The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1902-04-14
S2,5OO,OOO OIL
CONTRACT SIGNED
United Gas Improvement Co.
Will Save Immense Sum
WILL USE TEXAS PRODUCT
BY This Contract the Eastern Hefin-
cries VIII Use 100000 Barrels
in Five Years, Saving
$4,000 Year.
WILL USE TEXAS PRODUCT

Philadelphia, April 13.-The United Gas
improvement Company has awarded q
contract to the Lone Star and Crescent
OIL Company involving more than ST.
100000 for the delivery of 100000 bar
res of crude Texas oil per annum for a
period of five years. The oil will be
used in the manufacture of Illuminating
gas, and means a saving of fifty cents a
barrel to the United Gas Improvement
Company, averaging s750,0O0 a year.
The contract, the largest ever made for
Texas OIL, is effective at once and the
deliveries of oil are to be made at New
York and Philadelphia. The oil will be
sent from the Lone Star and Crescent
gushers in the Beaumont field through a
pipe line to Sabine Pass, Tex, thence by
steamers to this city and New York.
The United Gas Improvement COM
pany's new process of refining 1t for IL
Eliminating purposes, in which the great
quantity of sulphur Is eliminated by an
important method, will displace the more
expensive refined product.
Location Not Decided On.
The exact location of the refining plants
have not yet been decided on, but until
then the plants at Point Breeze will be
used. Their probable location is de-
clared to be Marcus Hook, which, in this
event. will become the most important
refining centre for Texas oil in the East.
The Sun Companys works are located
there.
Less than six months ago the Sun Com
pany, in which Colonel Guffey is inter-
ested, and of which J. M Pew of Pitts
burg Is president, began the mantifac-
ture of refined oil, and has been very
successful
The Marcus Hook plant consists of
eight retorts, 40x12 feet Each of these
retorts holds 600 barrels or oil, giving
the plant an average capacity of $500
barrels. The storage tanks are also
much larger than ordinary. Usually, oil
tanks are 80 feet in diameter and six
sheets high. The ones at Marcus Hook
are ia feet In diameter and eight sheets
high. These have capacity of $4,000
barrels.
Patterned After Sun Plant.
The United Gas Improvement Com
pany's plant, plans for which have not
as yet been definitely decided on, will
be patterned after the Sun plant. Texas
oil usually develops a most unpleasant
odor in combustion, which naturally mill
tates against 1t as an illuminant. The
United Gas Improvement Companys
chemists by an improved process of
their own, will be able to overcome this
objection and obtain good oil at a les
sened cost.
A tank steamer will supply the new
refining plant with crude oil direct from
the Texas oil wells of the Lone Star and
Crescent Company.
The Lone Star and Crescent Oil Com
pany is composed of Eastern and New
Orleans capitalists It's capital is g. $780,,
600, divided into 100000 preferred stock
and $2,000,0 900 common, each of a par
value of 81 per share. The estimated
capacity of its wells is 100000 barrels a
day. A large amount of oil is now sold
in New Orleans for fuel purposes, the
distributions being made from tanks out
side of the city to large manufacturing
establishments.