THE MINERAL INDUSTRY OF OKLAHOMA 
653 
 
wells from 2,000 feet deep or shallower to 3,000 feet deep or shallower,
resulting in a 
2-barrel-per-day raise in the allowable for shallow wells. The May allowable
was further reduced to 42 percent of the depth acreage formula as mounting
crude inventories caused Oklahoma to follow other major oil-producing States
and cut back output. The 42 percent factor was 
retained through June. Owing to the Middle East crisis, the July and August
allowable was raised to 50 percent; however, late in July the allowable was
further increased to 54 percent and made retroactive to July 1—highest
percentage factor since the depth-acreage formula went into effect in December
1961. This rate continued through the end of 1967. 
 
Table 10.—Crude petroleum production, indicated demand, and stocks,
in 1967, by months. 
(Thousand 42-gallo 
n barrels) 
 
 
 
 
 
Stocks 
Month 
Production 
Indicated demand 
originating 
in Oklahoma 
January                                       
February                                      
March                                        
April                                         
May                                          
June                                          
July                                          
August                                        
September                                     
October                                       
November                                     
December                                      
20,038 
18,267 
20,115 
18,988 
19,385 
18,596 
19,508 
19,604 
18,902 
19,468 
18,835 
19,043 
19,982 
18,166 
20,842 
17,049 
19,417 
19,757 
19,928 
20,063 
18,615 
20,976 
17,926 
19,553 
17,852 
17,953 
17,226 
19,165 
19,133 
17,972 
17,552 
17,093 
17,380 
15,872 
16,781 
16,271 
Total 1967  Total 1966                                
230,749 
224,839 
232,274 
' 221,925 
XX 
XX 
XX Not applicable. Revised. 
 
 In an effort to boost Oklahoma's declining exploration rate the Corporation
Commission in July increased the State's discovery wells allowable to 200
percent of the Table A (depth-acreage formula) retroactive to July 1. Despite
a 20-percent increase to 120 percent of the discovery allowance by the Commission
in 1966, exploration and the number of wells on discovery allowance continued
to drop. 
 Petroleum production was reported in 64 counties, of which Stephens, Carter,
Garvin, Osage, and Kingfisher Counties led in the order named. Production
of petroleum from 65,387 wells in unallocated fields, including discovery,
secondary recovery projects, and stripper wells, accounted for 41.8 percent
of the total output. The balance was derived through 15,583 wells in allocated
fields. 
 A secondary waterflood project designed to extend the life of the Healdton
field was announced in August. The field was divided into five areas based
upon geologic conditions, with each area to be operated by the major operator
involved. Mobil 
Oil Corp., Shell Oil Co., Sinclair Oil & Gas Co., Edwin L. Cox-Jake L.
Hamon, and Union Oil Co. of California were to operate the project. Cox-Hamon,
Shell, and Union of California anticipated flooding operations by the first
of 1968. Mobil and Sinclair expect to begin flooding operations by the first
of 1969. Completion of the project will require about 15 years in each area.

 The Interstate Compact Commission, in cooperation with the National Stripper
Well Association, reported that on January 1, Oklahoma had 57,241 stripper
wells which produced 90.8 million barrels, or 48.3 percent of overall proved
oil reserves in Oklahoma on January 1, 1967. 
 The average price per barrel of crude petroleum at the wellhead was $2.93,
up from $2.91 in 1966. While most purchasers of Oklahoma crude petroleum
raised the price 3 to 8 cents per barrel in 1967, others eliminated the high-gravity
penalty on crude oil bought in the Oklahoma Panhandle.