The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-08-02
Should 90 Back To so. Price
If the u. S. is to Retain
.Snprem0cn
Supremacy

II tho United states is 10 rctnir
her supremacy as the greatest Oi
producing country IN tho world III,
great lendcrn ln price making should
not overlook tho fact that OH can.
not be produced successfully. even
IN the rich Mid-COutlncnt fold nj
less than 81 per barrel
Reports from Mexico are 20 the cf-
feet that every one In beginning Ia
tear up their lines bu,lt at such
great expense, and to dismnntls ro-
finerics, ana this with the idol OF
moving The equipment TO South
America Immediately The nxpensr
OF operating in Mexico for tho brief
space OF two years has cost 30 many
millions as 90 bc absolutely beyond
belief. II II said that the Standard
invested S92,O00,O0O ia II Transcon-
tlnental (of Moxico). where the re-
flnory alone cost $4,000 900, and
now. II the equipment ~ moved out,
It viii be subject 20 n huge export
duty.
Tho Mexican government allows
imports OF oil well supplies abso-
lutely free. but not so when tho
stuff II 10 be exported. The Moxl-
cans have shown more judgment and
trading ability than the combined
Big Five with all its wonderful prcs-
tigo. and although the said Big Five
may succeed In getting n lease on
all or Mexico through the Mexican
congress. by submitting to Article
27 OF the constitution OF Mexico,
which gives that government the
royalty, It is stlll extremely doubt.
fui IL this measure viii 5v5r pass.
IL viii bo 10 long years before
Venezuela will be producing enough
oil to cut n figure In tho production
OF the world, for the reason that
American drillers cannot stand tho
climate and for the further reason
that there ~ no port other than Car
rnccns. which Is n long. long way
over To tho mountains. that tank
steamers can load. The port OF
Maracior can only bo entered by
the shn y-draft monitors, which
have been converted into oil tnnkers
and the service at best Is limited.
Moreover. the government refuses to
allow American oil men to deepen
this channel by dredging. and there
you are,
Looking over tho oil fields OF the
United States. Il Is marvellous and
absolutely astounding that so many
pools Throughout the country are
now on the very brink OF disaster.
Even the famous Salt Creek fields
OF Wyoming. touted far and wide as
the best and longest-llfed pool in the
world is now declining because of the
fact that tho wells are being opened
and oil is being taken with regular
ity. Montana is failure no far
as the north end IL concerned, and
there have been innumerablc dry
holes in tho Cat Creek country, along
the southern border.
Right here IN Oklahoma, which Is
supposed to be the danger spot OF the
entire oil producing area OF tho
world. there are so many reports
coming In of declining pools ms TO
make 10 appear the part of wisdom
that the price bo put back shortly
10 So per barrel, In order to maintain
enough production TO take care OF
the daily consumption. The oil men
are shutting down and win continue
TO shut down ms long as the price
ls left ms 1t Is, and would not, in fact,
go crazy To driil again with oil at 81.
or even $3.50 per barrol
The Burbank pool IL declining
every day, ana the last report had
II that tho field was only produc-
ing lb,.hh hulltH lIplh ava W'lNi
Another report is due any time, and
everyone confidently Believes II too
will show further decline In the
face OF all the drilling now under
way. Dry holes are showing up
where least expected and this. too
puts n new face on the situation. ~
far ns that pool is concerned.
The small pools which are bound
10 show mp along tho north bank of
tho North Fork OF the Canadian
river are not market breakers hS
any means. There is Il disposition
TO get oil ont at present prices and
the Prairie OH n Gas Co. ia shooting
its wells In this district, The rivci
somehow marks the boundary, nj
most rivers do, which cross-cut th'
trends In oklahoma, but there II nj
one who expects market breakers II
this direction. Today's report hR
II that the Pioneer field in Texas b
outlined and whore else In TeNa
with all tho thousands OF wells tina
are drilling Is there going 10 be {
new pool? Tho chances are thert
will be none. and the pipelines VII
soon hc fighting for oil as agains
the refiners, who are n fighting