Casper Daily Tribune Newspaper, July 10, 1921, Page 9

we . SATURDAY, JULY 9, 1921 TARIFF PROPOSAL HAS MARKED > EFFECT ON THE OIL INDUSTRY Proposal Comes as Complete Surprise in Market Circles and Foreign Issues Take Slump; Other Factors Are Reviewed Statt Correspondent of The : of The Tribune. NEW YORK, July 2.—The eleventh hour insertion of a protective tariff on crude and fuel oil in the proposed Ford- ney tariff bill has had a most sensational effect on the trend of affairs in the petroleum industry. As soon as this infor- mation reached Wall Street, there was an almost vertical drop.of 14 points in Mexican Petroleum, it being realized that the proposed legislation was aimed at)when these are falling away to noth- Mexican imports of crude oil into this ing? It is to be rememebered that wountry. Two days later, the Stand- ‘ard Of! Company of New Jersey an- nounced that it had abandoned opera- tians in Mexico for the time being, at-Jeast, and notified the United States Shipping Board that until fur ther notice American oil would be fur nished against supply contracts in stead of Mexican oil The proposal of an import duty on crude and fuel oil came as a complete surprise, the, unexpectedness of the news heightening its effect on the} stockmarket. There ts much talk of a| “leak” at Washington but it is felt that the responsibility for the release of any information is to be laid at the door of ropreseniatives of oi! compa- nies who were at Washington when the’ newspaper correspondents re- cried the details from the ways and means committee. The inzertion of the clause covering oll was not without dramatic effect. While framing the bill, the Repub- fican members of the committee voted 1¢ to 7 against an import tax on fetroleum. The bil! was already printed, and the decision to tmpose a tax was not reached until a few hours before the actual introduction of the bill by.Chairman Fordney. It is stated that Representative Chandier of Okla- lomu, a member of the ways and means committee, is chiefly respon. sible for the proposed new tax. Repre- gpntative Chandler asserts that the low tariff will protect the independ: ent producer against the ‘“freezing-out Srocess,” which he states is being adopted by the Standard Oil Company ot, Now Jersey, heavily interested in Mexican oil, .has been importing quantities of this cheap product, re- sulting, in curtailed demand for do- mestic oil and the forcing of small wproducers out of business: The action of the Standard O11 Com- pany of New Jersey in announcing a ceasatton of operations in Mexico is, ostensibly, on account of the export tax ‘increase on crude oil recently an: pounced by the Mexican government. Tt {s felt, however, that this increase in the Mexican levy, amounting to 25 per cent above the former taxes, dees not warrant any such drastfc action. While the Standard has made no of- figh-feference tothe proposed import tax Minder the Fordney bill is prob- ablethat the change in policy is almed at tho new bill, The reasoning’ in- fluced by this action would be, if the Standard has already been forced to stop operations on account of the Mex- Acap duty increase, what chance is ‘there of deriving revenue from im. ports of Mexican crude and fu |part | Standard Oil of the tariff bill is only in the stage of a Proposed measure, and influences such as the above may easily result in a radical change in the provisions as finally adopted. If the tax of “25 cents per barrel on crude and 35 cents on fuel oll goes through as proposed, the effect on the oll industry may reverse conditions entirely. The collapse of the crude otf market can be attributed in large to Mexican importations. If these are cut off, the effect on the prospects of oil producers in this country should be extremely bullish. It is a known fact that, even at the présent rate of domestic production, we do not produce sufficient petro leum for our own requirements, the deficit coming from Mexico. With the latter supply cut