Production - Domestic - Oil and Gas Developments during 1944 in Pennsylvania

Drilling activity during 1944 increased considerably in the oil fields and slightly in the shallow gas fields of western Pennsylvania. The number of deep tests (middle Devonian or deeper) completed during 1944 was the same as in 1943 and did not result in discoveries of additional reserves of natural gas or oil. Thus far no commercial oil production has been obtained from sands below the Upper Devonian in Pennsylvania. As a result of the lack of new discoveries, oil production in nearly all of the producing areas in the entire Pennsylvania grade region declined 10 to 11 per cent. Stocks of Pennsylvania Oil The Peilnsylvania grade crude-oil stocks in storage on January 1943 were 2,479,000 bbl. In January 1944 crude stocks totaled 1,846,000 bbl., and during 1944 the stocks of Pennsylvania grade crude declined to a year-ending balance of 1,617,000 bbl. Nearly all of this oil is "unavailable for use," representing pipe-line fill, tank bottoms and limited working inventories at the refineries. The storage of Pennsylvania oil has declined to a point where little or no available crude oil is currently in storage. Prices The posted price of Pennsylvania oil remained constant during 1944; however, on Rug. I, 1944, the wartime Government subsidy was instituted at a rate of 75¢ per barrel. The average price in the Bradford area, including the subsidy, was $3.31 per barrel. New Technical Developments The Pennsylvania Grade Crude Oil Association started a rather ambitious program of research in production fundamentals and technology during 1944. Several well-qualified engineers have been employed and a laboratory is to be equipped at Bradford. The group will investigate, in cooperation with the American Petroleum Institute, the possibilities of bacteria as agents in oil recovery, and undertake other studies of both a fundamental and an applied nature. In cooperation with the Pennsylvania State College, the Research Group worked out a method of measuring water-intake rates in different strata. The method involves injecting salt water down a string of tubing and fresh water down the annulus, determining the location of the interface electrically, and measuring the input rates above and below the interface. The United States Bureau of Mines, in cooperation with oil companies of the Venango district, developed a simple gas-lift tubing string, which is operating successfully in some 20 wells. This device uses the air-gas mixture produced with the oil to lift it by the usual gas-lift principles. The Northern Ordnance Co. is experimenting with a chamber lift device that expels the oil in an unbroken column. These devices hold considerable promise