Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1942-02-07

Not all Of the landowners in the West
kevin territory have been able to hold
out. Some of them have lost their
farms through mortgage foreclosures.
Others have been compelled to sell for
whatever they could get. Others have
sold because they had no faith in oil
The misfortune of these people pro-
vides the good fortune of those who
are now alert enough to see the posi-
bllities of the immediate future There
IS none who believes that all the high
gravity oil in. West Kelvin has already
been found. There is none so stupid as
to even suggest that no other farm. not
now producing, will produce. 1t is GER
tain that many farms, properly located
on the known producing contours, will
be tested and it follows that more pro-
duction will be found. If this we're not
true, It would afford pretty drab pic
ture for the state of Montana.
1t IS possible to buy some of these
farms which have been surrendered by
their former owners. We have listings
OF farms now available. As an example
we have an 8O-acre tract which can be
bought in fee simple, including the land
surface and $50 of the mineral rights.
The mortgage holders withheld SO
royalty, but there is still 7IzGs ROYALTY
to make a fortune for someone. 1t
classifies as grazing land but has some
pillow land on it. The land alone would
be worth perhaps only 81 or So an
acre, at present prices That explains
why the former owner couldn't make
a living on it. However, the grazing
lease brings enough to pay taxes.
The value is in the mineral rights.
The tract is located within the two prin-
cipal producing contours of the high
gravity pool, as mapped by the United
States Geological Survey. 1t is slightly
less than three miles from the nearest
producing well. West Of it is a we'll
which had a showing of oil, proving
that oil continues even beyond this 30
acre tract and lower on structure.
Northwest of it are wells which had
oil These wells were drilled before the
science Of acidization was known. They
had more oil, we are informed, than
did the High Gravity Production Co.'S
first well on the Horner permit, on the
top OF the rimrock. There is the posi-
Dllity that had acidization been known
when this west we'll was drilled, it
night have changed the oil history of
he Kelvin district
Knowing that the accumulation of oil
Il the Madison lime is determined by
racturing of the lime which cannot be
liscerned from surface indications, we
an guess that this tract may be an
,ther Schmidt farm-the outstanding
producer in the Rimrock high gravity
'ool, in this same contour. Again, it
nay not produce a drop of oil. It is so
ocated in known petroliferous area
hat there is little chance that it will
lot be adequately tested by we'll on
r near it-and that in the not distant
uture
When we think of buying potential
il land we think of paying fabulous
rices. But the greatest individual for
mes in the early days of Kelvin field
'ere those which resulted from the
urchase of potential oil lands on the
asis of farm lands The mineral in
erests, at the time, seemed to be
thrown in" 1t is not unreasonable to
elieve that the greater profits of the
Iture will be made in like manner.
his 8Oacre tract is an example of
hat we have in mind.
This 8O-acre tract can be bought at
lie unbelievably low price of $500. That