Evening star., 1953-01-16
Truman Shifts
Tide|and Oil 10
Navy Control
Action Is Viewed
As Embarrassment to
Eisenhower Regime

eisenhower Regime
President Truman today Or
dered the submerged off shore
oil fields set aside as a naval
oil reserve because they ARE of
such crucial Importance from
the standpoint of national Sc
curity.''
In statement announcing
his action in the face of bitter
congressional protests, Mr.. Tru-
man said he is firmly convinced
that it would be the height
OF folly for the United States to
give away the vast quantities of
oil contained in the continental
shelf, and then buy back this
same oil at stiff prices for use
by the Army, the Navy, and
the Air Force in the defense of
the Nation
His action posed an embarrass-
Ing problem for President-elect
Eisenhower, who said during the
election campaign he believed
the so-called tidelands oil should
be turned over to the States in
Volved
Moved From Interior.
Mr.. Truman's order sets aside
"the submerged lands of the
continental shelf" as a naval oil
reserve to be administered by
the Secretary of the Navy. This
transfers them from Jurisdiction
OF the Interior Department.
The great oil and gas de-
poSltS in these lands will be con-
served and utilized in order to
promote the security of the Ma
tlon. Mr.. Truman said. This
IS an important step in the in
terest of the national defense"
He said latest statistics indi-
cate that the United States con-
sumed an average of about 7.3
million barrels of petroleum
products last year, with a large
part OF that used by the military
services. But, he added, domes-
tic production averaged only
about 6.8 million barrels a day,
falling far short of consumption.
Fears Growing Shortage.
Declaring that this deficit is
expected to grow larger each
year, Mr.. Truman said sit is of
the utmost Importance that the
vast Oil deposits in the CONT
mental shelf which are assets
of all the people of the United
States, be conserved and utilized
for the national security"
He said there are now %
known oil fields in the CONT
mental shelf adjacent to the
coasts of California, Louisiana
and Texas. These known fields
contain estimated proven re-
serves of approximately 492 mil
lion barrels of oil. he added.
Moreover, the President said.
1t has been estimated that this
area contains a grand total of
about Is billion barrels of oil.
Production to Continue.
He said his order making this
area a Navy oil reserve does not
require the shutdown of any ex-
listing production of off shore oil.
He explained that special provi-
sions in his executive order will
permit this existing production
to continue.
The order applies to "lands of
the continental shelf of the
United States and Alaska lying
seward of the line of mean low
tide and outside the inland
waters and extending to the fur
thermost limits of the paramount
rights, full dominion and power
of the United States over lands
of the continental shelf"
The order provided that the
Navy reservation shall be for
oil and gas only" and not inter-
fere with use of lands of the
waters within the reserved area
for any other lawful purpose"
A number of Congressman
predicted earlier that Mr.. Tru-
mans order would be set aside
quickly by Gen. Eisenhower or
by Congress.
The action was yariouslv
described as Outrageous" IAN
illegal power grab" and "per-
sonal spite"
There were some who were in
accord with the President. but
they held little hope his order
wuold last very long.
May Embarrass Eisenhower.
There was no doubt that Gen.
Eisenhower will have the au-
thority to overturn the Truman
order, but it may prove embar-
RAISING to him. The President
elect will be put in the position
of deciding that Mr.. Truman's
action is not in the interests of
National defense and of taking
the oil properties away from the
Navy. The whole subject was a
hot issue in the presidential