Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1914-05-10

First those necessary Iu meet tA-
istlng offsets, and,
Second, those the drilling of which
is made necessary bcD1use ut lease
conditions, unless the said ppe line
company shall sooner cl,cr to take
| the entire production from tue l.'d.
ton field
II Is further provided thn should
! any dispute arise az TO what wells
should be connected, the president Of
tho Ardmore on Producers associa-
tion is made the umpire TO determine
said question with tho right of amy
party agRrioyed TO appeal TO The board
Of directors Of the Ardmore ON Pro-
ducers association, whose decision
shall bo final; and that the President
of said association shall have author
ity 20 make such exceptions Go the
rule as justice ana equity among the
different producers OF the field may
require. and that said association ana
It's Officers shall act for any producer
not a member Of the association iu
this behalf; an Of winch regulation
is subject To the right Of pN party
TO resort 10 the corporation commis-
sion or the courts for further ltlicf
Said agreement further provides
that the defendant tho Magnolia Pipe
Line company, In 10 provide conncc-
ton and loading facilities at or near
Addington okla, ON the main line Of
tho Chicago, Rock Island n Pacific
Railway company, ana 10 es ablish a
-. al In
transportation Of oil from tho llculd-
ton oil field to said point, and TO
transport oil when offered n carload
lots.
The stipulation also contl MS pro-
vision in reference 10 the testing OF
oil in the Hoaldton field ana for the
appointment Of an inspecto~ Boy the
commission at a salary not 20 exceed
$50 per month, one-half Of Hhich is
to be paid by the Magnolia pe Line
company and one-half hy 'be pro-
, duccrs.
The attorney general objected TO
the provision i'm the tentative agree
ment which provides eff hereafter
/ the price Of said oil is fixed without
the consent Of said pipe line company
II shall not thereafter be further
/ bound to take oil under this agree
! n cnt."
The pipo line company objects 10
! entering into an agreement whereby
/ il is required TO take any stipulated
amount Of oil unless IT is free TO vol
unfairly fix the price thereof, and, as
we understand, It will not consent to
any stipulation which may be con-
strued as an agreement Of record or
as a contract containing requirements
/ to that effect
Tho attorney general viii not agree
/ upon behalf of the state - waive
/ directly or indirectly any rights the
state may have or TO com1 Dinlse said
rights which may he cons rrod to be
on basis Of barsan and sale.
The respective parties agree that
an order, substantially as fou)ws, will
/ be acceptable TO all interested
/ parties:
| 1t is hereby ordered that the de-
/ fendant, the Magnolia Pipe Line COM
pany, shall within one wecK from
May 5, 1914. begin taking a daily av-
erage Of 5000 barrels Of oil from the
/ Healdton field, and on or before July
/ !, 1914, and until April /, 1915, shall
take not less than daily average Of
1000 barrels of oil from s8id field,
and shall Immediately erect four So
/ 000-b barrel steel tanks in the Ioaldton
oil field, and that in addition to the
daily averages Of oil above mentioned
it shall. as per said agreement, clear
/ the leases Of all stock of accumulated
! oil which is in merchantahle condi-
/ ton and pay the owners Of same upon
! delivery at the rate Of so cents per
barrel for quantities delivered.
The Magnolia Pipe Line company
Is Hereby relieved as a common pur-
chaser from the necessity y" connec-
tion with any new wells within six
months from the date Of this order,
except
First, those necessary to meet exist
ing offsets; and,
Second, those. the drilling or which
is made necessary because Of lease
conditions.
Third, those who have leases and
/ no producing wells should be permit
ted TO connect up with ono or two
wells within the six months
Fourth, all parties should be per-
mtted to drill wells and connect,
which in justice and equity should be
done, based on the following consid-
erations:
Where lease owners or lease hold
! crs have property which may be
drained by the producing wells, al
! though there may be no wc;A IN the
! immediate vicinity Of such property;
also in cases whore contracts have
/ heretofore been made for drilling or
! the financial condition Of tho parties
interested may be such that bank
ruptcy would necessarily result if the
properties were tied up for six months
/ or longer before connections could be
made.
! These things must be considered.
and no injustice or inequity must be
done anyone. Yet, the principle Of
| limiting the development so as to pre-
vent waste OF oil should be preserved,
and in so doing it may be necessary
for all to sustain some Inconvenience
Should the pipe line company sooner
! elect to take the entire production
from the Healdton field, the above re-