Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-06-03
1880 OUTPUT OF OIL
MAY SHOW DECLINE
Production of Crude Petro-
Ieum Expected to Be Under
Billion Barrels.
ny ]. C. ROYLE.

It now seems probable that the
production of crude petroleum IN 1881
win be under / 900, 600, 900 barrels, This
iS less than the 1929 output, according
TO the figures of the Federal OH Re-
porting Board, but with the huge STOCKS
Of crude and refined already on mana,
estimated to amount to ABOUT eighI
months supply, the technical Sltuallon
Of the petroleum industry does not seem
likely to be materially improved In the
next few months, despite the heaVy
increase in demand for refined products.
However, the position of many pro-
ducers shows distinct improvement.
They have begun to draw profits from
another source incident to oil produc.
don, namely the transportation ana
distribution of natural gas. TINS oy-
product, which for years mas oeen
wasted in many districts, now Is p rovlng
4 most valuable addition to resources.
recent developments in long-d1stance
TRANSFORMATION Of natural gas are re-
Earded as one of the most Significant
achievements, not only in the oil pusl-
ness, but in industry in general.
Z Natural Gas Trend.
The trend to natural gas has come
about through the revision OF ideas as
70 fine amount of oil still available in
the United States. There have been
discoveries of new fields and of oil
bearing sands at greater depths in old
fields and these show that previous
estimates of supplies were far too con-
sentative. New methods employed IN
these fields are estimated to have aooeo
soc, DOC, 900 barrels to two Pennsylvania
fields alone. With such supplies avail
able. producers are turning to by-proo-
slcts for additional profits, and natural
gas is one of the most valuable OF these.
Major industrial areas which formerly
had to depend on solid or liquid fuels
have now been connected with natura!
eas lines and the demand for gas fuel
has been amply demonstrated. Accord
ing to oil experts, the value OF gas Is
greatest when it is delivered at the
surface In conjunction with OIL, since
gas Is of the greatest importance as
Yropulsive agent for oil IN bringing IL
b the surface.
Conservative estimates place the 1880
natural gas distribution to consumers at
over 1000, 000, 900, 900 cubic feet. In
addition large quantities viii be used
for fuel in the oil fields and other sup
plies will be devoted to the production
Of carbon black.
The principal cost of the distribution
Of natural gas over long distances Is the
cost OF pipe. ALS ID AcnoA1S ~ SOAA
Sideration of the use OF smaller diameter
pipe of greater thickness, capable OF
withstanding pressure of $500 pounds
to the square inch. The first lines were
of large diameter and preSsures were
held down to 400 to 500 pounds. Some
concerns are using telescope pipe. That
is. they build their lines of small, thick
pipe near the source, where pressure Is
greatest, and increase the size and de-
crease the thicknss as distance lowers
the pressure.
Improved Welding Methods.
Improved methods of welding also
have decreased costs, as has the use OF
tractors and machinery for handling
the pipe lengths In laying. The extent
to which the gas section Of the petro-
lelim industry has progressed Is shown
IN the dependence which steel COM
panies now are placing on pipe orders