Show moab consolidated oil company formed by B 0 jones and includes midwest refining officials entrance of denver organization into colorado river oil exploration campaign is announced the moab consolidated oil company with a capitalization of has been organized at denver to assist the utah southern oil company in the exploration campaign in the moab district now being initiated by the latter company news of the formation of the new concern was received saturday by the times inde pendent from B 0 jones of denver who recently resigned as vice president and treasurer of the utah southern in order to organize the moab consolidation the moab consolidation company is officered principally by interests identified by the midwest refining company which Is also active in the utah area incorporation papers were tiled thursday A fully paid of Is carried by the company and no public financing is contemplated the creation of the new company means that a second strong organization has entered the moab field to operate cooperate co with the utah southern company in carrying out the pretentious development campaign on the moab salt domes which has already started with the studding spud ding in of the john L shafer no aa well on cane creek dome the officers and directors of the moab consolidated oil company will be H C vice president of the midwest company timothy A pedley secretary and treasurer of the same company john C howard president of the utah oil refining company a midwest subsidiary and A E wilson of wilson cran mer co of denver H W C prommel consulting geologist of denver and mr jones active management will be in the hands of B 0 jones the company has acquired a half interest in five salt domes of the moab area and plans an immediate exploration campaign jointly with the utah southern over fifty thousand acres have been purchased on the four colorado river structures including a large block on cane creek dome where production has already been developed substantial acreage has also been taken over by the company on the salt valley structure the acreage on the colorado river structures has been taken over subject to an agreement with the midwest and affiliated filia ted concerns whereby they retain certain operating interests the moab consolidated has made a contract with the utah southern whereby the latter company has agreed to drill two wells on cane creek dome to feet or commercial production and one well on salt valley structure to feet or commercial production these wells are being drilled at a definite figure of which the new company Is paying one halt the cost and of course acquires a half interest in the wells thorough testing of the salt dome theory in grand and san juan county structures is assured since the moab consolidated company has been organized for the express purpose of interpreting the geology of southeastern utah anticlines anti clines on the same basis that has brought the immense production in texas a problem already undertaken by the utah southern oil company headed by george T hansen all of the drilling planned by the affiliated companies will be under the direction of J L dougan of moab field superintendent of the utah southern ever since the sensational showing made by the prank shafer well on cane creek at a depth of 2025 feet mr jones has been firmly convinced of the possibilities fit the colorado river and salt valley structures if drilled on the flanks instead of the apex of the anticline it Is this character of exploration which has produced splendid results in gulf coast fields after drilling on the top of anticlines anti clines had failed general geologic features as first outlined by mr prommel as well as the actual performance of the frank well under the most adverse conditions are so favorable that the joint tests of the salt dome theory by the moab consolidated oil company and the utah southern oil company will not only be followed with the closest interest by utah oil men but by operators over the entire country |