The San Francisco call., 1901-10-06
OWNERS PLAN
A MAMMOTH
COMBINATION
Companies Representa-
tives Recommend
Concurrence.
Great Scheme Takes Shape
and Augurs Prosperity
for Two Districts.
Promoters Of Unity for Benefit of
Kern and McKittrick
Make Decisive
Move.

Thirty producing California oil COM
panies, having their plants in the Kern
and McKittrick districts, are represented
in articles of incorporation filed in this
city and Sacramento yesterday. By the
terms of these articles corporation with
a capital stock of 900 comes into
existence.
This consolidation of these companies
is the outcome of long effort to bring the
producers together for the purpose of
marketing their output at a profit. That
the work to that end was already on the
point of success was published exclusively
in The Call at recent date. Certain
parties denied the accuracy of the state
ments in The Call, but the Incorporation
of yesterday settles all cavilings in that
direction.
The greatest corporation ever formed in
California, and possibly in the world for
the prosecution of the oil business, makes
it's bow to the public. Many millions of
invested capital and large areas Of land
richly saturated with oil are represented.
The purposes of the corporation include
practically everything that can apply to
the development and protection Of the in
corporation is named The Associated Oil
Company. It has 40 900, 900 shares of capt.
tai stock of the par value of 81 per share
Men who are prominently connected
with the oil industry in California consti-
tute the first board of directors. Their
names, residences and the shares of stock
of the Associated Oil Company for which
they have subscribed are as follows:
c. A. Canfield, Los i.ngeles, 10; w. A.
Jacobs San Francisco, 10; B. F. Brooks,
Bakersfield, 10; Burton E. Green, Los An
geles, 10; w. G. Kerckhoff, Los Angeles,
10; H. H. Blood, San Francisco, 10; M. J.
Laymance, Oakland 10; w. S. Porter, Los
Angeles, 100: w. F. Chandler Fresno, 10;
o. Scribner, Oakland, 10; Henry Ach, San
Francisco, 10. Every one acquainted with
the oil industry will recognize these men
as being the principal operators of oil
properties situated north of Tehachapi.
Absorbing Old Companies.
AS explained last evening by Henry
Ach, who has been a strong advocate of
the idea of consolidation and active in
bringing about success, the thirty COM
panies whose representatives have ap-
proved of the plan of organization of the
Associated Oil Company will, after their
stockholders have registered their ap-
proval, go out of existence, and to their
present stockholders stock, bonds and
money will be issued in payment for their
properties. The basis of the payments to
be made has been agreed upon by the ap-
praisement committees who were appoint
ed to take up and consider that very es-
sential part of the work
The promoters, of whom W. S. Porter
has been the most prominent, have the
assurance of the representatives of the
companies that their stockholders are
likely to take favorable action and ratify
what has been done. Payments will be
made for the existing properties in ac-
cordance with the reports of the experts
who were sent to the Kern and McKit-
trick fields some months ago. The capital
of s4oOOoooo of the Associated Oil Com
panv. the isue of which is authorized by
the articles of incorporation, will pay for
all assets of companies and leave mar
gin.
The leading companies to have their
properties consolidated in the new cor
poration are:
canheld Oil Company, Black Jack. Wolverine,
Alma Henrietta Olema, Alma Jr., Alpha,
Senator. Chicago Crude, Central Point. Toltec.
Red Bank Green & Whittier, Colossal, Reed
Crude Oil Linda Vista, Sterling. Sovereign,
| caIifornia-Standard, Giant, San Joaquin Oil,
| Monte Crtsto OIL, Shamrock, Claremont. Pied
mont and all of the Garfield oil companies in
the McKitttrick district.
These have a great annual output Of oil
and scores of producing wells. There are
producing companies in the Kern districts
that have not taken any action toward
Joining the new corporation. Some Of
| these. it is explained, have made contracts
for the disposal of their total product for
q long period, and this fact has undoubt-
! edly influenced them.
Plans Are Gigantic.
The gigantic scope Of the Associated
oil Companys plans can be summed up
briefly. One of its purposes is to build a
nine line from Bakersfield to some point
at tide water to be selected. This will
be erected at San Francisco and else
where as deemed advisable capable of
holding many hundred thousand barrels
of oil in the aggregate. The articles of
| Continued on Page Fourteen