off or reduced drastically, the position of petroleum is immensely strengthened. That the proposed tax might not be an unmixed bleasing is shown by a consideration of the fact that refin- eries in Mexico would naturally ex- pand. There is no tax proposed on refined products, and the amount of the proposed import on crude is suf- ficient to warrant a large investment in refineries to escape this cost item. The lobbies of the capitol will be the scene of much action between now and the time of the fina) passage of the. Fordney tariff bill, as repre sentatives of both Mexican produc- ers and independent producers of this country will be present to bring all their arguments to bear tn support of their conflicting claims. The pricipal producers in Mexico are shown in the tabulation below, which gives also the barrels output. 1920. 32,381,655 1919. Mexican Hagle- 18,798,707 099 + 5,769,507 16,945,139 5,250,890 New Jersey. Gulf Oi! Corp. Freeport-Mex. (Sinclair) - 4,986,705 Intern'l Petrol. 496,181 Mexican Invest._ 7,588,048 Penn:-Mex® Fuel 7,233,695 Atlantic Gulf, Oil 6,713,632 Corona Oil (Royal Dutch), -- 7,375 Island Oil & Tran. 3,215,819 6.217.354) Southern Pacific 3,020,508 4,108,200 N. BE. Fuel (Mag- nolia- - 2,977,963 384,763 Cities Service... 1,603,730 422,025 Boston-Mex, Leasing --- -- 1,603,579 Miscellancous --10,139,052 Total Creex. Lance Cro Lander --- ~ 110 - 4.85 1 where ‘rig “was burned, has resumed | drilling at. 2.181 section 30-26-56 has cemented casing} nt 1,848 feet. New Well in Osage. appears to be a pig producing well for! a shallow field on section 19-36-64. A test is betme-made-to determine the flow. 1 6-65 was the cause of inthe field during | the’ week ns two wells were shot and} show indications of being good pro-| ducers. | 8 3 3 2 & a The Emery Oil company, according! to a decision made at a recent meeting} hold in Douglas, will drill one of the The con-| doepest wells in the state. | cern already has a hole about 4,800} {eet deep in the Perris field near Raw- lina, eologists have ndvised that the Dakota formation should be- en-| countered “at approximately 500° fect deeper. ‘The Emery company decided | }to finance and. drill, the remaining| depth. | When the weil: is. completed to a| depth 400 fect it will be the rec -WARKET GOSSIP AND FIELD NEWS PRODUCERS AND REFINERS REPORT Test of Producers and Refiners corporation near Wyola in Big Horn county, southern Montana, may not be aban- doned: as formerly reported but may be drilled deeper. In the Ember sand at 2,480 feet it developed a big dose of water and the company gave orders to pull the casing and abandon the hole. In the meantime, the original leaseholders, with whom the company had an operating from Fort Stecle, on section 27-21-85, agreement and some Pecal people at}it is down 300 feet. Wyolai-have made a proposition to the} ‘The status of the company’s opera. Producers ard Refiners to drill on/tions in the proven districts of Wyo dgwn to the Tensleep sand, which {s/ming as of July 5 is as follows. expected within the next 200 feet.! Sait Creek—No. 2 on section 30-49-79 The drill passed through several sands|j, drilling at 1300 feet, and No. hut with one exception, they were dry./on section 15-40-78 has cemented # There was a slight showing of oil|inch casing at 1,800 feet. and some gas at 2,050 fect. The test | ig If Black Guich in the Crow Indian/ Z t 1,100 sesevation on section 2408-045. | Still fishing for parted caping at 1, “Producers and Refiners corporation, Wertz—No, 2 on section 7-26-89 has Ye drilling two wildcat tests in Wyo-| cemented §-inch casing at 2,819 feet. mitig. In the Murphy creek district in| Ferris—No. 1 on section 35-26-87 has “Johnson county near Kaycee on gec-' cemented casing at 2,860 feet; No. & tion 11-42-82, jt is down 400 feet. Inj on section 26-26-87 is drilling ahead at Carbon county, four miles southwest | 1,800 feet; No. 2 on section 36-26-87 ‘ Now ied in Our _ NEW QUARTERS — Midwest Building Wyoming National