The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1927-05-06
Continued from Page one)

One-third of the value of all oil hold
ings of Americans in Mexico. 1t is
charged that the titles of the oil lands
which Doheny sold to the Standard
Oil interests are not valid, and that
therefore the Standard Oil interests
are not back Of the concerted, we'll
financed, and contemplate effort to
get the United States to fight MeXl-
co directly, as it is now fighting Mex
leo indirectly, in its fight with Mica
ragua-waging war with that coun-
try without a declaration of war.
Naturally, the Standard Oil interests
do not appear in the open; they
seldom do. They controlled the De-
partment of State completely for
many years, while Mr. Charles Evans
Hughes, attorney for the Standard
Oil interests, was Secretary of State.
The United States foreign policy as to
oil and as to many other matters was
entirely dictated by the Secretary OF
State, Mr.. Hughes, acting in his capa-
city as attorney for the Standard Oil
interests. Is there any reason to
doubt that the Standard Oil interests
are now equally anxious to have such
internal difficulties in Mexico, or to
have such a degree of control by the
United States over Mexico, that the
Standard Oil may make secure its
titles to the oil resources which they
secured from Doheny IN Mexico?
at is reported that the Standard
Oil had paid the Doheny interests
only about $15,000,000 out of an
agreed price of $140,000,000; there
for the Standard Oil has much at
stake in Mexico.
Much Oil in Russia.
''The United States Geological
Survey estimated recently that
petroleum reserves of southeast
Russia, southwest Siberia. and
the region Of the Caucasus
amount to 5,830,00O,OO0 barrels,
while those of northern Russia
and Sakhalin are estimated at
9,25,00O,000 barrels; and it also
credits Persia, Turkey, and MOsul
with 5,82O,OOO,0OO barrels, while
the Federal Oil Conservation
Board appointed by President
Coolidge estimates the available
reserves in the United States at
100000 barrels. Although the
United States exports some oil, it
imports considerably more than
than 1,00O,O00,000 gallons a year
over its exports.
''The June, 1925, bulletin of the
National City Bank of New York, an
institution controlled by the Standard
Oil interests, stated, "There is no
question, however, that in the future
the world supply Of crude oil must
be obtained, in larger part, from
countries other Il an the United
States" Mexico has large supplies
of oil. 1t is true that the Standard
Oil Cos. have, on the surface, com.
piled with the petroleum and lane
laws of Mexico in the provisions Of
the 1917 constitution relating thereto
1t is equally true that the STANDARD
Oil interests would be advantaged b,
not having to pay the scores of mil
lions of dollars which it owes by con
tract with the Doheny interests TO
the purchase of the latter's oil hold
ings in Mexico.
U. S. Shortage in Years.
"The Federal Oil Conservation
Board which included four member
of the Cabinet, estimated that thu
oil resources of the United State.
would be exhausted in four or fiv,
years, and urged that efforts be mad,
Immediately by the United States t,
secure additional sources of oil. 1t i
probable, however, that with a reas
enable degree of conservation the OF
resources of the United States woul
last from IL to Is years.
Sir Edward Mackay, director o
the banking house of Sperling & Co
estimates that within 10 years at mos
the United States will be importin,
5OO,OOO,000 barrels of oil, at an an
nual payment of at least S1,OOO,OOO.
900, most of which he claims vii
find Its way into British pockets.
The record of the Standard Oh
interests justifies the conclusion tina
they are in fact backing the move
ment for war with Mexico. The Geno
conference of 1922, was the first at
tempt of the big oil trusts, actin
with the backing of their govern
ments to establish themselves in tn
Caucasus by peaceful means. Mr..
Z. Bedford, chairman of the boar
OF directors Of the Standard Oil, O.
April II, two days after the openin
OF the Genoa conference, said. "W
feel that there should be no attemp
at the Genoa Conference, or throug
private agreement among various ma
lions, to exploit the resources of Rus
STA; but that it should be understood
that fair and equal economic oppor
tunity should be preserved for a
concerned"
"The Standard Oil Co., two year
earlier, in 1920, had made a deal wit
the Nobel Co. under which both O
them were equal partners in tn
Nobel Russian Oil properties; and S
the Genoa conference was really
battle field between the Standard O
and the Royal Dutch Shell. AS Nj
Louis Fischer states in his book, O
Imperialism, discussing the way i
which Mr.. Richard Washburn Chile
representing the United States Gov
eminent. But the Secretary of Stat
could have been holding a brief onl
for the petroleum company, who's
legal adviser he was before he entere
the State Department and after h
left it. For the property of America
organizations other than the StanC
ard Oil was never nationalized."
Hughes Shows Hand
The United States had very little
interests in Russia except those Of
the oil companies-that is. the
Standard Oil = but the United