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By W. N. Logan

A survey of geological conditions, production and prices in Indiana oil fields. Shows no production and indefinite prospects from the sub-Trenton formation; good production and much untested territory in Trenton formation; and fair production from the Pennsylvanian with fair prospects for the future in both the Pennsylvanian and Mississip-pian formations. THE petroleum industry of Indiana made somewhat notable progress during the year 1923, considering the number of handicaps it encountered. The price of labor and materials continued to have an upward slant while the price of crude oil took a decidedly downward course. In spite of these adverse conditions, the quantity production will closely approximate that of 1922, when it passed the million-barrel mark. The progress of the industry in Indiana should be considered fairly satisfactory as long as the present production is maintained. In other words, if the loss of production from the waning old wells can be offset by the production from the new for a period of 10 or 15 years longer, the industry may have cause for congratulation.

Jan 3, 1924

By W. N. Logan

THE petroleum industry of Indiana made somewhat notable progress during the year 1923, considering the number of handicaps it encountered. The price of labor and materials continued to have an upward slant while the price of crude oil took a decidedly downward course. In spite of these adverse conditions, the quantity production will closely approximate that of 1922, when it passed the million-barrel mark. The progress of the industry in Indiana should be considered fairly satisfactory as long as the present production is maintained. In other words, if the loss of production from the waning old wells can be offset by the production from the new for a period of 10 or 15 years longer, the industry may have cause for congratulation. SUB-TRENTON INVESTIGATIONS In recent years a number of tests of strata lying below the Trenton limestone have been made in Indiana. Several of these tests were completed in 1923. Indications of oil were reported by drillers from several horizons below the Trenton. The most satisfactory of these came from the St. Peter sandstone lying immediately below the Trenton limestone, but no production has yet been obtained from any of the Sub-Trenton horizons. Glen Valley Wells.-Two wells in Marion County were drilled into the St. Peter sandstone, 1 mi. north of Glen Valley and 9 mi. south of Indianapolis. About 30 ft. of sand saturated with a dense asphaltic oil was found in the upper part of the St. Peter sandstone in one of the wells, which contained about 10 per cent. of the light oils, or more easily volatile constituents, and about 90 per cent. of a dark, dense, asphaltic residue. The oil resembled the residue of an asphaltic petroleum from which the more volatile oils had disappeared.

Jan 3, 1924

By C. V. Millikan

THE year 1930 in the petroleum industry has been characterized by the establishment of large potential production of crude oil. This has resulted in closer cooperation between companies by proration and unit operation agreements in order to afford an equitable outlet to all, and to prevent a flood of oil being forced on the market with attendant tremendous material and economic waste. Drilling wells in proved areas and wildcat wells are fewer than in the past several years. Restricted production and low prices have caused greater effort to increase producing and recovery efficiencies. Increased refinery efficiencies have amplified the effect of overproduction. Pipe line departments have been especially busy. New oil lines have reached more refineries by new and shorter routes. Establishing greater gas reserves by new fields has justified new gas lines to industrial centers, and has brought this fuel to thousands of new domestic consumers. Two long gasoline lines, a new venture in pipe lines, are being built to obtain a lower cost of transportation and less loss between the refineries and their distribution centers. The chairmen of the various divisions have discussed the developments of their respective branches more fully in the following reviews.

Jan 1, 1931

By LESTER H. WOOLSEY

IT IS doubtful whether anything new can be said upon this subject and, therefore, it is with considerable hesitation that l prepare this paper. On account of my recent connection with the Department of State as its law- officer, perhaps I will be pardoned if I discuss this subject briefly from the point of view of that branch of the Government. , I cannot, of course, speak for that department, since I have-no connection with it at-present, but it may be helpful if I set down certain* of the factors which in my opinion and from my experience have a bearing on this international problem. With oil-burning ships, motor vessels, motor vehicles, airplanes-all consuming, astonishing quantities of petroleum or petroleum products; with the United States having within its borders only 12 per cent. of the petroleum resources of the world, and consuming about 70 per cent. of the world's output; with the more enterprising nations wide awake to the necessity ; of obtaining and preserving as large a share as possible of the oil resources extant ; the 'problem is peculiarly and in a, very practical sense an international one.