Bank CASPER, WYOMING Sand, Draw—No. 1 on section 14 is} IGHT in weight and smart in appearance, the LIGHT-SIX Coupe Roadster is the ideal car | for physicians, salesmen and others who want a sturdy, dependable, economical two-passenger car of the enclosed type. Ks wonderful value, at the new low price of $1695, is due to its complete manufacture by. Studebaker in the newest and. most modern automobile plant in the world. This is a Studebaker Year SMITH MOTOR SALES CO. NEW PRICES OF STUDEBAKER CARS f. o. b. Factores, effective Jane Ist, 1921 Coupes and Sedans Prod. & Refrs. be Casper Daily Cribune Today’s Markets by Wire FURNISHED BY TAYLOR & CLAY Ground Floor Oil Exchange Bidg. Phones 203-204 | LOCAL OIL STOCKS. | Western Oi! Fields... .18 20 Amalgamated Roy 02 os. 1 On ..... + 19 21 American .,.. ...... ‘0% 00%! NEW YORK CURB CLOSING | ies a Bid. Asked. | Minato’ 7 Midwost Refs. 4129.90 9190.00 | Boston-Wyoming St aoe ate Se 28 3} Big Indian 10 Sareea oe. 2 Buck Creek 18 Fe Burke of j Black Tail 4 (oeeeete ss Blackstone Salt 33 Hamilton Dome - Mule Creek .... ord hole in the state and it is bel mile from the surface. Reports read at the Douglaw meet-|SePtember tard went to $10.82 and ing indicated that several. good oil ghowings have been encountered in The Carro]l-Walker interests in the) the well and that—at. this time oil | Osage field have just brought in what |theagutes over §800' feet in depth in the iole. ©. W. O'Méara was elected secréiary of the compapy to‘fill a post: tion_recently left vacant by a reaigna don. Elks. Arriving At Los Angeles For Big Reunion Potatoe: | CHICAGO, July 9.—Potatoes: Re- LOS ANGELES, July 9.—Advahce 74 cars; market firm: Virginia guards of delegates to the grand|Jrish 25@4.0 burrel; Nor- lodge reunion of the B. P. O. be held here July 11 to 16, inclusive, have arrived. Arizona contingents from the northwest are due t seceska abe rer bd and trains ody. ed | fect and’ No. 9 on|will be the only hole ever drilled «| Bearish Interpretation Piaced on | port |wheat at the opening today with all | 54g. nal joptions 1c to 1%¢ lower as compared| * 3.37) With yesterday's close. | Capitol Pete % }lowed when commission” hous: ye ge 600 st uses sup. sth rect to o Bik Bada 6.25 | Ported September and black rust re, | Doeeecney ott an ‘ nate “aed | Okmuiges = 25|Ports from southern Manitoba and|Teartings, ise to $225 higher: ma \itea 1i¢|Portions of Saskatchewan helped the|}<-.1 eis wlaris sea Waele tan8 Eating @etGtne: Coen, 114.99 |™ovement. Trade was rather light. | or “Unchanged. mi $4.75| September opened at $1.20% to GRAIN PRIGES FORCED LOWER CHICAGO, July 9—(U. S. Bureau of Murkets}—Cattle — Receipts, 500 compared with week ago, good and | choice heavy steers steady; others and | yearlings 13c to 25¢ higher; spots up |more; butcher she stock mostly 50c | canners and cutters, 25c and 50c high er; bulls, 7Sc to $1 higher: calves | #1 to $1.25 higher; stocke: high. jer; feeders, dul, unchanged. i jogs—Receip:s, 7,000; market tive, mostly 10¢ to 15¢ higher than yesterday's average; good clearances; toy 0; bulk better grades, $5.50@ Ik packing sows, $8.25€3.65; gs steady. Sheep — Receipte. Government Crop Report of Yesterday inter: | crop re- selling of! AGO, July 9.—Bearish of the governme to considerable lea A ralty fol 6,000 receipts 1.20%, dipped under $1.20 and then rallied to around yesterday*s close on “ Sevteee | 4 ; . DENVER, July 9.—Cattle—Re |Mexican Petrolecm Feports of overnight expert business! csints, 100 head: market strong: beet | we }Sinelair Oil. © seaboard backed by local Pro-| steers, $6.00@7,75; cows and heifers, Great Western Pet. 04 eee A |feasional buying. | $4.50@6.75; calves, $5.00@3.50; stock Hutton Lake 01 Resa Be SE The market lacked support toward|ers and feeders, $4.00@6.00: bulls, Jupiter ot ary aes 74.37| the close and the finish was at about |$2.00@4. Lusk Royalty * Fr IGN BXCHANGE. | August, $1.15% Sepiember, $1.18% | Sheep—Receipts, 300 head; market| Lusk Petroleum.. .... Sterling }to $1.18%:. October, $1 These | Steady: lambs, $9.50@10.35; ewes Mike Henry prices represented net ses of | $3004.25. | Mountain & Gulf around 3% ‘Ae THEMATEN 7 Northwest - A | Corn trading was marked by an out THERATEN Eeoes Outwest 00% Jadvance of July to 2c over Septem-|_ OMAHA, July 9.