Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-03-26
TEXAS OIL WELLS
GIVE HUGE OUTPUT
Lease and Royalty Buying
Practically Halted by
Price Decline.
BY JOHN b. BREWER.
written for the Associated Press.

SAN ANGELO, Tex, March 26.-De-
spite the fact drilling is at the lowest
ebb since it began to develop into an
important factor in the West Texas oil
industry almost eight years ago and
lease and royalty buying is virtually at
standstill because Of crude price re-
auctions to the lowest levels for oil OF
like gravity anywhere in the United
States, West Texas, due to its immensely
and diversity of producing horizons con-
tinues to offer much Of significance ana
interest.
The group No. oil corporation's
(Texon) No. Abb University, latest and
largest of the worlds nine deepest pro-
ducers, in Regain County, established Q
new peak in flowing 9,374 barrels OF
approximately so gravity crude during
the a. hours ending Monday morning.
This was 667.50 barrels more than its
previous record, made February before
tubing was required by the state Rail All.
well rebelled against back pressure
doubled to 1000 pounds, burst its bonds
at an undetermined level and ran partly
out Of control for three days
Depth Of Wells.
The nine deep wells range in depth
from S,525 to S,823 feet. Two are
deepening. The other seven gauge In
excess of II, 900 barrels Of oil daily, while
the nine have q total gas potential ex-
ceeding zoo ,O00, 900 cubic feet daily. To
utilize this fuel, the Texas Public Serv-
ice Co. now is laying a 12-inch S0-mile
gas line to San Angelo and an 6-inch
40-nile gas line to the Pecos Valley
Power & Light Co.'S plant on the PecoS
River. Employment Is being given 500
men.
Denney, Andrews and FOx's No. ]
Tankersley, which last week pumped 40
barrels Of oil and barrels OF water IN
the first SO hours, at total depth OF
/ .472 feet, may extend Iron County's
shallow, high gravity sweet oil Held 3
miles northward.
The Mid-Kansas Oil 81 Gas Co. No.
Goode in East Central Terrell County
perhaps Is the most closely watched
wildcat at present, by reason Of having
struck dry, sweet gas February 10 at
$500 feet. The gas now has remained
steady, while drilling has progressed
past the 6,000-foot depth in hard black
lime.
Oil production extends northwest
from the Yates pool in Peco County
through half Q dozen West Texas
counties into Lea County, N. Mex, and
gas In the Terrell test has aroused
hopes that the trend may extend south
eastward from the Yates pool.
Flat prices Of IS. IS and 40 cents q
Darrell for West Texas crude, regard
less of gravity posted March 10, repre-
sented reductions averaging II cents
a barrel. or As per cent, and are below
the cost Of production, producers say.
Some Wells Shut In.
A few wells, including some not pro-
rated, have been shut in.
I'D Arw@ &axrr
abolition Of proration, contending that
its continuance and extension to new
fields, such as East Texas, m1rely will
build higher potentials, which, 1t Is
claimed, are used to hold down crude
prices
Before crude prices were reduced, oil
companies began seeking reduction in
rentals and within the last two weeks
several ofices and field forces have
been cut, in some instances so per cent.
A few oil company of1ces have been
closed.