The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-04-30
In the Oil Fields
Association of Gasoline
Manufacturers Closes
Convention


ol.nc Manufacturers closed very
successful convention with a most
enjoyable banquet for the visiting
members at the Hotel Tulsa, Friday
evening. -. Il. buchanan, vice pres
idont Ot the organization, acted as
toastmaster, giving very clever
Introductory address and present.
ing the different speakers OF the
evening. Brief addresses were given
by W. NJ. WolCh. who was ro-oloctcd
president OF the association, l.. Il.
Norman OF Wichita Falls. Texas. n.
k. Smith. president OF Chestnut
Smith corporation Of Tulsa, all of
whom preceded X. l.. Brewer. chair
man Of the board OF directors of
the Exchange National bank OF this
city who made tho principal ad-
dress OF the evening. Mr.. Brewer
talked In his usual high entertain
ing manner. his remarks being as
follows.
TX. y. Brewer Would stand with
Conservative oil Men.
In the few flnanoings that | have
undertaken, ! found that We had 20
roly more upon the honesty, the
integrity ana the business acumcn
or the engineers making researches
INTO the. property than almost any
other phase OF the project. or
course, there arc four things that
are necessary TO arrive at favor
ably before any financing can DO
done: First, tho management must
DO honest, second. the parties in
control must havo ability, and be
efticiently organized. third, they
must have properties. tho security
OF which is unquostionable; and
fourth. they must have market fa .
cilities. This latter requisite is fully
met in tho Mid-Continent field.
which is served In such an admir-
able manner by tho Prairie Pine
Line company, the Texas company,
The Gulf. The Sinclair and others.
Another necessity for the sue
scesful financing OF an oil company
must be that the project az n whole
must stand the sunlight OF publicity.
~ must DO "a company. too. IN my
opinion, that plays "a worry broad
hand in many fields. Very fcw
companies can successfully propct .
uate their existence by finding one
pool. and developing In just one Sec
tlon or the country, because tho
'get-rlch-quick company" is the
unusual A loan must always be
made, not altogathor as n capital
loan, but must be TO n certain OK
tent liquid: and tho company IT,
self, 10 be successful, must as with
most manufacturing and mercantile
concerns, have n reasonable ratio
or quick assets TO current liabilities.
There are four great divisions i'm the
OIL business: First, that OF the pro-
duction; second, that OF transporta-
tlon; third, that OF refining; and
f9urth, that OF marketing. And It Ia
also an evident fact that all of The
DIVISIONS are Just as different in
their management as night Is from
day, because n producer is no moro
n reiiner than "A banker is n manu-
iacturer. The producing REQUIRES n
certain intelligence that the refin
ing company does not OF necessity
require. In other words. the re.
lining end is the manufacturing end
me transportation end ro1uiros
knowledge along the lines OF rail.
roadlng and car movements.
Thus you will see the real oil
INDUSTRY has many angles and IN,
great trouble with great many o,
our Oil producers Is that, without
peing duly prepared. they httempt
70 create what they call Complete
unit. not willing to risk one angie
|
wei At. and OF taking on tho otbe,
beiore they have fully mastered II,
FINANCES are the basis OF success
or iailure In the oil business. Just
as fr any industry.
Armed with proved sources OF oil
one must first know where the H.
hahces are coming from to purchase
equipment, and employ men In the
production. and after the oil Is
brought to the top OF the ground
finance must enter into the refining,
and marketing must carry tho Ioan
until distribution is finally made IN
the hands OF the ultimate consumer
ana often 1t must help even him,
All this, OF course. is very obvi
GUS but it Is highly important that
VIC Keep 1t well in mind when We
consider tho future possibilities OF
oil. espcclally the reputation and in