New Mexico state record. (Santa Fe, N.M.) 1914-19??, 1919-06-13
OIL LEASE APPLICA-
TONS MADE FOR ALL
THE STATE LAND
FOUR NEW OIL COMPANIES
ORGANIZED IN THIS STATE
A. ?. coRWIN DISCUSSES
Drilling FOR OIL IN GEN
ERAL

for OH by A. F. Corwin is of interest
and the State Record is here re-
printing part of his article.
1T is the policy of most companies
to lease and not to purchase land,
though frequently these leases in
clude all the mineral rights. The
land owner receives a cash bonus,
the amount paid per acre varying
very widely according to local con-
ditions and relative values. The
terms of the lease designate a fixe l
annual rental. which continues until
the property Is developed and the
owner usually retains a one-eigth
royalty interest in the oil which may
be discovered. The title of the pro-
pcrty is searched and all defects
cured as far as possible before any
operations are started on the pro-
perty.
The cost Of the first we'll in new
district. where the depth is iikelv
to be around 5000 feet, may amount
to eonsiderab more than $4,000,
and the veil may require a year "'
mere to drill.
IF the we'll is to be more than
100 feet deep . derrick Is built, but
for . shallow hole a portable drill
hag machine is generally used.
History records that the first oil
we'll on record was dug by Job in
Biblical times. The Chinese seem to
have been the first people to 10 ac-
tual drilling. In the medieval times
they had tools which were capable
of reaching dept of more than
100 feet
Although many clever drilling
methods have been invented n
modern times, the oil fraternity have
finally adopted and standardized to
their use two general types of drill.
ing equipment. i. G.. the rotary and
cable tools. The cable tools are best
adapted TO wild cat" wells and are
in the most general use where the
formation 10 rather hard. With this
system which is often spoken of as
the standard rig outfit. wells have
been drilled to = depth of more than
7yO0 feet
The tools are attached by means
Of q rope socket to q heavy manila
o. a wire rope, which in turn is con-
nected to the end of walking beam
The drilling is accomplished by q
crushing and churning action rather
than cutting the rock, as the face
Of the bit Is quite blunt.
The rotary system was perfected
in the Gulf coast field and has not
been n common use more than
fifteen years. Its special advantage
is speed in soft or caving forma-
ton. II consists of 4 perforated
Ssh tail" bit scsewed to . string
Of drill pipe. which projects up
through the derrick platform and is
rotated at the rate Of about 2O re-
vslutioas per minute by . turntabie.
Usder favorable conditions = good
record Tor the cable tools is seventy
sect OF hole u q shift, but it 10
qajte common for q rotary to drill
10 feet ia twelve hours. The sools
tAve 10 be pulled out at frequent in
t6Nvals and fresh bit put on, as
thk hole has . tendency to become
narrower a the bit wears. The prin-
eiPsl delays in the ordinary routine
are caused by. changing tools and
setting casing.
The veil Is lined from top to
hettoa With casing or pipe. II o.
lSOO foot well is started with IsH
hch casing Il usually is finished
with six or eight inch casing. 1t Is
seldom practical to continue drilling
when q smaller size casing would
te reqsired.
IF a veil that Is drilled in . favor
ale locality does not strike water
in the on sand. but makes a much
smaller production than anticipated,
It 10 the common practice to shoot"
\ win sitroglyeerine. Any one who
has watched farmers blow up tree
stumps With only few drops Of this
explosive, may imagine what the ef-
feet Of % quarts would produce all
the bottom Of an eight inch hole.
The flush production Of . new
veil Is always much greater than
t1fe settled flew il makes after Il |
s several years old. Only large
wells flow naturally. A gusher be-
comes . pumper when Il falls to 20
q 100 barrels. II is impossible TO |
lay down any general rules about
the dividing line between q dry hole |
and q smafi veil. In Mexico . we'll |!
making 50 or 100 barrels Of oil per
day Is usually abandoned as un-
0OWiIuCfCfat, WneredS tneIc arc tnOuS-
ands Of cid bumpers in Pennsylvania
and West Virginia that have aver
aged less than one barrel Of oil per
Day for years"
Stnes Lad Exhausted
The New Mexico Land Office re-
ports that all available state Land
bss been applied for under the oil
leasing Law. The office has stih .
large number of applications for
leases to be examined before all
leases will hzve been finally approved
II will take some time before ap-
proximate figures Of the acreage
leased and the amount Of revenue
received can be assembled. But il is
piain that the revenue from this
source viil add much to the income |
II the school and other funds Of the
state. The reservation Of mineral
dgAts Of state land when sold, VII
result IN benefit to the people Of the
state. II oil il found the royaify
wfn further add to the states income
and lessen the tax burden.
New On csapsaiss