Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1922-05-01
Dissipating Our Oil Reserves

" ERf few people. II may be assumed are
satisfied with the explanation which the
administration has offered for it's curious
conduct in leasing the Wyoming oil lands
reserved for the navy, to private interests
which will exploit the property and store
so much of the oil as may be stored, Cor
the use OF the fighting fleets.
The secrecy which has attended this high-
ly important project in itself arouscs sus-
picion. and the Indignation of administra-
tion oliicinls. when asked for details is an
other singular circumstance II the :rans-
action is above reproach, why should It have
been proceeded with in private conferences
iii the office OF the Secretary OF Interior? II
there is nothing to conceal or to apologize
for. why should officials concerned fly into
a rage every time questions regarding the
matter are put to them?
The history of this business throws some
light, perhaps on the latest Developments.
Years ago, when oil became the fuel of a
large part OF the navy the government re-
solved to reserve TO itself some of the best
oil lands in the public domain in order that
the fleets should never be at the mercy of
private producers. Large areas in Wyom-
ing were withdrawn for this purpose.
Almost Immediately, however, private in
terests began drive upon the government
holdings. Failing to cause II revocation of
the withdrawal order and failing also to
secure a contract or a lease for borings on
government lands, prospectors drilled all
around the government property. hoping
To drain as much as possible OF the Oil I'M
DERIVING the reserve. Secretary Daniels.
then head of the navy. fought the exploit
crs in his own department and in Congress
and, defeating them there, he went to the
mat with them in the field. Every time a
well was bored near government reserve
navy interests would drill another we'll near
the poacher, with the result that the latter
was beaten at his own game
When the new administration came into
power an order was issued it seems, trans
fcrring the reserve oil lands from the navy
to the Department of Interior. No publicity
followed this transfer. Once the navy lost
direct control over its own oil deposi,s
private interests renewed their efforts to
operate on government lands. After a pro-
tracted campaign, they were successful 4
contract was entered into with one of the
largest producing interests in the country
TO drill the Wyoming field Il share of tho
output to be stored ut convenient places
throughout the country for the use of naval
cla?t.
Instead Of leaving the oil in the ground.
where II has accumulated for uncuunted CEN
turles and Is as safe as anything can be in
'"c iilaatctial WoIld' the administration has
decided to drain the lands. divvy M with the
contractors and store the oil above ground,
where il is subject to all hazards
This is not being done because the navy
IS III immediate need Of the oil-not at all
lhcre is superabundance of oil TO be had
AT low prices. The visible supply is sut,i.
cieht 10 meet all navy needs for a decade
or more Nor was it intended when the oil
reserve was set aside. that it should be
drawn upon as long as private interests
were able TO meet the government demands
al Il reasonable cost
In view OF the remarkable circumstances
of this whole deal it is no wonder that Con
. gress should call ST once for an inquiry or
that the country should insist upon knowing
all the facts about the matter which the ad-
ministration has felt called upon TO with
hold.