Papers - - Produciton - Domestic- Oil Development and Production of Kansas in 1934

Kansas retained, for the eighth consecutive year, the fourth position in the list of oil-producing states. The total crude-oil production during 1934, as reported by purchasers to the State Corporation Commission, was 45,538,564 bbl. on 97 per cent tank table calculations of the purchasers, or 46,946,973 bbl. as carried on 100 per cent measurement in U.S. Government reports. The corresponding figures for 1933 are 40,008,940 and 41,236,021, respectively. The increase of production over 1933 was due to the rising demand for oil from Kansas, caused principally by three factors: the continued regulation of the producing branch of the industry by Federal and State authorities, which had the effect of reducing illegal production that has been so destructively competitive with Kansas crude and refined products; the normal decline of production in other areas; and, last and best, general increased demand of the public for petroleum products. The price level remained unchanged for the first time in oil history for so long a period. Kansas 36" gravity crude remained at $1 per barrel from September, 1933, and throughout 1934. Price stability and the confidence in the regulation of production to meet the consumer demand, which is increasing, brought greatly renewed interest in Kansas fields. Drilling activity has been largely in the western part of the state where expiration of leases, on large blocks of acreage, assembled before the depression, is forcing either action or loss of the lease investment carried for a long period. The drilling of these many blocks of acreage, previously assembled on geologic information, has caused the opening of more fields than during any previous year of Kansas oil history and is proceeding faster than anticipated a year ago. Interest grows within a successful enterprise, and the momentum caused by the successes of 1934 will continue in 1935 unless unusual conditions arise and end the apparently good opportunity for financial return. Geological exploration methods used in new field discoveries are shown in the tabulation of new discoveries (Table 3).