Casper Daily Tribune Newspaper, February 15, 1925, Page 19

SUNDAY, FEBRUARY 15, 861 WELLS 15 YEAR'S TOTAL Sale (Cepek Operators Failure to- Reach Objective. With all restrictions, except those imposed by weather conditions, re- moved, of] operators stepped out in 1924 and Grilled 661 wells in Wyo- ming, thus establishing a new reo ord and besting that of the previous ar of 1923 by 210 completions. ‘Though the objective for Salt Creek was 600 wells, adverse weath. er was the detrimental factor that prevented ‘its being carried out to the letter. As it was 538 new holes avent down in that field—the most famous Nght ofl structure in the world. The initial output from the 538 was 05,068 barrels, while that for all of the 661 completions in the state was 112,695 barrels. Hlimination of the Salt Creek Pro ducers Conservation committee and its ruling withholding production, re- sulted in the big drilling campaign which was planned to add 600 wells @ year for the next five years, start- ing in 1924. to the number in the field, Estimated cost of this program of development for the five-year per- fod was $100,000,000. The amount a spent last year in Salt Creek was therefore close to $19,000,000, Big Gain tir New Well. Though completions totalled 661 © in 1924, against 451 for 1923, the dry holes drilled last year were but 43 * compared with 41 for the year prev- fous. Thus, while there were 210 more wells brought in, the number of failures remained practically sta- tionary. Gas wells in the Met were twenty-two. Always to be taken into consider- ation In opening up new production is the fact that wells by first per- formances usually make their best showing; getting down to the buri- ness of steady settled production la. ter on after primary compilations of completion figures. The object of © operator is to consistently main- if possible the output of his 1925 leases and toward this end will con- nue drilling. From the standpoint of those in business or working in territory de- Pending upon oil fields for prosper- ity, the necessity of putting down a large number of wells means pros- perity. The more wells drilled the more money spent for wages and the transportation of materials. This money is curned into commercial channels and is an important factor in’a community's wealth. Big Year in Prospect. There is every assurance for a re- markable drilling’ and wildcatting campaign in Wyoming this year. The showing made in 1924 was but the foreruuner of far greater acttv- ities in the future, There is an: ob- vious demand for new production and for the bringing up to par of the old and established fields. Casper quite naturally turns to Salt Creek for the major work in this connection. The fact that the fleld’s output has Within recent months fallen off because of the declining gas pressure in the struc- ture, makes imperative just such a total rigs in Wyoming: Month Comp. Prod. 30 7,870 30 4,192 30 7,585 87 11,989 87 15,711 54 10,008 80 13,760 78 7,525 September —-110 17,238 October 6s 6,047 November --.. 67 6,450 December - 4,216 1924 total 112,695 1923 total 126,545 SUMMARY BY MONTHS OF COMPLETIONS IN STATE OIL FIELDS Following, is a summary by months for the year 1924 oftwells completed, new production, dry holes, rigs standing, rigs drilling and DRILLING RECORD SHATTERED Gas Dry Reg. Std. Drill. Total aH eli 87 419 7 6 90 3 407 = 2 102 327-429 1 4 102 348 450 | 10K A 97 306 ©4403 3 1 118 336 404 2 6 108 295 403) | 4 5 96 309-405 5 1 89 339 428 3 6 90 331, 42: 1 6 83 277-360 2 7 91 281 873 22 48 96 8-316 ate segs Olt 116 853 494 Difference --..--210 13,850 drilling program as that already an- nounced—the ‘completion of another 600 wells. NEW COMPLE District Salt Creek — Big Muddy ~ Lance Creek Grass Creek and Thermopolis district. - Big Horn, Basin --...------------. Lost Soldier and Carbon county Rock River and Medicine Bow ~ Fremont county - Mule Creek -. Osage -.-- Natrona county - Lincoln county Baxter Basin - Miscellaneous By H.‘J. LOWE . « “The off industry is familiar tig the operations of the Bureau o Mines of the Department of the In- terlor, in Wyoming. To the layman, however, who is indirectly interested because of the road, school and re- clamation moneys received from the royalty ofl as provided by statate, the organization, work and objects of the bureau are perhaps not so well known. In view of this fact, it \s well to briefly outline the func- tions of the organization as It oper- ates In Wyoming. ‘The work of the petroleum divis- ton in the state 1s divided into two general divisions, the first, as well ns the oldest, and at this time per- Yfaps the more {mportant, is known - as the leasing division. The work of this division in this sta@ was under- taken early in 1919, wh8n, following a conference with the director of the Bureau of Mines, and three of the jarger operators, an organization tommonly known as the Rocky * Mountain Petroleuny Association was » formed. This organization was inanced by these operators and the field work was done under the direc- ton of the Bureau of Mines. The original organization con- sieted of five men, who worked un- fer the supervision of F. B. Tough, now chief petroleum engineer of the Bureau of Mines, and headquarter- - ing at Washington. Two offices “were established—the headquarters iEloffice at Denver, and field office in the Continental building at Casper. “The yurpose of the worl of this as: E.soctation was to conduct investiga- rtions, for determining the best fod for prevention of the waste f oll and gas, and in this connection much valuable work was accom “ plished. ; Leasing Act 3onlarged Scope In February, 1920, what is now commonly known as the oll and gaa leasing act, was passed, whereby pro- isions were made for the develop- ifment of the ofl and gas upon gov- ernment lands in various parts of “the United States. Following the sppassage of this act, the activities in EAvyoming were materially Increased end in March, 1921, Congress ap HSoropriated funds for the direct use ofthe Bureay of