Show ARE WE READY FOR THE SHALE OIL INDUSTRY by J B jenson we have reached the stage stag e where we must either pro vide a new source of our present motor fuel or find a substitute for it A substitute ia is s hardly practical first because of its cost and second because its adoption will require alteration and adaptation of more than ten million automotive ell engines ines already in use in this country the practical solution of the problem lies in our oil yielding they say we cant treat them in this country fooling you the of the west shall move the world by bv that I 1 mean that the motor fuel coming from both gasoline and the heavier fractions such as are suitable for use in the internal combustion engine shall eventually become and for generations 9 ene rations remain a universal world comm commodity edity tobay tolay what is steel without oil not a wheel can turn not an en engine ine produce power and industry must come coine to a standstill without without it coal vs oil fired ships As a comparison in opera operating tinn costs of coal and oil fired ships the Hawaiian American steamer arizona sailing from philadelphia via straits of Me gellan to hawaii and back fired with coal time days with oil days savin saving 25 days 18 days by increased speed and 7 days through quicker bunkering reduced the number of men in fire hold from froin 70 to 10 cost of boarding crew reduced other expenses reduced iced disbursements of fuel at fueling points less and gained from greater cargo space RPM 74 7 4 1 44 A wa NA typical winter scene geene in on oil shale fields power both for transportation and industrial purposes the he world has reached a stage of development where we cannot do without ample and ever increasing quantities of oil and the nation that has an inexhaustible supply of pe oleum products particularly motor fuel and lubricants will aul influence bence ue nce and largely control the future industries of the world also the power and influence of these products in j time me of war was well proven in the late life and death za gle e when a victory for the allies was won very largely through ough the ability of the american nation to speedily I 1 furnish unlimited limited quantities of gasoline and oils and as one 1 1 lishman Ilg wisely said we literally floated to victory on a sea of f oil the ability to do this was made possible ahr ough two things first the deposition by nature for us of bonn reous pools of crude petroleum second the indo S bitable scientific and courageous american development of these ese pools and their conversion into refinery products f J eighteen to twenty years ago steel was our greatest an address committee of the salt lake corn com ess i before the mining alining nier arc aai 25 1922 dm club and nd Cli chamber amber of commerce february oil fired ships the U S shipping board and also the british shipping board are making their new merchant fleets oil burners bu s by the end of 1922 92 we shall have changed 1734 coal burning 6 vessels to oil burning vessels and within the next three years we shall require for 0 our ur merchant marine ap approximately 9 barrels of fuel oil per year automobiles have increased one of our greatest requirements irementa ire ments of both motor fuel and lubricants is that for our automobiles which within the last 10 years have increased more than 1498 we had in 1911 1 automobiles and at the end of 1921 there were re registered requiring an average of more than 10 barrels each per year year of 6 gasoline asoline in addition to these there are at least trucks and many thousand tractors using in conjunction with the 10 million automobiles not less than b gal or bals of an gasoline per year it is estimated that there will be over automobiles iles in 1993 1923 there will vill shortly be a new demai demand d to su supply ply thou sands of diesel type enines engines b which are being substituted for steam power in factories fact ories and ships we are already well familiar with the automotive en engine b ine as applied to the aeroplane and automobile and its success ess as a cheap motive power for transportation but it is not generally known that today the latest double acting diesel type engine develops an all efficiency of 4 times that of coal fired steam en enines engines ines and 2 times that of the latest at est type triple expansion oil fired steam engine and when we consider that shale motor fuel produces from 6 to as more power than the petrol petroleum eurn products one can imagine the fuel requirement for this class of power within the next few years when our factories shall have either been changed from the old style engine or originally supplied with the new diesel type en engine ine this engine is also well adapted to use in ocean going boin vessels of considerable tonnage as has been demonstrated in the last two or three years in vessels constructed and operated by england navy requirements the U S navy consumed approximately bals of fuel oil in 1921 as compared with abbis in 1920 and will no doubt soon use oil driven ships entirely it has reserved for it four townships in the uinta basin of the choicest shale in the entire district which will at no distant day be equipped with p plants lants for the protection of oil for navy uses the requirements of which will increase