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*0 ^ DAILY AVERAGE PRODUCTION Week Ending Marth 2. 1040 S,798.350 Increase 00,180 17.200 Decrease POSTED FIELD PRICES Kerin-Stubant . Ponder* - Oat Bank. Oat Greek...».. cV ..»» -»0 x op^ 4' y A? #° V. H. Montana - - SSÄ . ..» 1.10 - » 1.10 so i mc / * < Cf a onlana K « » V « * i ts s~ §2 0 *TA a a' |* 11 fc - M o r • « S GREAT PALLS. MONTANA. HATI KDW. MARCH ». 1040 5c PER COPY. CANADA 10c VOLUME U» —NUMBER 51 « Well On Gas-Oil Line Of Cut Bank Field Is Now Flowing By Heads Again "touching the nerve'', Glacier Production company this eek brought in a well which is located on the precise gas-oil line of Cut Bank field—the line where the oil column meets the pres sure of the gas cap of the higher contours. Flowing wells frequent ly reward Cut Bank operators who can locate this line. u * The well is Glacier Production Maltby No. 2, NE hi 8-3 3-5W. It flowed several times aifter drilling into the Cut Bank sand but the amount of oil production had not been determin ed at last reports, there being a considerable flow of gas with the oil. Farther west, most of the wells in the main Cut Bank have little or no gas whatever. A short distance east of the Maltby, gas production, with no oil. Is to be expected. The well had not been completed at last reports, at 2832 feet. It was last reported drilling in the lower Cut Bank sand, making oc casional short flows. in Center NE % Glacier Production - 'Barrington No. 1. CNL NE 14 SW14 19.33-5W, south of the town of Cut Bank, is drilling at 2990 feet, due for com pletion. Rritish-American-Tribal No. 12, C SB *4 NW 14 34-35-6W, Is still fishing for lost tools at 2885 feet. Santa Rita-Stahl No. 4, C NW '4 SEV4 20-35-5W, Is drilling at 1675 feet. Santa Rita.Tribal No. 10, NW mvy* NW% 15-35-6W, is drilling at 1075 feet. Tarrant-State No. 5, NE NE 14 SE 1 /* 36-34-6 W, la still fishing. Anxiand-Hutchings-Federal Land Bank No. 4. CBL N% SW 14 11-34. 6W, is rigging up. Texaco-Unlt 11 No. 1, C NE14 SW 14 11-35-ÇW, has rig uip. The Texas company announced one new location this week, to be drilled with a string of company tools newly moved in from Colo rado. The well is Tweedjy No. 4, C SE14 NWÜ 21-3 5-6W and the rig and materials are on the ground. It is south of the Tweedy No. 2, a flowing well in the Lander pool, on the southwest extension of the "trend." BUTTON BUTTE MAY GO ON TO DEVONIAN Lewistown interests are reported figuring on drilling the wildcat well Button Butte structure, In SE^ SE14 20-14N-24E, down to the De vonian. It stands at 3100 feet, in the Mime, and H. Clark Roland, who drilled the test, reported showings of oil in the last 150 feet drilled. The present plan is to perforate the casing at 950 and shut off the water with a pressure job. Button Butte Oil & Gas company has kept the leases and equipment in good shape and the hole is cased with heavy 5 6/8ths-inch pipe, so it can be completed without much trouble. on M 0 N 1 AHA-WY 0 M 16 WEEK ENDED FEB. 24 MONTANA— Cut Bank Kevin-Sunburst . Border .•.. Cat Creek. Dry Creek . Pondera . 10300 4800 80 480 725 800 17185 TOTAL . WYOMING— Big Muddy . Garland . Lance Creek Oregon Basin . Rock River . Salt Creek .. Wertz .. Badger Basin . Cody Dome. Cole Creek. Dallas Derby. Dewey Dome . Grass Creek, light Hidden Dome. Hudson . Labarge ...... Lost Soldier .. Medicine Bow . Mahoney . Mule Creek...... Osage . Quealy Dome. Teapot . Warm Springs. Frannie . .... 1150 .... 3280 ... 21760 5030 2750 ... 16130 .... 