Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1920-05-30

change. people change; in more
modern days we cease telling fairy
tales, and tell them truthfully
that at the end of the Rainbow
there are oil wells, which means
many, many pots of gold-gold
| for all
Some people will tell YOU this oil
was put there for the sole benefit
of Mr. Rockefeller. because he
| happened to be one of the first
wise ones to appreciate its value
and its future. But that is not
! the case, Truly it seems difficult
for some of us mortals to corral
any of this wealth for our very
own, but it is not. Rockefeller's
fault--we are afraid. We are 50
sure it was all meant for him we
are afraid to try and take any
of it away.
Some persons actually believe
that all wealth is dishonest, but
| every barrel of oil that comes
from Mother Earth is an addition
to the worlds wealth, and 1t is
| clean wealth from Natures treas
ure house. No man is made poor
err, but many are made richer,
A certain prominent banker says
through the pages of the "Maga-
zine of Wall Street" one of the
most conservative financial publ
cations in America
II believe the oil boom is here
to stay. Not only are increasing
current demands for oil products
keeping wen up to the advance in
production but European supplies
which were exhausted at the time
the Grmistirn was signed must be
built M to former levels
THE extent # this European
demand is not wholly appreCiat-
ed. 1t is estimated that Germany
alone will require 100000 tons
Of petroleum and petroleum pro-
ducts within the next twelve
months. Other European coup-
tries are little better off in this
respect. 1t will probably he a Ions
time before production catches up
with consumption, and the de-
mand created by the necessity for
building European surplus stocks
dp to former and normal levels.
"For this reason | believe &C
tive development of new oil fields
should proceed vigorously and
there Is every reason to believe
such a program can be followed
out with success and profit.
"In this connection | am of the
opinion that too much money has
been made out of oil development
by a few individuals and not
enough by the general investing
public. The public should be
given an opportunity TO share in
the profits from development OF
oil lands, whereas the rule has
been that the opportunity for big
profits has come to only a few
men of large capital resources"
1t Is true that in the past the big
companies have about monopoli2ed
the oil industry. The large hold
ings in the eastern field, IN wy
oming, California, Kansas and
| Oklahoma are controlled by the
| big companies, but the law Of
| compensation surely works out in
time, for Texas, the greatest pro-
Queer of any state in the Union,
is the refuge Of the small investor.
The big majority of the produc-
ton in the state of Texas is Sc
companies, and the profits in these
companies are going TO the small
stakeholder, at the rate of some
thing over 60 per cent per year
as an average.
II is true that the fortunes in
oil have been made by practically
a handful of men because the
general public has heretofore
failed to grasp the magnificent
! possibilities of oil. Hardly one of
you can fail to recall some oppor-
tunity in the past where you had
a chance to get in and share in
the big profits of some Of these
successful companies. But people
are waking up--some are wide
awake, and realize the potential
tiles of the oil industry, and In
| Texas this fact has demonstrated
itself, the companies with the
small stakeholder coming into.
| their own.
An article in the July 9Th issue
of the Magazine of Wall Street
Is an accurate picture briefly told
of Texas. today:
Texas oil Production Leads All
Other States.
"Oil has displaced cotton as
! King. In Texas, where the great
est oil field in the world has been
proved and developed in, the past
two years, they call it liquid
gold" The better grades of oil
produced in this territory come
out of the wells under gas pres
sure with a heavy foam, which,
in color. is golden-hence the APP
pellation liquid gold" Another
reason is that the oil produced in
Texas alone in the year 1918 eX-
ceeded the gold prediction of the
United States and Alaska.
"The Texas field is being en-
| tended with marvellous rapidly.
| Lands which six months ago Were
considered outside the oil field are
every day coming into the proven
| field with big wells, some running
as high as eight to ten thousand
| barrels per day, until now the best
oil men in the country hesitate to
say that oil does not underlie all
of the state OF Texas. 1t is true
that the big production is secured
! in pools and new pools are being
wildcatter is pretty certain to get
oil, although of course. some OF
the underlying wells come in with
small production.
"The percentage of well fail
ures in Texas is remarkably low
and this has been an important
factor in securing a more rapid
development of the field than in
any other state where oil has been
discovered,
"The Texas failures for the first
quarter of 1919 represented only
IL per cent of the wells drilled,
while the supposedly proved and
consistent Oklahoma fields during
the same period showed 80 per
cent dry holes and Kansas showed
20 per cent. In Texas the aver
age initial production of wells
brought in. during the first quarter
of 1919 was 416 barrels day as