The Chanute times. [volume] (Chanute, Kan.) 1897-1913, 1899-11-17
noe 6ape It.

contract was entered INTO whereby
the city will eventually own the gas
plant here and the Standard Oil Co.
withdraws permanently and peace
fully from our territory, turning over
all their interests to the city, includ-
ing the pipe line in the city limits
with all its fixtures and accessories,
the Keys purchase including the fine
gas well thereon and all their leases
within three miles of the city. The
CITY agrees to pay the Standard Oil
Co. s62.5OO for all this in manner as
follows:
$500 cash and balance from the net
proceeds Of the plant as fast as earned.
The city is to select treasurer who
will have full charge Of the money
and are to have free access to the
books of the company at all times.
The city is to have the privilege of
using part Of the proceeds to drill
new wells should it become necessary
to supply the town with gas.
The Standard Oil Co. remains in
control of the wells and plant till the
whole debt is paid together with 6
per cent interest on all deferred pay
ments, and they guarantee that the
whole expense of running the plant
and keeping it in repair shall not ex-
coed 81, 500 per annum.
The Standard Oil Co. is to make
connection with our five wells at their
Town expense by running five inch
main from the city to the river and
connecting each of the wells with
said main by two inch pipe.
This contract and agreement is to
go into effect January l, 1900.
Up To that time the Standard Oil
Co. gets the proceeds of the plant but
are to use their own gas and not draw
from the city wells.
| This settlement of this perplexlng
lquestlon by the council meets with
1.-The hearty approval of almost every
Imam in the city.
The price paid seems rather exor-
bitant and is more than we expected
| to pay, yet when the terms Of pay
ment and the immense profits accru-
ling are considered it is very fair set
Element.
1t is true tnat this plant only cost
the local company and the Standard
lpeople about one third of the selling
price, but 1t is also true that it is re-
turning a dividend of ten per cent on
ten times the cost and the mercantile
value of a plant is not based on first
cost but on its earning capacity.
| 1t is also true that some of our citl-
zens will probably get three times as
much money out of the investment as
they put into it but we rejoice IN
their good fortune and only wish we
had a few thousand dollars in the
same stock. They put their money
. into a public enterprise and took all
chances and won out. They are to
be congratulated.
j. Now that this matter is settled and
. we no longer fear trouble from the
Standard Oil Co. or anybody else. and
have a clear field and the brightest
prospects of any little city In the
west it is time to get our heads to-
gether and go to work to get our great
natural resources utilized.
That we have broad field of gas
is unquestioned by anybody and the
drilling for gas established the fact
almost beyond dispute that we have
valuable oil field. Two of our gas
) wells showed up oil in paying quanti-
ties. This oil business must be fur
ther investigated.
A two foot vein of fine coal was
{ passed through in one of the gas wells.
We have unlimited quantities of the
best of brick shale, with all these adj
yantages we only need little push
and little pull all together by our
citizens and things will soon begin to
pop.
There is no reason why local COM
; pany should not be organized to make
brick, the material is all here practi'
cally free, of the very best quality
and the demand for the product is
practically limitless, and the profits
In the manufacture are enormous.
The brick business will be started
here very shortly, il our local capital
don't want to take hold of 1T foreign
crpital soon will step in and occupy
the field.
Rejoicing in the settlement of this
gas question, and with unhounded
faith in the future of Chanute, THE
TIMES tips its hat to the future
great and warns the knocker to cling
on to the endgate, the procession IL
passing.
IL Olc Lont a