The Washington herald., 1919-04-24
OIL men SEEK
: FOREIGN TRADE
Holland Says American
$, Producers Have Started
81 Postwar Business
= !, Abroad.


reported to be now in Europe, pre-
,unably having been called there SO
hat he might investigate at first hand
he opportunities for export of oil
md also perhaps for reaching an un-
.Ierstanding with the English authori-
lies who control as much OF the Mex
can oil fields adjacent to his own
properties
A c. Bedford. who is chairman of
the board Of the Standard OIL Com
ANY OF New Jersey. should be in Lon
ion within a few days, for he has
= already sailed. Presumably Mr.. Bed
ford has gone In the interest OF the
oil corporation which he has directed
with great skill and success Others
have gone or are now on their way
to Europe, and as they are men who
are Identified with the oil industry.
il is a fair inference that their mis-
sion abroad has to do with the ex-
tension of our foreign trade in oil and
perhaps with the changes which the
termination of the war has occasioned
in our export trade in oil.
OIL steamer Development.
Almost all of those who are in
terested in the oil industry speak
with confidence of q vast develop
ment Of oil-burnirg steamers and
probably of a considerable increase
in the use of fuel oil for locomo-
tives and even for stationary pow
er When Mr.. Doheny first began
the promotion OF the oil properties
in the vicinity of Tampico. Mexico.
it was found necessary to convert
This oil, which is very heavy. into
asphalt. With asphalt produced in
this way and at that place the
streets of the City of Mexico were
paved. There was also developed
a considerable foreign trade in
asphalt Afterward the crude oil
was so treated as to make it
available for fuel and some of
the locomotives on the Mexican
Central Railroad were equipped
with oil-burning apparatus. This
proved to be very satisfactory.
- Gradually ocean going steamers
were equipped with oil-burning
apparatus with satisfactory results
so that at last il became evident
to leaders in the oil industry that
"a very great demand for fuel oil
would come. 1t was estimated
that il all of the ocean-crossing
steamers were thus equipped there
would not be at present sufficient
fuel oil to operate them. For it
was demonstrated that not less
than 100000 900 barrels of fuel oil
would be required each year if all.
steam propelled vessels were
equipped with oil-burning appa-
TaIus.
Therefore leaders in the oil in
1ustry sent experts here and there
for the purpose of learning whether
nf ri Af ha
hemisphere crude oil of the kind
best adapted for fuel purposes could
b" discovered and If discovered ex-
plotted These experts learned that
upon the northern coast of South
America and in some parts OF Cen
tral America there are vast deposits
OF the heavy oil which is especially
adapted to fuel purposes. These by
and by will supplement the present
impOrt into the United States OF
heavy fuel oil. and very likely re-
fineries will be established by and
by with American capital upon the
northern coast OF South America.
A few days ago Walter Clark
Teagle spoke briefly at a gathering
at Toronto. Canada. He must have
met at that gathering many with
whom he formerly had friendly ac-
quaintance. for il was as president
of the Imperial Oil Company of
Canada that Mr.. Teagle served in
chief executive capacity for some
years before he was called to the
presidency Of the Standard Oil Com
p@ny OF New Jersey. He spoke
earnestly OF the necessity Of con-
serving the oil resources not only of
the American hemisphere but also
OF the world Few persons realize
the magnitude OF the extent to
which the products OF crude oil.
variOusly refined and utilized. enter
into modern American Industrial
life. The demand for these prod
ucts is So great as to cause concern
lest our supply OF oil be exhausted
Some OF the experts have stated
that at the present rate Of consump-
tion the oil resources OF the
United States will have been ex-
hausted before twenty years have
PASSED unless there be discovered
new fields containing abundant oil
resources
For this reason capital and scien-
-tifc ability have combined for the
purpose OF learning whether the vast
deposits Of shale In tho Far West can
he so handled as to yield very large
supplies OF OIL Already the experts
report that this shaIe oil is perhaps
the best producer of gasoline of any
of the American oils. But there Is the
cost Of so handling the shale and so
transporting II as to make the oil
that II contains available. and that
Is one Of the most important Of the
problems so far as the commercial
availability of American shale for OIL
producing purposes Is concerned. n
that problem Is satisfactorily an
swered by science and by capital, the
United States win be abundantiy SUP.
= piled with OIL for many years to come.
Romance of Industry.
-f Mr.. Doheny's experience in Cali
fornia in the production OF oil, and
m the discovery OF oil resources, has
been one OF the romances Of the in
dustry. and II also led to the vast
oil-producing interest which he has
8 established In Mexico.
His experience, according to excel
lent authority. has been that the Cali
fornia wells are exhausted in about
hve years. and that a great deal of
pumping Is necessary in order to Sc
cure from the wells all the OIL thew
contain He. however. causes new
wells to be drilled. still believing that
there are enormous deposits OF OIL In
California which need only skiIIful
development to make them of COM
mercial availability.
The export trade in oil in its yari-
0ous forms is to be one of Nthe great
features OF our new international
trade. provided the leaders in the OIL
industry are able to secure ships.
labor. and to make satisfactory ar