The Washington times., 1915-12-23
MORE BIG JUMPS
IN GASOLINE seen
BayOnne Refiners, After a Rise
in Cost Of Petroleum, Pre-
dict Higher Prices.

NEW YORK. Dec. 22.-on refners
and gasolene producers in Bayonne. one
OF the biggest centers OF that industry |
In the world. predict that the supply OF
gasolene for 1915 will be far behind the
demand, and that prices will soar to
still greater heights.
Thirty million barrels will be needed |
The demand In 1899 was 5.6l5 barrels. |
The supply OF petroleum has fallen of |
sharply lately and the price has gone |
up by leaps and bounds. Pennsylvania |
petroleum on Saturday advanced cents
barrel.
In common with all other commodi !
ties. It is said, the price Of gasolene has
advanced In obedience to the law OF
supply and demand. Production has not
kept I'd with the extraordinary high
rate OF consumption.
The stupendous expRnsion OF, the auto
mobile industry Ii chiefly responsible
for the increased and increasing de,
mand. In 1904 the total consumption had
| Jumped to SSH 900 barrels. and by 1909.
| another five-year period. II reached TO-
SOC. 900 barrels. In 1914 It was approx
mately 100000 barrels.
IL Is estimated that the demand In
1916 will reach 100000 barrels. and the
bulk OF this will be used by motor cars
OF all classes, including Rasolene tractors
on farms.
Increase In Motor Production.
! The number of gasolene motorcars
built in this country in 1912 was APP
proximately $4,000. For the year end
| ing June 30. 1918, the number OF cars
built was 10000, and in 1914 the rec
| ord had risen to 5l5,00e.
Fort the year ended June 20, 1915.
! the builders turned out llOOVO gaso-
lehe driven cars, which, added to those
already in use, made grand total OF
EXPERTS In the automobile business
estimate that the number OF cars IN
operation in 1916, outside OF farm
tractors, will be about three million.
and that the quantity OF gasolene neea-
ed to keep them going viii be nearly
twenty million barrels for the, year.
To this must be added the Increased
consumption on the farm, and by gas
engines. motorboats and in the trades.
The aggregate, outside of motoTcars'
will not be less than ten mulion p ar
year promises to be in excess OF thirty
The total production OF crude petro-
leuun in the United states Is now nearly
three hundred million barrels year.
About one-third of this yield, notapIy
certain types of California ana IeNas
crude. produce very little soso H,; :.
Further. the production OF rruoe OIL 10
not on the increase.
4 Situation somewhat similar 20
that which confronts the OIL lndustry
at this time existed two years age
, son as now. Increased demand with
shortage of supply, but the SITUATION
then was relieved by two factors.-One
was the invention of a new process
Of distilling by Dr.; Blu ton a. stsma Scn
addition to the crude oil supply oy
the great Cushing pool In Oklahoma'
which at it's height produced at the
/ rate OF 800. 900 barrels day.
DIR. Burton's invention. known as
the "pressure still process, greatly
Increased the amount of gasolene
| from any crude petroleum when
yielded II. The enormous new supply
Of crude petroleum, plus DR.. Burton's
process for refining, brought the price
down and kept II 1own so long as
t the production and consumption were
) nearly equal. but with the almost
doubling in the number of gasolene
Cushing feld from 100000 barrels ia
less than 100 900 barrels day, the
{ demand is again getting ahead OF the
p supply.
Crude Oil Scars In Price.
Practically all refners, even the
!, very largest, purchase most OF theli
I crude oil, as the majority of oil wells
r in all fields are owned by inlividua
producers. The unprecedented de-
mand for crude has caused the prices
In august. 1914. Oklahoma crud,
: was quoted at 40 cents. On December
S IS II was 1920
Pennsylvania crude in August, 1914
. was $l35. Now 1t is S2l5 and the
{ rehners say they expect to pay more,
1t is customary at this time of the
year and all through the winter
o months for the big reineries to &C
:. cumulate stocks of gasolene' IN prep
aration for the increased summer de
8 mand. Thus far this season no stocks
. have been laid in. as the companies
e have been seeking to supply presen
e needs.
:, The experts Of the various concern
y are a unit in estimating that the sup
= ply in sight will not meet the deman'
:, inl916. This Is based upon the estimat
} of 900 barrels being needed,
1. Unless relief can be had eithe
- through the discovery OF new oil
e fields or still other processes to In
d crease the gasolene yield of petroleum
, or through some other development
= that cannot be foreseen now, the indi
e cations are that the price Of gasolen
J. will go much higher during the COMM
year.
IS No relief can he obtained fror
! Europe. as the Russian and RoumaniaI
fields are closed to the outside world.