The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1921-05-03
mr. MARKET QUOTATIONS..
The Committee on the Job

rr, following argument Tor a
Al 20 tariff on the importation OF
'-,ds oil into the United states was
oY,r,d ,a the ways and means com
,.ii,,r OF thc house Of representa-
,.,cs Monday. May 2. 1921, accord
.., toa telegram received Monday
morplne nom the committee.
/. no the Ways and Means COM
rltteo og the House OF representa-
gves Warrington, u. &.
Gerf.cmvn. The oil producers and
,,s.rs.s interests depending on
.t@n ~ tho United states request
Larff duty ON petroleum and It's
r,Nr,d ulducts: and we believe
hst .a order 60 protect this Industry,
rbirb constitutes an investment or
,8t00 600 600. the minimum amount
~ safI ar'f should be $ljO per
t.rref The facts upon which this
,eoupst lis based are as follows.
FIrst The amount of $3.50 j.
.,pr.y.matclv the difference be-
,Decn the cost Of production at
nome and abroad.
Second The oil producing indus
tr, east ur the Rocky Mountains is
,oaay 30 per cent shut down as TO
savclopmCnt work with the resultant
unemployment OF labor and general
taen1tlou OF business. sixty per
cent of the wells already completed
.rc now being operated at loss, all
of which D. due largely 10 the lmpor-
f,Ion ot crude oil.
Third In support Of the above
We submit the following facts and
statistics. In the United states there
are 2sS6 600 producing wells with an
average daily production of 40 bar
rels pcr well. and the total daily
productiou nf the country amounts
"a igGGOOO barrels In Mexico
,hero are 200 producing wells with
an average daily production per
well of 900 barrels and the total
;. daily production is $4,000 barrels.
Fourth. There is now being i'm
ported into the United States from
Mexico alone an average OF $4,000
barrels Of crude oil per day, duty
free
indicate q great disparity between
The cost Of production in the United
states and Mexico. Based on a care
ful study OF producing in the Mid
Continent field from which so per
cent OF the oil east of the Rocky
Mountains Is produced, we find the
average cost of barrel Of oil at the
well 10 be not less than $l.75.
sixth. We have been unable to
secure any exact figures as to the
cost OF producing Mexican crude,
but II has been. and is selling at the
well at prices ranging from 13 TO 40
cents a barrel: ana it is certainly a
conservative and fair assumption
that its cost does not exceed 25 cents
a barrel. The difference. therefore.
between the cost OF crude oil at
home and abroad is thus found to be
Ilj0 per barrel.
seventh. There are more than
10000 wells in the United states
ranging in average daily production
from two-tenths Of barrel a day
10 two barrels per day The age OF
the productivity of these wells
ranges from 10 to 80 years. produc-
ing in the aggregate approximately
200 600 barrels per day, and under
living conditions they will continue
10 produce almost as much oil for
many years to come. They are now
being operated at "A loss and must
shortly be abandoned unless the pro-
lection we ask for Is granted This
abandonment would entail the perm
anent loss to the United States OF
his vast quantity Of oil thus left in
The ground
Eighth The granting Of this pro-
'octiOn will restore employment to
many thousand men now clamoring
'or work. II will revitalizc the in
dustry and bring prosperity to the
country II viii preserve TO the
people Of tho United States thousands
" oil wells which otherwise would
re abandoned. thus insuring them in
he future a reasonable and fair