Production - Foreign - Petroleum Development in Bolivia and Chile in 1930

Petroleum operations in Bolivia are still limited to those of the subsidiaries of the Standard Oil Co. of New Jersey. Development work is being carried on at Sanandita and at Bermejo and testing operations in the north. Five wells have been completed at Sanandita. Wells 1 and 2 are producers, 3 and 5, which are north of 1 and 2, are poor wells, and well 4, to the south, was dry. In the Bermejo field, well 5 has just been completed. No information as to the production is obtainable. In the north one string was operated at each of the following locations: Machareti, Camatindi and Camiri. The well completed at Machareti during the year was a failure. The result of the others is not known. It is reported on good authority that a pipe line will be completed in 1931 to connect the Sanandita field with the Lomitas field in the Argentine. This will place Bolivia among the ranks of the producing countries of South America for the first time. This development indicates that some arrangement has been arrived at with the Argentine Government for the importation of Bolivian oil. During 1930 the Bolivian Government declared in effect the new Petroleum Law which had been expected for such a long time. One of the first acts of the military junta, which rose to power through a coup d'état, was to cancel this law, so that Bolivian oil operations are still under the old law of 1921. One new local company was formed to exploit 1,500,000 hectares near the town of Cochabamba. The Bolivia Concessions, Ltd., which had a concession permitting the selection of 17,000,000 acres in eastern Bolivia, is reported to have failed in 1930 and is now being liquidated. Chile During 1930 the Chilean Government entered into a contract with an individual to explore in five distinct zones of the Republic. According to the contract, geologists must be at work there by May 1 of this year and a well must be started by the end of 1931. If the operations are