3960 170 601 180 I 470 j 10 j 50 230 1160 1720 1975 835 330 200 600 590 20 80 1640 65205 3960 TOTAL . Total Colorado. Total Rocky Mt. States...». StSSBO 4* ■ ■' "■"■•*■ " ■ " MARKET FOR GASOLINE IS OR RPTRERD Montana gasoline sales sagged as a result of winter weather during the month of January, totaling 6,585,252 gallons as compared with 8,133.843 gallons In December. The January total is greater than one year ago, however, w'hen total Mon tana sales were 6.326,680 gallons. An increase in exports of gasoline to other states was shown in January over Decem ber as a result of expanding markets owing to rail rate ad justments. The month of Feb ruary is not expected to show ihucii change in spite of the faet that MeColl-Frontenae com pany of Canada has discontin ued the use of Montana gaso line. That company took over filling stations of The Texas company In Canada on Febru ary 1 and Is now supplying its major requirements from the refineries of Britlsh-Ainerican Oil company. The change brought no reduction in runs of International Refining company at Sunburst, so far as can be learned, since newly established rail rates into North Dakota have made possible the movement of the volume of gasoline into newly open ed territory within the States. Montana-made gasoline continued to cut down the sales of Imported gasoline in Montana during January the ratio being 73 per cent Mon tana-made and 27 per cent of im ported gasoline. This contrasts with a decade ago when 70 per cent of the gasoline sold in Mon tana was imported and 30 per cent was Montana-made. Montana refiners produced 7,472,. 4 67 gallons of gasoline in January, compared with 5,897,317 gallons in January of 1939. Exports were 2,728,661 gallons, compared with 1,742,046 gallons in January. 1939. Importers shipped in 1.842,939 gallons and re-exported 1,493 gal lons, making a total of 1,841,446 gallons sold in Montana, compared with 2,171,417 gallons imported and sold in Montana in January, 1939. AL BECKER IN TEXAS A. D. Becker, former comptroller of the Coolidge group of oil and gas companies, Is now in San Antonio, Texas, where he is engaged in oil production. He reports the presence of John O'Neil, former Kevin op erator. Tom Romaine, geologist, and Charles Sollars. lease man, who are well known in Montana. "Due to my new interests here 11 will probably not see Montana this year but I still have a warm spot in my heart for the old dig gings", Becker writes. FLATWILLOW TEST MAY GO TO LIME well on preparing to resume operations as soon as the weather is settled, and plans to carry this hole to the Madl son contact. A new power has been installed, the National rig has been rebuilt and the equipment Is In shape to carry the hole to 3,500 feet. The Madison lime is expected at about 2350 feet. The hole is reported in good shape, with Scinch casing set on the first Cat Creek sand. Location is ln SWV4NWK 35-13N-25E. -- H. Clark Rowland, drilling a test Flatwlllow structure, Is Safety researchers have discov ered that most reckless drivers are old people! Motor-car gam bling is old stuff to young folks. They've grown up with the inter nal combustion engine. Many of them have jobs which depend upon safe and efficient motor-car opera tion. Industry is teaching them how to keep those Jobs by apply ing common-sense rules on the road. nggm NOT ENOUGH The new year saw a Quickened pace for Montana refiners over the month of December and over the month of January. 1939. and mar ket demand passed current produc tion of January by nearly 40.000 barrels, according to the monthly statement of the Oil Conservation Board of Montana. January runs to stills In refin eries using Montana crude totale^ 479.112 barrels a» compared with' 434,603 barrels in December; 384,. 