Los Angeles herald., 1910-10-20
AMERICAN OILFIELDs
FAVORS AGENCY CLUB
Agreement Believed to Be for
Best Interests of AII-0ther
Field News

That the American Oilfields company
considers the Agency Associated con-
tract good things for Agency COM
panies is indicated in a circular sent
out to its stockholders in which the
signing of the contract is cited as one
of the recent developments which has
so improved the prospects of the COM
pany that it has decided to reduce from
eight to six shares the stock bonus
given to stockholders who purchase
$1,000 worth of the company's bonds at
par and accrued interest.
The circular says the new arrange
ment is expected 70 result in an in
creased market for the company's pro-
duction. other reasons for the advance
in the company's prosperity are quoted
as follows:
The company is adding seven $4,000
barrel steel tanks to the seven pre-
viously built, and also expects within
a few weeks to finish two reinforced
concrete reservoirs of 100000 and $780,
900 barrels capacity, which will make
the company's total steel and concrete
storage 1,870,000 barrels. The company
now has about 100000 barrels of oil in
storage.
Through the Midland Oil company, a
subsidiary to the American Oilfelds,
the latter has a contract to furnish to
the Santa Fe railroad all of its own
production This is a variable guam
tity, but probably will range from Co.
900 to 100000 barrels a month. The
railroad uses $4,000 barrels of oil per
month.
Between April and September 25
the company's production was 1850, SO7
barrels of oil. 1t has six wells pro-
ducing, six shut in end eighteen drilled.
The first annual meeting of the
stockholders of the Pyramid Oil COM
pany will be held in San Francisco on
October IS.
The Merchants Oil company, which
is operating in the eastern extension
of the Santa Maria field, has landed
the 121a-inch casing in its first well at
460 feet in yellow sand.
The Dominion Oil company's well No.
/ on section z, 23-17, Coalinga, is down
1850 feet with a ten-inch hole.
The Peerless Oil company has drilled
through the tar sand in the lower
Tinequac. Santa Maria, and is in a
blue shale at 1910 feet. The field gives
promise of becoming quite extensive.
The Producers Transportation COM
pany expects to finish the second of its
big concrete reservoirs at San Luis
Obispo the last of the month.
Captain Barneson, who has bought
the eighty-acre lease of the Essex Oil
company in the center of section 6,
1928, is underreaming the Essex well
| and will deepen it in the expectation
of getting the thicker sand struck on
the same section by the La Blanc. The
Essex got but ten feet of sand while
| it's neighbor got ninety feet.
| According to report the Union OIL
company has a good showing of light
| oil at 2240 feet on the Traction lease
on section 10, 31-22. Work has been
going on on the Traction for more than
| a year, the first two wells having been
| ruined. It is also reported that ]. c.
Yancey has struck oil on the same
| section, but he is not making the fact
public.
The Castaic Oil company is down
1900 feet with a wildcat we'll in Cas-
taic canyon, six miles from any pro-
ducing well. The we'll is west of Sau-
gus in the northern end of Los Angeles
| county.