San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-09-09
GAS PRICES
| WEAK DESPITE
1. BIC DEMAND
Unusual Situation Is Ex-
1 perienced in Petroleum
Industry.
CRUDE is REDUCED
Fuel OIL, as Well as Gas
is. Oil, Shows Signs Of
Weakening. j
CRUDE IS REDUCED
Tulsa, Okla, Sept. g.

81 Tulsa, OKLA, sept. S.-Contlnued
weakness in the price of straight-run
gasoline is still a feature of the north
ern Mid-Continent refined market,
while the even more pronounced move
ment Of this product is likewise an
outstanding event of the market. Con-
Itrary to the usual custom, natural
! gasoline is not following the straight
run but is increasing in demand with
practically no stocks on hand. This
unparalleled situation is brought about
by the fact that the natural gasoline
has been drawn on more heavily this
season due to larger supply OF
straight-run with which it is blended
by retineries.
While the natural gasoline plants
have been enabled to sell large quanti-
ties of their product to the refineries
before the recent drastic reductions In
price OF motor fuel took place, they
are to a large extent supplying their
own trade direct from the plants. The
Standard Oil Company is the biggest
buyer of natural gasoline from this
territory and is buying all that is
available.
Movement of New. Navy gasoline
continues strong with further recess
sions in price made mainly to reduce
large stocks on hand. The increased
movement is centered among .refineries
who have contracts calling for de-
livery at a percentage of the tank
wagon basis in the Standard OF In
diana territory.
Crude Prices Cut.
Following the lead of Champlin Re-
timing Company several days ago,
other large Oklahoma refineries are
paying less for crude oil. johnson Oil
and Refining Company of Cleveland,
Okla, which is large distributor
throughout the Northwest, has an
nounced new prices ranging from ~
cents for that under Is gravity 10
$1.70 for Al and above or about 90
cents under the Prairie Oil and Gas
Company price. This is 10 cents a
barrel less than the new prices an
nounced by the Magnolia a few. days
ago, which at the time this was writ
ten had not been met by the Prairie
OIL and Gas Company or Sinclair
Crude Oil Purchasing Company. 1t
is expected that a majority of the
northern Mid-Continent refineries not
protected by ironbound contracts will
eventually pay less for crude oil even
should the Prairie and Sinclair COM
panies not meet the drastic reduction
of the Magnolia as they are gradually
falling in line.
Other Large Orders Placed.
Another large order was placed in
this market last week by the Union
Petroleum Company, which bought
$50 cars Of. new navy and go cars
of 64-66 gasoline. While prices at
which this trade was made were be-
low the market quotations conditions
did not permit the company to pay
higher prices.
Some New Navy gasoline has been
obtained at 4 81 cents gallon, while
general quotations for this product are
z to IA cents gallon. One of the
serious obstacles in the marketing of
gasoline has been found in the ire
mendous competition resulting from Of
ferings of gasoline made out of Cali
fornia oil. The entry of the Next
can Petroleum Company into the
Standard of Indiana territory has been
one of the serious problems confront
ing Mid-Continent refiners. This COM
pany, which formerly ran Mexican oil
through its New Orleans refinery, is
now running California crude. This
has resulted in larger output of gas
oline because of the fact that it is OBJ
tanning a ratio of % per cent gasoline
from the crude. From private sources
it is learned that this company has
been able to under quote Oklahoma re-
finers by one-eighth of a cent gal
lion.
Fuel Oil Weaker.
Fuel oil is somewhat weaker be-
cause of the growing belief that in the
event that cut is made in the prices
of crude oil by the dominant purchas-
ers, it will necessarily effect the heavy
grades of crude. Some quantities of
the product have been traded in at 90
cents a barrel, which represents a
price of cents lower than in the prior
week. However, quotations are gen.
orally 30 to % cents.
Gas oil, in sympathy with the weak
ness in fuel, has been obtained as low
as . IL cents a gallon. The prevail
ing quotations a week ago were SIS
cents. Today's quotations are 2 IL
O.