many fold over that of today petroleum reserves according to a very careful estimate made by the geological survey supported by a number of our most erni eminent nent geologists we have remaining under underground round only bals of crude petroleum leum from reserves originally estimated at more than bals having already extracted bals more than half of which was extracted during the last years or since the world war be began bean b an assuming that we ive shall soon be drawing on these stores at an average of at least bals per year this will last not to exceed 15 years are we going 6 6 to be able to keep ahead of our requirements it is going oin to be impossible for us to remove from the ground z the bals remaining even if they had been discovered which they have not and probably will not be within 20 years we ate must therefore augment our present supply by other means and this must begin very soon to prevent a serious shortage ge did you ever stop to think what the condition would be in your bu business bubines sines affairs if you were suddenly limited to a certain amount of gasoline per day cost to maintain wells As an indication of what is required to maintain production let me quote mr J C donnel president of the ohio oil co in speaking to the american petroleum institute in chicago when he said that in the rocky mountain region structures have been tested at a cost of on oil 41 of which oil or gas has been discovered representing an expenditure of while unsuccessful ventures entailed a net loss of these structures were all located by geologists the present daily gross production of the united states is approximately bals and by reason of raising this oil there is a drai drainage naje per year of acres so that there must be acquired and operated during the year 1922 a like amount of productive acreage to maintain present 1 production the cost of acquiring which including royalty drilling lifting and wildcatting wild avill represent a total outlay of or nearly per barrel england acquiring foreign oils no one senses more keenly tile the importance of oil than does great britain who is straining every effort to secure control of foreign supplies at the commencement of the war she controlled 2 of the oil resources of the world during the brief 71 years which have lapsed since then her geologists eol ois have penetrated every known land in search of new fields and today she claims that she controls 75 of the worlds oil resources and further that america within the next few years will be coming to her for a large portion of her oil supply the importance of this claim is amplified when we take into consideration the fact that while the rest of the world contains 7 or 8 times as much oil as remains in underground pools in the united states it is using only about one quarter as much as is consumed in this country while the united states and mexico are drawing on their stores for 87 per cent of the world production of which probably 67 indrawn is drawn from the pools of the united states quoting from an english periodical america is is running through her stores of domestic oil and is obliged to look abroad for future reserves these reserves constituting in a key position in international industry are very largely in british hands or controlled by british capital before very long ij america will have to come to us for petroleum our true policy therefore is to encourage investment of british capital in oil enterprises abroad and to see to it by appropriate legislation that the companies so formed remain main in in perpetuity under british control in En glands fervor she has overlooked americas great reserves of oil yielding f new industries must fight for breath but you say 1 I understand there is no known process that will successfully treat our american they are fooling 6 you As mr j jackling ackling recently said 1 I dont care a pin about the process in 1900 there was no known process to treat utah copper ores when we are ready the process is ready there was never a great 6 treat invention brought forth nor an important new indus industry try launched that did not ha have ve its doubting its knockers and its coolers foo lers always ready to retard discourage and prevent development what wha t a state and what a nation this would be if we were all like these but thanks to the red blooded american who can see beyond the petty dollar that he invests and sometimes even risks the wheels of industry may continue t to turn and this nation has become the pr premier ernier nation to command the respect and admiration of the world the shale industry is of more than usual importance t and has received more than usual attention from froin tile the fool fool ers y so persistent have they been that some of us have actually come to believe that our american are so different from Scot lands that they cannot be treated a the telephone the electric light the sewing machine and an t a score of other equally as useful inventions all went w te through what the s shale liale industry is going throng through h today pa it was impossible to get money to esta establish them until th someone with greater vision than the coolers foo lers provided ha like tile the necessary funds who amon among z us would not 1101 ved j dr to be owners in some of the indu industries