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Show rlfTTl-- ijBfckilw Oop mm ef JtycJt Significance u& Vol. 28; No. 15 the Oil and Mining lOetld Salt Lake City. nboiestesilal SngjBDS 10 Cents n Utah IP? Deal Closed With Fortune Petroleum Corp. 50-5- 0 Homestead Uranium Corp. will Petroleum Corp. now has oil and participate in a joint venture with gas leases in Santa Barbara CounFortune Petroleum Corp. of Sher- ty, Calif., with four completed oil man Oaks, California, involving wells and a fifth is now being 17,000 acres of oil and gas leases drilled. From four producing wells in Emery County, and 2,600 acres this lease now has proven rein Kane County, Utah. serves in excess of 12,000,000 barThe contract, signed by rels of recoverable oil at 13 per Moore, president of Homestead cent recovery. Uranium Corp., includes an agreeHomestead Uranium Corp. is ment by Fortune to drill four now negotiating to acquire from wells 'on the properties, 'which Fortune Petroleum Corp. an oil have a very good potential, ac- and gas lease of proven reserves cording to consulting engineer, recoverable in the amount of 4,500,000 barrels of oil in CaliforQecil O. Basenberg. On an inspection trip through nia. When this aquisition takes the Emery County area, N. J. place Homestead Uranium Corp. Daigle and Coy Miller, president will have assets of 2,250,000 recovand vice president of Fortune Pe- erable barrels of oil which ..they troleum Corp., stopped to visit the will jointly develop with Fortune gas well discovered by. English Petroleum Corp. It will be proposed that the Oil Co. and American Petrofina name of Homestead Uranium Co. They described the well, near be changed to Homestead Ferron, Utah, as very prolific, and Corp. Oil Corp. at the next annual expressed their optimism about stockholders meeting. their nearby property. Mr. and Mr. Miller exDaigle Fortune , Petroleum Corp. has pleasure at the expansion the first of pressed agreed to spud-iof Fortune Petroleum Corp. into three wells called for in their Utah, and stated that they found agreement as soon as drilling con- the people in the oil industry in tracts can be negotiated.-Fortun- e Salt Lake City .very congenial. Fri - n A.E.G. Lists Sale of Surplus V205 AtReasonable Carload Price Sale The Atomic Energy Commission has on hand at Grand Junction, Colorado, approximately 4V4 million pounds of fused vanadium pentoxide (V205) which has been determined to be surplus to the needs of the Government. This V205 is contained in the vanadium concentrate packed in steel drums. n deal between Homestead UraClosing a nium Corp. and Fortune Petroleum Corp. are (left to right) Coy Miller, vice president of Fortune Petroleum Corp.; Fred Moor.e president of Homestead Uranium Corp., and N. J. 50-5- 0. Oil Inc. Finds Gas Flow In Grand County Oil Salt Lake Inc., has discovered Shell Oil Begins Drilling Program independent, what might be with treatment a commercial gas area at Westwater Creek structure in northeastern Grand County. The drill stem test between 4,453 and 4,470 feet in the Lakota formation saw a flow of 625,000 Gas is better than 1,000 feet. BTU (British Thermal Unit). With water fracturing of the formation, it is hoped that flow can be increased to several million cubic feet daily, said Robert L. Cranmer, Salt Lake City, secretary of Oil Inc. The test is now headed for the Entrada and is drilling below feet. Oil Inc. has. a 55 per cent working interest in the area north of Harley Dome and East Utah Mining Co. has a 16 per cent interest. 4,-6- 50 Shell Oil Co., Friday launched a developmental drilling program on the western extension of Aneth Pool and at nearby Recapture Creek field, both in San Juan County. was Location for Burton 42-1- 3 selected 3,260 feet from the South line and 660 feet from the East of Section 13, Township 40 South and Range 23 East. This will be a 6,000 foot Hermosa-Parado- x is test. The firms Burton 14-spotted at 4,620 feet from the East line and 659 feet from the South line, Section 12, same township and range. Meanwhile, ,the first pool valir 12 dation well to the Recapture was 8, field, Unit selected at 660 feet from the North line and 330 feet from the Creek West line. 31-2- . .. To avoid significant impact on commercial markets, which might occur should all of this material be sold at one time, as well as to obtain the best recovery .to the Government, the AEC has been working closely with the Business and Defense Services Administration, Department of Commerce to determine how much V205 should be sold at what intervals. As a result, the AEC has developed a sales' program whereby million approximately one-hapounds of contained V205 will be Sodak Uranium and Mining Co., offered for sale, periodically, Inc., is currently producing in probably at intervals at from four Converse County, Wyoming, un- to eight months, depending upon der contract with Kerr-McGmarket conditions. Oil Industries Inc., approximately It is the opinion of AEC and 1,250 tons a month of uranium BDSA that the sale of V205 in ore averaging in grade .25 per afcent U308 to .30 per cent U308. this manner will not unduly Howcommercial market. The company acquired an op- fect the AEC will carefully the ever, tion to lease for ten years a 420-ac- re results of each ofthe evaluate tract near Butte, Montana, and, with the continued which is considered an excellent fering assistance of BDSA, will make prospect for the production of such adjustments in the sales high grade manganese ore. Work program as may be in the best is starting on this property this interests of the Government and month and if surface indications which will have the minimum imare borne out shipments should pact upon industry. start in June. The manganese ore In consideration of the foregowill be sold to the Government the AEC does not intend to have in station Butte; ing, they buying received authorization to ship sell any V205 at a price that ore under the governments do- does not bear a reasonable relamestic manganese purchase tionship to the present market price for carload sales, which Daigle, president of the Fortune Corp. The two companies will participate in a joint venture involving 17,000 acres of oil and gas leases in Emery County. Sodak Uranium Produces 1,250 Tons Per Month lf our studies indicate have been averaging about $1.22lb. FOB This average Grand Junction. not sales under include does price term contracts and for less than carload lot sales, which have been averaging lower and higher respectively. The first offering was made June 5, with bids received at Grand Junction, Colorado. Copies of the invitation to bid and further information may be obtained from the Manager, Grand Junction Operations Office, Atomic Energy Commission, Grand Junction, Colorado. Copper Canyon Property To Be Auctioned ee Copper Canyon Mining Co. properties will be sold at a public auction June 8 on the courthouse steps at Austin, Nev., by United States Marshal C. E. Stewart. The action follows foreclosure awarded the Reconstruction Finance Corp. In all probability, RFC will bid. The agencys judgment plus taxes would amount to $180,000 and it is unlikely that a larger cash offer will be made. sale covers ithe firms and properties in the Battle Mountain district of Lander County, Nev. The claims |
