Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1942-12-05

pected that part of the gigantic tonnage
will be gasoline for use in the conduct of
the war in Alaska and doubtless a supply
for Russia Thus will be eliminated much
of the long, hazardous water route by way
of the Atlantic and North Sea. There is no
more important project in the conduct of
the war. 1t is Montana's task TO keep that
traffic moving
Yet this great demand found Imperial
Oil Co. with diminishing supplies of crude
in Turner Valley and no other supplies
available, in view of the shortage of both
tankers and tank cars. Imperial arranged
for the purchase of 1000 Dbl per day in
Montana from The Texas company, to tide
over. The Texas company contract expired
on November 1 but the movement continues,
not because TexacO wants to sell crude but
because the military situation demands that
Canada be supplied at this critical moment.
However, this oil is being moved out of
storage and Montana storage has dropped
to alarming point-perhaps the lowest
in the history of the Montana oil industry,
in terms Of days of supply.
It became apparent that something would
have to be done by Standard OIL, IL the
Alaska project is to succeed. That some
thing has found at least partial expression
IA Tic pAA tAAASC VI SANTA GtAsdy WIFI ANS NeaSt
undeveIOped holdings, many Of which are
close to the Canadian border, in the Darling
pool Of North Cut Bank fieId-a Santa Rita
discovery.
Standard Oil has no authoritative repre-
sentative in Montana at present and no
statement of policy can possibly be expected
until after Jan. / or after the exchange of
stock with Santa Rita has been cOnsum-
mattel However, 1t is reasonable to expect
that Standard Oil win cause Santa Rita to
double or treble its drilling program, to get
MORE CRUDE OIL. Doubtless part Of the
new crude production will be diverted to
Canada for use in the Canadian refineries,
close to the markets. Quite possibly, much
Of the present output of the Northwest
plant may be turned northward, for use
the Alaska highway. 1t is not impossible
and we are guessing-that Standard Oil may
cause Santa Rita Purchase and Storage Co,
its purchasing subsidiary, to become
more active buyer of oil, although that
agency Is said to have bought some $4,000
Dbl Of oil in Cut Bank in October.
The coming of Standard Oil is, we believe,
military move, but Standard is doubtless
here to stay and destined to become the
spark plug Of a tremendous program of
development in the next few years. I'm
questiOnabIy, the policy viii be again fol-
lowed that what is good enough for Stand
ard Oil IN. ~ is good enough for other
Standard companies. The "ixnay" that once
kept the others out is definitely OutmOded.
Montana oil is needed now as never before.
Montana is ready for fullest exploitation.
That win call for new bIoOd-new drilling
companies, chiefly Promising wildcat areas
are due for study by latest geophysical
the newest types and swiftest
drilling equipment will be forthcoming for
this development which is as important to
the conduct of the war is the building
Of the eastern SeabOard pipelines.
Yes, Montana is about to ARRIVE as
great petroleum producing state. We are
glad we are here. We are glad we had faith
enough to stay. 1t always has been, we be-
ieved, the land of greatest opportunity and
we now know that the greatest opportunities
az in the future for those who have eyes
md understanding TO recognize them.