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Show April 14, 1969 OIL & MINING JOURNAL Page 4 Wildcat Fever Rises Petroleum Hunters Set to Spur By David Brand and Norman Staff Reporters of Tim You shouldn't blame your cocktail party is a gathering at which you meet people who drink so much you can't remember their A wife when things go wrong. Just what can you expect from a woman who was rai- sed by your mother-in-la- names. w? It's nice to see folks piece of property on New York's Park Avenue sold for A lots of $925. It is five inches wide and 82 feet deep. Sounds like a bargain if you don't mind installing the mail slot get-up-and- -go with pecially if they're relatives visiting you. vertically. Egotism is that something which enables a man who's in a rut to think hes in the groove. A professor suggests that student demonstrations are a permanent part of the campus scene and some day the traditional riot will bring back as many sentimental Old Grads as the traditional football game. judge holds that the right to style your hair any way you want to is guaranteed by the Constitution, which was written by men who dodged the issue by wearing wigs. A We have one of those thing that knows all the answers not a computer, a teenage daughter. Pearlstine Wall Street Journal DALLAS After a decade of retrenchment, the nations independent oil producers are planning to step up their wildcatting for new petroleum deposits. Their motive is clear enough: Many of the major oil refiners are raising the price they are willing to pay for crude oil. The independents think they deserve more. Some insist prices will have to advance considerably higher before they will venture into some unknown territory in search for the elu- sive mineral. of Independents are scheduling accelerations in their exploration activities, a sharp reversal from the slackening pace of recent years. And banks and other lenders are starting to look more favorably on wildcatter appeals for cash. These accelerations, ironically, are being plotted even before the major oil refiners have settled on the level of the crude oil price inNonetheless, a number crease. Texaco Inc., the nations largest gasoline marketer, led off the price rise last week by adding 20 cents a barrel to the price it would e Corp. and Contpay for crude oil. Co. Oil inental followed with similar boosts. Gulf Oil Corp. raised its buying price between 14 to 21 cents a barrel. But Humble Oil & Refining Co., the chief domestic subsidiary of Standard Oil Co. (New Jersey) and the nations largest crude purchaser, said it would pay only 5 cents a barrel more for crude bought in the Eastern Kerr-McGe- two-thir- Most people who want to exchange views are generous. They are willing to give two of theirs for one of yours. It is a measure of this country's capacity to produce that it can recall more cars than most countries have. I am constantly amazed at those young things with their and skin-tig- ht fancy hair-d- os pants. And the girls are even worse. financier is one who can support both his family and the government. A of the nation. Ashland Oil & Refining Co. also raised its buying price only 5 cents a barrel for the 165,000 barrels of crude it buys each day. A number of other major refiners have yet to act. Yesterday, Standard Oil Co. of California came off the sidelines. It announced it was raising its prices 15 cents a barrel in California and Louisiana, where its quotes were lifted 5 cents a barrel only last month, and 17 cents a barrel in Alaska. California Standard, though, went along with Texaco in posting a increase in the Southwest and Rocky Mountain 20-ce- nt areas. World tension has driven so many of us up a tree that psychiatrists may start opening branch offices! The trouble with some political jokes is that occasionally they get elected. Understandably, the independents are pressuring their refiners to adopt the high end of the increase range. W. E. Turner, a vice president of the Texas Independent Producers and Royalty Owners Association, a trade group of 3,500 independents, suggests some producers that wont meet the boost. Producers that wont mee tthe boost. "Producers will certainly switch their production if have the opportunity, he declares. There they will be enough cases to be disruptive. Livingston Oil Co., Tulsa, has already. sus pended its sales of crude to Ghamplin Petroleum Corp., a subsidiary of Celanese Corp., which hasnt raised its crude price. There is always a possibility, Livingston says, that it may switch its sales to Continental Oil, ohe of boost the refiners that has announced a 20-ce- nt Government Silent So. Far Should the increases stick at the .higher level, they could put crime oil .prices at a record high of near $3.14 a barrel. But market conditions and possible Government action made that price far from certain. The Government so far has been silent about the latest increases, but in 1957 the Justice Department brought an antitrust suit against 29 principal crude oil buyers after they raised their buying price about 35 cents a barrel. The Justice Department ultimately lost that case, but prices fell anyway, from & 1957 high of $3.09 a barrel during the Suez Crisis to $2.86 by 1965. By last year, the average price had managed to recover to only about $2.94. According to industry sources, weak prices for gasoline the major product refined from crude were chiefly responsible for the crude oil price slide of the past decade. And they say the success of the latest price moves will hinge again on gasoline quotes. Many of the refiners, to help pass on at least part of the increased cost of their crude, have slapped an additional 0.6 to 0.7 of a cent onto the wholesale price they charge for each gallon of gasoline. Retail service stations, In turn, are expected to add a penny to the pump-sid- e cost of gasoline, which currently averages about 33.5 cents a gallon for regular grades, including taxes, In major marketing areas. For the independent oil producers, which account for about 40 of the oil pumped up In. this country and about one-thir- d of the countrys total oil needs, a crude oil price increase could mean whopping gains. The independents would share about $260 million a year in additional revenue if crude oil prices were lifted 20 cents a barrel. Even a nickel a barrel rise would bring the independents about $65 million more each year. Pennzbil United Inc., a large Houston-base- d natural resources company with a relatively small daily output of 38,000 barrels of crude oil and gas liquids, estimates it will get an additional $1.5 million a year in production income if the increase stands. , 20-ce- nt 20-ce- nt 20-ce- nt These cases of men making a million dollars a year and paying no taxes are terrible. And to make it worse, there doesn't seem to be any way to copy them. tax is ever really abolished, although sometimes one bobs up in another place under an assumed name. No nun uok sin MaMMwcnof Mil Bits Rock Far All Tn Of Mlntai, Qurryhii AB CMstnctiM. We Specialize in over the counter, Intermountain area, MINING STOCKS. We have information on the following stocks: Stepping Up Explorations R. P. Clinton, president of Clinton Oil Co., Wichita, Kan., estimates Clintons earnings will rise 15 this year on the crude oil price boost. Spurred by this increased potential, he says, Clinton will be intensifying its explora- - McFarland - Hullinger "FET" McFarland Tri State Inc. (2) Big Indian Uranium Sid Hullinger (1)- BARRACO & COMPANY 123 East Broadway Salt Lake City, Utah 841 Tel. (801) 521-33TWX 20 MININS CONTRACTORS UTAHS FIRST Latest, Most Modern Equipment HELICOPTER 1 - ORE HAULING Dependable Service 1 910-925-58- SERVICE 32 915 No. Main St. P.O. Box 238, CLAIMS EXCHANGE Tooele, Utah 84074 Sell, lease or option properties to individuals or major companies. Contact: K. D. MINERALS COMPANY P.O.Box 11211 Salt Lake City, Utah 84111 Subscribe to our monthly publication of listings at $5.00 a year. Send ys yours to be published at no charge. . Free Dialing from Salt Lake: 363-168- Long Distance: Dial: Tooele 882-010- 3 3 KELSEV-ELLI- S Salt Lalca Airport . 359-20- 85 . |