The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1914-11-27

mer orders of the commission, and
without prorating the same, has been
placed in the earthen tanks since the
order prorating the oil went into eff
feet; that the owners of the oil in the
earthen tanks have received the bene-
fit of the former order of the com
mission prorating the oil; and that 1t
would be allowing them to dispose of
larger proportion of the oil produced
from their leases than other producers
are permitted to dispose of, If the
amount of oil now held by them in
earthen tanks should not be charged
against them, or rather against their
pro-rate share of the oil which they are
permitted to run through the Magnolia
pipe line.
Violation of Statute.
"And it further appears to the com
mission that if the privilege sought by
the producers who have sold their oil
stored in earthen tanks, without re-
gard to the prorating order, be granted
and the Magnolia Pipeline company
should be permitted to purchase the
same without prorating it, then the
statute governing common purchasers
and requiring such purchasers to treat
all producers alike, would be violated.
But in view of the fact that, on account
of seepage and evaporation, the pro
| ducers of oil stored in earthen tanks
have sustained a considerable loss and
unless they are permitted to dispose
of the oil so held by them they will
sustain further loss, the producers not
so situated have recognized some equi-
ties in their favor, and have indicated
| to the commission that they would be
willing for the producers holding oil
in earthen tanks to be permitted to
run the same on the basis of the price
at which such stored oil is sold, that
lis to say, that the inspector in the
Healdton field should be authorized
and directed for every three and one
third barrels of earthen storage oil
sold at 80 cents per barrel, to charge
the producers so selling the same with
having run two barrels of fresh oil at
80 cents per barrel.
Would Conserve Oil.
at appears to the commission that
an order to this effect would conserve
the oil in the Healdton field and be fair
and just to all parties,
at is, therefore, ordered by the com
mission that the inspector in the
Healdton field be, and he is hereby
authorized and directed to prorate all
earthen storage oil sold by the pro-
ducers of said field against their re-
spective daily runs; and in all cases
where the same is sold by the pro-
ducers for less than the market price
that the same shall be prorated on a
basis of value or price received there
for and not barrel for barrel; for eX-
ample: for every three and one-third
barrels of earthen storage oil sold at
80 cents per barrel, the producer so
selling the sanie, shall be charged on
the prorating sheet with having run
two barrels of fresh oil at 80 cents per
barrel, the present market price; and
the same basis shall be maintained as
to prorating if said oil is sold for any
other or different price than 80 cents
per barrel.
provided, That the total amount of
storage oil determined on the above
basis, shall be charged up against the
party running the same and deduc-
ton of fifty per cent of the pipe line
run due such party for each day shall
be deducted and the amount so charg-
ed against him for storage oil shall be
exhausted.
THE Magnolia Pipe Line company
is hereby relieved from the provisions
of the Common Purchaser Act to the
extent of carrying out this order
This order shall be in full force
and effect on and after the Goth day Of
November 1914.
Corporation Commissioner,
"(Signed) j. +. LOVE,
Chairman
"Signed) GEO. A. HENSHAW,
Commissioner
Attest:
J. II. HYDE. Secretary.
dated at Oklahoma City. this 25t
u day of November, 1914"
BETTER, THANK you. MAJESTIC