| Oil empires’ private preserves By CHARLES LUTZ _ EDMONTON — Early this month Newfoundland Premier Frank Moores announced the construction of a $328 million refinery at Come By Chance. In the best state-monopoly tradi- tion the capital outlays have been disclosed as being this way: provincial government, $78 mil-. lion; federal government, $20 million; Shaheen Natural Re- sources Inc., $40 million; British Government, $190 million. American tycoon John Sha- heen, in addition has proposed another giant refinery at Canso Strait, N.S., and a giant com- plex is on the drawing boards for California, said the Edmon- ton Journal. Oil Profits Why so many people would put up so much money in so many different places may be ex- plained by a look at a few ran- domly clipped recent financial reports by some of the petrol- eum companies: Pacific Petroleums Ltd., 1972 net earnings: $29 million; Hus- ky Oil Ltd., 1972 net earnings: $12.5 million; Home Oil Co. Ltd., 1972 net earnings: $7.8 million; Union Oil Co. of Canada Ltd., 1972 net earnings: $9.3 million. With a crude oil refining cap- acity, at the end of 1970, - of 1,352,250 barrels per day Cana- da, in spite of its 40 refineries had to import about 70 million barrels of refined products a year. Supply Equals Demand “The bulk of the imported products,” said a 1971 publica- tion of the Department of Ener- gy, Mines and Resources, “con- sists of heavy and light fuel oils which are used in eastern Cana- da, particularly Ontario. The major refinery projects that are scheduled for completion (in 1973) according to Petrolem Re- fineries in Canada, Information Canada, are located to partially serve this area and are designed to meet the increasing regional Oil companies © rip off public: Professor Andrew Thompson, a law professor at the Univer- sity of British ‘Columbia, told delegates at an Arctic Resourc- es Conference last week that big oil companies are ripping off the public for millions of dollars because of the Federal Govern- ment’s land leasing system. Referring to the Canada Gas and Oil Land Regulations of 1961, Professor Thompson said, “Few Canadians know about them even now and. few are aware that the government of -that day gave the oil industry carte blanche, telling them to write the kind of regulations that would create incentives for northern development. As a re- sult we have a resource give- away unparalleled in any coun- try in modern time.” The losses come to the Can- adian taxpayer because of the Regulations’ which allow the ‘companies to obtain a holding permit for 12 years in the Cana- dian North for only about $1 per acre. These lost revenues alone, according to professor Thompson, could rebuild the economies of Quebec and the Maritimes, as well as establish- ing an economic base for the Yukon and the Northwest Ter- ritories. demand for the heavier pro- ducts.” : Canada is then moving to the unique position of a country which not only exports as much crude oil as it imports, but also refines as much products as it ° consumes. Speculation _ still abounds as to what this will imply in the fact of the forth- coming energy crisis. Ranks Ninth - Compared with other coun- tries, Canada now ranks in ninth place in terms. of crude oil pro- cessing capacity. In 1959, when the pace of refinery construc- tion slackened from a rate of expansion of about 742% an- nually in the previous 10 years to about 414%, the refinery in- dustry in Canada was reported to be the third largest after the United States and the Soviet Union. Refineries in the Atlantic provinces are located near cities and all receive crude oil by tanker. Some bulk stations throughout the region are sup- plied by tanker as well. In Quebec, the refineries are located in an area immediately east of Montreal. Here, crude oil can be received either by overland pipeline from the tide- water terminal at Portland, Maine, or directly by tanker during the increasingly long St. Lawrence shipping season. Service Routes What is described in govern- ment publications as “the na- tional oil policy” does not allow companies to supply areas west of the “Ottawa Valley”, aside from some products necessary to “even out” seasonal require- ments beyond the capacity