s tries that have follow these inventions ailt when isaac county at the t ca grundy down in beaver instance of brigham youn youna back in the built the first tir du smelter and produced the first lead bullion on the pacific rac and coast there were wise ones who shook their he heads head ad st areat moaned it cant be done today utah is one of the g 13 est smelting smelling sm elting centers of the world when in the late that stalwart sterling pioneer arthur stayner spent his last dollar of hard earned s savings akings i to build a little plant at farmington near salt lake to make sugar from beets grown in utah from seed imported from germany not a man would contribute a dollar to help him they said while it might be done in germany it cant be done in utah the man with greater vision than the coolers foo lers was president woodruff of the mormon church today utah distributes annually among her farmers more than 10 millions of dollars of sugar beet money and possibly as much more goes to farmers in california idaho and colorado even the 1 great 11 utah copper mine had its coolers foo lers who advised friends to keep their hands off and save their money even captain de lamar was given cold feet and demanded his money back when he had paid per share for stock which shortly after this was sold at 20 per share and is worth today 62 per share after having paid dividends of there are many of us who would be wealthy men today if we had followed our own judgment rather than the advice of the coolers foo lers of utah copper from 1901 to 1908 millions of dollars were being put into factories to build automobiles and thousands of machines were being put out and purchased against the fatherly advice of the coolers foo lers who freely stated that the automobile could never be made practical or commercial that it was a fool machine that might take you out but would not bring you back the industry today gives employment to hundreds of thousands of men furnishes quick safe and cheap transportation both business and pleasure for millions of our people and is today the second greatest institution we have the shale industry will be its big brother within 10 years shale process is well advanced there are at least two and possibly three processes that will successfully treat our american and which have reached that stage of perfection where the industry is farther advanced than was the smelter industry the sugar indu industry otry or the automobile industry when these were launched experience from years of Scot lands operation coupled with american engineering and chemical skill has made this possible the latest utah developed retort accomplishes what three years ago was considered an impossibility and the time is is nearer than most of us believe when great plants comparable with utah copper and treating thousands of tons of shale per day will be operating throughout the utah fields almost at our very doors As shale products will avill then augment and be on the market alongside of petroleum arole um products for convenience in this discussion let us introduce here some new simple but distinctive terms distinctive terms for shale products the word petroleum from the greek petra rock and d french oleum oil means rock 0 oil 1 and before arake in kentucky in in ibby 1859 the me discovered oil by drillen drilling g term lerm petroleum was applied to shale oils when the products of shale oil it also a so took from wells took the place the fhe name and after 60 years of continued usage the term has s and does not in in any taken on a meaning all its own way suggest oil made from rock but designates the product drawn awn from oil wells unless then we are satisfied to drag aa along the cumbersome term shale oil and the equally cumbersome mb to specify the shale oil pro ersome terms necessary shale oil 01 is is terms we must adopt new distinctive rock ock oil if there is such a product let me therefore uch rock oil 01 as asmuth in est for it another word which means as petroleum Petr petroleum oleu m does that of pe 1 this is is simple dis di tive and not to be confused with petroleum the p products then from petroleum and we may j designate as follows petroleum t gasoline shalene kerosene ia kernene fuel oil euelene lubricating oil lubel the main and secondary pe pet roiF products may be graphically illustrated as under shalene s kernene euelene shale Pe I 1 shalene g cracked shalene alene s floatation oils grease paraffin V fuel retorts gas as scrubber shalene power spent shale I 1 brick fuel for retorts road material etc As to the comparative value of petroleum products and products I 1 may say that we have made a number of tests in this city with shalene used in automobiles and showing increased mileage of from 6 to 30 over ordinary gasoline similar results have been obtained in tests by others both in this country and england it is a well known fact that the light grade is the only satisfactory lubricant for certain types of automobile and by far the best results are obtained in its use in all automobiles in northern canada during winter months when the extremely low temperature prevails in that country the product is imported from scotland and is reported as selling for much higher prices than other lubricating oils the light has also been proven to be one of |