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Show JUNE 8 1970 PAGE 3 OIL & MINING JOU1 Utah prods BLM to act on oil shale lands The state of Utah will file a mandamus action by July to force .tlic U.S. Bureau of Land Management to answer the states requests for permission to select federal oil shale lands. Gov. Calvin L Rampton made this statement at a meeting with Department of Interior officials at the state capilol. IVe never been so bitterly disappointed in my life as I have at this presentation today the. governor said after hearing the 1 Department of Interiors planning program for oil shale development. We were told a little over a year ago that we would get two oil shale leases within two years, the governor told the group. He make an economic unit. He said that the state had asked the BLM to permit the selection of federal holdings but cannot get' any response from the bureau: We cant even get a no answer, the governor said. Im not only disappointed, Im angry at this proposal that well have to wait two .more years to get action on the oil shale leases, he said. Frederick Fishman, of the office of the. assistant secretary. Public Lands Management said that the purpose of the Interior groups meeting with state officials was to start a dialogue that will enable us to formulate a program of oil shale development that will meet the government expressed strictureson of. the of disappointment at the delay in making the leases of federal lands available as had been promised. Gov. Rampton said that the state holds some oil shale land, but that it is interspersed with federal holdings so we cant regulations protection the environment. Fishman told the group, We can readily appreciate the problem that the state is having in waiting for action. He explained that the Secy, of Interior Walter J. Hickcl has chuckin indicated that protection of the environment considerations are his reason for holding up the oil shale leases. We cant go ahead until we have satisfied the secretary as to environmental protection, Fishman said.. The planning prograi resented by the Department of Interior group calls for a 1 0-ye-ar development of oil By Chuck Hayward . shale-reserves- The program would include the suggestions from the oil industry as to lands they would consider desirable for leasing. The department then first-ye- ar would evaluate these suggestions. By early in the second year the department would release information on the leasing' program. The leases then would . be offered on a sealed competitive bonus bid basis with gixed mineral royalty rates. This would allow eight years for the development of a production program by the oil shale developers. Texaco high bidder at lease auction Bonus bids totaled DENVER Texaco, Inc., paid $15.50 an acre for tract 183 on the Old Lowry Bombing Range in Arapahoe County, and was high bidder at the Colorado State Board of Land Commissions oil and gas lease sale here. Hie state offered 1 88 .tracts containing 96,525.14 acreas in its largest sale since August of 1968. The 101 tracts leased covered 52,796.88 acres. $22,316.85, something of a record in a Colorado sale, and bids averaged $4.21 an acre. Total income, including filing fees and first year rentals, reached $252,015.85. All land offered on the Old Lowry Bombing Range were sold. Bids on these lands ranged from Texacos high of $15.50 downward to $3.25 an acre. Terra Resources took 11 of the bombing range tracts, Utah President of Monte Cristo Corp., Richard Minasian, announces the start of Monte Cristo properties contain probably the' highest grade vanadium ore in the .United uranium-vanadium-copp- Minasian. Recent assays show the ore varies between 5.5 and 29.5 vanadium oxide. The extent of ore bodies mining at the firms States, according er properties in Cane Canyon near here. Springs Initial mining production is expected to be 1,000 tons per month of .25 grade uranium ore, according to Mr. Minasian. He siad Monte Cristo plans to boost production to a rate of 2,000 tons monthly within 90 days. Reports indicate that the HV Are. containing this to Mr. high-grad- e ore has not been fully outlined, Mr. yet Minasian said. He siad a continuing exploratory program by Monte Cristo is expected to accomplish this. Ore from Monte Cristos vanadium-uraniu- m Robert Puckett, 10, and Texaco, Inc., 8. Others will successful bids on these lands included Sun CHI, Anschutz Corp., Pennzoil United, Koch Industries, Ray Rader and Allied Chemical. The Lowry Bombing Range tracts are about 16 miles east and slightly south of Denver, and less than 10 miles northwest of Ironhorse Field found by Shell Oil and Union Pacific . Pleased To Announce That Has Become Associated With Our Firm As A REGISTERED REPRESENTATIVE An D Over-The-Count- & COMPANY Broker Deoler Suite 420, Continentol Bank Building Salt Lake City, Utah Member National Association of Securities in Moab under a contract between Monte Cristo and Atlas. Big Mike ore to Europe Continued from Page 1 August through December. A . short ton unit contains 20 pounds two-edge- of tungsten. Anderson said the production was sold at a producer price of $68.50 per short ton unit and that the company is considering This announcement is neither an offer to sell nor a solicitation of an offer to buy any of these securities. The offering is made only by the Offering Circular. bids for the remaining production in 1970 and for production in 1971, based on GEORGE SHUPUT PARKER-MAWO- mining activities is delivered to Atlas Minerals mill approximately Dealers When Great Canadian Oil Sands Ltd. invested more than $200 million in a plant to extract oil from Alberta's northern oil sands, the company was taking a calculated gamble. The $200 million stakes were huge. The risk was in a commercially untried extraction process. But the pot at the end of the rainbow promised to be dazzling the oil sands near Fort McMurray, Alberta, contain one of the largest oil reserves in the world. Now, almost two years after commercial production commenced. Great Canadian has reaped mostly leases on the risk side of the ledger and is scrambling to reorder its financial position. Two weeks ago the Alberta government arid Sun Oil of Philadelphia,' which controls Great Canadian, mounted a rescue operation. The provincial cabinet announced that it would cut by 50 the royalties which GCOS pays to the Alberta government on its production. GCOS shareholders will be asked on June 22 to approve a change in the company's capital structure which will enable it to issue Sun Oil's 18,000,000 common shares for $81 million. Great Canadian has been plagued with a long series of hitches in its pioneering production process which separates crude oil from the sands in which it is imbedded. In the first three months of commercial operation which started in October 1968, the company lost $8.7 million. For 1969, the loss was $25 million. Further losses are expected in the current and coming years. . These losses came despite the fact that the firm is the only one allowed to operate in the sands under a government policy of restricting production to protect existing investments in conventional oil wells in province. Or could it possibly be BECAUSE ' of the firm's monopoly position in Canada's oil shale? We're great ones for competition in the United States, and here in Utah we have almost as many acres of oil shale as does Canada. And instead of one (losing) method of producing oil commercially from oil shale, we have several at least three of which have been given strong likelihood of success by experts. When we start talking about quotas, tariffs, domestic protection and special assistance or subsidies, it might do well to remember that the profitability on the parketplace is the final judge, and no amount of outside help can buoy you up if you're doomed to sink there. Quotas, tariffs, subsidies and protectionism are, after all, d swords. . Monte Cristo mining near Moab current MOAB, lew go APRIL 6, 1970 NEW ISSUE the producer price. We are very pleased to have committed the initial production from the Tungsten Queen at such a satisfactory price, Anderson siad. The price . is indicative of. the strong world demand for tungsten and is substantially above the price quoted for tungsten when we purchased the North Carolina property in 1968. The Thngsten Queen was one of the principal tungsten producers in the United States for approximately 20 years before it was closed in 1963 when the price of tungsten declined. The mine is estimated to contain approximately a million tons of ore, making it one of the largest commercial deposits in the country . 2,850,000 SHARES (Common Stock $0.01 Par Value) TEBRA WEST CORPORATIOn OFFERING PRICE: $0.10 PER SHARE Copies of the Offering Circular may be obtained from the undersigned only in states where the undersized may legally offer these securities in compliance with the securities laws thereof. . BONNEVILLE SECURITIES, INC. 601 Kearns Bldg. (801) 322 i Salt Lake City, Utah - 3515 Pi - ? I i i : . |