of the Ontario refineries. However, a sizeable Ontario market east of the “Ottawa Valley” line is included in the zone that may be served by Montreal. While on the subject of the “national oil policy” it may be interesting to note that about half the length of the Interprov- incial Pipeline pumping Cana- dian Western crude oil into On- tario runs under U.S. topsoil. Ontario’s refineries located in the Sarnia and Toronto-Hamil- ton areas on the route of the Interprovincial Pipe Line Com- pany’s pipeline receive a variety of crudes from western Canada. Three refineries are near Sarnia and four are between Hamilton and Toronto. Two product pipelines, the Sun Canadian Pipe Line Com- pany Ltd. and the Imperial Pipe Line Co. Ltd. extend from Sarnia to Toronto with interme- diate delivery points. Another operates between Hamilton and Brockville. Winnipeg, Regina-Moose Jaw, Calgary and Edmonton are the Prairie’s main refining areas. Edmonton, in the heart of the Alberta oil-producing region, is also the originating point of the two crude oil trunk pipelines that carry oil to Canadian re- fineries located from Vancouver to Toronto and the U.S. The main B.C. refining centre is near» Vancouver. All -refin- eries there have docking facili- ties to supply, year-round, sev- eral bulk plants on the Pacific Trans-Northern Pipe Line Co., Fite for the yearend yt 8 da The folldwing letter was sent to Mr. K. Thorson, Minister of Industry & Commerce of Sas- katchewan, by the Saskatche- wan Leader of the Communist Party, W. C. Beeching: “What seems to be a very real threat to increase the price of natural gas to the house-holder is alarming, inexcuseable and unfounded. “As everyone knows, the like- lihood of an increase in the well- head cast for Alberta natural gas arises. directly from the energy crisis in the United States, as a consequence of which the petroleum industry sees a chance to make more pro- fits. “Alberta’s Tory government has publicly stated that its po- licy is one of charging all the traffic will bear and to hell with the people. “An increase in the price of natural gas to the householder in Saskatchewan actually dupli- cates the Lougheed govern- ment’s proposal to soak the pub- lic, no matter what the name of the government that intro- duces the price increase. “We propose that your gov- ernment immediately take steps to ensure adequate sup- plies of natural gas from its own, publicly-owned sources in Sas- katchewan. If enough capital for that purpose is a problem, seve- ral steps could be taken by your government to secure the neces- sary initial capital. Canada ha The Manitoba Peace Council, in a letter signed by Doreen Plowman, its executive secretary, told External ‘Affairs Minister . Mitchell Sharp that it opposes Canada’s withdrawal from the International Commission of nary i’ ~ Y from the ‘fit LATEsy Plant at G expanded Front $79,000,009 Rigs to we as Copper ltd, = for the nine monti eas 92.37 aa te 9.8 95,10 the latest Phoenix soe 503, Sales wer 8 mi Period eS 94 milo? Pounds, up times Provided “ict figures are no 4 mainly attripeey2 pounds ed 3 Tt Bales ynattributable (82 was lier. However)“ Yeatear. Cause of 8 change parison be . cap the Production usher Value * ion to in a ee - w and chem; prod Treatment rr S8YS the co, ver, the com yATEST pa offen 165.00 oe Barrels a’ gavtTaged 29. renct ta) aed changed nn att control ek a eXy 8 8 ant op year, 0 in the er cent as 3 introduction 24 since re esti* 1.38 " Gross Granisle Cc Iping to cravy, December mn never 7 an oil and PfOduetion of crude y,Gtanisie cg P Pe backlog in excent of, order RE OTs Pee SR Ural gas louie me Valcouver coPPET Lid, of Soren ve, company meee BSE ing intt red the Tits %8 ‘ acer omting { a ree CORPORATE REPORTS Gf ta ; shat cg. US, g this Se 3 2 ‘The “ 3 cents. 2 rotit for ‘ as $64 400 000 e $27,749, 0997®°P17 of was, \0 “peirleU yan 28h ! 1 pro ] Shang 55,000 ine eo, compare a stare ‘i nary items and sale of invest- bee: Ee Dee. ae ‘ : a7 e Pany's year, uver for says TESt Caresr yearaco ical operations, 2 Pron, rec ean, & oP, yaw aaas Subjesy Uatural ga al opened ot 5 PROFIT n that year wa 5 ‘ ed a _ redeteriect 10 ee Sales {year Aco ronto las! $490,000 itlt.oee Thi ooh s Sy #195 “ane 4109). i) “f or lhe z ination Rt price. bert ‘expectati' a hliaR a share. by Re, iS, Are Sen itd, orices Si@tilicanuy'® » 0a $4,900,000 Experient See ule. ao OY tald the i of Viep my Venue! 