Mines. Thereat- Te ee ee | TIONS FOR LAST YEAR BY FIELDS Comp. Dry Prod. ~ 538 ee ee o © & =) & EA Bas ‘ rary 112,695 MINES BUREAU FUNCTIONS FOR MUTUAL BENEFIT, CO-OPERATES WITH STATE AND FIELD OPERATORS tery the Rocky Mountain Petroleum Association was discontinued by mu- tual consent of both bureau and the operators, and the work of the or- ganization was taicen up by the Bu- reau of Mines, Bince 1921 the activities of the leasing division in Wyoming have increased very materially and at this writing the payroll alone amounts to approximately $75,000 per year, this being two and one-half times as much as the original annual appro- priation for the entire work. The personnel has increased from five to a total of 37 engineers, chemists, draftsmen, stenographers and clerk and the expenditures made in Wyo- ing alone for supplies and ‘equip. ment during the year of 1924 amounted to about $50,000. At the present time E. P. Camp- bell, in his capacity of leasing su- pervisor, with headquarters in Den- ver, {s in direct charge of all of the leasing work in the United States, and the work of the Wyoming. di- vision, which headquarters in the Consolidated Royalty building here, 1s under his supervision. The ad- ministrative and engineering work in the state {s conducted under the d!- rection of J. W. Steely, deputy su- pervisor, and H. J, Lowe, assistant deput: District Offices Maintained For the purpose of maintaining adequate supervision over the activ. ities of the state, district offices are it (in the Salt Laramie and at It. The Casper office com- prises a personnel of 18 engineers, clerks and accountants, and {a In close touch with the operations throughout the # . both on gov- ernment, state and patented lands, through the medium of the district offices. The Midwest office headquarters in what is designated as district No. 2, and is in charge of Ray O. Arm: strong. This office maintains a force of sixteen engineers, gaugers, clerks, mechanics and a chemist, and has pervisior over the Salt Creek fleld,.as well as the contiguous ter. ritory lying to the north and north- west. This {s the largest field of- fice in the etate, and during 1924 had supervision over the operations whieh produced -abqut five and a 37 82 Since extensive wildeatting {s de- pendent upon increased demand for crude oll and there is a decided tend- ency in this direction, the outlook for explorations in this state was never more promising than !{t {s for the coming summer. Already the larger companies have signed up leases on lands lying on all prospec- tive structures and the great num- ber of these untested fields are in for wildcats. | In the past the first attention and in fact the only attention given by operators to untested structures was directed on Cretacious formations. Now interest is taking in the more or less mysterious and doubtful, yet alluring, Tertiary folds. Today there“ aro several tests boring into these unknown promises and there are scores of other such structures awatt- ing the drill. Regardless of how excellent a rec- ord has been marked up tn new com- pletions in previous years, the pres- ent years seemingly holds forth a far greater program of developtient, with millions of dollars to be spent in increasing the output of establish- ed and deeper productive horizons in old fields and exploring for new ones. quarter million barrels of -govern- ment royalty ofl. District No. 8, which comprises the lands embraced in the Shoshone Indian reservation, the Big Horn basin, and the several fields adja: cent to the towns of Lander, Riv- erton and Shoshont, {s in charge of F. A. Lichtenheld, who headquarters at Ft. Washakie. The supervision of the development of the govern- ment lands lying outside of the res- ervation comes under the ofl and gus leasing act. The work on the reser- vation is done in a co-operative or advisory capacity with the Indian of. fics, and is directly handled at the suggestion and in co-operation with R. P.. Haas, superintendent of the} reservation. The territory embraced by the Laramie office, which {s commonly known as District No. 4, lies south of the northern Mmits of the Lost Soldier field, and extends to the} eastern and western boundaries of the state. It is under the super. vision of M. A. Sawdon. The central and northwestern por- tions of the state are incorporated under District No. 1, which 4s un. der the supervision of W. L. Wil Mams, who is headquartered at the Casper office. Co-Operates With Stats | In addition to the co-operative | work undertaken by the Bureau on| the Shoshone reservation, it also| works in close and friendly co-oper- ation with the State Mining Bureau which supervises the development of | off afd gas on state and achoo! lands. Under the provisions of the oll| and gas leasing act the Bureau of Mines is charged with the supervis- fon of the development for of! and gas upon government lands, and as a branch of the ofl and gas division of the bureau, the handling of this work {s the function of the local organization outlined above. This work embodies primarily the intro- ‘duction und maintenance of ade- quate drilling and production meth ods to conserve the guvernment's of! and gas resources. This charge not only covers the conservation of the minerals while yet underground, but applies as well to wasteful methods of hondiing them after they have! (Continued on Poge sia) i Oil Field District Near Casver Crossed bv Highway Coe Casper Daily Cribune IN 1924 We Invite Everyone to Inspect || the New--- 1925 Balloon-Equipped Oakland Line 1925 Balloon-Equipped Rickenbacker 1925 Balloon-Equipped Rickenbacker 5 Balloon-Equipped Gray FOURS ONLY These niodels are now on display at our salesroom. The best place in Casper to buy an automobile. Patterson Oakland Co. 438 EAST YELLOWSTONE PAGE FIVE SIXES ONLY SIXES EIGHTS THE OHIO OIL C0. (ORGANIZED 1887) Sel PRODUCERS OF CRUDE PETROLEUM IN THE FOLLOWING FIELDS: ROCKY MOUNTAIN CENTRAL WEST MID-CONTINENT TEXAS NORTH LOUISIANA WESTERN OFFICE: ' CASPER, WYO. MAIN OFFICE: FINDLAY, O.