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By T. R. Armstrong

During the year 1939, Mexican production totaled 42,479,000 bbl.; a daily average of 116,381 bbl. or a little over 2 per cent of the estimated world production. The Mexican Government operates 100 per cent of the refining branch of the industry, 100 per cent of the domestic distribution, 96 per cent of the crude production and 92 per cent of the total exports. No discussion of the Mexican petroleum industry in 1939 is adequate without reference to the "expropriation" of the foreign-owned oil properties in Mexico by executive fiat on March 18, 1938. The forcible seizing of the properties culminated a long series of efforts on the part of the Mexican Government to obtain control of the oil properties developed through foreign initiative and with foreign capital in Mexico. The heart of the issue is whether the Mexican nation or any nation may with impunity confiscate the legally acquired properties of American citizens. The Department of State of our Government has in its communications to Mexico emphasized the fact that its "expropriation" of American properties was confiscatory because Mexico had failed to make "adequate, effective and prompt compensation"; that the taking was no less confiscatory "because there may be an expressed intent to pay at some time in the future," and that, consequently, "Mexico has assumed and continues to assume to exercise a right without compliance with the condition necessary to give such exercise a recognizable status of legality." Mexico has professed its willingness to pay for the oil properties but at the same time through its Supreme Court it has declared that the owners or lessees do not have the exclusive right to extract and dispose of the oil in the subsoil. This is a reversal of the Mexican position with respect to oil as set forth in the Mexican mining laws, affirmed by Mexican Supreme Court decisions, and as clarified in the Warren-Paync and the Morrow-Calles agreements, as well as in diplomatic correspondence. Efforts to Settle the Controversy Responding to suggestions from the State Department, representatives of the principal oil companies undertook in 1939 to effect a direct

Jan 1, 1940

By O. B. Hopkins

Essentially all production for Peru came from the three established fields in coastal northwestern Peru (Fig. 1). These fields are known as La Brea-Parinas, Lobitos, and Zorritos, in order of importance. Together they produced 13,496,880 bbl., as compared with 15,838,605 bbl. in 1938. Zorritos Field.—Of the total production shown on Table 1, the Zorritos field was responsible for a relatively negligible amount estimated at 40,000 bbl. This small field, which is over 50 years old, was purchased by the Peruvian Government in the spring of 1939 from the Piaggio interests. The Government operated this field along with its near-by National Reserve areas, largely under supervision of Department of Mines officials, and the total production rate for both old and newa-areas was estimated to have increased by Oct. 1 to 166 bbl. per day. as compared with the 1938 average of 110 bbl. per day. Construction is said to have begun on a refinery that is to have a capacity of 1000 bbl. per day and is to include a gasoline-extraction plant, and on a pipe line to bring fresh water 20 miles from the Tumbes River. Lobitos Fields.—The Lobitos fields, some 70 miles south of Zorritos, produced approximately 2,650,000 bbl., or almost the same amount a* in 1938. La Brea-Parinas.—The International's La Brea-Parinas property, immediately south of the Lobitos property, produced 10,806,880 bbl., or 80 per cent of Peru's production. During the year 73 wells were drilled on the Estate, mostly in the semiproved area: 44 by rotary, 13 by cable and 16 by star rigs, as compared with 34 by rotary, 11 by cable and 20 by star in 1938. The most important of the several semiexploratory wells sunk was No. 3075, which late in December was brought in at a depth of 4500 ft. with an initial production of 1500 bbl. per day, based on

