Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1938-11-19

EGAAS EOulauy ana the GOMtluouldi
At Cut Bank the largest producer
are the Texas company, the Elec
trio Bond and Share, and Santa Ri
Ia company. These companies. and
many Independents operating IL
Montana are keenly alive to the
4 necessity OF reaching Tidewater be-
cause the refineries in Montana
North Dakota, Idaho and Eastern
washington have not sufficient
capacity. through market require
ments. TO admit a practical devoi-
opment Of the Montana oil fields.
The three refineries being built in
Spokane viii handle Cut Bank
crude. The Inland Empire Refining
company. a million dollar plant,
with a initial capacity of 5000 bar
rels per day. is being built by the
Wasatch Refining company, and will
handle Electric Bond and Share
production. Two smaller refineries
will handle approximately 500 bar
rels per day. the oil coming from
Drumheller wells at Cut Bank,
while the Columbia Refining com
pany will handle oil from Cut Bank
Independents shipments. 1t is al
announced that a refinery will be
built at Pullman with a capacity Of
500 barrels per day
RAIL TRANSPORTATION
All these Eastern Washington re-
fineries are being supplied by the
Great Northern Railroad, and, at
recently reduced freight rates, it is
believed can be operated profitably
so as to take care of the Inland
Empire. but rail shipments from
Montana to Tidewater are imprac-
tieable. thus emphasizing the neces-
city for a pipe line to Puget Sound. |
There is serious talk of the con-
strucbion of a pipe line from Cut
Bank to Spokane This, it is believ-
ed. would pay for itself, within a
few years and would make transpor- |
tation costs so low for Montana oil
that California oil would be restrict |
ed to the markets west of the Cas-
cades, whereas a pipe line to Tide
water on Puget Sound would re-
strict California oils to the market
south of the Columbia river.
Mr.. Henry assures The Herald |
hat while production in the present |
proved oil fields in Montana is con-
in excess of the needs of |
Montana and the Inland Empire,
hat additional to this there are
our tests now drilling in the deep
n ones. If either one of these are
uccessful il would mean the prov
ng up of the deeper zones under
'ther Montana structures. This
which would force itself through
he Tidewater en- route to the mar
-ets of the world. Mr.. Henry thinks
hat there would be sharp competi-
ion for the extension of a pipe
me from Spokane to the coast be-
ween Bellingham and Portland, and
is the opinion of others who have
lade a study of the pipe line sit
alton, that a Puget Sound port
fould have an advantage over
ortland for several reasons, one of
'hich is the greater accessibility to
he major markets.
'ELLTNGHANI'S ADVANTAGES
PPARENT ,
III view OF all or these facts 9
lese pOtentialities, these possibili- /
es. and the attending opportunities. !
is no idle dream that Puget
1und may soon be awakened by the
9alization of an invasion of this I
'ea by the oil and gas products |
the already OVERLOOKING oil and !
as fields of the Great Alberta /
il and Gas basin. If Belling- s
am does have advantages as a r
rminal, as is revealed by a study 7
Northwest ports, it may be hut
short time until initial inquiries p
III take the form of practical sur
US that are definitely favorable to =
dillingham; Bay as a great refinery Z
shipping, gas distributing and
center.