Search Documents

By A. R. Denison

The Permian Basin as it appears in the title of this article refers to three rather widely separated areas of production. It includes what are commonly known as the "Panhandle" fields of the northwest part of Texas; the West Texas fields, in the southwest part of Texas; and the New Mexico fields, in the southeast corner of New Mexico. These three areas are all included in a single province and produce the majority of their oil from limestones or dolomites of Permian age. The manner of accumulation of oil in the three areas is somewhat diverse. In the Panhandle, production is found on the flanks of an enormous structural ridge, the core of which is granite. In southwest Texas and New Mexico oil is produced from both gentle and steep folds and from lenticular areas of porosity. Production in Texas During 1927 Texas produced a total of 216,306,000 bbl. of oil of which the Permian Basin contributed 89,797,000 bbl., or 42 per cent. During 1928, Texas produced 255,021,000 bbl. of oil of which the Permian Basin contributed 145,955,000 bbl., or 57 per cent. The increase in total production is entirely due to the West Texas fields. All other districts in Texas declined during the year while the west Texas fields registered an increase of more than 71,000,000 bbl. West Texas daily average production increased from 260,752 bbl, at the beginning of 1928 to a maximum of 406,318 bbl. per day the first week in May. Due to prora-tion agreements, the production was held at a fairly constant level around 340,000 bbl. during the remainder of the year, having 345,660 bbl. the last week in December. Daily average production of the Panhandle fields decreased from 80,178 bbl. at the beginning of the year to 59,025 bbl. at the close of the year. The combined daily average production of the Panhandle and West Texas fields at the beginning of the year was 341,138 bbl. and at the close of the year was 405,408 barrels. Fig. 1 gives a comparison of the production in the Permian Basin in relation to the production of the entire state. It is clearly shown that

Jan 1, 1929

By D. M. Collingwood

The year 1928 has been marked by scattered but considerable wildcat drilling considering the overproduction prevalent in the oil industry. This wildcatting has resulted in the discovery of oil in one interior salt dome, several small fields producing from serpentine, Taylor marl, and Austin chalk, and two new fields producing from the Edwards limestone, one of which in the Bruner or Salt Flat area of Caldwell County promises to be of major importance if not quite as large as the Luling field. Fig. 1 shows production by fields for 1928, compared in the case of the older fields, with that for 1927. New Production From Salt Domes Boggy Creek Dome This salt dome was discovered in 1927 by core drilling and deep tests recommended on the evidence of surface geology. A large block of acreage controlled by the Humble Oil & Refining Co. covers the dome. Since the discovery of the deep-lying salt plug and oil on the flank of this dome in 1927, development has proceeded slowly. Since most of the acreage is controlled in a large block by one company there has been no intensive competitive drilling. Approximately 8 producers and 16 dry holes have been drilled. Production is from the eastern equivalent of the Woodbine and Eagleford horizons of the Mexia district, and has been found extending in a northeast-southnlest direction across the River Neches on the southeast flank of the dome. One of the best wells, the T. H. Jones No. 2, had an initial production of 90 bbl. per hr., and others have made from 100 bbl. per day to 50 bbl. per hr., but production of the better wells has either been shut in or choked down to less than 2000 bbl. per day. At the end of the year the daily average, production was about 2500 bbl. from 8 wells. Considerable gas pressure is present and one well, the Elliot Clark No. 2, drilled in 1927, was shut in with an estimated wet gas production of over 5,000,000 cubic feet.

