610 R. ARNOLD GENERAL CONDITIONS OF PETROLEUM INDUSTRY 



In discussing the present and future sources of the world's supply of 

 ]:)etroleum, the countries will he taken up in geographic order, beginning 

 witli North America. The future possibilities, obviousl}^ the most inter- 

 esting to this audience, will receive the most attention. 



North Amebica 



CANADA 



All three of the countries in North America, namely, the Dominion of 

 Canada, the United States, and Mexico, are petroleum-producing. 



The Canadian fields, though among the oldest in the world, never have 

 been of very great importance. The production at present is confined to 

 Ontario, where 200,000 barrels of high-grade oil are produced annually. 

 The oil comes from beds of Ordovician to Carboniferous age. Indications 

 of petroleum are found in some of the other provinces. Extensive areas 

 in western Canada offer indications suggesting the presence of oil in com- 

 mercial quantities, and- it is believed that the future will see the Dominion 

 take its place as an important producer of petroleum. 



UNITED STATES 



The oil fields of the United States are so well known as to need little 

 discussion before this audience. They are classified usually as Appa- 

 lachian, Lima-Indiana, Illinois, Mid-Continent, Gulf, Eocky Mountain, 

 and California fields. Their proved area includes over 4,100 square miles, 

 with prospective territory of, possibly, 1,000 square miles. The produc- 

 tion for 1915 was about 280,000,000 barrels. The probable reserve supply 

 is about 5,500,000,000 barrels. The oil is found in formations ranging 

 in age from the Ordovician to the latest Tertiary. The quality ranges 

 from the asphalt-base oils of California and Texas to the lighter paraffin- 

 base oils of the eastern part of the United States. At the present rate of 

 consumption, the estimated supply would last only about 20 years; how- 

 ever, as the total production of the United States will gradually decrease 

 from year to year from now on, it is believed the total available supply 

 will spread out over a period from 50 to 75 years, with a gradually in- 

 creasing price for the oil as the production drops. 



Before the free natural petroleum in the earth is exhausted, the oil 

 shales of CJolorado, I^tah, California, and other States will have begun to 

 be utilized as a source of petroleum ; also artificial oil made from animal 

 and vegetable waste will probably be available to take its place. 



