The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1905-04-12

Great Need Of Kansas on Producers
Combine


Chunute. Kas. April i2-Tho executive
committee oi the on nroducors who have
consolidated ihtir holdings into "a com-
Eyuy 10 supply q Nansss city fuel OIL
ripe iine announces thai IL is now in the
Taafkct for tark lafs if the arrange
incnis peadlnE with the Aichison, Topeka
a SANTA r. railroad are completed, the
shipments OF oil lrora this part OF the
rsld to fm.sas Clty VIII begin this week.
Az announcement that rate has been
secured was htic prccalmc. The rate
was Suggested and TIC railroad officials
nre working on it,
The scarcity Of tank cars is one OF the
things which viii delay the rapid move
ntnt Of 'he Oh for awhile. The Santa Fe
company did not anticipate the organiza-
tion OF the consolidated company and is.
therefore. saoi- or tank cars. The tank
Var factories are busy and it may Be
i.sone timo before lhe product OF The field
etts 70 marKet But the producers are
romg to ship an ,hey can and increase
lhe shipments os the surpiy of tank ears
lutfeases-
Ii is the Intention OF the consolidated
company 10 ship by tank cars until the
rii.c line is completed, which win be q
iiatter ni several months. The refinery
in Kansas city viii De- STARTED within the
next two weella. The oom1any viii need
every tank car q buys later on TO sup
lly those portions ef Kansas and the
aadne West wntrt there are no pipe line
laclities
-nere Is an advantage in buying tank
cars because while they are On use. the
ID frt
WAY the producers company can earn the
value 90 the cars in few months. Then
where the ownership Of the cars is vested
in the railroads or some other corporation
there is always a chance Of delayed ship-
n,euts and things like that. which IN the
loisp run affect business more than ordi-
nary rebates. Where corporation owns
Hs cars they can control their movement
hereas Il the railroad or "a foreign cor
pcration owns tkem, -he producers would
H. at the mercy Of somebody else
The members OF the producers eNecu-
two committee have been holding ses-
sions twice day. working ont The de-
tails of the plan of consolidation. The
insmbers viii leave Chanute today for
u tfp to Humbold, acd Paola THE idea
is 10 start the company with the nltxi-
mum Of production, 10000 barrels day.
ghis VIII enable The opEnizing come
niltec 70 do AN the work at once and
t-ns obviate the arprusement Of prop
s-;ics which mqy want 10 come iu later.
The appraisers alreldy me az work.
The read de.ails o. the consolidation fan
bu them. The companies which have
pledged their production 10 the CONSOLE
dated company are submitting inventories
snd tie appraisers mus1 80 over , cry
3svm and verify it The assets of thc COM
I.arios are TO be taken into the CONSOLE
duted company ON the basis OF their pres
ei. value or what they could be required
Tor Ia their present coudition. ana not on
The basis OF original cost. This again
iaakes trouble .or the appraisers. because
j; renders necessary an accurate knowl-
edge OF the cost o. everything necessary
for ihe conduct Of the oil business.
Productions c,u be easily proved by the
pipe line statistcs. but when St comes "a
iie value of tanks which have been in
service two or th ee years, or casing
end pipe and things OF shat kind, il is
eniuely different matter