Jan 1, 1921

By AIME AIME

TWO technical sessions, an excursion through the Midwest refinery and a smoker, marked the first day of the meeting of the Petroleum Division at Casper, Wyo., on Aug. 28. Ninety-nine members and guests registered and there was an excellent attendance at 'all functions. The -local committee under the general chairmanship of J. C. Lindsay, general manager of the Western Pipe Line Co., had made every possible arrangement for the convenience and comfort of the visiting members and the Program Committee under E. L. Estabrook, vice-chairman of the Petroleum Division, had brought together a most interesting series of technical, papers. The meeting centered mainly on the various features of the Salt Creek field but there were also contributions from the technology of production in California, the Mid-Continent, and the Texas fields. The opening session was called to order by Mr. Estabrook at the Townsend Hotel on Friday morning. The members and visitors were welcomed appropriately by Ex-Governor B. B. Brooks, president of the "Rocky Mountain Oil and Gas Association, who recalled the changes that had taken place as Casper, a frontier cow town, became a thriving oil metropolis. F. Julius Fobs, chairman 'of the Petroleum Division, responded and then took the chair. He introduced H. Foster Bain, Secretary of the Institute, who expressed the regret of those members members who found it impossible to stop over en route to Salt Lake City and his own pleasure at meeting with the Division in the field. Following these introductory ceremonies the technical session began with a "Sketch of the Geological Formations of Central Wyoming," presented by J. G. Bartram of the Midwest staff. It was brief and to the point and contributed greatly to the easy under¬standing of the succeeding papers by those unfamiliar with the region. The talk was illustrated by a large scale columnar section -and a copy of the excellent, geological map of the State recently issued by the U. S. Geological Survey.

Jan 1, 1925

By R. L. Dunsmore

Introduction If one had been called upon to describe petroleum oil refining seventy-five years ago, he could have acceded to the request quite satisfactorily in about fifteen minutes. Fifteen years ago, an hour and a half would have been sufficient to give a general idea of oil refining, and of the equipment used for this purpose. Today, so extensive has been the research into all phases of the refining and manufacturing of petroleum products, and so rapid the strides in improvement in technique and equipment, that I doubt if a week would suffice to give an adequate outline of ail the ramifications of present-day oil refining. I propose to only 'hit the high spots', dealing particularly with the equipment and methods employed at the Imperoyal refinery, which you are to visit. Crude oil, the refiner's raw material, contains essentially only two elements, hydrogen and carbon. These are not present in the free state but are combined in various proportions as 'hydrocarbons'. A given crude oil is not made up of just one hydrocarbon, but of myriads; some solid, others liquid, and still others gaseous at atmospheric temperature and pressure, ail dissolved one in the other. Moreover, the nature and the relative amounts of the several hydrocarbons vary very considerably in crude oils from different sources. That is, a 'crude' from Oklahoma will contain hydrocarbons not present in crude from Mexico, and is different again from the Venezuela crude. Not only this but oil in a certain well in, say, Peru may be differently constituted from that in a well half a mile distant from it.

