East Texas Prorated

East Texas Prorated

Oil again flowed last week from some 1,800 wells in the great sprawling East Texas field. It did not gush immoderately but poured out in a legally limited stream. After 19 days Governor Sterling lifted martial law in four counties to allow the State Railroad Commission to apply a new proration order to an area that almost ruined mid-continent fields with low prices (TIME, Aug 31 et ante). Each East Texas well was allowed to run off not more than 225 bbl. per day.* The Commission's order was expected to cut in half the field's maximum "wild" production of 738,000 bbl. per day. Guardsmen stayed in East Texas to see that proration was obeyed.

Before martial law, East Texas oil was selling for 10-c- per bbl. As operations resumed last week the posted price was 68-c-.

* Some wells have a capacity of 40,000 bbl. per day.

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