The Wrangell sentinel., 1939-06-16
uNIsKIN BAY COMPANY
PREPARES TO DRILL OIL

While miners and mine operators
are feverishly 1eaping into the COM
ing season, the Iniskin Bay Drilling
company is preparing for It's cru
cial period of oil drilling near Cook
inlet
After spending four years and
many thousands of dollars securing
leases from Hundreds Of persons who
had staked the area but since scas-
tered all over Alaska and the states,
completing governmental regula-
lions. and drilling three summers to
attain a depth of over 1000 feet,
the permit becomes void if ell or
gas is not discovered in commercial
quantities by December 81, 1888.
according to n. E. Miller, secretary
to Homer Hayenstrite. superinten-I
dent.
This year regulations will reveal
if the s75O.000 spent in develop
ment to date is a loss OF if Alaska
might have a refinery-and cheaper
oil products for miniig. transpor-I
tation and other purposes in the
territory.
Another four-year struggle to &c
quire leases and permit with the
cost of further drilling will be pro-
hibitive, Mr.. Miller says.
However. If indications are cor
rect and oil is struck in CONNER
eial quantities, it will be feasible to
install a refinery which would en-
ploy approximately 100 or more men
the year around. Mr.. Miller says.
Mr.. Miller and his wife spent the
winter at the oil camp where he
reported 100 inches of snowfall,
with 90 inches still there.
Hollywood Capital
The Iniskin company is backed
largely with Los Angeles and Hol-
lywood capital. Laurel and Hardy
are among those interested. Walt
Disney also has a share, which ae-
counts for the local tag Of THE
Micky Mouse Drillers.'
Carl Beal, an eminent geologist, |
is one of the discoveries of the Ket- /
tleman Hills oil field and is vice
president of the Iniskin company. |
The HaYenstrites have been in the |
oil drilling business for about IS
years.
Since 1886 over 5000 tons of fuel
and equipment have been landed at
Chinitna bay. A new rotary drill is |
being used, with a 130-foot derrick, |
to make a hole with a 14-inch top
and a five-inch drill pipe. The rig
horsepower boilers fired with crude
oil.
From the air a perfect dome can
be discerned. It runs on a 30-mile I
axis. Indicating an unusually large
structure.
Oil seepages in the area have in
terested stray travellers for many |
years. Records show that indications
of petroleum were discovered in In
iskin bay as early as 1853. PaYeloff !
took the first samples of it in 1882.
Pomeroy and Griffin staked
claims at the head of Oil bay in
1896, organized the Alaska Petrol
cum company in 1897, and began
drilling in 1898 Drilling was still
in progress when Martin visited the
region in 1903. He reported four
holes. Two Of these are located about
eight miles from the present drill
ling site They run around 600 feet
deep. Some gas still comes from
them. The pioneer drillers with
their crude equipment apparently
hit the edge of the dome, for the
evidence is that they found heavy
oil.
Beal and Russell Hovenstrite hunt
ed bears in that region in 1892
and like prospectors of any sort, |
couldn't help looking for oil indi-
cations as they hunted brownies. |
The result was the present company.
Already the drill has gone through
a thin sand carrying a highly yol-I
atile oil that is so high grade It'll
will drive a gasoline motor in its
crude state.
1t is hoped that 1889 operations
will yield commercial amounts of
Oil. Mr.. Miller points out that the
field is located in such place
where there would be no stream
pollution and that it is away from
commercial fishing waters.