OIL AND WAR

Evening Star, Issue 23374, 18 September 1939, Page 15

OIL AND WAR

P.eople in all parts of the civilised world are becoming aware of t}ie vital importance of petrol to the very existence of a nation. Yet there is danger in oil. So desperately valuable is it to civilisation to-day and so fiercely pursued that almost any steps will be taken to ensure supplies. The present war focuses attention on petrol. One of Germany’s problems in the event of hostilities is to ensure a continuity of supplies of motor fuel for her land and air forces. Outside of her production of synthetic petrol from coal, said to be about 30.000 barrels (42 gallons) daily, Germany, apart from her reserve _ stock stored away in underground facilities, is dependent on obtaining supplies from Rumania and Russia, with whom she has trade treaties embracing petrol. Supplies from the former country are not assured, however, leaving Russia as the determining factor in providing liquid fuel for Germany’s huge requirements. This fact probably has a considerable bearing on the re-cently-announced trade treaty between Germany and Russia, for the Soviet, it is believed, could supply all the petrol that Germany will need. The present oil production of the U.S.S.R. is believed to be about 200.000. barrels a year, and it is reported that she _ has at least 100.000. barrels in storage, although there are no official figures to substantiate this statement. Russia’s foreign sales of petrol have declined steadily since 1932, when the Soviet sold 6,000,000 tons in the export market. In 1937 Russia produced 8.400.000 tons of oil. So far as oil is concerned. Russia is in an advantageous position to supply Germany. A study of the map shows that it would be almost impossible for Great Britain or France or both to create a situation where Germany could not obtain oil from Russia if the Soviet were willing to sell. It is of interest to mention that France has an agreement with Rumania whereby that country sells her 8,500,000 barrels of petrol and 1.000. barrels of kerosene annually. France also has the largest reserve stock of petrol in Europe, totalling over 22.000,000 barrels. Another essential commodity to Germany is crude rubber. In 1938 she used some 87,000 tons. At the 1936 motor show in Berlin Herr Hitler, pointing to tyres made "ith “ Buna ” (synthetic rubber from Fine, coke, salt, and _ water) said. “ Germany is now independent of foreign natural rubber.” However, as mentioned, Germany is still a largo buyer of crude rubber, and only recently bought extensively in the Lon-

don market. “ Buna ” costs about 2s 6d lb, as compared with natural crude rubber at around 8d lb.

Russia is reported to be a large producer of synthetic rubber, known as “ Sov-preen.” but little is known as to her actual output, but the fact remains that in 1938, the Soviet bought 30.D00 tons of crude rubber.

There is little doubt that petrol and rubber aro eventually going to be potent factors in a long conflict. Fortunately, Hritain and France are well safeguarded as regards ample supplies of both of these vital commodities.