Jan 1, 1940

By Eugene Jablonski

Statistical data on the Polish producing business are available only for the first half of 1939. Because of the invasion of the country during September by Germany and Russia all sources of information have stopped, and it is impossible to get even an approximate picture of the status of the industry after that date. The long declining trend of Polish production, which was finally checked during 1938, kept a further upward tendency during the first half of 1939, and there is good reason to believe that the upward trend would have been maintained. It is true, there was little hope of reviving the slowly dying Boryslaw field, although there still remained a slight possibility for an extension in its southwestern direction. Repressuring plans were still discussed, but. could not be put into effect because of extremely complicated and split-up lease ownership. The Gorlice-Lipinki ficld continued to be the main factor in the increase of the country's production. During the first half of 1939 this field received a further important extension in a southern direction. The Schodnica field continued to use repressuring with success. At the end of June, 21 exploratory wells were drilling, 14 of which were within thc Carpathians and 7 in the Miocene geosyncline of the Carpathian Foreland. All of the wildcat wells drilled within the Carpathians were on the struct,ural cxtcnsion of old established fields, but part of the wildcats of the Foreland were on new geological and geophysical prospects. The Opary gas field of the Foreland discovered last year has been further developed. The Government-owned Polmin completed its third gasser. This well penetrated two sands; the upper one, 118 ft. thick, was found at 1312 ft., with an initial pressure of 570 lb. and capable of produeiring 10 million cu. ft. per day. The second sand, 91 ft. thick, was found at 1690 ft., yielding 20 million cu. ft., with a pressure of 760 lb. The well Mieczyslaw, drilled about 3 miles further north on the flank of the structurc, found the first sand watered. The Pioneer No. 5, at Chodonice near Przemysl, which reported somc gas last year, was 5696 ft. deep at the end of June, still drilling in Miocene. Anothe well in the same vicinity drilled by the Gasolina was 1708ft. deep.

Jan 1, 1940

By W. P. Haynes

DuRing 1939. there were no discoveries of oil and gas in Rumania worthy of mention. and the only important extension was the anticipated

Jan 1, 1940

By Basil B. Zavoico

Production of crude oil in the U. S. S. R. during 1939 is estimated at, 226,111,000 bbl., as compared with 219,778,000 bbl. in 1938, an irlcreasc of 2.88 per cent but some 6.00 per cent under the planned output. During the past year a major readjustment took place in Russian oil fields, with the Grozny district falling into the third place, its former place having been taken by the fields of the Maikop-Kuban area of northwestern Caucasus. Production continued to grow in the Ural-Volg:t district and further large increases in this province in the coming years are certain. The drilling operations continued to be most unsatisfactory, falling far behind the plan, possibly as much as 25 per cent undvr the set objectives, and thereby interfering with the production plans, mora particularly since the Soviet oil industry is still based primarily upon the production from the naturally flowing wells without any proration whatsoever rather than upon stabilized production from either prorated oil wells or those operated with various mechanical lifts. The year 1939 started with the fulfillment of the drilling programs to the extent of about 90 per cent, but the situation rapidly deteriorated arid by the second half drilling programs were being fulfilled only to the extent of 60 per cent or less. Such breakdown in drilling operations was possibly due to poor equipment, which has not been able to stand increasing demands upon it, and this is substantiated by the rccent orders plaeed in the United States by the Soviet Government for some 60 drilling rigs of the latest design. Production Baku District.—-The fields of the Apshcbron Peninsula (Baku district) made a notable progrress during the past year and were able slightly to increase their production, to 166,000,000 bbt. as compared with 164,692,-000 bbl. during 1938. The c.rnphasis of production in the Baku district remained on the flowing wells, about 20 per cent of the total number of wells flowing about 70 per cent of production. During 1939 some 550 wells were complr.tcd in the Baku district with active rigs averaging

Jan 1, 1940

By J. O. Nomland

DuRing the year 1939 the program of the California Arabian Standard Oil Co. in eastern Saudi Arabia consisted of drilling wells to increase the production of Dammam Dome. (This structure is also sometimes referred to as Dhahran Dome.) In addition, in other areas of the concession, wildcat wells are being drilled on geologically favorable structures. In the early wells drilled at Dhahran, production was at a depth of 2000 to 2200 ft. Since discovery of the "Arab zone" below 4300 ft., all of the later wells have been drilled to the deeper productive members. At present there are at Dhahran fivc wells in various stages of drilling or completion. In addition, 15 wells previously were drilled to the upper or lower zones. Although some of the early locations are exceptions, in general the spacing of the wells is at 3000 feet. Prospect testing consisted in drilling one well at Abu Hadriya and one at Ma'agala, about 100 miles northwest and 120 miles west of Dhahran. The first had attained a depth of 8655 ft. without encountering the main Darnmam productive zone, while the second was at a depth of 1372 ft. Both of these wildcat wells are on large dome structures. Production.—During the year 3,933,903 bbl. of approximately 35" gravity oil was produced, all from flowing wells. A part of this production was shipped in barges to the refinery at Bahrein. In early May a 40-mile 10-in. pipe line was completed to the deep-water terminal at Ras Tanura. The ceremony of first opening the valve for flow of oil into an ocean tanker was performed by King Abdulaziz Ibn Saud. Since that time tanker shipments have continued, both to Bahrein and to world markets. Only sufficient gas for camp purposes has been produced. Equipment.—A stabilization plant has been completed at Dhahran and plans have been made for a refinery at Ras Tanura. A modern camp is being built including power plant, central air-conditioning plant, radio station, employees' club and housing facilities for both married and single employees. Both the offices and dwellings are being air-conditioned. There is a hospital, with medical staff and nurses, providing facilities for both Saudi Arabs and Americans.

