OIL RESOURCES THE ADVERSARIES

Dominion, Volume 7, Issue 2267, 29 September 1914, Page 6

OIL RESOURCES THE ADVERSARIES

NO FAMINE IN BRITAIN ; In the "History and Romance of the Petroleum Industry, , , , by' Mr. J. D. Henry, just' published, there is incorporated a section entitled "Tlie Relationship of Continental Oil-Sources to the War." Generally speaking, Mr. Henry is.of opinion that both as regards sources of supply and. means of utilisation of oil iuel, tho Powers of the Triple Entente are in an exceedingly strong position. "Our own country, France, and Russia, and indeed 6very country with- which _ we are allied in •war, are (he writes) in an infinitely better position than Germany in relation to the world's chief oil fuel and petrol exporting' centres." The Galician oil fields are the only home source of/supply of any consequence upon which Germany and Austria can rely, and a Russian raid upon them might easily deprive our adversaries of ;these. German capital has been largely employee/ in developing the oil resources of Rumania, and a -fleet ; of tank steamers hae been established on the Danube, and should Austria fail to safeguard ; this source or should Rumania cut ofE the supply the Germans will be affected very seriously. Mr. Henry regards it as inconceivable that the British oil supplies from America should be interrupted to a serious extent, and he is of opinion that with the co-operation iof Holland oil, should he obtained in increasing quantities from the Dutch East Indies. There is no reason why , oil prices should be high iin this country. "There is no famine in petrol. Large supplies are stored, and there ie, a greater quantity than usual available, owing Ito the fact that petrol, which under ordinary circumstances • would have been exported to Germany, is now at the disposal of the Government and ordinary consumers in this •-. country. Fears of a famine have been practically dispelled by the courageous action of the Anglo-American Oil Company, who have announced that they have large stocks and 6ee no reason for increasing the price at pre'sent, while the Shell Company have emphasised the fact that there is no reason whatever why retailers should increase'the price of petroj supplied to customers. The outstanding fact of the situation is that tine must be promptly returned. Where the oil is bought it is cheap to-day;. indeed, except in tho case of Russia, theprico ot crude oil is low and still falling. In America prices have'decreased owing to the bringing in of numerous great wcllb in California and the new Gushing field in Oklahoma. Oil fuel for naval purposes drawn from tho four chief sources on the east coast—Oklahoma, Texae, Louisiana, and Mexico—was never bo cheap and abundant as it is to-<lay. Large quantities are being sold Jit 70 arid 80 cents a barrel , or' G dollars (roughly, £1 55,) a ton. In Oklahoma fuel oil prices have dropped within n year from above 1 dollar to ■Iβ conto ft barrel. In tho Rumanian fields thu price is low owing to inoreneed produo tion and lack of. refineries nnd sloruyu, Russian prices havo gone up because of serious striko troubles, which, it in not open to doubt, tho war will bring to mi end. Oil. then (Mr. Henry concludos), ought to bo cheap."