Jan 1, 1931

By Donald J. MacNeil

THE opinion, based upon geological knowledge, that certain areas within the Province of Nova Scotia might yield commercial quantities of petroleum, is not new. It dates back to at least 1864, when the Pioneer Oil and Salt Company drilled some shallow holes in search of oil near lake Ainslie, Cape Breton. As a matter of fact, several companies were engaged in oil exploratory work near lake Ainslie at about that time; included among them were the Inverness Oil and Mining Company, the Victoria Oil Company, the American Oil Company, and the Cape Breton Oil and Mining Company. Oil exploration by these and other companies was conducted sporadically on Cape Breton island until 1914. In several instances, the depth of the test holes exceeded 1,000 feet; the deepest was carried to 3,260 feet. The Lake Ainslie area was selected because oil seepages were present along certain sections of the lake shore, but the tests that were drilled to tap the oil-bearing zone failed to yield anything of commercial value. Currently, there are three areas in Nova Scotia wherein active exploratory work is being conducted, namely, at Pugsley Siding close to Amherst; at Kennetcook, Hants county; and near Mabou, Inverness county. The Pugsley Siding test is being drilled by the Sun Oil Company, of Philadelphia; the work at Kennetcook is under the direction of the Nova Scotia Oil and Gas Company; two relatively deep holes were drilled by the Lion Oil Refining Company in 1944 near Mabou, and, as a result of the additional geological information derived therefrom, another test probably will be drilled by this Company in the same area. Aside from these activities in the search for petroleum, the oil possibilities of several other sections of the Province are being studied by means of surface geological mapping.

Jan 1, 1945

By J. S. Stewart

THE Mackenzie River Valley proper extends from Great Slave lake to the Arctic ocean (see map, Figure 1). From Fort Providence, near Great Slave lake, to Aklavik, near the Arctic coast, the distance by river is 1,000 miles. This will give some idea of the extent of the region. Throughout the length of the river valley, the Precambrian complex rocks are overlain by unaltered sedimentary rocks several thousand feet in thickness. These sediments are dominantly marine and Palaeozoic in age. In places, the Palaeozoic strata are overlain unconformable by Cretaceous an Tertiary sediments. The strata have been folded and, in general, the inclination of the beds to the horizontal is comparatively gentle. Here, then, we have the essentials for potential oil fields covering an area over 1,000 miles in length. This is probably the largest comparatively unexplored potential petroleum region in North America, and surface evidences of oil in the form of seepages occur in several places. Many of these seeps were known to the early explorers, and the first Geological Survey report on the Mackenzie River region, containing the results of field work carried out by R. G. McConnell in 1887-88, noted the petroliferous character of the Devonian strata and the indications of petroleum(l). This region is, however, handicapped by distance from markets and sources of supply of materials; by lack of modern transport facilities; by short season for river transport, and mountainous country separating the valley from the Pacific seaboard; and by the long winter season with weather that makes outdoor work difficult. These factors have tended to discourage the enthusiasm of would-be promoters, and so development in this region has been slow In 1920, a test well drilled about fifty miles northwest of Fort Norman discovered oil in commercial quantity, and three additional wells proved a small area to be productive.

Jan 1, 1944

By John M. Lovejoy

CURRENT production of petroleum on such a vast scale presents many interesting problems- the solutions of which are important not only to those directly interested in the business, but to the nation as a whole. The industry is relatively young. Until the discovers of the Lucas gusher at Spindletop in 1901 petroleum production had not exceeded 60,000,000 bbl. per year compared with 1,100,000,000 bbl. in 1936. In 36 years then, the modern oil business, production, transportation, refining, and marketing has developed. I will first present a brief history. of oil production as a background for consideration of the present situation.

Jan 1, 1937

By AIME AIME

Annual net production of crude oil from the Anglo-Iranian, Oil Company's fields in Iran for the years 1940 through 1945 amounted to: YEAR TOTAL PRODUCTION (Long Tons) 1940 8,626,639 1941 6,605,320 1942 9,399,231 1943 9,705,769 1944 13,274,243 1945 16,835,000 (preliminary figure) All developed fields were on almost continuous production throughout the war, though their operation naturally was hampered by war conditions, which affected particularly supplies of equipment.