Jan 1, 1929

By Gail F. Moulton

The production of petroleum in Illinois in 1928 was approximately 6,500,000 bbl., a decline of about 500,000 bbl. from the previous year and of about 1,500,000 bbl. from 1924. Production increased about 200,000 bbl. in Indiana to slightly less than 1,000,000 bbl. Production for 1929 is estimated at approximately 6,000,000 bbl. for Illinois and 1,000,000 bbl. for Indiana. Illinois Because production from most of the wells in the state has declined to a small daily average and the low prices for crude oil discouraged wildcatting, the number of wells drilled fell below that for any previous year since the development of commercially important production in the state. The Ohio Oil Co. discovered a pool of apparent commercial importance in southwestern Illinois near Dupo, in St. Clair County, and favorable showings of oil were encountered in a well in southeastern Illinois, near Harrisburg in Saline County. New production from the Dupo area is expected to check the rate of decline for the state. Thc following tablel summarizes field developments for 1927 and 1928 (for important detail by counties see notes at foot of table): 1027 1928 Completions........................................... 162 145a Initial production, bbl.................................. 2244 1840b Dry holes........................................,.... 66 58" Gas well completions................................... 13 8d 0111 wells abandoned.................................... 45" a Crawford, 44; Lawrence, 28; Wabash, 40. b Crawford, 501; Lawrence, 403; St. Clair, 165 (4 completions); Wahash, 668. o Crawford, 12; Wabash, 19. d Crawford, 6. b Lawrence, 21; Wabash, 15. The discovery well in the Dupo field in St. Clair County, produced about 150 bbl. per day from the Trenton lime at 660 ft. It is located in a northern extension of the Columbia-Waterloo anticline on which the Waterloo pool was developed in 1921. The best information on the.

Jan 1, 1929

By W. G. Wender

This report covers the area producing from limes and sands of Pennsylvanian age, roughly embracing the territory between the Red River on the north and the Llano Mountains on the south, and between Fort Worth on the east and Abilene on the west. It includes Archer, Cooke, Montague, Wichita, Wilbarger, Clay, Baylor and Foard counties in the North Central Texas or Red River Basin area, and Brown, Callahan Coleman, Comanche, Eastland, Erath, Palo Pinto, Stephens, Shackel-ford, Throckmorton, Young and Jack counties in the West Central Texas area. Furthermore, it includes a brief review of development in Jones, Runnels, Haskell and Fisher counties. North Central and West Central Texas during the year 1928 produced an approximate total of 50,948,7461 bbl. or oil. This represents a decrease of approximately 7,720,250 bbl. under 1927 total production. This decrease was due to a slump in production in Brown, Archer, Wichita, Stephens and Cooke counties. Brown County showed the greatest decrease. The 1928 prodction in this county was approximately 4,500,000 bbl. less than the 1927 production. Gross production during 1929 in the North and West Central Texas area can be expected to be lower than in the year 1928. Only one county showed a considerable increase in production. Wilbarger County production increased approximately 3,000,000 bbl. during 1928. Its daily average increased from 9000 bbl. in April to 36,000 bbl. in August. At the close of 1928 it was averaging close to 32,000 bbl. daily. Drilling activity in North and West Central Texas during 1928 showed but a slight increase in completions. The total number of completions during 1928 was 3902, of which 2094 (53 per cent.) were producers, as compared to 3805 completions and 2112 (56 per cent.) producers during 1927. Brown, Young, Wichita, Archer and Wilbarger counties were the leaders in development. The outstanding discoveries for the districts were the Consolidated pool, extensions in the Greyback pool of Wilbarger County, and the Stephens pool, Fisher County.

