Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1942-08-15

On the other hand, an investor might buy
royalty on five different farms with his
$500. If one Of the five hits oil. il will
probably pay for the other four plus profit
The law Of averages takes care Of him.
One element Of security" IN any invest
ment we may make is the political future
OF the country. 1t is worth the time Of any
reader to study the article IN the August
issue Of the AMERICAN LEGION MAGA-
ZINE Page 81 titled Our Third Front"
Ralph RObey, Columbia university economist
and writer, analyses the talk Of a coIIec-
twist system Of government after the war
I'm destroying the Germans and Jap gang
sterS we must make certain the collectivists
don't take MS over" he says, discussing the
remark that "the real purpose Of this war
the. reason we are In it and the reason we
must wins to get rid Of our present po-
htical and business system"
No business man can afford to bury his
head in the sand and refuse to look toward
the future. He must take into consideration
the things discussed by MIR. RObey. But
even Mr.. Robey adds that he believes that
the cOIlectiVists like the Japs can't win
simply because the American system is
efficient. If the war Is won It win be by
the efficiency of the American system IN
SPITE Of the cOIIectivists. By the same
token, the American system can and win
beat the cOlIectivists. Leave IL to the re-
turning SOIdiers-the boys who have gone
forth to fight for 'the American way Of
Iife"-tO see TO It.
However this is something to think about
In making an investment 1t is safe to
say that even If the coIIectivists succeeded
in taking over public utilities, the railroads
the steamship lines and even some OF the
great industries, including oil and mining,
the one American right that viii be UNI
violated win be the right Of the landowner.
Property ownership VIII be the last Ameri-
can right to be lost, If It Is ever lOst-and
we doubt it viii ever be lost The power Of
the farm bloc In congress indicates that
there is little danger. The man who has
OIL as his crop Is as safe as the man who
has sugar beets as the yield of his soil
In making an investment of any kind we
MUST look into the future. BY every meas
uring stick we can find, the best chance
for security" I'm investment is In oil and
of the branches of oil investment the most
stable is the ownership Of oil land bought
and paid for I'm fee simple. The alternative
to that requiring q smaller unit Of invest
ment) Is a part of the landowners share
of the mineral rights, called royalty. We
have seen the distribution of approximately
Sis, 100000 to Montana royalty owners since
we have been In business-mOre than half
Of it In the last 10 years. We know that
with greater markets established, the future
viii call for more oil In the next 10 years
than in the last 10 years. SOMEONE is
going to receive that royalty oil. We know
It won't be the owners of royalty On Cat
Creek, which is nearly exhausted, or the
great producing farms Of Kelvin field which
are nearing exhaustion. 1t viii be the own
ers of lands NOT NOW PRODUCING who
viii receive the millions of dollars during
the next decade.
We win shortly have some potential oil
and available That there is some oil or
gas under this soil we feel certain. How
much we do not know None can tell ex-
septing the hard nose of a drill. We know
no reason why it should not produce, but
he fact that none knows positively makes
{ possible for us TO buy it cheapIy. We are
not alone in the belief that It is oil or gas
and. 1t is already under lease to large
operator who is paying annual
entails to retain the right TO drill. If any
me wants to buy the land in fee simple,
We win sell it that way. If not, we viii sell
he surface rights to some farmer and di-
ide the royalty among our members.
Full details regarding the tract win be
ent to those who are interested in the pur-
base Of the land In fee simple but only
o those who request descriptive matter.