Papers - Foreign Production - World Production during 1929

The world's petroleum production in 1929 is estimated at 1,479,335,-000 bbl., which represents an increase of about 157,000,000 over 1928, as compared with an increase of 61,000,000 bbl. in the previous year. During the present year a more definite policy of conservation has been seriously considered by the foremost executives of the companies controlling the bulk of domestic and foreign production, and the United States Government has taken an active interest in the development of this program. Definite steps have already been taken and the industry is gradually establishing a foundation for closer and more intelligent cooperation. The entire program, however, is still in a formative or experimental stage. Among other salient constructive steps may be mentioned the establishing of tentative agreements of unification in the price of oil products exported from the United States, the putting into effect of a gas conservation law in California, and the marked tendency towards consolidatlions of the various branches of the industry into larger units. The publication of the draft of the proposed petroleum law in Colombia and of the Mexican Labor Law, on the other hand, has created papre-hension and uncertainty. It is confidently expected, however, that these perliminary drafts will be materially modified before the laws arc promulgated, or otherwise they may destroy the interest they are intended to protect. United States Production in the United States, which remained stationary during 1927 and 1928, increased about 105,000,000 bbl., or 11.6 per cent. This increase is due primarily to deeper drilling in the California fields and to the discovery of new pools in Texas and Oklahoma. The progress of the conservation program was marked by the action of the Government in stopping further permits to drill on Government lands; by putting into effect early in September the California Gas Conservation Law, and by