OCR Text |
Show THE TIGHT OVER OIL. Uow important tho question of oil is in connection with affairs in Moxico and. in Central America ia slowly coming com-ing to light. Tho indications are that it will become a question of international interna-tional dignity. At. first it seemed to bo merely a contost between private companies, com-panies, tho Standard Oil of America and the Pearsons of England, but now that the great navies of the world arc building ships that call for hundreds of tons of oil each day, tho problem of an oil supply for tho chief naval nations is destined to grow acute. Tho recent announcement that the Pearsons had retired from the Colombia fields camo in tho nature of a surprise. This English syndicate had asked the Colombian government to grant the company the right to exploit po-troleum po-troleum and carry on all works noccssary for producing it in an area of 10,000 square kilometers, "in any part of the national property." Inasmuch as tho Pearsons have a contract to supply the English navy with oil, it would appear that England is bound by her most vital aelf-'iulorosl, that of maintaining her naval supremacy, to support the Pearsons in their oil operations. Lord Cowdray announced to the world that the Pearsons have withdrawu from the Colombia field owing to tho proclaimed hostility of tho United StatOB Government Govern-ment to tho granting of concessions conces-sions by Latin-American countries to foreign interests, and will not insist on securing from Colombia the gigantic oil concession which would amount practically practi-cally to a monopoly of the oil fields of that nation. It is not unlikely that tho Pearsons took this action as tho rosult of intimations from tho British government, gov-ernment, which is desirous of working in harmony with the United Slates Government Gov-ernment in Mexico and in Central and South America. Nevertheless, the timo is approaching when tho demand for oil is apt to place Germany and France, iT not England, in opposition to an American Amer-ican policy which will debar the Europeau countries from obtaining in the western hemisphorc an adequate oil supply for their warships. Secretary Daniels, in hia recent report, re-port, took occasion to suggest that tho United States Govornraent should socure its own oil fields in order to supply tho navy with fuel. Fortunately tho Government, Gov-ernment, at least for tho present, docs not need to go beyond the confines of the United States for oil. A plentiful euppl' can bo developed on government govern-ment property in California, and tho Louisiana and Texas oil fields promise an almost unlimited supply for manj' years to come. Experts declare that the oil belt found in Louisiana and Texa extends down the cast roast through Mexico, Nicaragua, and Panama into C'oloiubia. Tho abumlam'0 of oil in I the territory immediately contiguous to the Panama Canal is one of tho elements ele-ments which assure tho instant success of that waterway. Panama will become an oil supply atatiou for Iho merchant ships of all nations. In viow of tho immense oil. deposits in the regions bordering aou tho Gulf of Mexico and the Caribbean Sea, competition compe-tition for tho oil probably will wax keen, but tho extent of this competition will bo determined largely by the amount of the supply. Tho fact that tho groat nations aro adopting oil as a fuel is duo to two reasons: First, j that tho sailing distance of tho ships can 1 bo vastly incrcasod, and, secondly, be- j cause oil is more economical than coal, Tho conflict of international interests will not come until tho exports foresee the scarcit' of oil as a result of tho incrcasod uso by the navies of tho world; but even at. this timo the foreign nations realize the necessity of acquiring adequate oil supplies, and Secretary Daniels understands that tho United States must not delay loo long if it expects to obtain its fuel as choapky as tho European nations plan to obtain their fuel. |