Jan 1, 1946

By J. M. GARZA

The production of oil in Mexico during 1945 was 43,402,852 bbl., or a daily average of 118,912 bbl. In March 1938 most of the oil properties were taken over by the Mexican Government and since then have been operated by Petroleos Mexicanos, an agency of the Government. The variations in the production during the last 8 years have been due to- fluctuations in the export market demand for Mexican oil rather than to the productive capacity of the fields. Since 1937, yearly production, to the nearest hundred thousand barrels, has been as follows :

Jan 1, 1946

THE man who forgot to mail the letters his wife gave him was for once justified at Tulsa, for envelopes, scratch paper and tablecloths were all in demand and through the two days of the meeting of the Petroleum Division, pencils were busy everywhere sketching out diagrams, drawing curves, figuring, or just taking notes. Those attending took the serious papers seriously, and discussion was wide-ranging but pointed. Despite the highly technical character of the papers presented, the chairmen had never to call for discussion; it was only necessary to say the paper was open for it. Both days the meetings lasted until after five in the afternoon, and it was enthusiastically voted to advance the meeting hour on Friday, in order to give more time. In all, ten papers, abstracts of which appeared in MINING AND METALLURGY for October, and copies of all but two of which were available in print, were presented in the two days, and no more could have been handled to advantage in that time. All but one of these dealt with problems of production engineering. That, the opening paper, was a general review of demand, supply and price in 1928, by Campbell Osborn, in which he argued for the price control of production and showed how the economic conditions determined development. J. Elmer Thomas presented a carefully prepared review of the same data, but came to somewhat different conclusions as to trend, and J. E. Pogue pointed out that in recent years it has been the manufacturing rather than the producing industries that have been notably profitable. These and other discussions were too long to be reported here, but will be printed in full later.

Jan 1, 1928

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 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 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 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

By William B. Heroy

LOOKING back over the industrial and commercial progress of the United States during the last half century the outstanding influence has been the growth of the use of the fluid fuels, petroleum and natural gas. At the turn of the century these fuels supplied only 8 per cent of the energy requirements of the nation. Last year nearly 45 per cent of our heat and power supply were derived from these fuels. These figures are merely statistical reflections of the fundamental change in our national economy which has affected, in so many amazing ways, the life of this generation. The factors which have caused this change are still operative. The trend which has thus been established still continues and growth in the use of these fuels is, in all probability, still well below the peak, both for this country and for other parts of the world. Two great wars have not essentially changed this basic trend; if anything they have served to accelerate it. World War II did not alone increase our requirements for liquid fuels; it demonstrated the absolute essentially of petroleum resources to our national security. Petroleum is no longer just an important factor in our national standard of living; it is the most important single element in our national defence-

Jan 1, 1946

By A. C. Veatch

THE MIDLANDS of England contain large areas of important oil lands, which, however, will not become of commercial importance for at least 5 years, because the ownership of the oil has become a political issue. In Great Britain, except in certain special areas, all minerals, except for gold and silver, belong to the surface owner. The leasing of minerals on the large estates is a very complicated business, as the family solicitors have many forms and formalities that must be observed. In the case of one of the large estates, the principal revenues of which for several hundred years have been from coal leases, the average time between the agreement on terms for a coal lease and the signing of the same has been 8 years. In 1916, one coal lease on this estate had been pending for 15 years, and was still unsigned, although the important terms had been agreed upon 15 years previously. Under war conditions, and considering the extreme importance that the production of petroleum in England would have had, such delays could not be tolerated. Most of the British landlords, relying on the almost, universal opinion of their own countrymen that there were no commercial deposits of petroleum in Great Britain, were prepared to give all their oil rights to the government, but they feared that such action might establish a precedent with respect to coal. For years the Labor Party and extreme radicals have protested against the payment of royalties to landlords on coal. The government, therefore, introduced a bill taking over all the oil rights and providing for the payment of a small royalty to the landlords, to safeguard the principle of compensation in case the coal mines should ever be nationalized. The provision of this bill, with respect to the payment of royalty to landlords, was defeated by a vote of 44 to 35 in a night session of the House of Commons on Oct. 25, 1917, when most of the members were absent, but when a group of labor members and extreme radicals were present. The resubmission of the point to the House of Commons was prevented by the labor members of the coalition government, who reminded the cabinet that the agreement

Jan 1, 1920