San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-10-14
PRODUCERS Of.
CRUDE HOPEFUL
OF BETTER DAYS
Events Of Last Week Might
Mean Tern Either Way,
However.
PROBATION MAY GO
Action Of Humble and Tex
as Companies May In
fluence Prairie.

Paradoxical as it may seem, events
of the last few days give indication
of turn for the better in the crude
oil situation, and at the same time a
turn for the worst.
The action Of the Humble Oil and
Refining Company and the Texas
Company in eliminating proration in
North and Cenral West Texas fields
and announcing the acceptance Of all
oil offered at new schedule of crude
prices varying slightly from the posted
quotations of the Prairie and other
Mid Continent buyers, undoubtedly
will react to the benefit of produc-
srs in that section Of the Mid-Con-
hnent. However, the reduction in
California crude oil announced Tues
day by the Standard Oil Company
California;, but further increases the
differential between Mid-Continent
and West Coast oil and of a GER
tainty, the cut comes as a sequel 10
the recent revision in prices put in
effect by the Prairie Oil and Gas Com
pany. The Standards change ranges
from 2 to % cents a barrel.
Want to Sell Oil.
The acceptance of 100 per cent of
the crude offered by the two major
companies in the Mid-Continent Of
fers a way out of the present unsatis-
factory situation and other large pur-
chasing agencies will likely be influ-
enced by the step taken by the Hum
Bile and Texas Companies. There is
little doubt but that the average pro-
Queer in this field prefers the pipe line
company to take all his oil. even at
a lower price, than only part of it and
store the remainder. 1t Is especially
noteworthy to observe that in the lift
ing of the restriction of crude buy
ing, both the Humble and Texas indi-
Gated their policy of purchasing the
oil that had ben stored for the pro-
ducers since last August.
While not materially affecting the
general trend Of the crude market. yet
the move of the. Empire Pipe Line
Company in resembling the companys
proration order in the Healdton DIS
trict of Oklahoma is significant in
that Ii points which way the wind is
blowing. The Empires announcement
was made last week.
Mid Continent Is Hopeful.
There is GOOD reason TO believe that
within a short time, other conditions
having shown Improvement, the
Prairie and Sinclair and other major
purchasers of oil in the Mid-Contin-
emit will take preliminary steps that
will bring about the lifting OF re-
strictions in crude buying in that sec
ton.
1t is known that the Mid-Continent
refined oil market has within recent
weeks displayed firmer tendency than
for some months past and with the
lowering of the price of crude this
Characteristic of refined oils has be-
come more evident. In the meantime.
gasoline from West Coast crude was
finding more competition from Mid
Continent gasoline and it is in order
to allow for even cheaper motor fuel
that California oil hns again been
brought more in line with competition
east of the Rockies.
From another viewpoint, however.
there is a ray of light breaking
through the producers horizon. Pro-
duction continues its downward march
and there is a feeling fostered aud
nurtured. mayhap. by optimism. that
times are beginning to be trifle Inn
proved.
The daily average production OF all
fields in the United States last week
was approximately 2.24.330 barrels.
Oklahoma again registers an appre-
cable decline while California also
takes another drop in daily recovery.
The daily output in Texas fields re-
NAMED about the same as last week
with the new production coming from
the Corsicana.Powell section large
enough 70 offset the national decline
coming from other districts.