903 'barrels In January, 1939. and 323.135 barrels in January, 1938. January production was 534,684 barrels against a total market for 515,836 barrels. December produc tion was 535,015 barrels; January, 1939. production was 439,940 bar rels; January, 1938 production was 380,850 barrels. The total market was helped by the shipment of 93,497 barrels of oil to Washington and Idaho re fineries, against 71.497 'barrels In December; 176,274 barrels In Jan uary, 1939, none in January, 1938. This brought total January mar ket to an average of 18,520 bar rels per day as compared with an average production of 17,248 bar rels per day. Most of the excess of market de mand over supply was in Kevin. Sunburst field where International Refining in-Sunbu months It runs a greater amount of Cut Bank crude. In the winter months when there is greater de mand for fuel oils, International runs more Kevin crude and In the gasoline season runs more Cut Bank was running bn Kev erude, whereas in other 4 °: than Kevin crude. As a result of the heavy runs to. stills, storage oil was reduced from 1.319.345 barrels to 1.279. 8S6 barrels; against 1,334.713 bar rels in January, 1939, and 1,415, 574 barrels in January. 1938. Most of this storage oil is held by trans porters—about a third of It In Cut Bank alone. A year ago in Jan. nary refiners had 342,668 barrels of oil in storage against 291,466 barrels at the end of January, 1940. In January, 1938, 377,273 barrels of storage oil with which to start the year. Complete tabulation of January, 1940, production and marketing figures, -by fields. Is printed In this issue of the Journal. reflners had Compared with the revised CRUDE STOCKS GAIN Stocks of domestic and foreign crude petroleum at the close of the week ending February 24 totaled 240,836,000 barrels, according to data compiled by the Bureau of Mines. total of the preceding week, this represents an increase of 998.000 barrels. 781,000 stocks comprlsrtng increases of and 217,000 barrels in of domestic and crude, reprectively. foreign Heavy crude oil stocks in California, not included in the "refinable" crude stocks, to taled 13,372,000 barrels, a decrease of 53,000 barrels from the amount on hand February 17. OIL CONSERVATION BOARD OF THE STATE OF MONTANA 414 Ford Building Great Falls, Montana STATEMENT OF CRUDE OIL REFINING, STORAGE. ETC, JANUARY, 1»40 PRODI VTION, X MONTANA, (Flirurf* miri-tu'iit liarri'lx of oil with fractional barrets omitted.) All Other Mont. Kleid« Ketin Md Horder Fondera Cat Bank Total Cat Creek IN STORAGE JANUARY 1st: 0,10« 112,030 2 !*7H 52,070 By Producers.. . . '' Transporter«. . . r Refineries... " Purchasers for Stonur* ST, 1-V. 117.001» 11.7!« . 1.T..T1.T . 3.03!* .... 2,831 184.575 712 Sri ü'l.Kk! 127.513 2,012 73.Mil*. 143,41!* ..... 155.077 1: 3,013 2.912 In Transit.... 175,242 31,572 ...... 1,319,345 ■534.004 .... 594.137 71.514 TOT.*L STORAGE... PRODUCED DURING MONTH. 440,880 ... 138.070 20.233 .22.951 . 331.794 15.QÜO 301,475 1.854.009 »1,544 54,533 935.931 585.550 TOTAL.... 20.051 479,112 • 4,778 14.9R2 84.877 . 21.871 233.814 4,070* 4.430 83,497 - 13.953 491* 183,423 795.. 10.490 REFINED IN MONTANA. USED FOR FUEL OR LOST. SHIPPED TO CANADA. . . SHIPPED TO OTHER STATES 331* HI* 1,380 25.730 13.102 .23,170 574,143 .... 317,077 194,714 TOTAL... IN STORAGE JANUARY 31«t : 9.583 108.50ft 5.509. 52,070 .. 180.187 723,065 280.500 77,408 10.318... 13.253 . 3,8« 53.805 15,433 87.874 407.050 113,321 77.508. 141,355 149,343.. By Producer« .. . .. " Transporter» ..... " Heflnerlc» ... •* Purchaser» for Storage 5,900 . 2.822 32.570 175,755. . 31,353 . 1 . 279,880 .73.082 . 008.854 ..390.84'-' TOTAL STORAGE. • Pipeline pain (deduct) In Storage Jan. Il-M Refined Los«. Etc. Jaa. Receipt« Mont Refiner« la Merage Jan. I-4S .156,850. 31.811 .. 153,581 „.... 