Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1910-09-02
IENNS COMPANY CONTRACTS
WIN TilE CENTRAL,
GOOD FOR THREE YEARS
General piigr Get. u Boost Of From
"S to 90 teuls-SignitcHnt
ihinRs Happening,

uMuhomp crude oll is 90 cents ths
burg ThF wu lhe TcNa Compunys
quotation yesterday ond it ia more
than likely viii joe the quotation Of the
rmlue aud Gulf today that If not
better
Ar thc Prairie offices last evening
horr was general Ignorance Of any
thing rotating to on market coudl-
uous Tbia ia explained no doubt, by
the absence OF w. a Iattimer.
The advance comos as no surprise
tu OH producers who have been watch
ing with ll-concealed amusement the
development uf the lort few weeks To
relate % c.tcunstance not, perhaps
generally known, win explain this.
At thc tme the Central Fuel OF
Company deal wW perfected il was
given out that thr Central. instead OF
constructing pipe line 10 the Gulf 10
huudlc ts production had entered in
to three, year tpniruct with the
ToNaH the Inference being that the
Texas was simply to act as trans
porting agent 49, matter If fact
the Iryas contracted for the entire
production of the Central at G5 cents
the barrel The market price. let IL
ho always remembered was 3s cenn,
hul thcrc s more a.gnincance 10 the
transaction than appears from this
statement
The Central production Is In the
north field ana tosts 30 To 32, yet II
was considered valuable enough Tor
the Texas To construct q nfly-mile pipe.
line nc 70 cost of perhaps half million
dollars and pay 90 cents for IL. while
Glenn puol oll, iftv mild7 nonrer tlde-
water aud testing 3S TO 40, was only
considered worth 3S cents the barrel
Illinois OIL several hunderd miles fur
thcr from tldpwatcd. ana testing about
the same gs the Rartlosvile oil. is
quoted at 90 cents. Thus II win be seen
that the TcSns compnny's contract
with the Central was on an Illinois OH
price.
Th'n knowledge has made II rather
clear that higher prices for Glenn Pool
production had to come. because 20
oXplain this series OF facts exceeds the
Ingenuity of cycn the marketing con
Germs publicity hurcnu.
History repeats itgeig, not OCCASION
ally or sometimes but always And II
is the history of the oil industry that
such ovenr ag have been transplring
IN the oklahoma field during the past
weeks are thc certain forerunners OF
Increased prices
The success Of the Central Fuel OIL
Company deal cnmc as a bitter SUR
prise to the Prairie. Just how near
panic stricken that marketing concern
was ig best understood by what fol-
lowed Almost Immediately II runhed
into the market for big producing
properties. and its first deal was 10 pay
the price demanded for the Barnes
production In the Glenn-a price, let IL
always be- understood. other reports"
ana "rumora 10 the contrary notwith-
nearer four million dollars
than three
by the deal the Prairie dumped six
thousand barrels daily production into
the void created hv the loss OF the ten
thousand barrels daily 90 the Central
which pg eventf have since disclosed,
really amounted To loss OF that
0mount of production to the Texas.
This was quickly followed by the pur-
chase of the Sinclair White produc-
ton which added something like two
thousand barrels more. There have
hoon other purchases by ;he Prairie
and there ore still others In process.
The Prairie be- recuperating It's lose-
lr Not only that u has been erect
Ing The fences about its base OF sun
plies $50 that n w0l have n reasonable
amount of oil clnched when the price
bo9lns to go MP
The Prairie has started up II isn't
going ~ ston lt 40 cents or anything
ftttI.HH "a Hltr na.l