Jan 1, 1929

By Dean F. Winchester, C. D. Johnson

The so-called Rocky Mountain region is here made to include Colorado, Idaho, Montana, northern New Mexico, Utah and Wyoming, an area of great distances and relatively sparse population. Conditions of distance, transportation and markets have had their retarding influence on devolopment and production but the increase in facilities and markets in recent years has provided additional incentive for more thorough search for new productive areas and the more complete development of the known fields. The low prices of crude during the past year have offset, to a certain extent, the desire for increased production and much of the effort has been directed therefore to outlining new areas rather than to attempts to increase production from known fields and thereby add to the already sufficient supply above ground. During the year just closed the Rocky Mountain region has seen consistent efforts to outline new areas and these efforts have been reasonably successful. In this area a very large part of the land is government property, and by cooperation between the government, the private owner and the company it has been possible to carry on development in a scientific manner, providing for the maximum recovery of valuable products at least cost and at times when prices were best. Due to the fact that in the Rocky Mountain region costs of exploration and development are relatively high because of natural circumstances, it has been the policy of operators to drill test wells only on structures where they controlled a large proportion of the land. Even community lease programs have been effected in certain areas, thus obviating the necessity of offset drilling and the attendant uneconomical and even wasteful production. Oil production in the Rocky Mountain states has shown a slight increase during the year, the average daily production for November being 78,124 bbl. as against an average in January of 76,681 bbl. The total production during the first 11 months of the year, according to the U. S. Burcau of Mines, was as follows:

Jan 1, 1929

By Olin G. Bell

During the year 1928 ten new producing areas have been discovered and several extensions in oil and gas fields have been found in southwestern Texas. This year, however, will reveal itself as one of small profits in spite of considerable increase in production for the area as a whole over the previous years. At the beginning of 1928 the fields in this area (Fig. 1) were producing a daily average of 7500 bbl. from 730 wells, whereas at the close of the year the daily average had increased to approximately 14,000 bbl. from 827 wells. Production for the year was 3,453,938 bbl. The total oil produced in Southwest Texas since its discovery has been 16,955,-388 barrels. (Table 1.)

Jan 1, 1929

By Joseph Jenson

Total United States production for 1928 was 900,364,000 bbl. as compared with 901,129,000 for 1927, or 2,466,000 bbl. per day versus 2,468,000. The three major producing areas were Texas, Oklahoma and California. Texas production increased from 217,389,000 bbl. in 1927 to 256,888,000 in 1928—an increase of 39,499,000 bbl. following an increase of 44,500,000 bbl. in 1927. Oklahoma production amounted to 249,558,000 bbl. in 1928 as compared with 277,775,000 bbl. in 1927 and 177,650,000 bbl. in 1926. California production for 1928 was 231,982,000 bbl. as compared with 231,196,000 in 1927. Production increased markedly in Venezuela and declined in Mexico. Elsewhere no great changes or declines in production were noted. New discoveries occurred in nearly all districts. The many excellent reviews of the various districts of the United States presented at this meeting, are each fully summarized and tell their own story so well that little would be gained by attempting to repeat their content here. There are certain impressions to be gathered from these papers and certain trends that are indicated by them which may better be pointed out. OVERPRODUCTION Overproduction is the most serious one of them. Efforts to avert it resulted in a measure of cooperation in the oil industry more widespread in character and more beneficial in results than has ever been recorded in any previous year. These efforts were undertaken in the closing months of 1927 and enthusiastically effected before the spring of 1928 had passed. Unfortunately, slight advances in prices during the summer months accompanied by the letting down of this sort, of effort resulted in a marked increase of production during the latter half of 1928. Successful delay in the drilling of new prospective areas was in effect in Oklahoma. California delayed some drilling and increased its shut-in

