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The good old greeting "Happy New Year" has more than usual significance this year to members of the Montana oil fraternity. (The Montana Oil Journal has its own private cause for joy, in that the automatic elevator is in and working and even the more plump and wheezy members of the fraternity may now visit the offices at 316 Montana Power Building without having to toil up two flights of winding stairs.) The year drawing to a close has been more significant than many realize, and some of the things that have happened are likely to have some profound repercussions in 1947. Not the least of these has been the opening of production in a porous zone beneath the top of the Madison lime in the Cut Bank field and the opening of a high-pressure gas zone in the Devonian formation on Texaco's Utopia structure. Both events are likely to have repercussions during 1947, in areas far removed from the immediate scene of the strikes. Other highlights of 1946 have included extensions of the deep pay horizons in the Cat Creek field, led by Bill Hanlon and Ralph Chamberlain, with indications this development will receive further impetus during 1947; plans for a deep test in the Flat Coulee field, commencement of a Devonian test in the Banna tyne field; start of a well seeking to extend the Pondera field pay horizon; opening of new possible oil territory west of the Rockies, as evidenced by spirited bidding for wildcat acreage in Beaver head county; Start of deep testing on Bowdoin dome; leasing of huge amounts of acreage between the Utopia structure and Bowdoin dome, much of it in the hitherto-neglected Coburg basin; start of a Reagan nose test; revival of the Kicking Horse structure with market outlet now assured; discovery of Madison lime pro duction in the Elk Basin field, on the Montana-Wyoming border; Dave Schrock's discovery on Rattlesnake Butte; northeast exten sion of the Pondera field by A. B. Cobb; opening of a new Kevin Sunburst field gas area by F. J. Buscher; opening of a new oil area between the Kevin-Sunburst and Cut Bank fields by the Big West Refining Co.; Start of an important test on the Twin Buttes structure by Union Oil Company of California—and finally, a general cause for thanks, ending of OPA controls and a general rise in crude prices. There was some bitter with the sweet during the year, includ ing failure of Bill Clark's deep test, in the Devil's Basin field; abandonment of the Button Butte deep test, by R. C. Tarrant; failure of the Devonian test of the Hunt Oil Company, in the Hardin area; failure of the Maxwell Butte deep test of the Pure Oil Company, and failure of the Mon-O-Co deep test on Harlo dome. Failures and successes alike had one beneficial aspect in com mon, however: They added to the all-too-meager store of information concern ing geology and stratigraphy in the more than 100,000 square miles of potentially productive area in Montana and brought closer the day of additional discoveries. So, no matter if you had good luck of bad luck during the year, the Montana Oil Journal wishes all of you— A HAPPY NEW YEAR And now that you know the elevator is working, may we say we'll be glad to have you drop in on us, not just during the holi day season—but ALL DURING 1947! \ I NEW MEETING SCHEDULED TO TALK LEASING RULES Of general interest to the oil fraternity in the Rocky mountain area is announcement by James Donoghue, president of the Rocky Mountain Oil & Gas Association, of a meeting to be held soon with members of the interior department to discuss regulations recently announced, covering oil and gas leases on the public domain. ———— -4 Rig Is Moved Off Kicking Horse Well With hole bottomed at 1925 feet, has ve to drill Husky Refining Company leased the rig being used its No. 1 McDermott on the Kicking Horse structure. Only small gas flows were found In this well and it is reported, without official con firmation, that it may be drilled into the Madison lime in the spring. Rock Creek Test Drilling At 2550 Wildcat of the Rock Creek Bench Oil Company near Moore, a short distance southwest of Lewis town, this week reported hole made past 2550 feet. It is being drilled with rotary tools. Last reported top was the third Cat Creek sand at 1323 feel The meeting will probably be held in Washington, with date to be announced later. One of the primary features of the new regulations that has been ques tioned by industry members has beep concerning chargeability of options. As the regulations are now Interpreted, section 192.4 (e), makes all options held by any person or corporation chargeable aginst the 100.000-acre limitation, and it is this section particularly which Rocky Mountain region operators feel needs further clarification. (Continued on Page 7) Stanolind Elk Basin Well Drilling, 3817 Stanolind's No. 129 ET, on the Montana side of the Elk Basin field, this week reported hole made to 3817 feet. Though it is only a short distance north of a well that re cently opened Madison lime produc tion in the Wyoming portion of this field, it is now reported that the 129 ET will test only the Embar Tensleeo zones. M Helena iA Bannatyne Deep Test Reported Spudding In Heavy duty spudder a x er equipment of Meeks & Beardslee was moved to location th* k in the Bannatyne field and the long-awaited deep test on L ^ a 'cture is reported to have spud ded in. Housing for the crew . en obtained in the field and it is believed operations can be \\'ied throughout the winter, regardless of weather conditions. 