The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1900-02-03
REVIEW OF OIL.
The Scout Believes the Situation Is
an Encouraging One.
Law OF SUPPLY AND DEMAND
Il the Standard Ever Gives II a
+ Chance would Bring About Fur-
Their Advances in the Price Of
orude-Kentucky Fields Are Pro-
nouncsd Worthless.

The developments throughout Lhe OF
regions for the past week have been Of
the most encouraging nature for the
advancement Of the crude market. Re
ports this week from the various sec
lions conclusIvely show that the exper-
mental has in no wise contributed to q
new production. It Is indeed most sur
prIslng to note the vast amount Of
validating that is now being done II
every locality from the state Of New
York down to the southern boundaries
Of old, turbulent Kentucky. The aver
age oil man forms but u slight concep'
ton Of the volume Of experimental
work going on, and completed from
week to week by the daily published re-
ports, for they represent but a small
part Of this class Of work, and hun
dreds Of wells are finished every year
that no account Is made Of This also
gives the trade some idea Of the great
effort that Is made to discover new ter
rItory and increase the waning produc-
ton. And It must not be forgotten
either, that the wlldcatter confines hiE
explorations to the confines Of what
may be termed the eastern and western
tields, or the regions producing Pennsyt-
vanIa and Trenton rock oil, but he ia
found in evidence in different states OF
the union, where the trade, or major
part Of It, has but little idea that new
territory Is being hunted for by the IT.
repressible wlldcatter.
oh 11Vuk ~ nfhnFs nf
recent date, has been the scene OF a
large amount Of validating that has
never been made public, as there has
also been In Kansas, Colorado, Callfor-
MIA, Wyoming and Tennessee.
It Is no exaggeration in saying there
has been more capital invested and
more money lost in the past six months
In prosecuting experimental work than
In any other American industry, with
the exception Of the iron trade, and yet
after all, the production has gradually
been declining and for many months
consumption has exceeded production
by quite large percentage. With the
failure of the drill recorded at every
prospective point, how long Is 1t posi-
BILE for present conditions to exist be-
fore crude advances to figure some
thing near its real value, and how long
will 1t be before the stocks are entirely
wiped out, and when they can no longer
be used as a factor In depressing
values? Surely that day Is not far dis
tant, and when the principles OF supply
and demand govern prices, 1t will mark
the daWninG OF n new era in the petro-
leum industry which has not prevailed
since the trade has been dominated by
the combination Of capital and allied In
terests. At present every indication on
the oleaginous horizon points to this
contamination OF affairs, and there Is
not a single logical point In the pre-
misses that can be presented against the
fulfillment of the conclusion.
Encouraging Situation.
The encouraging signs for better
prices for crude are found in the high
quotations for refined products, both at
home and abroad and which still re-
main firm and buoyant A comprehen-
slve review of the situation discloses
the salient and Important fact that the
industry from It's first inception never
was in q brighter or healthier condi-
ton. Those who hold balances In tha
pipe lines are selling Just as little oil as
possible, believing that they Will soon
be able to command much better
price. while to buy oil on margin for
speculative purposes Is out Of the ques-
tion.
News this week from the operations
in Kentucky shows that all of the eX-
detrimental work in the blue grass oil
regions turned out very unsatisfactory
and not single tangible result was
produced. The writer had very inter-
estfng Interview with a prominent
Pittsburgh oil man who has just return
ed from Kentucky, where he has been
the representative of large capital
prospecting for new territory. He said
he had been In the Kentucky oil fields
for the past twelve months, during
which time he drilled a dozen wildcat
wells in different localities, all OF
which were located upon well defined
belt theory traced from the Bradford
field down through all the noted pools
and fields to the developments in the
Bourbon state. He drilled the wells
below all known producing formations
and out OF the lot did not find paying
we'll. In one or two little oil was en-.
countered, but the sand which produced
It was shallow and Irregular in its for.
nation, He also said his company had
squandered over 100000 In drilling, TAX
Ing up territory, paying rentals, etc.
and It was his opinion that Kentucky
was no good for oil, and that no pro.
duction that amounted to anything
would ever be found. His advice to oil
men Il to stay away from Kentucky.
Since territory has become so scarce
IN the regions producing Pennsylvania
and Trenton rock oil q few oil men
from both the eastern and western
fields have Eravltated to the old devel.
opments in Tennessee, with view oil
prospecting for new territory. They
have secured large blocks Of territory
on the most reasonable conditions and
have already started several wells In
different localities, It II predicted
however, that these operations will re-
suit Just as have all the prospecting
that has been done in the past, and
that Is failure. II they should turn out
different It will be great surprise tc
tho trade.
An Important Well.
Perhaps the most important well
completed In the Mountain State since
my last review IL the Battelle we'll, To-
Gated in the Campbell's Run extension
In MonongaliA county, on the StroBin-
der farm, It's Importance, however, ID
found only In It's caliber, It being the
biggest producer found In any section
Of the oil regions for many months. Its
Importance, too. has beep greatly over
drawn by many, who are laborlng un'
der the impression that the late strikc
Is located In distlactiyely new terri
tory, and as a consequence the market
will be materially effected. While the
we'll is a good one, 1t will have no de-
pressing influence upon values, nor has
il opened up any new territory to speak
OF. II merely indicates n little extern
ton OF territory to the northeast from
the same parties producer on the same
farm, and shows the possibility Of a
still further extension in this direction
This fs not the first surprise this end
40 much ado should he made over its
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