34,880 WYOMING OIL IMPORTED_ Forty-Five Tracis Of Ü.S. Lands Opened lo Piling For Oil And Gas Leases Forty-five tracts of government land in northern Montana have been thrown t pen to filing for oil anti gas leases, in the tirent Falls land office, effective March 25, according to announcement of Tom Corbally, receiver of the local land office. Thea« tracts were formerly covered by oil ami gas prospeeting per mits under the old law and were cancelletl out during the past year owing to failure of the permittees to file new lease forms. Included in the list furnished the General land office at Washing-! ton. 1). c., are some tracts in Ranges 32 and 33 East, which Is within the designated producing area of Bowdoin gas field. Receiv er Corbally stated Friday that no filings will be accepted on these, as oil and gas lease« on proven areas are subject to another pro cedure. The 4 5 tracts are formally open to filing on March 10. If on March 25 there are any conflicting ap plications the receiver will notify fs ' thf* parties that a public drawing will be held and the successful ap plicant will be determined by the lottery method. Each applicant must pay 110 to participate In the draw ing and the drawing will be held within 30 days after March 25. If there are any permits remaining on March 25. on which no applies lions have been filed, the«- lands will thereafter be open to Xg and any who files application and pays the required fees, varying In pro portion to the size of the lease. | will have their applications forward ed to Washington for approval. Following are the numbers of: the cancelled prospecting permits and the township and range num bers where the tracts are located, detailed descriptions being posted In the federal building at Great Falls: OIL A\|> GAS PROSPECTING PERMIT8 CANCELED EFFECTIVE MARCH 35, 1040 - 05235«— T. 22.\„ R. 4E. 0324441 — T. »ON., R. 2W. 057070 — T. »2X., R. 3IE. 05787» —T. »2N„ H. !WK. 057013 — T. »3X., U. 34E. 058013— T. »ON., R. 82E. 058133— T. 30N„ R. 33K. Î£S£=Î. S H 000811—T. »0N„ R. 5. «E. SSîtî* S- a 5F ÏÏSÎK: 55 : «: ,SÈ; JSSSZÎ Sï S "Zit SoSSIIt r rtSoSoi T m" R ni,- 6K SmAZr m ' R Âk .TlîX tl r JS, - r SSt:?; fiî: ü: 2 « O0O08I—T. 37N., R. 5E. 060662—T. »7.N., R. 6E. 060665—T. 86N„ R. 6E. 060666—T. 36X., R. 5E. 06068»—T. »5.V., R. 6E. 0606»:î — T. 35N„ R. 6E 06080»—T. S7N., R. 6E. 060830—T. 85N., R. 5E. 060985—T. »7X., R. 6E. 065788—T. 85N.. R. »E. 066032—T. 36N., H. 51 K. 066040—T. 36N., R. 2E. 067433—T. 37N„ R. 3E 067470—T. 86N„ R. 5. 6E 061423«—T. 35N„ K. 1 W. R. 1E. 0644303—T. 25N., R. IE. (Continued on Page Five! 1 byO- » . ... „„ . Sprln *; ( 1 ke pr " pe f r ' ,jr - n ° lonB '' r J ,,st "round th «* eorner' "•''rin spring rains having cleared n(U , 011 , n ,p ,be to .1 *1 ,a,,as ^Ids during he past ™ ' n ' d " cln * ? ,de . T f f ' î'. d ' "articular y. Into quagmires. " U \ a * a> iV.t .7, ? ^ *«' her <» '-s expected that the frost Z *° (1 ° l ,h " * round ' at \ hlcb tim f oil f * d ? roads ' off hard 8 H r . race - b .7°"' e n 7 rly 1,npas .; a f ,he . . bo, '?, Tn drops out ; ™ ere .«* considerable moisture In "'e ground, augmented recently by f. HM . nc . h 1 sno . w , fal ' whl . c f h d,d not b,ow bad > h - * ivl " R , a uniform man " e over 1he pralrie# - With oil fields travel difficult, 'here were no new wells starting an(l only lour wells drilling In Kev In-Sunburst area, 4'oolidgc A CoolidRc-McCnnly No. ». SE NW >4 SW «4 2.35-3 W, is at 1870 feet and due for SPRING ISN'T AROUND CORNER IT HAS ARRIVED completion shortly. Seven-Inch cas ing was set at 1763. The Sunburst -"and from 1655 to 1660 was dry. This well is a quarter mile north of the No. 2 which ranks as one of the best wells In the field this year, with a swab test Initial of 250 barrels and a pump test initial of 140 barrels per day. This well is in the Rocky Ridge pool, Mosbv-Petcrson No ». SE NE >4 ml ■ « lw s ,', ir ' a sh ow Ïl °i *" S ^ °' ^ Ma< " lowing Is large enough so that " allowed tTsUnd for a [yj* ZASt*?