'f Tom Carney, the backer, is to test the Devonian formation. *teld, which once had 30 wells producing from a shallow sana x>ut 1500 feet, has never had a deep test, though drilling of the Shallow wells served to de fine it as a regular structure with considerable closure. The Devon ian is expected at about 2600. with plans now calling for drilling into the Jefferson section of the formation, recently found produc tive by Texaco in its Utopia structure, 51 miles to the northeast. Journal i-Wani PUBLISHED WEEKLY ESTABLISHED 1921 Volume 26 Great Fall«, Montana, December 28,1946 Numb«- 41 "Toughy" Has Christmas Present Shay Overcomes Jinx; Gets Two Good Ones, North Field What appear to be two of the best oil wells drilled in this year in the Kevin-Sunburst field are being completed by C. W. "Toughy" Shäy, on acreage recently acquired by him when he bought out the interest of his long-time partner, R. J. (Rudy) Prevol. The wells are almost in the center of Section 10-35N-3W, at the extreme north edge of a square-mile government lease which has been operated for several years by Prevol & Shay, developed so far only by the drilling of wells around its western and eastern edges. FEW RIGS RUNNING, CUT BANK Activity in the Cut Bank field was at a very low ebb during the week, with no commercial completion« recorded and no new location« announced. Op eration« for the most part were confined to efforts to finish (Continued on Page 5) Carter Makes Staff Changes The following personnel changes have been announced by Robert Curran, Carter Oil Company vice president at Billings, in charge the company's northwest division: Harry C. Chapman, Billings attor ney, becomes assistant manager; John O. Campbell Jr., recently chief scout for the company at Tulsa, comes to Billings as assistant divi sion manager. Taking his place at Tulsa will be Joe C. Kahl, who has been chief scout for the northwest division. And replacing Kahl at Billings will be William Crutcher, from the company's Illinois terri tory. of Texaco Nearing Devonian In Deep Test On Bowdoin Company moved a step nearer the Devonian forma c in its deep test on vast and hitherto untested Bow The Texas tion this week doin dome in northeastern Montana, making hole to 3871, feet in ♦ its If this well checks with exposures on the flanks of the Little Rockies, the Devonian should he topped around 4100 feel, less than 300 f from the laift reported bottom of the hole. On the southeast flank of the Bears Den field. Texaco's deep test is drilling with rotary tools at 3365 feet, after topping the Madison at 2899. Objective is presumably the Jefferson section of the Devonian— the same horizon as that in which high pressure gas in large volume, plus oil shows, was found recently on the Utopia structure, southwest of Bears Den. at feci Both got a start as "hard luck" wells, losing the first holes that were commenced, one as Prevol & Shay-Gov't. No. 21 in NE NE SW 10-35N-3W, the other as Prevol & Shay-Gov't. No. 22, NW NE SW 10-35N-3W. Rigs were skidded 70 feet and new holes were started, with new designations as 21X and 22X. ♦ This week the No. 21X, after the Madison at 1788, to total depth of t804. It immediately filled to the top with oil and began running «lowly over the top of the pipe. ported inability to lower than 200 feet di The crew re ball it down off the bottom. The 22X got the Madison at 1795 and drilled to 1814, where upon oil rose almost immediate ly 1200 feet. Both wells are scheduled to go on production within the next few (Continued on Page 7) | j Union Wildcat Drills Dakota Interesting wildcat of the Union Oil Company of California, on the Twin Buttes structure northwest of Billings, this week topped the Da kota at 379<i and at last reports was making hole past 3800 feet. No showings of consequence have been reported. New Cat Creek Weils Pumping Poor wells 1 b the Cat Creek field, drilled 1b daring the past year by the Continental Oil have been placed on prod net Ion for the first time, natag elec trical pumping equipment, cording to the Wlnnett Time*. Initial output of the four wells is expected to be apiece, the Times says. (Continued on Page tv,,. ar about 40 barrels 7)