The Ward County independent. [volume] (Minot, Ward County, N.D.) 1902-1965, 1916-03-09

dissolution there was no holding COM
pany but thirty-three separate COM
panies operating in various sections
Of the United States, but not in direct
competition anywhere-but all owned
and controlled by the same stock
holders, and ruled by the same govern
ing head. The government meant all
right and did all right, but did not go
far enough. They have passed anti
discriminating laws which are being
obeyed by the Standard Oil Company,
but when the Standard Oil Company
of Indiana, which operated in North
Dakota and ten other Mississippi val
ley states, can hold its markets at
such a point that the independent oil
man (of which there are probably a
hundred or more in these eleven
states) can make nothing-and the
Standard Oil of New York, owned by
practically the same stockholders as
the Indiana company and ruled by the
same governing body, can and do
maintain their markets at SAC per
gallon higher where there are not
hundred independent fellows in compe-
ClVAO1l> uOCo ~ 1OOh W yOu do IL ~ WoO
your place to stand by the Independent
you had if you don't-because, when
the independent man is put out of bus
mess, prices will be put at such level
that you will be made to pay.
When crude oil was 40 cents bar.
rel, it did not pay the producers to put
down more wells, but oil wells and oil
pools are, like any we'll or pool, liable
to 60 dry or be exhausted, and that is
what happened in the Cushing, Okla
homa field about August LIST, 1915.
This field, about five miles wide and
twelve miles long, had been producing,
for two years previous to August LIST,
1915, about 100000 barrels of crude
oil daily, and by December 18th was
producing only about $4,000 barrels
daily. This was what the Standard
desired. They had millions and mil
lions of barrels of stored crude oil
bought at a low price; the indepen-
dent oil men had no National City
Bank to help them buy and store
crude. So it was to the advantage of
the Standard to make the independent
refiner pay for what crude he has to
use, and today we find crude oil post
ed on the market at $1.3O per barrel,
and premiums of rs cents being paid
that is-the Standard, where there
is no competition and no facilities for
handling it, other than their tank and
pipe lines, get it for $1.3O and the
independent refner, who is not so fav-
orably situated, has to pay 75c pre-
MUM for it, costing him $2.O5 per
barrel.
Crude oil is cash. When it was 40
cents a barrel and slow sales-the
buyer could settle once week or
twice month. Today all crude oil is
cash. One refiner friend said he want
ed some crude at Tulsa the other day,
and communicated with his producer,
who had it. The Standard was ready
with the money to buy; an agreement
between the Independent buyer and
Mr.. Producer was reached at eleven
o'clock, and in order to get the crude,
our friend had to have $175,O0O in cash
by one o'clock-no drafts, no certified
checks-just cash. He wired his Kan
sas City Bank and they made transfer
to the Tulsa Bank, so he got his crude
only enough to run his refinery
couple of weeks or so. That refner,
today, is sacrificing 1920 to 5000 a
tank car on every tank car of gasoline
he let's the independent oil man have
in the Indian Territory in order for the
independent distributor to break even,
as by the manipulation by his big COM
petitor, the Standard Oil Company, the
market is being held lower here than
anywhere in the United States, and be-
low the cost of production, with the
crude oil price where it is today.
Why, Mr.. Gasoline User, do you
know found the tank wagon price
of gasoline in Oklahoma, where it is
produced, within a fraction of a cent
of what it is in Minot? And we have
to pay nearly $500 tank car to
bring it to you, or So cents gallon.
You do not know, but I'll tell you that
the exporters are paying and bidding
as much for gasoline in Oklahoma as
we are selling it for in Des Moines,
Iowa. l am told that the Standard
Oil Company have had man at Tul-
sa, Oklahoma, who has bought every
car of gasoline from the independent
refiner that he could since August,
and paid as much for it as the Stan
dard was selling the same grade of
gasoline for in Kansas City, simply to
cripple the independent distributors in
the Indiana Territory, of which North
Dakota is a part, and who is dependent
on gasoline to keep him going?
To sum up my enthusiastically is
gasoline high? Because crude oil is
high. Why is crude oil high? Be-
cause the Standard Oil Company has
millions of barrels of crude oil in
storage, bought at low price-which
they wished to unload at a high price,
and they're doing it. Gasoline may
stay high on account of so-called
shortage of crude-and it may be
forced higher-and would not be sur
prised to see it worth 80 cents per gal
lon in Minot-but at the present time