The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-12-01

aggerated and overestimated, either
through enthusiasm or to spur investment;
but the fact remains that the finds are of
wonderful richness. Texas oil is altogether
a fuel oil. When ii leaves the we'll it is
worth from s to 20 cents per barrel, and if
there were a good market furnished by a
pipeline company the price would be ad-
vanced. However, Texas has effectually
barred out the STANDARD Oil Company by
rigid antitrust laws and the producers
do not have the advantage of the pipe
lines. The belief is that Ex-Governor Hogg,
ex-senator Towne and others who are
heavily interested in Texas oil, will go to
the next Legislature and knock the anti
trust law higher than the skies. They rec
ognize the value of having a market for
their oil right at the wells, and so long as
Texas will not permit the big pipe line
companies to enter the State they must
suffer financial inconvenience The South
ern Pacific Railroad has furnished a big
market for Texas oil. however. That corpo-
ration is using the oil as fuel in place of
every respect.
AROUND BEAUMONT.
The great Texas fields are conferred, for
liz uAOSl part, IOuuQ lie lONn VI beau
mont, although smaller fields have been
made in other sections of the State. AS a
result of the great strikes innumerable in
vestment companies have sprung up like
mushrooms, many of them of very ques-
tonable standing. That is true, however,
as a result of all great oil strikes and the
standing of n company in which invest
ments are asked cannot be too closely in
vestigated by the prospective investor.
California oil is of comparatively recent
find. Its richness has been demonstrated,
and the fields are apparently lasting. Like
the Texas crude product ii is an ideal fuel
oil, but is richer than Texas oil in a num-
Der Of valuable by-products. TIL Santa Fe
and Southern Pacific railroads use hun
dreds Of thousands of barrels of California
oil annually to run their locomotives. The
intrinsic value of the California oil outside
its use as fuel is produced by the refining
process which obtains the asphalt and 9TH
er b~y-products. BY the first process a light
distillate is obtained, which makes a good
grade of gasoline. Another process obtains
a fine grade of engine oil and also the lower
grades of lubricants. The base of the oil
which the distilIation process finally
reaches is pure asphalt. California oil is
particularly rich in that mineral. In some
fields asphalt forms % per cent. of the oil;
in other fields. 60 per cent, and in some
fields as high as 50 per cent. California oil
producers rely upon the asphalt obtained
from their oils to bring in immense re-
turns. In California the asphalt is worth
about $50 per barrel. or about SIS in Indi-
ana. 1t is absolutely noncombustible. A
fine grade of carbon, for electric lights, is
made from the California oils.
CALIFORNIA OIL CENTER.
Los Angeles is the great California oil
center at the present time. and in the main
part of the city high, unsightly derricks ad-
joining fine residences, give an incongru-
Gus appearance to the city. In the country
adjoining. thousands of wells are in opera
ton. New wells are being found almost
daily, and the old wells seem to hold out
steadily.
California oil producers are better off for
a market than are Texas oil men. The
Standard Oil Company has issued a circu-
lar addressed to the users of fuel oil and
to the producers of fuel oil as well i'm Cali
fornia, stating that they have opened up
large markets in the Hawaiian islands and
have made contracts with all OF the sugar
plantations there TO use fuel oil for steam
purposes. The United States government
has. within three months. sent an extern
sive oil-burning plant to Manila to be in
| stalled in government buildings. with the