The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1914-04-06
MOCNOL|A PEOPLE
ANSWERCOMPL LIANT
TELEGRAM FROM GOV. CRUCE
STARTS ACTION ALL ALONG
THE LINE.

ney for the Magnolia Pipe Line Com
pany, as follows:
"NIr Folger has telegraphed me
copy of your telegram to Mr.. Arch
bold about the Ardmore oil field, and
inquiries what the situation is and re-
quests me to see you and explain Am
mailing you and Commissioner Hen
shaw a full statement, which | hope
will convince you that we are doing
all that can be reasonably expected.
| The price paid for Healdton crude is,
am convinced, all it is worth, and
possibly more than we can sustain,
due to declining market conditions,
resulting from overproduction every
where. Our tests convince us that the
Healdton crude can be used under
present conditions only as a fuel oil,
and cannot compete with the superior
| light crudes of Oklahoma, Texas ana
| Louisiana, because of the large
amount of mixed sulphur and compar
atiyely small amount of naphtha and
refined oil. The unexpected charac--
| ter of the Healdton crude has sudden
| ly forced on us the necessity of rails
| ng large additional capital and max
| ing extensive new plans. We have
called stockholders meeting for
| April II to increase capital, and have
purchased land near Fort Worth for
skimming plant and storage the lat
| ter to be constructed as conditions
| Justify To my knowledge We are abb
solutely doing everything that in rea.
son and fairness can be expected Of
us. While the situation is regrettable,
mutual cooperation and fair treat
ment will, | believe, solve the diff
Guilty"
Should Punish Violations Of Law
Governor Cruce said today that Il;
il be true that there is discrimination
in violation of the trust laws of the
state or of the United States it is his
firm opinion that the adequate rene
dy is in the courts under the penal
code.
These companies may tear up their
pipe lines and move out of the state"
said he, but if they are vioiators Of
law that makes it an oftense, they
can be punished under the law in an
adequate manner In my opinion, one
very promising remedy for the trouble
may be found in the government pipe
line that has been suggested, and
which, | understand, is under con-
struction. If the oil of the Healdton
field is of the quality that the pipe
line people declare it to be, strictly
fuel OIL it is Just what the govern
J ment wants for the navy, and the gov
crnment pipe line will be a good
thing both for the producers and the
people generally
The governor has received a letter
from Senator Owen regarding the
work that he is doing in Washington
with reference to the situation in tn"
hrdmore field. The attorney gener-
ais office is preparing to push its
case before the corporation commits
sion, and is ready to take action un.
der the law that permits proceedings
in the supreme court looking to for
feiture of franchise and property to
the state in case of violation of the
trust laws.
Inspectors on behalf Of the federal
government are on the Ardmore field
presumably looking over the situation
preliminary to an investigation that
was authorized in the Gore resolution.
Telegram TO MIR. Archbold
The governors telegram to Mr..
Archb]d is as follows:
"As governor of this state, hayins
deep concern for its many citizens
interested in the Ardmore oil fields,
| respectfully call your attention to a
statement made by your attorneys 10
the effect that you and Mr.. Folger
own 20 per cent Of the stock of the
Magnolia Pipe Line Company. lnde'
pendent producers and citizens gen
orally have appealed to me to remedy
the inadequate pipe line facilities fur
nished by this company and also the
unjust discrimination in reference to
prices and the taking of oil. | ask tha'
YOU give this matter your immediate
attention to the end that it be rene
died This state is not hostile to for
eign capital. but its officials will insist
on protecting the rights Of its cit
| liens"