The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1925-02-02
Top of 80 Cents a Gallon
Is Seen In Some
Quarters.
Times WashiHGtOs Bureaas
1923 Ne4c York Acenwe

WASHINGTON, Feb. 2.-Gasoline
prices throughout the country are
soaring. Predictions are current that
before the fight is ended a gallon OF
gas will cost 80 cents.
Reports now being received by the
Presidents oil conservation board
and by the Department Of Commerce
show that the average countrywide
advance in gasoline prices during the
past few weeks is considerably over
! 2 cents gallon.
The cause, say the jubilant oil
men, is that consumption has over
tasscn production. For the first time
in years storage tanks are being
drained to help meet the demands
which have for so long been more
than met by new production alone.
The present state OF affairs has
developed since President Coolidge,
only a few weeks ago. in announc-
ing the formation OF an oil conserva-
ton board consisting Of Secretaries
Hoover, Work, Weeks and Wilbur,
stated that production must be
curbed.
Excess Production
-The production is in excess of
our immediate requirements the
President said. "That over-produc-
ton in itself encourages cheapness,
which in turn leads to wastefulness. :"
So sudden has been the subsequent
price increase that intimations have
come from the conservation board
that an investigation into the cause
Of the present rapid boost In crude
oil and gasoline prices may supplant
the original intention of studying
methods of curbing production.
Oil men throughout the country
hailed with delight the Presidents
formation Of the Conservative
Board. They were then still un-
happy over the low prices of oil and
gasoline. Today their outlook is
entirely different, and many of the
same men who a month ago thought
only Government action could save
the industry now consider the Con-
servation Board liz nothing more Inn
portant than new organization for
gathering statistics.
Statistics gathering is already
well under way. Though official
sessions of the Conservation Board
have not yet begun, the country has
been flooded with questionnaires In
which all men connected with the
oil industry are requested to explain
what's the matter with the oil busi-
ness"
""Times Are Good"
Some who were ready two or
three weeks ago to reply every
thing are now emphatic that
nothing is the matter with the
little old oil business. In fact, times
were never better"
From the point Of view of the
man who owns oil wells or who
makes his living by 'fcracking'' gaso-
line. the present situation is indeed
rosy. It is roughly estimated that
at least $100.000.00O profit has ac-
crued to the industry. because Of the
price boosts sNhich Have taken the
country by storm. Almost daily re-
ports are received Of increases in
crude oil prices. The epidemic be-
gan in Pennsylvania, ran through
Ohio and other middle western
States, took a hold on Kansas COM
panies and has run on into Texas
and the Far West.
The 100000 people who drive
automobiles will hardly be over
5oyed to learn that, according to the
forecasts of many closely connected
with oil markets, the present I'm
creases are merely sample of what
is to come. That is. unless the Oil
Conservation Board should turn it.
self into consumers conservation
board.