The Washington herald., 1917-07-28
HOLLAND LETTER
The Biggest Daily
Financial News Feature of
the COuRty's Best Newspapers.

About the time the farmers are
harvesting their chief crops. that is
to say in October, a pipe line eight
hundred miles long which has been
under construction for some time
will be completed, having its initial
point at Gushing, Oklahoma, and its
terminal at Chicago. This line will
be, when completed. the largest pipe
line ever built with the single except
ion of the one constructed by the
Standard Oil company through which
flows oil from Oklahoma to Jersey
City, about eighteen hundred miles.
The construction of this pipe line,
which was begun by Harry f. Sim
clair in association with J. NJ. Cuda-
ny. will probably be followed by the
laying of other pipe lines which will
reach ultimately the Atlantic coast.
There the oil will be pumped in part
for export purposes. The completion
of this pipe line should, If other
things could be successfully handled,
in some measure meet the cmbarrass-
ment which President Bedford of the
standard Oil company has recently
spoken Of as one which is of most
serious import.
Mr.. Bedtord's brief communication
a few day ago called attention to the
fact that while the oil producers OF
the United States are securing about
three hundred million barrels a year
yet the demand today is in excess OF
that amount by thirty-tive million
barrels. That means that unless
some way can be found by means OF
which demand and supply can stand
on equal footing the surplus will be
speedily exhausted and the supply will
be unequal to the demand. Mr.. Bed
ford S comments have considerable dis.
Cussion both among business men and
in the financial district He recon-
mended curtailing the sale of gaso.
line excepting for use for business
purposes. He thought that were the
owners of automobiles to abandon
pleasure riding they would in that way
cooperate with those who are en-,
deavOring to aid the government ir
, this time of great emergency.
But the opinion was commonly eX.
pI essed, however. that it will be diff.
ficUlt to persuade the owners of au.
tomobiles to abandon pleas sure riding
at least in the summer and fan
Therefore. it is necessary that some
| way be found by which the produc.
ton of crude Gil can be greatly in.
CTtdSSu, III Ia I Increased SuIlCle0IlN
not only to meet the abnormal de.
mand caused in great measure by the
war but also to secure a sufficient
surplus.
That there is oil enough beneath
the soil in various parts Of the United
States to meet for years any con.
ceivable demand. not only for gaso,
line and other products but also foI
| those which are met by supplying
the rapidly increasing number Of BY
products is believed TO he the fact
Mr.. Bedford, himself, ventures to say
that there remain vast stores Of OF
not yet exploited. The supply should
be sufficient 20 meet any demands
that may arise within this genera
TONS life, perhaps longer. After that
new fields. especially in South Amer
lea. in Mexico. and Central America
| possibly in Alaska. would be ready
! for development.
There are, however, some Obsta
cles which stand in the way Of
speeding up present-day production
of crude oil. The Government a
Washington itself may be found t.