The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1917-08-03
PRODUCERS SEEK
FAIR OIL PRICE
FAVOR COMAIANDEERS BECAUSE
GOVERNMENT WOULD PAY
ADEQUATE FIGURE.
WORTH FULLY $3.50
Pipe Lines Are Not Paying Price Com
mensurate With Cost OF Production
and Producers Have Faith That the
Government VIII.

Maintaining that the present price OF
Healdton crude is entirely inadequate
to meet the cost Of production, and be-
lieving that If such action is taken a
fair price from the government will re.
suit Healdton producers announced to-
day that they favor the commander Of
their oil If the pipe lines do not quote
an adequate price. I'VE believe the
government will pay us a fair price;
the pipe lines do not" is the concensus
of opinions given out.
Writ Franklin made the following
statement:
My attitude as to the price Of Heald-
ton oil is that the present posted price
Of 81 is only two-thirds of what the
price should be. In other words, Heald-
ton oil is worth $3.50 per barrel as com
pared with the price being paid for
other oils in Kansas, Oklahoma and
Texas.
THE pipe lines purchasing this oil
are now getting the benefit of this diff
ference in price, for the reason that the
price OF the refined products is based
upon the price Of other oils. s1.7O per
barrel and over, of the Mid-Continent
field. II the producers in the Healdton
field cannot get a fair price for their
oil, as above stated. consider $3.50
per barrel a fair price, 1 am in favor
of Offering our production to the gov
ernment and thereby let our govern
ment have the benefit of the extremely
low price, rather than the pipe line COM
panies. II have to be robbed, / would
rather be robbed by the government"
There Is no doubt that an inadequate
price is being paid for Healdton OIL"
Dave Daube, Of the firm Of Westheimer
e Daube, producers in the Healdton
field. said. The oil which is stored in
the field is subject 10 loss and waste
In various ways, and the United States
government undoubtedly would pay a
more just price for our oil. If 1t should
be commandeered for government use,
than is now being paid by the pipe
lines"
Mr.. Daube also spoke of the import
ance OF establishing in the field a re-
finery by which Healdton oil could be
handled. and which could be the means
Of extracting from the crude oil its finer
elements, leaving it just as good for
fuel oil as when II comes from the
ground.
He suggested that operators in the
field who make Ardmore their head
quarters might combine in such a pro-
ject, with consequent benefit to the
producers OF the entire section.
II have no doubt that il the govern
ment should take charge Of the oil in
the Healdton field. now in storage, we
would be given a fair price for It. as
compared with the cost of production" !"
=. c. Dings said, in regard TO the effort
to raise the price OF HealdtOn crude oil.
1--WE have the oil, and it is nearly as
good as any other oil in the country.
But the price posted by pipe line com
panies is totally inadequate. and unless
an Improvement occurs at once. drilling
operations in the field will cease"
Mr. Dings is associated with b. A.
Simpson and other producers In the
Gates Oil company, which until recently
had five strings at work. Four OF these
have been laid of, and the other will be
called OF the job within a few days
Edward Gait said: Il am more than
pleased that the Magnolia has az last
virtually admitted that it has not beer
paying the Healdton producers a faiI
price for their oil, as indicated by the
ten-cent increase.
The Healdton producers are, as q
whole believe, anxious that the gov
ernment take the entire production OF
the field. as well as all OF the oil In
steel, on the assumption that the gov
, ernment viii pay a fair price for tn,
oil-and we know that that fair pric,
would be a great deal more than tn,
. Magnolia has ever seen fit TO pay for II
; believe that the intervention OF th'
government would mean the dawninl
l OF a new era for Healdton. and tina
Healdton oil would, for once, yield tn,
| producer what It Is really worth"
Because OF the inequality between tn
, price OF oil and the cost OF labor an
drilling materials. Jake L. Hamon. lar
gest oil producer in the Healdton field
4 has practically stopped all drilling opel
atoms on his leases. with oil at 8
$ and labor and all kinds OF supple
e rising steadily In cost. Il Is impossibl
to realize on any kind OF drilling props
Z sition." Mr.. Hamon said.
d Ten strings have been laid off by hii
since his return from New York, abol
l. two weeks ago, and seven others, n
remainder OF his drilling operations no
4 under way. win be laid of within n
e. next week or ten days.
Il Charles Won Welse, In a commune
j. tion 10 The Ardmoreite said
ie "The belated increase OF ten cents p
y. barrel for Healdton crude Is nothiI
N more than sop and only for q
m purpose OF trying to still the agitatil
W on the part OF the producers for
III equitable price for their productic
ie and the Magnolia Petroleum compar
it which Is the arbiter OF the fate OF I
Ct Healdton field. should be made to apo