The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1922-12-15
DEVELOP MINERAL
WEALTH OF WEST
Activities Are Now Start.
ing Up Very Rapidly
LOCKED>UP FOR YEARS
Oil Is Foremost Product Of These
So Far; Coal Resources
Large
Associated Press Dispatch, ]

Washington, D. c.. December T.
A substantial beginning OF the &C
tive development of vast mineral
wealth, heretofore locked up in the
public domain of the various west
eGn states but now liberated under
the general leasing law, was re-
corded by DIR. H. Foster Balm, direc
tor of the Bureau of Mines in his
annual report submitted today to
the Secretary of the Interior.
Oil is the foremost product of
these lands so far, but DIR. Balm said
that when coal resources OF the East
start to give out, the government
owned coal fields in the western
states would be of prime importance.
In the fiscal year ended last June,
ment lands, other than Indian lands,
is, 236,362 barrels Of oil, Of which the
Federal government received as
royalty 3,616,S52 barrels, worth 81
76S, 1897. not including bonuses. In
addition, at the end of the year $14,-
coo a month was being received by
the government from natural gas
leases on public lands in Wyoming.
In Rocky Mountain Field
In the Rocky Mountain field alone,
there were on government land 1886
Oil wells, of which 267 were in the
Salt Creek, Wyo., field. A hundred
other wells were being drilled.
Under the terms of, the develop
ment there had been issued 1884 oil
and gas leases in 4 states and 1927
prospecting permits, on each of
which drilling is required, in Is
states and Alaska. .~
The largest number of producing
oil hal ~ hn .
is in the Salt Creek field, where the
government holds title to nearly all
the land. Such an immense amount
of crude petroleum was produced
that the capacity of the wells was
far greater than the pipe line facili-
ties to transport it.
In Montana also, development
proceeded rapidly and at the end of
the fiscal year there were sixty
seven producing wells in the Cat
Creek field and nine drilling on gov
eminent land in the newly discov-
cred and promising Sunburst- Kelvin
field Last June a well near the cen
ter of Cat Creek field drilled into a
second and prolific oil sand and
flowed naturally at the daily rate of
1000 barrels. Another well came in
at 2,400 barrels. BY these develop
ments this field became the third
largest producer in the Rocky
Mountain region.
- Final Adjudication
These developments are exclusive
to activity in naval petroleum re-
serves. Final adjudication was
reached in outstanding contests on
such oil lands. leases were granted
and drilling arranged A study made
by the Bureau of Mines showed the
government lands were losing heav-
lily by drainage and that approx
mately 22,000,000 barrels had been
lost. OF this, on the scale now in eff
feet, the governments royalty
would have been worth $500, 900.
To prevent thes losses, leases were
given to drill on such lands where
drainage occurred and the Navy is
receiving royalties in Oil which is
converted to fuel oil for naval yes
sells and shipped at such points as
necessity warrants for time of emer-
gency.
The United States government is
one of the largest coal land owners
in the world, and also holds import
ant reserves of phosphate, potash,
and other salts. Coal is now being
mined in these lands, under lease, in
Wyoming, Washington, Montana,
North and South Dakota, Utah, Col
orado, New Mexico and Nevada.
Phosphate rock is being mined in
Idaho