New-York tribune., 1919-12-11
Mexico Seizes
Oil, Menacing
u. S. Shipping
Continued from pase 1

sive over the effect Of this curtailment
upon supplies Of fuel oil for our mer-
chant marine that the matter has been
placed directly before the. President in
the form Of memorandum prepared
this afternoon for that purpose by
Chairman Payne Of the board. Judge
Payne also has written Secretary Of
State Lansing urgently pressing the
Importance Of protecting the American
supply Of Mexican fuel oil from illegal
interference by the Mexican govern
ment,
Now Up to President
"The President now has before him
Senator Falls expose Of the Bclshevik
activities Of the Carranza government
in this country, and Judge Payne's
memorandum showing one Of the prac-
tical effects upon our economic life Of
Mr.. Carranza's 'neighborly' attentions.
"In view Of this information it will
be hard for one Of President Wilson's
alert intellect to escape the suspicion
that the Mexican government deliber-
ately seeks to aggravate the existing
industrial unrest in this country by
adding to the seriousness of the fuel
famine here.
"The situation thus created has a
vital bearing upon our industrial life
and affects every business and every
home and school in the United States.
The coal strike has brought US to II
crisis Of fuel scarcity. Boston and
other New England cities, Chicago and
New York and many other large indus
trial centers are using fuel oil for heat
ing buildings.
"In conference. with Judge Payne
this morning I learned that there al
ready exists shortage of fuel oil
that cessation of receipts of Mexican
fuel OF. in very few weeks will en-
barrass the operation of our merchant
marine. Over 80 per cent Of all the
fuel oil useG on the Atlantic and Gulf
coasts, both for bunkering ships and
for industrial purposes, comes from
Mexico.
Depends on Mexican Oil
"Of the 60,000,00O barrels brought
in from this source annually the Ship
ping Board is now using contract for
21,00O,000 barrels and by the end Of
40,000,00C barrels per annum. The
60,000,000 barrels Of fuel Oil is the
residuum from refined Mexican crude
oil, which produces over 300,000,000
gallons Of gasoline, all of which comes
inte tno United States and is an
essential part OF the supply which is
consumed by 100000 motor n.cles
OF variols A!nds in the United States.
"The tctal consumption of petroleum
in the United States is 30,O0O.Q0O bar
rols yea greater than the supply,
including 10Th Mexican and domestic
oil, according to 1918 figures, leaving
That mucl TO be drawn from stored oil
in the United States.
The fuel famine already has jumped
the pyi.s of domestic OIL to such (.
point that the Department of Justice
threatens prosecution of Kansas oil
producers for alleged prohteering. The
effect of further shortage on fuel
prices is obvious, partic ula:ly now hat
an embargo prevents shipments of
domestic oil TO the East from the mid
continent fields.
"The responsibility for the whole
situation rests with Presider' Wilson,
He hss full information now, if he has
not had it before, both as to the facts
and as to the seriousness Of the situa-
.ior
"Just so long as we continue to
putter along with 'watchtul waiting,
so long will the Mexican menace to
our political and industrial peace con-
tinue and grow.
Until President Wilson makes il
clear to the so-called government of
Mexico that no step by the government
of the United States will be consid-
cred too drastic if necessary TO protec /