Jan 1, 1929

By Jerry B. Newby

The outstanding features in Pennsylvania and New York during the past year were the buying of acreage for water-flooding in other Pennsylyania fields than the Bradford and Allegany districts, the wide adoption and use of the five-spot plan of development and water-flooding in the Bradford and Allegany districts, the discovery of gas production in the Onondaga lime in southwestern New York and the opening of the T. W. Phillips Gas & Oil Co. Fifth Sand pool in Butler County, Pennsylvania. Water-flooding has occurred in many other fields than the Bradford, Pa., and Allegany, N. Y., fields. In some the flood was a natural encroachment of edge water, in others the water was introduced into the productive sand through wells either accidentally or intentionally. Most of these floods have not been commercially successful. There has been some interest aroused in the Clarendon field, Warren County, Pennsylvania, by a new and apparently successful flood and other floods have been begun. Five-spotting in the Bradford and Allegany fields is the plan of water-flood development under which the area to be drilled is laid off in a grid of equal-sized squares with water intakes located at each corner of the squares and oil wells located in the centers of the squares. So far there are two five-spot water floods that are, beyond doubt,, commercial successes. There were 600 acres under five-spot flooding at the end of 1928, as against 150 at the end of 1927. By the end of 1929 there will be a total of between 1200 and 1500 acres five-spotted unless a low market for Pennsylvania grade crude oil develops. An increase of 6000 bbl. in average daily production is expected to accompany this development in 1929. The Belmont-Quadrangle Drilling Corpn. found the Onondaga lime or a higher strata at 3995 ft. north of Bolivar, Cattaraugus Country, N. Y., and a number of miles from any other important gas production. When drilled to 4006 ft. the well yielded 3,500,000 cu. ft. of gas and when shut in 1700 Ib. rock pressure. The one oil pool opened in 1928 was in Buffalo township, Butler County, Pa., in October, when the T. W. Phillips Gas & Oil Co. completed a wildcat well in the Fifth sand at 700 bbl. a day, which by the end of

Jan 1, 1929

By W. R. Wardner

During 1928 low prices in the East greatly restricted the Atlantic market for California petroleum. The situation was made difficult by only partial control of production. The month of December is estimated in the figures presented here and it is hoped that the differences in the final figures will be immaterial. Daily averages are used throughout. Production Daily average crude production for 1928 was 633,942 bbl., very little more than 1927. Natural gasoline production was 35,453 bbl. daily and the supply (crude and natural gasoline) was 669,395 bbl. However, potential supply was 785,621 bbl. daily, 47,436 more than that of 1927. This is accounted for by more production being shut in so that 116,000 bbl. daily was conserved in 1928 which would otherwise have been produced. Fig. 1 shows production by months for 1928. It will be noticed that while crude production held fairly uniform from January to October, the

Jan 1, 1929

By J. M. Vetter, W. F. Bowman

The Gulf Coast area of Texas and Louisiana produced a total of 47,070,650 bbl. of oil during 1928, a decrease of 7,401,173 bbl. from the previous year. Of this amount Texas produced 39,353,950 bbl., or a decrease of 9,689,296 bbl. from the 1927 output. The Louisiana Gulf Coast produced 7,716,700 bbl., which is an increase of 2,288,123 bbl. over 1927. The decrease in the Texas Coastal area is due principally to the decline at Spindletop. Production at the beginning of the year in this field averaged 53,400 bbl. daily. At the end it had declined to 35,850 bbl. The increase in Louisiana was due to development in new fields at Kelso Bayou (East Hackberry), Sulphur, Sweet Lake, Bayou Boullion and Sorrento. This production was maintained by the drilling of 984 wells. Of this number 736 were located in Texas and 248 in Louisiana. Of the 984 wells drilled, 571 were reported as producers. Distribution of the various completions is listed in the accompanying tables compiled by Oil Weekly. New Developments New developments of particular importance in Texas were the finding of a 5000-bbl. well in formations of Cook Mountain age in the Clay Creek field located in northern Washington County by the Sun Oil Co. ; the discovery of oil at Dewalt in Fort Bend County by the Humble Oil & Refining Co.; the development of commercial production at Raccoon Bend in Austin County by the same company; and the finding of oil in formations of Oligocene age in the Refugio gas field of Refugio County. The most important development in Louisiana was the finding of oil at Sorrento, east of the Mississippi River, by the Gulf Production Co. The importance connected with these finds is not so great in that they opened up new fields, but in the new territories which they open as possibly productive of oil. Eastern Louisiana has been looked upon with considerable doubt on account of the theory which has prevailed among most geologists that the nature of the formations was not such as to produce oil. The actual finding of oil in that area upsets this theory and