*'* on the pümp l'-vol A Sl.ea-Gov.-m.nen, No. 5. SE SW '^ 11-35-3W, is drill ir, g at 1030 feet Hfter running 8 >4 -Inch casing at that depth. Superior-Haugen No. 3. C NE <4 **,* n s5 - 3W - '• " rtU "« •« >«• ' 1671 to 1678. The WIGHT HUT SETTLED WASHINGTON — Complaints a gainst natural gas rates of the Montana-Dakola Utilities Co. have been dismissed by the federal power commission. The complaints, the Capital Gas Corp., Montana Eastern Pipeline Co. and John Wight of Montana, asked the dismissal, the commission said, explaining had been reached regarding gas pro duced in the in which leasehold rights. that a settlement Baker-Glendive field the complainants have l*™» NORTH WELL Growing talk of a test to and in to the lime contact in the sharp folds of North Cut Bank was heard this week when the Ne well-Chandler et al-Anderson No. I wildcat ln C NB«* NW U 1-36-6W, found on ly small production in the lower Cut Bank sand. There is talk In Cut Bank of a Joint test to the El. Ils-Madlson contact, since this well is located on a well defined struc ture designated by the U. S. O. S. as the Black feet "nose." Cut Bank proponents of deeper drilling—a matter of around 200 feet to the top "breaks" of the lime, point to the wells at Del Bonita, on the Al berta side of the border, which find oil In the second and third breaks of the lime although located some 1500 feet down the north west flank of the Sweotgrass Arch. The Anderson well reported no Moulton sand. It had Sunburst sand from 3000 to 3005 feet with a 500.000-foot flow of gas; upper Cut Bank from 3065 to 3080 was dry; lower Cut Bank sand was from 3080 to 3090, with one bar rel of oil and three barrels of wat er showing in a one-hour drill stem test. The top of the Ellis was at 3090 and drilling continued to 3140, Another 200 feet would test the Del Bonita oil horizon in the lime. One previous well in North Cut Bank, in Section 11.37-5W. was drilled to the top of the Madison lime by the Huber-Montana corpo ration. Drilled with rotary tools, the well had a showing of oil at the top of the lime such as is ac idized Into commercial production in Kevin field but the showing was not tested, so far as (s known. A fishing job halted deeper drill ing in the Cohb-Chorl No. I, well on the C'obb "nose'' of North Cui Bank, the loss of a bailer halting this well In the Cut Bank sand at 2712 feet. Unable to fish out the bailer, the crew began plugging back to the Sunburst sand where they believe they have a small well, the Sunburst sand yielding 32.2 gravity oil at 2680 to 2704. There was some gas with the oil and It may be developed Into good production by the use of nltro glycerin. «LIGHT DECREASE SHOWN IN MOTOR FUEL PRICES Gasoline was sold at retail for an average price of 13.43 cents per gallon on February 1, 1940, cording to Information from 60 representative cities receflved 'by the American Petroleum Institute. The average price was 13.63 cents on January 1 of this year, and was 13.11 cents on February 1, 1939. Taxes averaging 6.4 2 cents per gallon Increased the average cost to the customer to 18.86 cents per gallon, as against 18.95 cents on January 1, and 18.55 cents on February 1 last. year. ac GASOLINE HALES GAIN Domestic gasoline demand for December in the United States show ed a gain of 5 per cent over one year ago. The consumjption of gaso line In 1939 was 6 per cent greater than in 1938 despite the fact that exports dropped 11 per cent, owing to the curtailed European market.