Las Vegas age. [volume] (Las Vegas, Nev.) 1905-1947, 1920-07-17
GASOLINE SITUATION
AS APPLIED TO VEGAS
Standard Oil Man Explains the
Method of AIIotting the
Available Supply.

IHdC the BaSOllne shortage Is Be-
rious problem, creating a critical sit
uation which can only be met by the
exercise of self-denial on the part of
the drivers of pleasure cars in order
that the agricultural and Industrial
interests which are absolutely es-
sential to the country may carry on,
was made plain to a few of the men,
bers of the Chamber of Commerce
who met for a conference with a rep
resentative of the Standard Oil Com
pany Wednesday afternoon.
Mr. G.. A. Ayrault, assistant dist
rict sales manager for the Bakers
field district, in which Las Vegas and
the country as far as Needles, Cal,
is included, came here In response
to a letter from President Lillis of
the Chamber of Commerce relative
to the shortage of gasoline.
Mr.. Ayrault first briefly reviewed
the situation In the western oil in
dustry. He stated that the Califor-
MIA fields reached the height of their
production two years ago, with 101,-
$4,000 barrels of crude oil. This de-
clined slightly in 1919 to 101, ,222, 900
barrels and In 1920, figuring to the
first of July, there will be a further
reduction of two million barrels.
While this decline in crude oil pro-
duction is going on, there has been
tremendous increase in the demand
for gasoline, due to the larger use
of gasoline engines and tractors in
the farming regions; the fact that,
due to the small rainfall this season
in California, the use of hydro-elec-
trio power has been curtailed max
ing necessary the use of thousands
of gasoline engines for pumping wa
ter on the ranches; and to the fur
ther fact that throughout the west
the use of automobiles has greatly
increased. there being this year 9l,-
900 more automobiles in California
alone than last year. Last year the
gasoline supply was barely sufficient
to meet the demand, and the reserve
stocks of all the companies were de-
pleted.
The Standard Oil Company, Mr..
Ayrault states, has declined all con-
tracts for the expectation of oil or
gas from the western fields for more
than a year past, and is now export
ing less than one per cent of its pro-
ductiOn under old contracts. And
for every gallon of oil exported, 1t
is bringing from other fields into Cal
ifornia more than eight gallons.
In order to further assist in meet
ing the demand for gasoline, the
Standard has discontinued the man
ufacture of distillate and has with
drawn from sale all heavy fuel oil,
using every resource to supply gas
oline. An expenditure of $4,000, 900
is being made to remodel the ref1n-
cries at Richmond, Cal, and Ell Sc
gundo, Cal, to fit them for manu-
featuring gasoline from oils from
which it was impossible before to
make a gallon of gasoline, such as
that from the Kearn River field, for
example.
For the protection of all users, the
Standard Oil Company has adopted
the plan of allotting all its produc-
ton to the various communities it
serves, in similar manner to that in
force with many commodities during
the war. The basis taken for this
distribution Is the consumption of
each community during the month of
May last.
The allotment to Las Vegas for
July is $4,000 gallons, although the
total consumption in this district in
July, 1919, was only 1856 gallons.
However, owing to a decreased con-
sumption at some other places in the
Bakersfield district, it has been pos
sible to increase the allotment to the
Las Vegas station for this month to
1920 gallons, an increase of SS.5
per cent over July. 1919.
This amount of gasoline is being
pro-rated to the dealers 65 per cent,
and to agricultural and industrial
uses trucks, gasoline engines, trac-
tors, etc., 35 per cent. Each dealer
is allotted his proportion of the sup
ply for each ay,based upon his pre-
vious sales.
BY adopting such measures 1t is
hoped that the needless use of auto
mobiles will be discouraged, but that
the absolute necessities of all may
be met. Dealers have been asked to
cooperate in gasoline saving by sell
ing to each OF his customers only
/ Continued on Page Six)