Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-12-14
GAS CONSUMPTION
IN 1927 IS AT PEAK
Gain, With Lowered Costs of
Marketing. Puts Firms in
Good Condition.
ny j. {. ROYLE.
Special Dispatch to The Star.

! NEW YORK, December 14.-More
I natural and artificial gas will have
been consumed in this country by the
end of 1927 than in any other year in
| history. The total sales of gas will
| exceed AS, 900. 100000 cubic feet, of
which nearly 125, 600, 900, 900 feet will
! be represented by manufactured gas
| consumption This is tremendous
| gain as compared with 1926. and the
| rate of increase promises to rise in
stead of fall during 1928.
The gross and net earnings of the
gas companies showed equally salts.
! factory expansion. The cost Of labor
| was about the same But coal was
cheaper and modern methods of pro.
duction aided in cutting down costs.
| More potent than anything else was
! the fact that more stocks Of gas COM
| panies are held by customers of the
| gas companies than ever before. This
| has smoothed out annoying wrinkles
regarding rates and service.
! More Used In Industrial Heating.
Another factor which has done
| wonders for the manufa curing gas
companies is the methods by which gas
| is now produced under low tempera-
ture oXydiZaton of coal. Then also full
realization of the value of gas for
industrial heating processes and for
domestic heating has broadened the
market throughout the industrial
centers. and in the urban commune
| ties. Over $1,000. 900, 900 had been ex-
pended this year in expansions and
| benefits.
| Money has been easy, and the A.
| nancing of new plant construction
and main extensions has been made
easy by The splendid financial stand
ing of most of the manufactured gas
companies. These. new plants have
cut down the cost OF production per
cut foot. and while some OF them
are not yet being used up TO full ca.
pacity, sales are expanding and the
capital outlay will begin to flow back
into the treasures in earnings before
| long.
| The manufactured gas companies
have been prof1ting also from the
| broadening market for coal by.prod.
ucts, extensively used in the chemical
textile and other trades. The increa Sc
in the use OF gas for domestic heat.
ing and industrial purposes has been
| marked.
Casing Head Gasoline.
Tt has been impossible, of course. TO
~Oh'th7
| own accord from the depths of the
| earth, but the installation of casing
| mead gasoline plants has yielded a
huge revenue to owners of natural gas
wells in addition to that gained from
the sale Of the gas itself. Moreover.
the natural gas producers have broad.
ened their markets tremendously by
extension of pipe lines and by the
volume OF gas now forced through the
lines gas line of 800 to 400 miles
now offers little obstacle, and the long
| lines with offshoots tn adjoining com
munlties are being laid in every direc-
tlon from the producing fields.
SO marked has this volume of bust
ness become that it has changed the
| status of some companies from oil and
gas producers into what are really
public utility concerns. Companies of
this character have been far less af.
fected by the depression in the petro.
ieum industry than have those which
depend more on the sale of oil and
gasoline for profits.
The life of the wells supplying these