Show OIL LEASES the vicinity of the little salt sail lake and the gap in the carowan parowan Paro valley has been designated by eminent geologists as a very likely place for the production of oil and anc gas and certain oil companies would like to demonstrate tile the possibilities by placing a test lest well in ill that field if they can call secure leases on oil sufficient land to justify Alle expenditure necessary to place a test well will cost between fifty find and a hundred thousand dollars no investor is going to expend that much without knowing that should oil be found he will have control of sufficient land in the locality to prevent other companies from cowing conling into the same territory and securing leases by the payment of a little higher royalty because the presence of oil has been made certain any company which will take the risk of drilling in a new field is certainly entitled entitle 3 to the there resulting benefits benefi tb and it is not unreasonable for an all oil company to demand control of at least five thousand acres before expending money on oil a test well there is nothing which could happen that would develop our valley faster than the discovery of oil and no nothing illing which would enhance land values more but so long as land owners sit tight with their property and offer no inducements for oil companies to come in there is no hope for such development the costor customary cos tomary nary royalty paid by companies to lessees lessels is from 10 to 15 per percent cent that is the owner of the land gets from 10 to 15 per percent cent of the oil produced from wells on his land more than 10 per cent could hardly be expected in ill a field so far from transportation por tation facilities there is only one thing to do then if oil is to be tried for and that is for land owners to ae lease ase their land and to be sure it is leased to some coin company paDy which signifies its intention to come into the territory within a reasonable time if a trial fur for oil is not wanted then the thing to do is sit tight refuse to lease and let the land produce sage bush bash and rabbits |