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Show Oil, ACTIVITIES ON INCREASE IN ESCALANTE WATERSHED Public domain in eastern Kane and Garfield Counties have long been known for spectacular scenery Since the first of the year, oil and gas exploration is also attracting increased attention 'wo new Tenneco Oil Co wells in the Alvey Wash head waters southwest of Escalante are reportedly each producing a thousand barrels a day Fed i ral royalties range between 12 H to 25 per cent depending upon monthly production. Ten neco reportedly plans to con tinue exploration activities southward from Canaan Moun tain. Kanab RLM personnel indicate leasing of public lands in the resource rich watershed is on an upswing. Two years ago. roughly 200 thousand acres of the drainage were under lease Since January 1, lease contracts have been signed for 83 thousand acres more with ap proval pending upon another 41 thousand acres. Oil and gas leases are generally for a ten year term at an annual rental of fifty cents per cm Of this figure. 37H per cent i- then returned by the FtM& government to the State of Utah Nearly 3 million dollars were placed in the state general fund in 1968 from Interior Department's revenue sharing. Ninety per cent of this total is then allocated by law to the State Education Fund with the contributing county then receiving the remaining ten per cent |