Jan 1, 1940

By D. B. Williams

For the first time in the history of the Venezuelan petroleum industry production exceeded 200 million barrels. The total production for all fields amounted to 205,430,869 bbl., which is more than 9 per cent of the world's 1939 total. This is an increase of over 15 million barrels or 8.0 per cent above the 1938 figure, which, compared with the slightly less than 2 per cent increase of the 1938 figure over 1937, shows the marked activity in Venezuela during the past year. The Maracaibo Lake fields are still the predominating factor in Venezuelan production, showing an increase of approximately 9½ million barrels over last year's figure and accounting for 71.8 per cent of Venezuela's total. Lagunillas continues to hold precedence as a single field, having yielded 47.1 per cent of the accumulative total and 39.4 per cent of 1939's total. This field showed an increase of slightly more than 3½ million barrels over 1938. Tia Juana, the second largest field, attained a record production, increasing its percentage of the Venezuelan total from 23.4 in 1938 to 23.7 in 1939. The La Rosa field, which includes Punta Benitez and Ambrosio, declined from 13.7 to 12.0 per cent; Bachaquero, the southernmost Lake field, which came into regular production at the end of 1938, contributed over 31/3 million barrels. Quiriquire, in eastern Venezuela, ousted La Rosa as the third largest producing field, and, although production increased by 11/3 milliorl barrels, percentage of the total declined from 13.2 to 12.9. Mene Grande, the oldest field, declined from 6.6 per cent in 1938 to 5.9 in 1939. Tem-blador produced for a whole year for the first time and yielded 3,647,867 bbl. The Colon district, in the Maracaibo Lake area, comprising the Tarra-Los Manueles fields, showed slight increases, as also did Cumarebo and Pedernales. Construction of the 16-in. pipe line from Oficina to Puerto La Cruz (Guanta), the longest line of this size in the world, was completed toward the end of the year and this new field in eastern Venezuela started shipping oil in December. This field is operated by the Mene Grande Oil Co. and was credited with a production of 2,347,625 bbl. in 1939. Jusepin field, some 25 miles southwest of Quiriquire in eastern Venezuela,

Jan 1, 1940

By Walter Miller

The focus of attention during 1939 was on increasing the octane number of gasoline. The "octane race" resumed full swing. The averagc octane number of house-brand gasoline by the end of the year had easily reached two numbers higher, with several companies in the field actually purveying house-brand gasoline of 78-80 "research" octane number, equivalent roughly to from 74 to 77 A.S.T.M. octane rating, compared with the 70 A.S.T.M. ceiling of two or more years ago. Whether this trend toward much higher octanes is the result or the cause of the many t,echnical developments in the motor-fuel field of recent, years, progress has really been startling. In addition to the advance in catalytic cracking and catalytic re-forming, other important contributions to the technical ability to produce higher octane values include: installat>ions involving increased capacity in thermal re-forming, with improved economic status both as to yields and octane number, by coupling with catalytic polymerization; more widespread adoption of catalytic and thermal polymerization, and a surge toward extensive installations of newly developed alkylation processes for making iso-octane, neo-hexanr and other high antiknock products; and greater use of improved desul-phurization processes, and application of superfractionation methods for segregation of practically pure hydrocarbons with superior octanr qualities from gas and highly volatilc liquids. The approaching of practical limits in the use. of tetracthyl lead (t,hr well-known "law of diminishing returnsn coming into the picture at the higher octane levels being approached) has given impetus to development of the methods listed above. In particular, processes that improve the octane rating and also increase ethyl lcad sc.nsitivity have had considerable study durirlg the year. CatSlytic Re-foRming Although the interesting report on the Houdry catalytic cracking process presented at the annual meeting of the American Petroleum

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By Jr. E. H. Dix.

