The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1914-06-21

uoltulH dSSoCldtIOu, anu winch VIII
doubtless be of interest to you.
I'VE are convinced that the oil pro-
ducers of the country will never get
Just price for their crude oil until
the artificial conditions now surround
ing the transportation and storage
of crude oil are removed by govern
mental ownership of these facilities.
THE building of a governmental
pire line from Oklahoma to the Gulf
would afford a very temporary relief
and is a very large question if it
would give any real relief whatever.
I'VE are convinced on the other
hand, that governmental ownership Of
all the pipe lines and storage facili-
ties will permit the natural laws Of
supply and demand to operate without
restriction and the producers will
then get whatever may be the real
intrinsic value of their crude oil and
at the same time the consumers will
get their requirements at prices fixed
by unrestricted competition.
I'VE are convinced that the public
interest cannot be fully served except
by complete governmental ownership
not only of pipe lines but of the s4or-
age facilities as well.
yours very truly,
"WAVERLY OIL WORKS CO,
Harry H. Wilcox,
Sec Treas"
As to the government constructing
a special pipe line to the Gulf, Com
missioner Henshaw says:
q agree with Mr.. Wilcox that no
substantial relief will be afforded the
producers until the pipe lines and
storage facilities are opened to the
public in all directions to transport oil
and store the same, that it may be
sold on the market in competition.
This plan could be consummated eth
er by the government owning all pipe
lines and storage facilities or relier
could be more rapidly had by the
passage of a law by this congress
forcing all pipe line facilities and
storage facilities other than that used
by refiners in purely a refining bust
ness, from the production of, or deal
ing in any way in crude or refined
oils; that these facilities be thrown
open to the public the same as the
railroads and stations are now avail
able for all commodities. If the rail
roads transported nothing except com
modities which they bought we would
have exactly the same conditions as
now prevail in the oil industry. The
public would not stand for such a
condition two hours; yet it appears
that congress will hear pipe line advo-
Gates for weeks and then do nothing
at is apparent from the analyses Of
the oils in Pennsylvania and Oklaho-
ma that prices Of crude oil are fixed
arbitrarily, as we'll as the price of re-
fined products; that competitive mar
ket conditions have nothing to do with
the price of crude oil in Oklahoma,
and, unless the transportation faci|i-
ties are thrown open to the public,
we will inevitably approach period
when some power must fix prices. /
appreciate that the fixing of prices
should be the last remedy to which
the public should resort and l feel
tLat everything should first be done to
secure a fair price for oil before pric-
es should be fixed by national or state
authority Showing to the public the
actual values of crude oil and the
market values of the commodities
made thorefrom, and the cost of re-
firing, sAOsld a1-peal- TO. it, and In-y
result in eQuating prices without fur
ther official action.
1T was shown that it costs II
cents to distill crude oil into gasoline,
kerosene and fuel oil, and to further
distill the crude into lubricants and
ether commodities as done by the
Wayerly Oil Works, it would probably
cost so cents a barrel. Hence the
profits, as shown by the above state
ment, would range from $3.50 to $500
per barrel after paying for the oil
and the cost of the refining.
The commission will continue
these investigations until results are
obtained"