Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1936-04-18
OUR MAIL BAG
81O-I2-14 Wst Building,
Houston, Texas,
April 8, 1896.

Houston Texas,
April 8, 1896.
Montana Oil & Mining Journal.
Great Falls, Montana
Gentlemen:-
In your issue of April 4th, 1 read your
editorial entitled, I'VE admit we do not
knowr-Being an oil operator with some
40 years Of experience behind me ana
coming from western Penn originally,
where my family were interested In
oil producing and refining back as far
almost as the oil industry dates, ! feel
/ can make suggestion. rms same
suggestion may be the same as many
others may make, nevertheless It Is the
only one Of value.
tank car lots of Oklahoma and Texas
crude oil to Canadian refineries and am
wen acquainted with general conditions
in Canada. / do know that at present
there is considerable crude oil shipped
into Canada from points ia south Texas
from where the freight rates are very
high. also have been refiner ana
marketer Of all refinery products and
have shipped gasoline Kerosene etc.
into many northwestern states. However,
/ have not been In the petroleum market
Freight per gallon on gasoline from
Group 8 points tOkahoma refining
points, to Denver amounted to some
thing in excess OF SIC per gallon and
much of the petroleum. products sold
throughout the northwest comes from
Oklahoma and Kansas. Therefore the
retHu UEicG IN HuGn Afthh AnuHl oG
based on cost at refinery plus freight
In view Of the fact you produce a
moderate quantity Of crude oil In Mon
ference over a wide territory, possibly |
some or 10 northwestern states, there /
is no reason why crude oil produced IN
MOntana should not bring a posted price |
equal to its market value. There Is
only one thing that will bring the
producers to the point where they Will /
ks4nA 4n tnnNyt
must effect a very strong organization
for their own protection. Possibly there /
also should be another organization 70 L
include all the independent reflners IN
Such an organization as would repre-
sent the producers would bring about
a much. improved situation. All the
outlay that would be necessary would
be for a paid Secretary and office rent
to handle the affairs OF the proposed
the independent refiners Of
Penna and the east, the Western Petrol
cum Refiners ASSN representing land
might add, protecttng) the refiners of the
Mid Continent and adjacent territory
We have Independent organizations Of
oil producers in Texas, the Mid-COnti-
1ent and in other oil producing areas
do not know of any such organization
n Montana. There may be one but IL
30, feel that should bring about Il
situation that should work out TO the
1e they producers, royalty owners or
In the early days of the oil industry
,us and foolhardy venture for any
Oncern to go into the oil refining I
business In fact very few. were able
hey had gambled their money to develop
We have had few stout
earted pioneers who had an entirely
ifferent viewpoint men who worked
Rf ftsa rknfF roll m
some Of them happened to be
q political offices. To cite one example n
former United States Senator, who
led some 20 years ago, Senator lockwood
( Penna, was the author of the legis-
ation that created the Inter State Com
lerce Commission. From the date Of
very hazardous undertaking to solicit
rebate or to violate the rules in any
ay. This one act Is the greatest thing
rat has been accomplished IN the history
possible for an independent TO exist
You may recall some ~ or 18 years
90 when Judge Landie then a Judge in
ne Of some % millions Of dollars
yainst one large company. They wen
new they were violating the rBles Of
le Federal courts at different times
reyipnely. Judge Landis merely did
tile ffguring. He had the facts showing
.at snss comp@n{ nsd y1osrsteq ss rules
any times He assessed the maximum
ne III each tnd every instance and this
axiMmm fine multiplied By the number
ofkeueea amounted to some 70 milli0nslk
dollars. The fine OF course was
yer paid as the same company was
.yer known 20 pay heavy fine or
ldofm lose an important lawsuit; In
Ct higher court reversed judge Ian
q amh there was nothing for the large
mpany TO worry about except moral
} lesson,
/ have no interest whatever in Montana
Il I would like very nFnch to see
organization formed, one with set
interests OF the independent pro-
icer, reffner, royalty owner and ia fact
see that q fair. square and Just
srkef Is established and that each
d ali, the big fellow and the little
low gets q square deal. ~
Respectfully -
LEO KATYFRAN