THE MINERAL INDUSTRY OF TEXAS 755 
 
existing plants, increasing installed capacity by 468 million cubic feet
per day of gas input to recover 448,000 gallons of combined liquids. Six
gasoline plants were inactive or were dismantled during the year. 
 Emerald Oil Co. completed a refrigeration plant to recover 6,085 gallons
per day of combined liquids in the Panhandle field of West Texas. Atlantic
Richfield completed a refrigeration plant to recover 2,500 gallons per day
of liquids. Cities Service Oil Co. built a gas-processing plant near Corpus
Christi in Nueces County to recover approximately 3,000 barrels per day of
combined liquids, and a refrigeration plant at Waco in McLennan County to
recover approximately 41,000 gallons of liquids. Continental Oil Co. began
construction of an adsorption facility in Reeves County to recover nearly
10,000 gallons of liquids per day and expanded refrigeration capacity of
its Chittim Ranch plant. Houston Natural Gas Production Co. completed a refrigeration-adsorption
plant near Alvin in Brazoria County to recover 22,000 barrels of combined
liquids per day and increased capacity of its Bammel plant in Harris County
to recover 27,000 galions of liquids per day. Humble Oil & Refining Co.
added new low-temperature absorption units and new fractionation facilities
to the King Ranch gasoline plant in Kleberg County for a total daily recovery
of 75,700 barrels of products. Mobil Oil Corp. completed a refrigeration-absorption
plant in the Coyanosa field in Pecos County, Tex., to recover 260,000 gallons
per day of deethanized products. 
 Shell Oil Co. replaced its Bryan No. 17 plant in the West Panhandle field
of Carson County with a refrigeration plant and added capacity to its Conley
plant in Hardeman County, its Tippett plant in Crockett County, and its Wasson
plant in Yoakum County, Tex. Sun Oil Co. was modernizing its Starr County
gasoline plant and added capacity to the TijerinaCanaies plant in Jim Wells
County. Texaco Inc., completed a refrigeration plant in Rains County and
a refrigerationabsorption plant at Tijerina in Jim Wells County. 
 Petroleum.—The State's oil industry entered 1967 with excessive stocks
of crude oil and some refined products in spite of a nearly 4-percent gain
in domestic 
crude demand. The net result was continued gasoline price wars in the midcontinent
region, a continued cutback in drilling projects, and increased competition
in the refinery markets of the eastern seaboard. 
 The Texas oil industry has produced nearly 31 billion barrels of crude oil
or 36 percent of the U.S. total since oil was discovered at Spindletop in
1902. The output of oil was 1,120 million barrels in 1967, 35 percent of
the Nation's total, and 9 percent of the world total. There were 8,500 fields
with 192,001 producing oil wells in 200 Texas counties. Texas oil reserves,
at 15 million barrels, represented 46 percent of the United States total
reserves. The State's oil industry drilled 9,470 wells in 1967, totaling
nearly 44.7 million feet of hole. More than 26 percent were exploratory wells
drilled in 200 of the State's 254 counties. There were 48 oil refineries
located in Texas in 1967, with installed capacity of 2.7 million barrels.

 The 315-well, 20-square-mile Pegasus field near Midland in West Texas, will
be put under computer control by Mobil Oil Corp. by 1968. This field accounted
for 15,000 barrels of oil per day, and the Pegasus gasoline plant of Mobil
Oil Corp. processes 77 million cubic feet of gas per day to recover 7,500
barrels of combined liquids. The computer was being programed to turn on
wells, start tests and record results, regulate injection volume for water
or gas, and correct ordinary operational problems. Field data from the monitors
and control points will be fed by lease telephone line to a computer located
in the Mobil division office in Midland. The computer will digest all reported
information and immediately relay instructions back to the field control
devices. 
 Considerable exploratory drilling with 50 active tests were being made in
the Smackover and Cotton Valley formations in East Texas. Eight tests have
proved productive. Three new fields have been discovered in Hopkins County,
two new fields in Freestone County, and one each in Bowie and Henderson Counties.

 The oil industry continued expansion of secondary recovery projects according
to the 1966 biennial study by the Texas Petroleum Research Committee. This
study revealed a total of 3,178 projects initiated since the beginning of
secondary recovery