The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-11-25

tho annual meeting OF the Dkmul.
gee District Oh a. Gas Assn. AT
Okmulgce on the evening OF Mo-
vomber "a. io22:
"If ! had been addressing you 10
ycara ago, ! would probably have
taken for my subject The Duty OF
the Pipeline 20 the Independent Pro-
ducor.' but today that subject Is al
together different from the one
am to dishuss with you.
In this discussion ! IN not going
To- deal in gcneraitics. | am esoing
io get right down to cases and tell
you what We producers think the
policy Of the Rreatrst oil purchasing
agency In the world should be. |
am not going 10 deal Ia generAiities.
( am not cling 10 beat around the
bssh. as II 10 drive some one out
OF o. | am going to shoot right
from where | stand. and ! am going
I to talk IN language that any well
! drillCr can understand.
/ "FOr months and months the oil
/ producer has struggled with the
| supply houses and banks. pleading
/ with them 10 give him IA little more
| time. assuring them that all would
/ be well, and soon the price ot crude
/ OIL would be raised to a living wage
! basis.
| Fight of the Producer for Existence.
In the fan of 1920 the flood Of
/ oil from Mexico began to flow into
/ this country in great quantities. II
was soon apparent that something
! had TO be done TO save the indie
! pendent producer In this country
/ from ID complete disaster. II so
| happened that the republican party
| had at that time. achieved the
| greatest victory Ia its history and
| that it was pledged to n protective
| duty on every industry that needed
! H..
Last July, when the price was
| again cut from 81 to sl25, we met.
/ and organized the storage and shut
down committee, and while we were
not able to accomplish a complete
ahutdown, yet we did accomplish a
great deal, and | believe II 1t had
| not been for the efforts OF this com
| mittee the price would have been
cut to 81 per barrel, and there were
some price making factors who in
sisted on ii being put down TO thir
price.
Prairie OH & Gas Colts History
up and until May 10, 1911. the
Prairie OH a. Gas Co. was a corpo'
ration organized under the laws Vi
Kansas and engaged In the genera
business OF producing oil for the ac'
count and in the interest OF iti
parent company, the Standard OF
Company of New Jersey All OF th'
stock OF the Prairie oil a. Gas Co
and the stock of the National Trans
IT company was in turn held by tn
standard OIL Company OF New Jer
J ear
ION May Is, 1911. the snprem
court of the United States held tina
tho combination known as tn
Standard oil company was unlaw
ful and ordered 1t and It's member
and various subsidiaries TO dissolV
and II was also commanded to desis
from the practices In which
up to that time, 1t had been en-
, gagged.
Among other things required b
tho supreme court wae that n
stock on certain subsidiary com
= panies, among those being the stoc
= of the Prairie oil & Gas CO., mus
. be distributed ratably among tn
stockholders OF the Standard o
Company OF New Jersey.
"The purpose OF this order was
a make each company separate an
. dist net and competitive one wit
the other.
a Some years after the decree ,
dissolution, the Prairie oil n Ga
=, Co. created the Prairie Pipe LIN
q company and transferred all OF Il
lines to this new company and di'
n tributed the stock of this new CON
q pany among the stockholders OF III
u Prairie oil x Gas Co, leaving II
Prair.e on 4 Gas Co. in the businei
~ of producer, a buyer and market'
II OF crude oil and this is the con
ii pany that Il IL my intention to de
n with in this address.
THE Prairie OH & Gas Co. occl
10 p!es the position OF being the grea
le est buyer marketer and broker
Al light gravity crude oil, in the worl
IT has produced and purchased {
AZ an average of from $4,000 TO 170
~ 0OO barrels OF oil n day since Il
~ year 1919, and has sold and d
livercd during that same period
~ time, from $4,000 10 1876, 900 barre
~ per day These figures would re
resent the maximums and m!r
INF, NUNS
"a Let me remind you that 4
al Prairie OIL ~ Gas Co. ia not no
,c and never has been engaged in &
he husncNs OF refining or DISTRIBUTE
refined products. 80 STRICTLY has
NNntItu 10 iHt liplilN bhAlAH'h A'l
at its creation that 1t has even d
cuncd 10 enter tho field OF manufa
ed ture OF natural gasoline, preterri
ISL to sell its gas on a royalty ha
rather than enter the mnnutactur!
h' business.
re Occupying as Il does. this po
. tion OF being the largest buyer
- crude OIL It naturally becomes I
w greatest prize making factor in I
~ Mid -Con;lneut field The fact ~
~ IL confines its operations almost {
bo clusivcN TO oklahoma, Kansas a
~ North Texas. gives 1t added streng
in the ficld OF price making IN tho
~. areas. SO completely has II predol
in. mated IN the field of price maxi
he that today all other buyers usua
"a follow the quotations Of the Pra!
oil \ Gas Co, or base on its pr!
IL to such an extent that any atta
of upon the reasonableness or fairn,
OF crude OH prices must and of y
az cess.ty Is an attack upon the pr
est posted 10y the Prairie oil Il Gas {
m / am here this evening to make {