Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1913-06-05
SECRETARY HEARS BOTH SIDES OF
RENEWAL Of THE foster LEASES

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at will members Of the Usage coun-
ell, because the members of the coun-
ell constituted legislative body and
administered to state Of their own.
Mr., Wilson contended that the lease
granted by Usage council TO the I'M
Gle sam oil CO.. and associates was
by far the most remuneratiye and the
most productive proposition that had
ever been executed by the Osages In
months. Mr. Wilson cOntended that
in the matter OF gas alone the Uncle
sam company or the Tucker people
were willing to waive the question of
royalty rentals on gas and pay n
straight royalty basis OF one eighth
which would mean several millions
dollars to the Indians.
Osages Opposed II.
Mr. Merrlllatt Of the Happier and
Marrillatt, attorneys for the Osage's.
made "A statement In which he said
that II was the opinion Of the Osages
so far as he has been able to ascer-
tain their sentiment that the lease
should not be renewed; that In his
opinion that all the rights OF all OF the
sub-lessees should be taken care Of:
that the Investments should be pro-
tected, but that he could not see
where 1t was to the interest of the
Osages to have the ease renewed for
the government and the Indians to
deal with each subleasee independ-
emily and remove all questions of bro
kerage with the Indian Territory IL
Elimination OIL company.
d. j. Kelley. Of the Manhatten OIL
company. advocated the renewal or
extension Of the lease OF the Indian
Territory Illuminating OIL company.
Mr. Kelley said that lie had been a
producer Of oil in The Usage since
1903 continuously, and is now q pro-
ducer in the Usage The hazards OF
production during the past fifteen
years We're explained at length by Mr..
Kelley. showing "A range Of prices
from thirty cents to $1.SS a barrel
aad showing percentage of dry holes
which would discourage lmOst any
living human being.
ErnewaI AsEod For,
Judge John Shea OF Bartlesvile.
okla. speaking as a producer, said
that he thought the interests of the
Indian a nd the interests of the pro-
ducer Of oil would be subserved by
renewal of the lease on the ESQ., 900
acres now controlled by the Indian
Territory Illuminating oil Co. The
question Of protecting the subleasees
would be very difficult and tedious
AFFAIR for the department in the ad-
justment OF royalties
Producers Oppose Blanket Lease
+. A. Gillespie OF Tulsa, chairman
Of the executive committee, Of the
Mid Continent Independent oil and
Gas Producers association, said that
the producers oil in the Southwest de-
sired the widest market and they
wanted competition. They were OPP
posed to a blanket lease and suggest
ed to the secretary the limitation OF
$500 a crcs as being nearer an ac-
curate and concrete basis of produc-
tion and lease holding than any other
figures.
Mr.. Gillespie Informed the Secre-
tary that they would insist on the
protection Of all the rights and the ex-
tension of the leases now In effect in
the hands Of individuals, but the as
sociatlon did not indorse the policy
OF a blanket lease and, was opposed
to It,
Mr. ]. A. Veasey. one Of the receiv-
ers of the Central Fuel oil company,
which is composed Of twenty odd sub
leasees of the Indian Territory IL
Eliminating oil company, made the.
statement that in his judgment that
It was to interest OF the Indian and
Individual and corporate producers
Of oil in the Usage to renew this lease.
lie said that government was bound
to protect the Indian and the only way
to conserve the rights of the Indian
was through an extension OF the lease.
John Palmer, full blooSed Sioux,
an adopted Usage, made the last talk
Of the afternoon, he contended that
the Usage was entitled to say for him
ser NDdl ne NdUtth uOuP Win IllS
own property and that the oil and
gas Is the property of the Usage and
therefore he Is the arblter In the same
Tim Spellazy Of California, in re-
sponse to a question from Secretary
Lane. said that the average acreage
In California was from to 1000
acres, closer to 1000 acres than one.
Praise For O'Ncil
G.. j. Kelly in the close of his re-
marks said that the history of the
pipe line business in the Mid-Conti-
net field showed that ]. +. ONeil was
one man who had taken care of the
producers to the best of his ability
and who had administered his office
with due regard for the rights of the
producers.
Mr.. Wilson OF the Uncle Sam on
company informed the Secretary that
no matter what his ruling In the
premises was that the interest he rep
resented proposed to go direct to the
president and see II they could not
get an approval OF the lease on all the
Usage lands.
Mr.. Lane asked as to the average
rate of production in the Usage. and
Mr. Veasey informed him that for the