Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1937-09-11

to haul it away in tanks and barrels,
for use as tractor fuel in its raw state.
However, this is no adequate market.
Needless to state, this oil will not only
get an eventual market but it Will CONF
mand a premium of from 10 TO % cents
per barrel over crude in other parts OF
the field. So Mr.. Schmidt has no worry
;eoout his future. Already his royalties
have brought him all the money he has
needed. If he wanted to, he could sell
enough of his royalty TO put him on
easy street." but he is content to live
where he is and wait for the day when
MS royalties viii make him really rich"
The "RimrOck pool during the past
year has offered the same type of OPP
pOrtunity that East Texas offered In the
early days of the depression. When oil
was selling in East Texas for 10 cents
a barrel, 1t was hard to find ON investor
who would buy royalties. The average
man could see no future In 1O-cent oil.
That was all many could see. The man
who said to himself: "0il has had an
average value of $1.2O per barrel In the
istOry of the petroleum industry; this
oil is worth much more than 40 cents
per barTeI'-that man made himself rich
BIZ buying East Texas royalties on the
basis of 1O-cent values.
The same principle is true in the RIM
rock pool where we did much of our
buying during the past year. We bought
royalties on the basis of no market, ON
positively proven but idle oil Land.
Like the days of 1O-cent oil in East
Texas, we need no imagination to see
that I'm due course of time there win be
q market for every barrel of 40 gravity
oil that can be produced In Kevin-sun-
burst. Those who have bought ON the
basis of the depressed market are the
ones WHO will make the greatest profit.
Those who wait to do their buying
AFTER the market and the higher prices
are established will pay dearly tor their
waiting. is apparent that the man
who buys his royalty for 81 viii get 100
per cent more profit on his investment
than the man who pays 81 for the same
royalty. 1t follows that much of the
profit of any investment is IN THE
BUYING.
The royalty buying days are all over.
so far as we are concerned, in the RIM
rock pool. The new Rice-AndersOn wel
northeast of tlVe field is inst another
example of the tremendous opportunities
awaiting the investor who Will take ad-
vantage of the history OF the Rimrock
pool and get himself some Iow-priced
royalties in regions where wells drilled
have found enough oil to virtually insure
production through modern methods of
acidizatiOn.
The opportunities are becoming fewer,
but the investor armed with a map can
quickly see the open spots on the rims
OF Kevin-Sunburst field and determine
for himself where new pools are likely
to develop. The key to the situation Is,
OF course. an outside well that had 8
showing of oil in the lime. The Rice
well was guided, we are informed, by the
old Three-fn-One well, three-eighths of
a mile away from the Rice well site.
Anyone interested I'm anticipating fur
Their extensions In this field by royalty
purchases should request those publicaz
lions issued by this organization .on
Kevin-Sunburst.
II there is any member who lacks a
good map of Kevin-Sunburst, we will
supply a map which shows the field I'm
detail, on scale of an inch and a half
to the mile. Every member should have
one.