WORLD’S OIL SUPPLIES.

Taranaki Daily News, 1 June 1922, Page 7

WORLD’S OIL SUPPLIES.

SOUTH AMERICAN DEVELOP- . MENTS. ‘ Dr. David White, of the United States Geological Survey, a noted oil expert, stated recently, according to the New York Times, that -he believed the South American continent was richer in petroleum resources, in comparison with area, than any other continent, with -the possible exception of North America. He predicted a great development there. He suggested that those who wished to take part in opening South American oil fields should make their plans now to be in a position to take advantage of opportunities to 'be offered. “Geologic exploration,” Dr. White said, “is not far advanced in South America, and as yet has been confined to comparatively few regions. Geologists have secured evidence, however, of the existence of high grade petroleum deposits in the continent, and such deposits seem to be very widely disseminated. In mauy regions the general geologic conditions are such as to warrant the belief that oil would be found by exploration and drilling.” The petroleum resources of .South America, as calculated by Dr. White, are upward of 13,000,000.000 barrels. This he believed to be a very conservative figure, yet it is approximately twice the amount remaining in United States fields. He said this estimate really was too low, and that 15,000,000,000 barrels would be nearer correct, using the same methods of drilling employed at present. With improved methods to insure total exhaustion of oil pools before abandonment, Dr. White considered that another 50 per cent., perhaps more, could be added to his figures.

For the entire world tl\e petroleum resources are estimated by Dr. White at about 00,000.000,000 barrels. With these figures other authorities do not greatly differ. Using the lowest figure quoted by Dr. White (13.000,000,000 barrels) for South America, it appears that somewhat more than a fifth of the world’s oil supply lies under the. .surface of that continent, and that

riches reckoned in billions are awaiting those who will spend the money and do the work necessary to get that oil to the petroleum markets, which, seemingly, never are glutted.

There ,is basis for belief, according to Dr. White, that each of the South American Republics has oil resources, for all have one or more districts where the geological conditions are just right oil. Tn many South American countries Ue arp pot aware

generally that there are petroleum deposits. " This is largely because much of the exploration work has been done by geologists employed by oil companies, whose reports are rarely made public. “Most of these South American countries,” Dr. White said, “are just at the point of entering into the period of petroleum production. This will mean the opening up in full force of all the various branches of the oil business—production, transportation, refining and marketing. Tn some of these countries this one business will probably exceed in volume and importance all other industries combined, and will be responsible for radical changes in social and economic conditions as well as in the inhabitants’ manner of living.