The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-07-13
Ii Is Said to Be Working Through the
indianapolis Gas Company,
of This City.
MUCH SPECULATION CAUSED
OPERATORS IN DOUBT ABOUT THE
OUTCOME OF THE DEAL.
Purchase of Mississinnewa Mining
Company Under Way-Some
of the Details.


circles in Marion last evening when it be-
came public that the Mississinnewa Mining
Company, of Marion, was under negotia-
tons, presumably with the Indianapolis
Gas Company. by which the latter concern
will become the owner of the local natural
gas plant as well as $1,000 acres of the best
oil and gas territory in the State. surround
ing Marion.
The deal is more significant from the fact
that 1t is reported that the property is be-
ing purchased through the Indianapolis
Gas Company for the Standard Oil Com
pany. This fact, however, 1t is said. is un-
known to the Mississinnewa company, but,
nevertheless. II is reliably stated to be true
John r. Pearson. of the Indianapolis Gas
Company, is said to be promoting the deal
The Importance of the property TO the
Standard Oil Company is so clear that to
think II is interested in the transfer of the
property is given much credence.
II Is known that the Standard Oil Com
pany has about reached the end OF its
sources for 6isposing of the gas accruing
from its wells I'm Indiana The company
uses an immense quantity of gas in oper-
ating its various oil pumping stations
throughout the State, but the demand OF
those stations has grown much less than
the production of the conpany's gas wells.
The report has been going the rounds for
the last two weeks that the Standard COM
pany is preparing to suspend operations in
the gas field because of the inability to
utilize the gas.
VALUABLE ACQUISITION.
For the company to obtain a plant like
H. 81,
Marion, and thus dispose of all its extra
production of gas. would be almost inval-
liable to it in developing its oil interests
in this State. Under the recent gas-waste
law, upheld by a decision of the United
States Supreme Court, no company is al
lowed TO operate well for oil If any guam
tity of gas escapes. Many of the oil OPP
orators have been unable TO dispose of the
gas and were obliged to abandon their
holdings. The Standard was more fortu-
nate than most companies in the fact that
II had its pumping stations to utilize
good portion of the over-supply of gas. The
visit of two Eastern representatives of the
Standard Oil Company two weeks ago, at
which time they were in close conference
with President kuntz, of the Mississin-
newa company for two days. and the fact
that they refused TO register at hotel or
TO make themselves known to any one,
and the fact that during their stay in Ma
rion they are known to have taken a COM
plete inventory of the local company's
property, tends to confirm the report of the
prospective deal. The story goes. how
ever, that Mr.. Kuntz was under the i'm
preston all the time that he was in con-
90 y, Sr.os
connected with the Indianapolis Gas Com
pany.
Two days after the Eastern mems de-
parture Mr.. Pearson, of Indianapolis, went
to Marion and held a conference with Mr..
Kuntz. The following day President Kuntz
went to his home at Washington. Pa
Washington is the home of all the men,
bers of the Mississinnewa Mining Com
pany, and II is now thought that when he
made that trip East he took with him
proposition for the consideration of his
partners. Tuesday Mr.. Kuntz returned TO
Marion, only to come TO indianapolis on
Wednesday morning, and since then he
has not been i'm Marion. 1t is rumored that
the deal was to have been completed in this
city either yesterday or to-day, but this is
denied by Mr.. Pearson.
The consideration is said to have been be-
tween 100000 and $4,000. If the Standard
Oil Company secures possession OF the oil
and gas leases held by the Mississinnewa
Mining Company. the value could hardly
be determined.
MUCH SPECULATION.
The DEAL If closed. also gives rise TO
much speculation as TO what effect il will
have upon the city of Marion III the In
dianapolis company has an agreement with
the Standard by which 1t may secure the
gas from the oil wells drilled on that prop
erty included in the Mississinnewa COM
pany deal, il would eventually result dis
astrously 10 Marion, as it would rapidly
drain the Grant county gas territory
through the use of pumping stations and
other artificial means of transportation
which would be necessary to force the gas
to indianapolis. On the other hand, IL the
Standard undertakes to handle all the gas
production no reason can be seen by oil and
gas men interviewed upon the subject WIN
the deal would not prove of much impor-
tance TO Marion. The city would be well
supplied with gas and the Standard would
be enabled TO push developments in the
Grant county field with all possible rapid
ity and energy, which would be of much
benefit to Marion.
port that the Standard Oil Company will
secure the Mississinnewa company's plant
and holdings. They see in il prosperity
for the entire Indiana oil field. Marion's
private gas consumers and manufacturing
industries could utilize practically all of
the gas produced from the oil wells by
plugging up the dry gas wells of the Mis-
sissinnewa company's plant now being used
by Marion consumers. For the Indiana
oil field 10 prosper means general prosper
ity, and there Is hope current among oil