The Glasgow courier. [volume] (Glasgow, Mont.) 1913-current, 1921-09-16

put in pipe lines, storage tanks, and
refineries, and when that time comes
Montana will take the lead in the oil
world.
Mr.. Russell v. johnson, Geologist
says 1.-TWO fields, the Devils Basin and
the Cat Creek have proven the pres,
ence of oil in Montana"
The Demand For Oil Products.
There was an increase of registered
motor cars, Of 100000 on July first
of this year over July l, 1920. A mil
lion and a half additional ears will
have to be supplied with gasoline. On
July first there were 9,257,575 cars
and trucks registered in the United
States. Placing the mileage of these
cars at the low average of 5000 miles
a year they would cover 27,772, TIE, 900
miles. Placing the low average of Is
miles on a gallon of gasoline, there
would be used for this purpose alone,
1,854,181 500 gallons. Now this does
not include the use Of gasoline for
motor boats, stationary engines used
on farms, factories, or other machines,
nor does it include gasoline uses for
domestic purposes or the manufacture
of various products. With these addi-
tional cars, and with a falling off in
production of oil in Mexico, due to the
export tax, there will undoubtedly be
a shortage of gasoline before the year
is over, which will mean higher prices
and greater earnings for all domestic
oil companies.
Production VS.. Consumption.
According to the figures obtained
from the United States Geological
Survey on production in the United
States, as we'll as in the old world,
reaching back from the last calendar
year through the ten-year period pre-
ceding the world war, much light is
thrown on the general question. Ac-
cording to these figures in the year
1909, U. S. production of crude oil
amounted to 183,17O,S74 barrels, while
consumption was 1877, O89 900 barrels
with a world production of 298,616,-
4O5 barrels. Each following year
has showed a gain in production as
we'll as consumption and in 1912, 1918,
1916 and on up to this year consump-
ton was greater than the domestic
production. The U. S. production in
1920 was 443, 4O2 900 barrels and our
consumption 531,186,OOO barrels, which
forced US to import the difference
from an estimated world production
Of 688,474,251 barrels. The natural
inference then is that the petroleum
industry will advance and not recede
and with the ever increasing supply of
motor vehicles demanding oil products
there can be considered as great, if
not greater, a future for the industry
in general.
Montana in the Limelight.
1t is a we'll known fact that Texas
Oil men are closely watching Montana
oil developments and expect to see
that state enjoy an oil boom as quickly
as the oil depression is over. A sur
vey made by a Texas Trade publica-
ton shows that more new structures
are being drilled in Montana than in
any other state, with the exception of
Texas. The State of Montana has
already gone the first two initial
stages in it's oil career and it is ex-
pected that when the third commences,
it will equal, if not excel, in interest
any boom that has yet taken place.
The point to be remembered is this:
There is little activity throughout the
country so far as new work is con-
cerned. AS few companies r in po-
sition to do any prospecting or drill
ing at this time, new production can
be considered to have been brought
almost to a stand still. Next year, an
other condition will have to be met,
that of getting under way again and
drilling new wells. Probably the most
of the coming year will be occupied
with the work Of assembling, drilling
equipment, drilling crews, and this will
be slow and expensive work. The
process of stopping drills and salvag-
ing material absorbs most of the cash
and credit of many of the oil operat-
ors will have little or no cash and
credit. 1t will be those companies
who are in position to continue oper-
orable locations that will reap the har-
ations and are doing so today on fav-
convention there. He will be driven
Company as being one of those who
are in position to go ahead and con-
tinue operations. After giving con-
sideration to the facts set forth above,
it should be al easy matter for any
one to see the wonderful possibilities
of investment in oil securities.
GREAT Activity EX