Jan 1, 1929

CONTENTS KANSAS-H. S. BRYANT 3 TEXAS, EXCEPT GULF COAST-M. C. CHENEY 14 GULF COAST-L. P. TEAS 21 TEXAS PANHANDLE-W. E. HUBBARD 29 LOUISIANA, ARKANSAS AND MISSISSIPPI L H. K. SHEARER 37 ROCKY MOUNTAINS-R. C. COFFIN 43 CALIFORNIA-V. H. WILHELM 51 MICHIGAN AND THE TRENTON FIELDS OF OHIO AND INDIANA-M. G. GULLEY 65 ILLINOIS, WESTERN KENTUCKY AND WESTERN INDIANA-A. H. BELL . . . 73

Jan 1, 1932

CONTENTS PAGE East Texas, except the Gulf Coast-H. Vance 3 Gulf Coast-L. P. Teas 8 Texas Panhandle-C. C. Rae 16 North Central Texas-H. F. Smiley 23 North Louisiana, South Arkansas and Mississippi-B. C. Craft 25 Oklahoma-C. H. Pishny, Raymond M. Carr and E. J. Dickinson 31 Kansas-E. A. Koester 35 Rocky Mountain District-C. D. Johnson 46 Illinois and Indiana-T. Wasson 49 Michigan-T. Wasson 52 Eastern States-P. D. Torrey and W. H. Young, Jr 58 West Texas and New Mexico-W. V. Vietti. Published as a Supplement.

Jan 1, 1933

By Arthur Knapp

The economics of fuel oil must be considered in two aspects; viz., fuel oil as one of a number of competitive fuels and fuel oil as a refined product of petroleum. "Fuel oil" is usually defined as that product of petroleum which is used in furnaces for the generation of heat by simple combustion. It is true that any product of petroleum used in an internal combustion engine is essentially a fuel oil, but such oils are not included in the class known as "fuel oil." Fuel Oil as One of Several Fuels For a number of years, the petroleum industry has believed that the petroleum reserves were very limited and that petroleum products would begin to become scarce within a few years. The industry has believed that there would be a gradual but continual rise in prices as a result of this impending scarcity. The industry, therefore, has informed the users of fuel oil thai., once they were eliminated by price, they were eliminated for all time. The petroleum industry believed and made the consumer believe that there would never be any appreciable recession in price which would make it

Jan 1, 1928

By B. Bryan

The tank car price of gasoline today is controlled by oil in the ground, rather than by stocks of gasoline or methods of refining. Previous to the commercial cracking of fuel oil, there was a normal and continuous relation between gasoline stocks, consumption and prices. From the beginning of the new cracking era in 1923 to the summer of 1926 there was a changing relationship, growing toward a correlation between the potential gasoline in storage and the price of gasoline. Since the development of large reserves of shutin production in Wyoming, California, Seminole, West Texas and Venezuela, the relationship between stocks of gasoline and gasoline prices has disappeared. The extreme depression of the Group 3 price can only be accounted for by oil which is not being produced but which we fear may be produced at any time. In Fig. 1, the curve of gasoline stocks is simply stocks of finished gasoline. The curve of potential gasoline is made by taking 40 per cent. of all stocks except gasoline, kerosene and lubricants, adding to that stocks of finished gasoline and dividing the sum by total gasoline con-sumption to get the months' supply of gasoline at the current rate of consumption. The price curve is the lower figure given by the National Petroleum News for the first quoted date of each month, with the price scale reversed. Stocks of potential gasoline have decrrased from 17 months' supply at the peak of 1924 to a low of 7 months' supply during the past summer, yet the low immediately precedes the lowest price for gasoline since it was a waste product. The tendency of the price curve to parallel the curve of potential supply is quite pronounced until the summer of 1926, since which time they have abruptly separated. The curve of gasolinct stocks is equally remarkable in relation to price when it is considered that total consumption for the year 1927 is almost exactly twice that of 1924. Clearly a new factor has been introduced. There is no possible factor to account for this distortion except known reserves of oil in ground storage, and therefore, until such time as the Bureau of Mines or the

