The Powder River County examiner and the Broadus independent. [volume] (Broadus, Mont.) 1919-1935, 1922-10-20
CAT CREEK THIRD
PRODUCING FIELD
IN THE ROCKY MOUNTAIN RE.
GION, ACCORDING TO FED.
ERAL DESIGNATION
Bureau Of Mines Gave It this Ra&ine
When IL Had but 81 PRODUCING
Wells; Now It Has 100; Kelvin.
Sunburst Field Eavorably Mention.
ed in Bureau Report.

wells, the government bureau Of
mines rated it as third largest pro-
ducing field in the Rocky Mountain
region. Since the date for the report
in which the government made it,
rating - producers have been
brought in In the Cat Greek field,
most of them second sand producers,
which means that their yield aver
ages about four times the yield Of
first sand wells.
The Kevin-Sunburst field also IL
given place in the last bureau news
report, the number of wells being
drilled on government permits at
that time being given as nine.
The news report follows:
Uncle Sam, in his role of mil
ltonaire oil producer, received in the
month of August the neat little sum
of $778,37S in royalties from the
production Of oil, natural gas and
natural gas-gasoline on government
bureau of mines, which exercises
technical supervision over such oper-
atoms. Total net royalties, accru-
from these sources amounted to ST.
1s7,4s3. OF the August royalties,
$3SS,019 Is credited to Wyoming;
$364,761 to California; and s34.so7
to Montana. Royalties on the pro-
largest portion Of these federal rev.
enues and amounted to $745.696;
royalties on natural gas were $685.
100; and on natural gas gasoline
1891.
n,,,su~ A..~,..& ooa ~, 49, -.
prospecting permits were received by
the bureau of mines from the gem
eral land office, making total of
8.63S permits received. Five leases
were received, making total Of 307.
Royalty Varies
THE governments sliding royalty
scale on oil produced from govern
ment leased lands, as provided by the
leasing acts, Is an important innova-
ton for the petroleum industry. I'm
der It, the governments royalties
vary from 123z to SO 1-3 per cent,
according to the rates Of produc-
ton. During the fiscal year ended
June 80, 1922, the total government
royalty amounted to approximately
$4,000,00O. Under the leasing acts
this amount is divided. 10 per cent
to the United States treasury, 37h
per cent to the state in which the oil
and gas are produced, and 62h per
cent to the United States reclama-
ton service.
Notwithstanding the business de-
preston and curtailed production,
field developments have proceeded
rapidly in the Rocky mountain dis
trict where on June 80, 1922, there
were 366 producing wells on gov
eminent land, of which 267 were in
the Salt Greek field in Wyoming.
There were on that date 100 new
wells being drilled in the Salt Creek
field. Active preparations were also
In progress for the drilling required
under the Mammoth Oil company's
lease of naval reserve No. 3 on Tea
pot dome. In order to maintain .
supervisory force Of competent men
adequate for such large scale opera
lions, the bureau of mines IL erect
Ing permanent camp adjacent to
the town Of Salt Creek.
Developments have also proceed.
ed rapidly in Montana, where at the
end Of the fiscal year 81 wells were
producing from government leased
lands in the Cat Greek field. BY
these developments the Cat Creek
field became the third largest pro-
Queer in the Rocky Mountain district.
In March oil was discovered near
Kelvin in the north central part Of
Montana in what il known as the
Kevin-Sunburst field. At the end
OF the fiscal year nine wells were
being drilled on government land IN
that district.
THE production Of gas and CASING
head gasoline from government leas-
ed lands IN the Rocky mountain dis
trict has undergone q phenomenal in
crease during the fiscal year. At the
end OF the year, gas was being PRO
duced in Wyoming from % leases In
the Salt Creek field, four in the Poi
Son Spider field, one in the iron
Creek field, and three in the Lost
Soldier field, the aggregate monthly
royalty on the gas and gasoline hay-
Ing increased from $4,000 at the be.
ginning of the year (July 1. 1921
to $4,000 at the end Of the year
(June 80. 1929.
Government Prevents Waste
THE work of supervising opera
tons on the extensive government
leased lands in California, including
naval reserve No. and No. 2. has
been conducted from the Bakerofield
office Of the bureau of mines. En-
cheering Investigations were also
conducted with q view toward the
conservation Of oil and gas. One IN.
vestigation was conducted in co-op-
GRAFTON with the California state min.
ing bureau to determine the best
methods Of drilling wells for oil IN
the gas producing area Of North
Buena Vista Hills to prevent DAMAGE
and waste in the gas sands which
must be penetrated in order to reach
the underlying oil sands.
This Investigated terminated May
II IN . joint conference between bu-
reau OF mines engineers and reprea-
entatives Of the state mining bureau.
and Of the companies operating IN
the field. A drilling procedure Wa
adopted which It il thought win ade-