In selecting the subject, "Acceleration of the Rate of Corrosion by High Constant Stresses,'' for the 1940 Institute of Metals Division Lecture, I have been influenced by its highly theoretical and speculative nature as well as by the great practical importance of the correct interpretation and appraisal of the engineering significance of the phenomenon. I lay no claim to originality in talking on this topic, since it has been the subject of discussion for over a quarter of a century. However, as our technical thinking advances, old phenomena take on new and more significant aspects. In our studies at the Aluminum Research Laboratories, we have encountered many perplexing and seemingly contradictory results and have been fascinated by the problem of dovetailing all of the many pieces of information to make a complete picture. I hope that in the brief period of this lecture I may share with you some of the enjoyment we have had in attempting to meet this challenge to metallurgical science. The emphasis generally has been placed on the spontaneous failure by cracking of a metal under the combined action of high stress and corrosion, hence the present-day use of the terms "stress corrosion" or "stress corrosion cracking." The older term "season cracking," applied more specifically to copper-base alloys, includes, by inference, the element of time. For the purpose of the discussion today I will use "stress corrosion" to cover broadly the effect of stress in accelerating the rate of corrosion of metals. To stay within the limits of allotted time the disrussiorl will cover the effect of high static stresses rather than repeated or dynamic stresses, which would take us into the related field of corrosion-fatigue. The subject is particularly appropriate for an Institute of Metals Division Lecture because much the same phenomenon has been observed in almost all metal systems. Thus, in addition to the season cracking of brass may also be mentioned the "caustic embrittlement" of steel boiler

Jan 1, 1940

By Clarence Zener

Theoretical considerations by one of the authors have ledl to the prediction that the dynamic internal friction of annealed metals has a broad maximum at a certain grain size. This prediction they have verified2 for alpha brass. In the present paper the theory is extended to include the precise manner in which the internal friction varies with grain size on either side of the maximum. New experimental data are presented to test this extended theory. The physical basis for the type of internal friction that is being investigated lies in the interplay between stress and temperature. Just as local fluctuations in temperature give rise to local fluctuations in stress, so likewise fluctuations in stress give rise to fluctuations in temperature. But temperature gradients give rise to necessarily irreversible thermal currents, and hence to internal friction. The theory for this type of internal friction has been developed quantitatively,³ and has been experimentally verified,4,5 for the particularly simple case of the transverse thermal currents accompanying transverse vibrations. Of more fundamental importance are the intercrystalline thermal currents accompanying all types of vibration. The variation in stress across grain boundaries arises from the elastic anisotropy and at least partial random orientation of the individual crystallites. An exact quantitative treatment of the internal friction due to these thermal currents is of course out of the question. However, much information can be obtained from general arguments.1,6 Thus when the frequency of vibration f is low, or when the grain size d is small, adjacent grains remain nearly in thermal equilibrium, and vibration proceeds isothermally with little internal friction. Again, when the frequency is high, or the grain size large, the heat flow per cycle is small, the vibration proceeds adiabatically with little internal friction. The internal friction will become a maximum in the transition region. The degree of adiabatic-

Jan 1, 1940

By John T. Norton

In recent years, the damping capacity of metals has come to be recognized as an important index of certain types of structural change. In a number of instances, this property has proved to be particularly sensitive, but insufficient work has been done to permit a general interpretation. There is considerable question at the present time as to just what factors are responsible for the internal dissipation of energy when a metal is carried through a cycle of stress, and these factors must be ascertained if the value of the damping method as a metallurgical tool is to be determined. Since internal stresses are among the chief causes of dissipation of internal energy, or damping capacity, it was thought that a study of the changes in damping during the recovery and recrystalliza-tion of a cold-worked metal might throw some light upon the subject, particularly if the damping changes were correlated with other properties that are better understood. Probably more work has been done on the recrystallization phenomena of alpha brass than on any other metal, so this was chosen as the material for the present investigation. Damping measurements on brass have been made by Förster and Köster.1 They showed that the annealing of a brass that had been cold-drawn to 50 per cent reduction produced a rapid fall in the damping, a flat minimum occurring at approximately the temperature of recrystallization. The damping remained at a low value until grain growth was well under way and then it increased rapidly with increasing grain size. Köster and Rosenthal2 continued the work in greater detail. They pointed out that the damping decrease does not correspond to the hardness drop but occurs at a lower temperature, suggesting that the relief or redistribution of internal stresses has a large effect while the actual recrystallization effect is small. They also show the increase in damping at the higher annealing temperatures. Their curves are reproduced in Fig. 1.

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