Jan 1, 1928

By D. E. Buchanan

The: volatility of a motor fuel is an index to its quality and to the satisfaction that will attend its use as an internal combustion engine fuel. Natural gasoline is concentrated volatility; threfore, it is quite natural that the most important market for natural gasoline should be for blending with less volatile refinery gasolines. Progress in the art of manufacturing natural gasoline, particularly in fractionation, which has made possible the elimination of the fixed gases and lighter hydrocarbons having a tendency to gasify at atmospheric pressure and temperature, has made it possible and desirable for refiners to utilize an ever-increasing percentage of natural gasoline in their finished product. This, in turn, has enabled the industry at large with each succeeding year to supply to the consuming public a better grade of gasoline. While cracking processes and improved fractionation in refinery operation have resulted in higher yields of gasoline per barrel of crude oil refined, natural gasoline has also played a large part in this respect because it has enabled the refiner to cut deeper into the crude and still maintain proper standards of volatility by blending natural gasoline with the product from his stills. There is, of course, with even the present improved grades of natural gasoline, a limit to the percentage that may properly be used. This percentage varies with different grades of crude oil, varies according to the facilities employed at the refinery and varies according to the grade of motor fuel manufactured; therefore it is not possible to say that for a certain predetermined amount of motor fuel to be manufactured in a given area, a certain definite amount of natural gasoline will be required. It is, however, generally conceded, and statistics bear out the statement, that the average gallon of motor fuel sold in this country contains approxi-matcly 11 per cent. of natural gasoline. Isolated cases may be found where in a very few refineries during certain seasons no natural gasoline is used, while in other plants as high as 35 per cent. and 40 per cent, natural gasoline is used in certain grades of motor fuels. Production Statistics The total production of natural gasoline for 1927, including California, is estimated at 1,627,600,000 gal. This represents an increase of 20 per

Jan 1, 1928

Most of the world' s continental' shelves are .primarily . esozoic-Tertiary phexicmena. Those ,of south,eap- ern Australia are' no exception, although cam-plicated by possible TTmelon-seed" type block upthrusts in the region of the Bass Strait (e.g. King Island, Wilson's Promontory etc.) These terraces represent the progressive infilling and seaward. outgrowth of enormous volumes of tern g_enous sediments into the marine environment. Asa consequence they constitute the preferred habitats, of, petroleum.The Gambier ,sub-basin forms part of the southern Australian-continental terrace where it opposes the (3000 fathom), Jeffrey deep. The'purpose of'this paper is to discuss its nature, structure,_ and developmental history in re-lation to its oil prospects.

Jan 1, 1962

By H. W. Camp

The past year has had no revolutionary change in the process of petroleum refining, although there have been improvements and developments in practically every phase of operation, due largely, perhaps, to economic pressure. A few years ago, a Mid-Continent skimming plant using 35 gravity crude obtained 28 per cent. gasoline and naphtha; 9 per cent. kerosene, and the remaining yield gave gas oil and fuel oil. Figuring manufacturing cost, but not including sales, transportation, overhead and depreciation, the realization was $1.45 per bbl. of crude. Today, a thoroughly modern and up-to-date skimming plant, having all latest equipment, shows a realization of $1.74 per bbl. on the same basis. Thus it is evident that progressive developments have taken place in the last 2 or 3 years when potential earnings have been increased about 20 per cent. The average refiner is compelled to exert his utmost ingenuity in order to operate with a profitable margin. He has two factors to consider—recovery of maximum yields of profitable oils and the reduction of operating expenses. For the past 8 years, the margin between price of gasoline and cost of crude has grown narrower, constantly. Both these prices are determined by external conditions and not by the refiner himself, but the refiner might have been able to increase that margin had he more carefully controlled his output, limiting his production of light oils to current consumption. Be that as it may, this same economic pressure has given impetus to progress in improvements of primary distillation equipment, including stills, towers and heat-saving devices. A pipe still and bubble cap fractionating equipment can now replace a battery of shell stills, giving better yields, better control, elimination of rerunning and lowering of operating costs. The most recent pipe stills are being equipped either with radiant-heat furnaces or air-preheating systems and improved heat exchange equipment. These can be operated on a fuel consumption as low as 1 per cent. of the charge as compared to a fuel consumption of

