The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-07-24

TO be about drilled up. This pres
sure Is going OF very fast. tho field
has reached ita peak, and there Is
no other pool In oklahoma 10 take
It's place. absolutely nothing In
prospect with possibilities 10 equal
n.
Comparison by Districts.
A cOmparaAYe statement of north
| Texas showsWthat in June, 1922,
| thcro was IN average daily pro-
/ duction Of tiO.32t barrels while In
/ October 1921, whom tho price was
I increased. tho average daily produc-
I ton was 1i9.739 barrels, showing an
actual decline I'm this great district.
which hnd high average In Sep
I tcmhcr of 1919. ~ 2ts,228 barrels
whom the urlgc WAS aa high ms Il
is now This Is light gravity oil
ANA very high quality. This field
looks Ike a graveyard on f2.25 oil
/ because producers could not develop
that oil from deep line sand for
| f2.25. Tho 81 10 market viii he
nothing short of robbery.
The Kansas field had a daily hv-
orage of 5,220 barrels in June NJ
this year and nm average of 98,373
barrels IN october OF last year.
North Louisiana and ArkanasH
had n combined production in June
~ li79l9. while IN october Of last
year thcv hnd combined prOduc-
tion of iii202 barrels
Certainly, from a careful study
~ Texas Kansas. Louisiana ana Ar
kansas. n is apparent that there
was nothing I'm tho situation IN tho
way or increased production in June
io22. which would warrant change
% policy from that OF October.
1921.
Let ne now turn 70 oklahoma. Tho
average production FOR oklahoma in
June, 1922, was 302.534 barrels
while It's average production IN Oc-
tobor, 1921, was 3od.7R0. showing m
Increase of S67si barrels. according
90 tho gtdtlRticnl data available
Substantially All Of this increase
was represented by tho Burbank
pool which IL now well known to
be NJ It's pcak, and on tho decline
and tho fact TINT this pool would
increase rapidly was well known TO
the Standard when they increased
tho price In October, 1921.
Substantially all of this increase
IN oklahoma has been absorbed by
the Independent rofinor, some OF
whom opened new plants and others
increased their daily runs. The
question is: what is In sight to
maintain this production7 what
is the future outlook what will
It be next month or next winter. q?
Tho Gulf Const.
Let us now turn 20 the Gulf Coast
This Is n district where II is going
10 ho more difficult than In any
other. 10 beat down tho price Of
g. m "a Ia
close proximity TO the coast. and
tho price Of bunker fuel cannot he
greater than tho fair prico OF Gulf
Coast crude plus gathering charge.
pipe and water transportation to
points OF distribution, and tho pipe
line costs nro smnll as are likewise
water transportation costs Com
petition for fuel viii quickly got
to work I'm tho Gun Coast. regard
less of any faux pass the Standard
| oil purchasing agencies may make.
| They may do what they will with
| oklahoma crude but there are other
| purchasers than the Standard for
Gulf Coast products.
In October OF last year there
were prospects OF n largo pool Mt
| Orange, Texas, and prospects OF n
largo pool at Pierce Junction. The
/
| Gulf Coast In October was around
$4,000 barrels per day. while at
tho close OF June. 1929. II was how
ering around 100000 harrols per
day Tho new nools had done 1T.
tie more thnn take care Of the loss
sustained In the old wells In the
| meantime. In June. 1922, there
was not half the prospect OF poten-
tinl production I'm the Gulf Coast
as there was last fall.
Summing up the situation, there
IL but ono conclusion to be reached
| All fields In June had reached their
! peak and were declining. The situa-
tlon seems particularly demorali2ed
In the Gulf Coast, north Texas. east
central Texas, Arkansas. Louisiana
and Kansas. and tho only marked &C.
tivities were 20 be found in the high
spots In oklahoma. The producers
wcro disc outraged with tho price oi
5000 sin the Continent in north
Texas with the price OF 1925 and
In the Gulf Coast with sl25.
Mexico.
Let us now turn to a review oi
tho Mexican situation and compare
II today with the situation there IN
| October OF last year. Mexico Is
composed Of two producing districts
one known as the Panico district
and the other known as the South
field, better known as the Tamisopa
lime formations, which extends
from the old Dos Bocas district
south for about As miles. Aionp
this formation numerous pools have
been discovered, OF which Dos 30
cas- was the first ono by one thoy
have all gone TO water with tho OK
ccption OF tho field known as the