The San Francisco call., 1910-06-15
CALIFORNIA LEADS
AS OIL PRODUCER
Market Continues Good Despite
Great Increase in Output
of Petroleum
Southern Pacifc'S Vast Hold
ing Makes Conservation
Practically Impossible

CALIFORNIA; pre-eminence as an oil
producing state was emphasized by C.
de Kalb. editor OF the Mining and Sci
entifc Press, in a paper read at the
recent meeting in Nevada City of the
counties committee Of the California
development board An extract from
De Kalb's paper follows:
The Golden State has entered the
age Of oil. From modest beginnings il
has risen 10 pre-eminence. Ten years
ago California produced q scant 4.000,-
600 barrels: in 1909 her wells yielded
s6.IsI,723 This year il Will exceed
$4,000. 600 barrels. During the month Of
April the output was 6,622,061 barrels,
which is at the rate of S0,0o0,0 900 per
year Moreover. the permanency of
the fields is assured for an indefinite
period. ". ". Orcutt, the geologist
OF the Union oil company. has esti-
mated that California can maintain its
present yield Of petroleum for so years.
This is evidence of the conservative
spirit Of Mr.. Orcutt. for the indications
are that the Midway and Sunset fields
alone could contribute that amount
It is not the phenomenal flood of oil
from the Lakeview and other gushers
in those districts that gives color to
the claim. There are 225 producing
wells in the Midway field, and 10 of
these are veritable geysers of oil. The
Lakeview has been spouting $4,000 bar
rels per day for over three months,
nntfl now it has outstripped Baku and
holds the record for the world. But
these are mere incidents. The signifi-
cant point is that these wells are so
scattered and have given such evidence
Of the geological conditions existing
there, that IS square miles OF terri
definitely
proved.
"A government report sacrifices value
If not Immediately accessible. In the
case OF an industry which is developed
by leaps and bounds like that of oil
production in California. the time when
2 report appears is most important:
When the report of the McKfttrick-
Sunset fields was written the exploita-
tion Of the Midway flats had not fairly
begun. Mr.. Arnold showed acumen in
suggesting that the impregnat ton of
the sands might become greater as the
exploration progressed farther away
from the coarser sands of the anticline
but from the evidence at hand he
sounded warning in regard TO water
He said:
It has been the experience in an
ialagOus structural positions in other
localities TO find that the water in the
beds increases toward the center of the
syncline and as the Midway valley is
in general way a great syncline it
is more than likely that the beds under
lying IL viii be found TO contain more
water than the same beds nearer the
edge Of the valley
california now ranks as the greatest
oil producer in the world, and il is
free field. I mean that there exists the
healthy condition of free market One
Of the most vital factors is the inde-
pendent agency. which is a combina-
ton Of a large number Of independent
producers. 1t is the effort Of this
agency to obtain the best price possible
FOR the oil. whie the large marketing
companies naturally seek to buy oil as
cheaply as they can The Union oil
company is a member of this selling
sgsncy. which makes the union Of in
dependents strong in competition with
the Standard and Associated oil conf
psnies. The latter represents the oil
interests OF the Southern Pacific rail-
road.
1T seems that there is no restraining
safeguard in the constitution against
the enactment Of a law which would
not only validate the Withdrawals al
ready made, but would place a bar to
patent upon locations rendered prior to
the Withdrawals, but congress can i'll
afford 10 permit interference with a
vested right when acquired in due COM
plisnce with existing statutes even
though title so acquired may not pos
sess the hnality of letters patent The
case would be more aggravated if it
should be allowed TO operate to the det-
s-iment Of individuals in contradistinc-
tion 10 the advantages which would be
given in certain areas 10 a great cor
poration whose holdings were also de-
rived through act of congress.
IN any event man should be pro-
tected in what he has legally obtained
II il be contrary to the public welfare
that further locations of public lands
be made, no one could protest that he
had been wronged by a legal general
withdrawal OF that privilege. Common
law right is crystallized common sense
justice, and the common sense of man
kind rebels against retroactive legisla-
tion