Jan 1, 1929

By Walter Miller

ALTHOUGH confident of its ability to meet any demands which may be made, the petroleum refining industry is not complacent about the situation and realizes that the quantities of petroleum products to be furnished are so enormous and so far beyond what was previously estimated that the full co-operative effort of the industry must be exerted. Establishment by the President in May of the Office of Petroleum Coordinator for Defense with Secretary of the Interior Ickes at its head, plus the formation of the Petroleum Industry Council for Defense, in November, provide the channels for united endeavor within the industry and the means for gearing that endeavor within the industry and the means for gearing that endeavor in full harmony with the nation?s needs. Great strides have been made and a rapid understanding of the situation and the magnitude of the task is being attained by all concerned.

Jan 1, 1942

By Harry H. Power

The relative merits of air and natural gas as propulsive agents in pressure drive operations have been discussed for a number of years. When air or gas is introduced into the sand, various factors lead the operator to the selection of what he believes to be the proper propelling medium; but when the question of relative drive effect is raised, several physical and chemical premises must be taken into consideration in arriving at a conclusion as to the superiority of one medium over the other. Dow and Calkins1 and Beecher and Parkhurst2 have contributed fundamental experimental work on the effect of dissolved gas in lowering the viscosity and surface tension of crude oil. Herold; and Tickell' have indicated that whatever type of reservoir control obtains, gas plays other important parts in the movement of oil towards the well, namely: 1. The propulsive and expansive force of the gas. 2. The "Jamin effect," or resistance to the movement of oil in a porous media due to the formation of gas bubbles. When quantitative studies are made, parallel conditions must be selected whereby we may say definitely whether air is superior to gas as a driving medium, or vice versa. Examples of similar conditions are not easy to find in the field. However, in the laboratory we can make determinations which may lead to general conclusions when applied to the field. The experimental and research work described here was started at the laboratories of the University of California in January, 1927, and completed in private laboratories at Tulsa, Okla., in February, 1928. The apparatus used was designed especially for the work.

Jan 1, 1929

The plan recently started for the organization of a Division of Re-search and Statistics in the American Petroleum Institute will probably shortly be consummated. It is proposed to expend $500,000 annually for this research work. The organization's work, as now outlined, pro-vides for a Technical Director, who is to be in general charge of all the work. He is to be assisted by Consulting Technical Experts, who are to be distinguished specialists in the industry and are to serve without pay. In addition, there is to be an advisory committee made up of one representative from the Bureau of Standards, Bureau of Mines, Geo-logical Survey, American Institute of Mining and Metallurgical Engi-neers, Society of Automotive Engineers, National Automobile Chamber, of Commerce, American Society for Testing Materials, American Chem-ical Society, and the National Research Council. This committee is to meet regularly to discuss the problems of the petroleum industry. An engineer and chief economist are to assist the Director.- The econ-omist is to be in charge of statistics, economic phases of the industry, and publicity. It is the intention to centralize in the Institute all infor-mation that may be required by the States or Federal Government, which would be of value to members of the Institute. This includes prices of crude oil, refined products, and natural gas. The engineer of the division is to coordinate the research work to be undertaken by, the subdivisions of production, chemical engineering, utilization, and special research. Systematic study is to be made of the

Jan 12, 1919