Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1939-10-21

Brown has provided this suniiiloIy
of the testimony up to the present
week: "a, 80
DR.. John Ise Of the University OF
Kansas. said that from the POM
of view of structure and % earn
inxs the petroleum industry pre-
sents every shading from nearly
nure monopoly in pipe line trans
nortation to fairly severe cohpe-
tition in marketing.
Decentralized Control
Dr Joseph E. Pogue, Vice Presi-
dant of the Chase National BANK
urged that the industry's pioneer
work in decentralfzed control pe
allowed TO continue as one expeIl-
mant in government which IS not
centered in washington.
Diminishing Profits
Mr. John B. Gill of the Atiahtc
pafininp company, said that the
indnstrv in 1888 produced S56,OVO'-
oon barrels of products more than
in 1926, but received $SSo.OVv,Vs,V.U
less than for the smaller q"@A
produced in 1925.
Sees No Monopoly
Mr.. J. Howard Pew, Presioent
NJ the Sun Oil Company, sald thas
there was a complete absence OF
monopoly in the petroleum IN
dustry. That natural economic Jaws
are all at work and that no conoi-
tion exists which requires furtner
Federal regulation.
wants Specialization
Mr. Marion NJ Travis, former
Manager of the Southport yet
roIenm Company, advocated grading
al gasoline and the creation OF
master service stations, the funds
"a no advanced by the government.
Tn resnonse to questions he stated
that small refiners Jared petter
when crude prices were high tnah
when they were low.
divorce Pipelines
Mr.. Louis J. Walsh. wee res
dent of the Eastern State Petroleum
C,omnanv. and Richard B. Kanle'
president of that company, present
"a ioint statement recommending
the elimination of proration ana
enforcement of pipe lines. or as an
alternative. operation of the IN
dustrv as a public utility. the gov
eminent fixing refining and mar
keting prices.
Claims Monopoly af
Mr. Karl A. Crowley OF Forth
worm Texas. recommended d.
vorcement of pipe lines and moda-
fled proration permitting greater
nroduction and declared there was
a monopoly in the industry eyer
cised by the major lntegrateu
companies.
Proration Succeeds
Mr.. e. DeGolyer of Dallas Texas.
declared that proration IN East
Texas has saved 2.0OO,OOO'OOO par
rels of oil and that 1t was an
article of faith" that we are not
getting enough for our oil
Questions s'Conservation"
Mr. John e. Stafford of FL Do
rado Arkansas, said that the OF
ganic structure Of the refining an
dustrv places those who are ex-
cIuded from pipe lines completely
AZ the mercy OF railroad manage
ment. and that the principles OF
conservation were abused to achieVe
nurnoses which legitimately are not
ohtainable but are matters OF prl-
vate concern.
WastefuI Production
Col. e. o. Thompson Of the Texas
Railroad Commission, pointed out
the success OF state regulatory ef-
forts and said that instead OF rae
ing a scarcity Of oil, the problem
has been one of preventing waste
in the production of our prolific
discoveries of this valuable re-
source. He showed how under
Commission orders wasteful over
production had been prevented IN
the various Texas fields.
Consumer Gets Benefit
Mr.. Fayette B. Dow of Washing
ton. D. c., discussed the various
ssvtems of transportation developed
by the petroleum industry and de-
clared that the savings resulting
from those unique systems nave
been passed on to the consumer.
Proposed Rail "Trade'
Mr.. Eugene L. Orvis of Jersey
Cyti, New Jersey, charged that raal-
roads in 1886 had proposed q re-
adjustment of fnter-territorial rates
on petroleum products If certain
oil companies would discontinue
trucking from their water terminals
or reffneries for distances exceed
ing so miles.
DR.. Robert e. Wilson. President
OF the Pan American Petroleum q
Transport Co., said the benefits OF
integration were. overestimated ana
presented tables showing that the
industry is not operated as cartel
or a monopoly but that company
which might be in first ranking
one year might be On seventh place
the next.
Mr.. Sidney A. swensrud, Vice
President of the Standard OIL Conn
pany of Ohio, discussed marketing
problems and reviewed the various
factors leading to changes In the
price OF gasoline in any area.
Mr.. w. r. Reitz Of the Quaker
State oil Refining Corporation, MT.
Arthur w. RamsdeIl, a market
analyst, Mr.. T. o. Grisell OF the
Kendall Refining Company, and Mr..