western end of the field is begin
ming period of renewed activity. Exca-
vations are being made for four new wells
in the neghborhood of First and Bel
mont, two of which are for the Rex Oil
company and one each for the Union Oil
company and MI. Cole.
The owners of the Nelson spouter have
arrangements about completed for drill
ling another well just above their old
property.
The Pennypacker well on Belmont,
near Court street, has been abandoned on
account of the loss of tools and casing
Drilling in this mole has been attended
by continued bad luck from the outset.
Spudding was yesterday begun in Stack
Il Embody's well on Hobart street.
The Martin well on Lakeshore avenue
10 now down 100 feet the drill having
penetrated $50 feet in the sand without
rs vet passing through it.
BrUpbey Bros. are putting the de rrick
and engine IN readiness for drilling a
new we'll on Omaha street.
In the Dryden well, between Patton
and Douglas streets, the drill is now so
feet in the sand. A depth of 725 feet has
been reached and casing is being put in
IS the work progresses.
Doheney ~ Cannon have connected
their new we'll at the corner of Temple
snd Figueroa streets with the pump. and
are moving the drilling rig south on
Figueroa where they intenu drilling an
other well.
Preparations are being made for the
Weller well Mob, which will be put down
on the lot adjoining we'll No. 1 on Fig
ueroa street.
Skinner, Tonkin &c Perkins have had
great success in redrilling one of their
old wells, and are now engaged in deep.
enins another. The first has been put
down into the second sand and as re-
suit is pumping in the neigh borhoJd of
200 barrels day. The we'll az present
being redrilled is already 1920 feet deep.
the second sand having been entered "a
feet. Oil flows in great abundance
SPIRITUAL SCIENCE