—JohnPesek, heavy-| r Picardy 04 |ber, the removal of hedges on 360,000| Tl&ht wrestler, was threatened with Riverton Refg. 06 os. | 3s bushels sold late yesterday to Mon-| Violence at Crookston. Neb., Thursday Royalty & Pro. u 12 || Pirst 4s treal being the. factor. Tho market | MSht f ing his victory over Ben Sunset 02 Second 45 generally opened about 1c off from|P&velke of Crookston. Pesek was res Tom Bel cae ? 92 lrirst 445 yesterday's close with July 69%e to | Sued a state deputy sheriff. Western Exploration . 1.40 heScond 4%s Sle, September 59%c to 60c and De- PS Wind River Refg. ‘ 02 lThird 445 cember 594%) to 6c. The movement Wyo-Kans [Fourth took July to 62%ic in the first. hour Wyo-Tex ; Victory 4%s . and the others advanced in sym- WYOuING CRUDE OLL MAREE oars : |. July maintained its spread over Grass Creck - $1,185, Rock “Creek -.-. |September fairly well but the corn| Torchlight ~ ~ 15} Salt Creek ~ market eased off with wheat. At the Bik Basta - = 2.18] Big Muady “- ae close July was 60%c, September 5¢c to 59%e and December 58 i%e to 68Ke. September ribs to $10.87. Closing Quotations. CHICAGO, July 9.—Close Wheat—Bept. $1.18%, Dec. $1.21 Corn—Sept. Dec. 5814 Oats—Sept. 37%e, Dec Pork—July $18.40, Sept. $18.50. Lard—Sept. $11.25, Oct. $11.35 Ribs—July $10.72, Sept. $10.90. Provisions, CHICAGO, July 9.—Butter — Un- changed. I Unchanged; receipts, 7,217 cases. Poultry—Alive, unc’ god. NEW YORK tures closed firm: 9.—Cotton fu- $12.23; Octo- —Read The Tribune Classified Ads— whole family. season comes. to Tec higher, better gradew up most: Weakness Develoys in First Half a irregu! of largely Pater Ning OCK OPENING 5 IRREGULAR = mey and § Hairs. Freceariak Sho Session Today NEW YORK, J M te . MONEY TO | * nteced’: i ahared ot: actunetid At reasonable rates on || ; idend status, Sentiment was mo ail active e =e =o wetknees in" Tor 2 neaeatibeat ules motses, ‘eteenle ae W. E. JACOBY & CO. Can you think of any other passenger c you so many advantages as the Ford Sedan? It is a car for everybody, everywhere. asset in his business; the farmer has no end of uses for it, and when it.is done with business, it does duty for the Order your Ford car now. Just phone us or drop us a card. EARL C. BOYLE 125 to 137 North Center 7 | | Oats were firm from the start with - September starting lower to pe | |higher, at 38%c to 38%c, steadying i at the latter figure. u Provisions showed considerable » Ae strength on optimistic trade reviews. THE UNIVERSAL CAR Ii = it ge ge LE TE EE - y— Beerszss SEB 795 f. o. b. Detroit r that offers The business man finds it an Don’t wait until the rush Phone 9 have city water. time. Phone 1202 BRANCH REALTY CO. LOTS IN ALLENDALE ADDITION Where in the city of Casper can you beat this? ‘ Where you can buy a lot direct from the owner with no middle man’s prof. its, where there is a chance for you to get an increas you buy as in this fine district where property adjo for more befre it is platted than we ask for these lots of the finest residential districts.in or about Casper within Compare the size of our lots with other additions Our prices run from $1 down and $10.00 per month without interest. These lots are located on South McKinley just a short d new proposed cogntry club house and city park. There are several new homes being built on this addition Call us at any time and we will be glad to take you out and show the lots in ALLENDALE ADDITION. OFFICE OPEN EVERY EVENING i ah ede in valuation the ning eur addition g Which will make ene short time. and don’t forget to 1.00 per lot; 10 per Size of lots are 50x140 feet. ance from t mo ne that 5.00 he at the present (Over Iris Theater) & Phone 1292 N