09 ete WF eacedt Cal sales vojtttiCipated ree AE gz ty TL gy a7 yg sh99,008 | improved tr fap, “Cod pp tiny by "2.009 "Roe, reg * lumes."* Boa eave for PENS! iy flow Increased 10 igher volume °7°.Q¢, rig or Main ies, $1.05 Hap, $595, “60 : ‘ $4,200,000 sia aolor We cones are operations.» ‘ie *ag igeh 29990;- "8.99 U6 Mag 43,95, Profit PACIFIC TRIBUNE—FRIDAY, MARCH 30, 1973—PAGE 8 VP ADAH HB UE BONAM VI SUDIT—AVIUSDI VITA ident, ne tim: Assets AV ults rie Beat sal reached @ record $101.7 6 fo a jonsand by Spe : in the fourth quartet Comt ia 15:7. coripared with $4.- arar Provision in 1971 of $4.6-mii- of ~~ Mts 2 GM OF ICL ceuity the pregtgus Mvestment “a. > LOI; gf tas) hang Is - waz $i milion or Fgh tm: Cone year, : as Sas well as ine ; Sher iz 1h te Bee ee ie of, 2 of » Woz of share on Te th simi 1008 ¢ _ Production of crude obsnd on the disposal SNe Map ne of | oe 98 09g yal Vion, compare’, share on montis condi ste’ totalled “fm ets. also contrib- ,, Premie. g ~~ ° ‘Ing! in Chis P27 gael Op “his jon or 18 CONN tion a year VATE Larret . Compartst with @a8,- 'Provement, Vancouver fo. °~4?:gu ding’ €ay 9 ailcn a for revenue Of $62 : etna) Bure etting the i ended Nov. 30: oe Ne 2 aye Ping inpice “Ma earlier: says results Det eee Of GaLarAl gA8 iN- the com: sully LATEST YEAR Av. St " ; The compat Waris creded io 29 bnthon cube pane PROFI : ~ <3 pie 5% ought all re adversely, zs 7< igher operating $619,404 wp tly in 1972 were copper prices {eri vom ‘ait gniliwn eubic a substantial ; $566,419 Ry : » Transalta fected by lower © 4 and bees: in- SHARE Oil anu » ~~ of Cal reduced interest eal al aes oration expendi- 0.20 (0.184 and two ass. ed Sn higher operating. ie an In- Latest ner ca = Use nies, iP e 0 : 9 5 | factors Ar aout seven million fore 4 . 000 Combined, these companies in After an extraordinary Hh the Spread between ee RS cae 08,3 829 ok 1 product pro 9i/., ‘era, I 5 Prog ety 4 thMier Oy Bray 02 dauestments and cost LOMe Petroleum “Qne, Canada is in a ba ing position to wring contY sions from the U.S. monop? U.S. imperialism has been ; ly weakened during this past cade, particularly since its | feat in Indochina; and refle” in the dollar crisis. The © i requirements of the U ‘i States are of such dimen that it is clearly possible t clude deals which will m@ possible for the Saskatch treasury to underwrite t€ arily increased costs, while sources are being securv™ “Two, we suggest thé would benefit the Saskatch working people if your 8 ment entered into serioU ness-like negotiations with i USSR to develop not only. energy resources of ou vince, but also its abun materials. In all insta trade, commerce and assh between the USSR’and th countries with whom it hé nomic and trading relatiom tional sovereignty has been compromised or 108% a claim cannot be made economic and political t with the USA. “This threat to ine costs of cooking and put another example need to develop our OW dian resources, undef ownership, in order to f jobs and’ economic 8° "= 7}, our own people.” ; e 4 : ‘ s Viet dull: Control and supervision 9 nam. “Following upon thé: tions of the Pentagon” Pa to Canada’s role on tht International Control sion,” the letter said nel Canada withdraw from | cat national Commission ? ‘glo and Supervision at this igh will most certainly 4P é eyes of the world, Ci is once again only inte looking after the inter’ United States. For 2 withdraws at this UM? gi coincide with the relea last United States Li ; war. ae “As Canadian citi ite the Peace Council jel think Canada has 4 re ponsibility to make > Agreement on Ending ; and Restoring Peace all 1 is lived up to ome named in the Aste +8 that there not be @ i of the war that h@ Vietnam.” Chain letté hit meat P* LOS ANGELES ~ ail over USA who nove do something abovt cha are taking up en started by two wom frie” two sent letters 10 ober closing form lette$ out " at least five frien i They estimate 3,00 sf written them pleder, : from meat every Thursday and t starting April 1. of Fight Inflation 9 cit have started in