The Durant news. (Durant, Miss.) 1882-1985, 1953-10-22

the nations highest-six per cen,
v5..e Il costs more tax money
g., prtuucr q bsrrel of oil in Mis-
s.as pp. tn4n anywhere else in
klaer.ca Tais fact is supported
- me findings of the Mississip-
nj Legislatures 1852 tax study
committee as well as by oil in
au5try surveys.
The Mississippi oil severance
TAX rate - six per cent of value
IS actually less than Louisiana's
record high rates based on 18 tc
% cents per barrel according to
| quality and price, but the Missis.
slppi producers total tax bill pei
o4lIel Of oil is greater.
/ Why? Because Mississippis in.
come tax rates are higher than
LouiSianas and because the Mag
noha State does not recognize
certain income tax deductions
the 2519 per cent depletion allow
ance and credit for federal in
come tax payments allowed
by Louisiana most other states as
well as by the federal govern
ment. The net result is that,
through the highest tax burden
imposed by any state, Mississip-
PTS oil and gas people actually
pay penalty for operating here
The Brighter eide
Developments to date in 1855
! have raised the hope that per-
haps, at long last, large reserves
of oil and gas may be uncovered
in Mississippi. One hundred and
thirty-three wildcat" drilling
attempts so far in 1853 have net.
ted IL new field" discoveries, a
least one of which is expected te
develop into a large producing
area.
Eleven New Fields"
The eleven new oil field dis
coveries recorded since the be.
ginning of 1853 are: Trebloc anG
Coleville fields in Chickasav
county; Anna, Shieldsboro anc
Levees Creek fields in Adam.
county; Saukum and South Pos
sum Corner fields in Wilkinson
county; Tdlewild field in Jeffer
son county; Sloan field in Clay
county,; Aberdeen field and n
unnamed oil discovery in Mon
roe county.
Northeast Mississippi
Oil was discovered by the Mag
nolia Petroleum Company recent
ly in the hard rock country" o
northeast Mississippi which hat
heretofore yielded only natura
gas and some distillate. The dolo
mite formation from which tn
northeast counties first oil is be
ing produced is thought to exis
beneath a large portion of north
east and north-central mississippi
northwest Alabama and into Ten
nessee - the area known as tn
Warrior Basin.
Oil industry spokesman hav'
stated the hope that this are
will become one of the most pro
life producers of both oil an
natural gas. At very conserva
tive estimate $40 millions hav'
been spent in northeast Missis
sippi on this prospect since tn
completion Of the Muldon gas
condensate discovery in Monroe
county by Union Producing Com
pany in early 1852.
South Mississippi
Other significant completion
to date in 1853 include the state
largest gas-condensate discover,
by the Ohio Oil Company within
tibet Make field of Forrest coun
ty. This well, capable of produc
ing from three separate zones
stimulated drilling in the i'm
mediate vicinity and again turnet
industry eyes toward a well
known and often drilled geologi
cal structure called the Wiggin
Anticline or Virgins high"
Efforts to expand the known
limits of the Make multiple-zon,
reservoir spread into the nearby
Pistol Ridge gas field, also il
Forrest county, where in late
!; September independent I. P. La
Rue and the American Liberty
Oil Company discovered higl
quality oil while drilling an out
post well just across the Pear
River county line.
The LaRue oil discovery fur
Their stimulated activity in tn,
area and strengthened the belle