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R. 44 E., prepared by L. W. Burtch, U. S. deputy mineral surveyor, there is to be found dark carbonaceous shales which prove the existence of liquid hydrocarbons which leads me to the conclusion that this section of country will on development produce petroleum with a paraffine base.

This showing indicates that there is a possibility that the lands described, on development, will be found to be oil lands and as none of the tracts have been entered or otherwise disposed of I see no objection to the withdrawal thereof as requested, with such restrictions as seem just to both agricultural and mineral claimants.

Accordingly the lands described in the petition are hereby withdrawn from agricultural entry for a period of one year from date hereof, provided that failure to prosecute mineral development work with reasonable diligence shall be considered an abandonment and consequently good cause for revoking the withdrawal.

You will so advise petitioners, through Mr. Cowgill at Baker City, Oregon, making the proper notations on the records of your office.

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By letter of February 18, 1902, Special Agent Jay Cummings was directed to report on the mineral (oil) character of certain land so as to enable this office to determine whether the suspension from entry of same ordered by this office should be revoked. I am now in receipt of a letter from Mr. Cummings stating that it has been demonstrated beyond all reasonable doubt that the following-described lands do not contain mineral (oil) and that the same should be restored to entry.

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Secs. 1 to 10 incl., Secs. 15 to 22 incl., Secs. 27-34 inc.,

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The orders of Feb. 21,1 and Feb. 28, 1900,1 suspending from all disposition certain lands, are in so far as they relate to the above-described tracts hereby revoked and the land restored to entry.

Very respectfully,

1 See p. 61.

BINGER HERMANN
Commissioner.

WITHDRAWAL OF JUNE 3, 1902.

JUNE 3, 1902.

The COMMISSIONER OF THE

SIR:

GENERAL LAND OFFICE.

Herewith is a petition from the Union Pacific Railroad Company, wherein that company sets forth that Sec. 27, T. 15 N., R. 118 W., Evanston, Wyoming, land district, is one of the alternate odd-numbered sections within the limits of the grant made to aid in the construction of the Union Pacific railroad; that the company's main line of road has been changed so as to extend across this section; that the company has had a coal mine thereon since 1899, from which coal has been and is being taken in large quantities; and that the opening and development of this mine was at an expenditure to the company of over $175,000. It also appears from this petition and the files of your office, that the company, in the course of an endeavor to procure a supply of water for its said mining operations and the use of its employes engaged therein, sunk a well upon said section in 1900, in which some evidences of oil were found, but which did not result in the production of a supply of good water. Said petition states, in substance, that there has been no discovery of valuable deposits of oil in said section; that it is not valuable for other minerals than coal; and that it is of very great value for its coal deposits.

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The Department will, at the earliest moment, send a special inspector to make a thorough and impartial investigation of the situation respecting the known character of this section, that is, as to whether, under the development then existing, it is more valuable for oil than for coal. The railroad company and the oil prospectors and protestants will be accorded a full opportunity to be heard before the inspector and to present all existing proofs to him, and the extent and character of the oil discovery in the well sunk by the railroad company will be carefully investigated by him. The Department will then, upon full consideration of the matter, promptly determine whether said section passed to the railroad company under its grant or is excepted therefrom.

1

As to other unpatented alternate odd-numbered sections within the limits of the grant which are not occupied or used for any important purpose, but which are supposed (as contradistinguished from known) to contain oil deposits, and which are attempted to be prospected and explored for that reason, the consideration of the requested issuance of patents will be deferred a reasonable time to permit such prospecting and exploration to be thoroughly done wherever it is attempted in good faith. If the work of prospecting or exploration is retarded or interfered with by the railroad company, consideration of the requested issuance of patents will be further deferred accordingly.

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The attention of the register and receiver at Evanston, Wyoming, should be invited to section 452 of the Revised Statutes and to the circular of September 15, 1890 (11 L. D., 348).

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Very respectfully,

THOS. RYAN
Acting Secretary.

1 Interpreted as applying only within the Evanston land district. See letter from Secretary to Commissioner dated March 16, 1903.

WITHDRAWAL OF JULY 21, 1902.

JULY 21, 1902.

REGISTER AND RECEIVER,

SIRS:

Burns, Oregon.

By office letter "N" of October 7, 1901,1 upon petition of Solomon Hirsch, of Portland, Oregon, and others, certain lands in your district alleged to be oil bearing in character were withdrawn from agricultural entry for a period of one year from date hereof, provided that failure to prosecute work with reasonable diligence shall be considered an abandonment and consequently good cause for revoking the withdrawal. The lands so withdrawn are described as follows:

All of sections 1, 2. 11, 12, 13, 14, 23, 24, 25, 26 and 35 in Township 15, South, Range 43, East of Willamette Meridian.

All of sections 7, 8, 17, 18, 19, 20, 21, 22, 27. 28, 29, 30, 31, 32, 33, 34 and 35 in Township 15, South, Range 44, East of Willamette Meridian.

All of sections 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 17, 21, 22, 23, 24, 25, 26, 27 and 35, in Township 16, South, Range 44 East of Willamette Meridian.

All the sections lying in the west half of Township 16, South, Range 45, East of Willamette Meridian, excepting therefrom section 16.

All the sections lying in the east half of Township 17, South, Range 44 East of Willamette Meridian, excepting therefrom section 36.

All the sections lying in the west half of Township 17, South, Range 45, East of Willamette Meridian, excepting therefrom section 16.

I am now in receipt of application of the Malheur Oil Company by its president, Solomon Hirsch, and secretary Isaac N. Fleischner, to extend the withdrawal for an additional period of not less than one year. The application is supported by the affidavits of I. W. Hope, W. G. Hope and W. P. Keady and is based upon the following state of facts:

The Malheur Oil Company is the owner of 64 oil locations of 160 acres each of these lands, the locations having been made by 64 associations of individuals and by them sold to the Malheur Oil Company. The company began the work of developing these alleged oil fields late in 1901 and has since expended a sum in excess of $12,600 in the construction of buildings, the purchase and installation of machinery on the ground, payment for labor and for supplies, fuel and other incidental expenses. A sufficient plant has been installed to sink a well 3,000 feet and a well has been sunk to a depth of over 800 feet. All this development work is on the N. of Sec. 29, T. 15 N., R. 44 W.2 It is further set forth in the application that it is the intention of the company to carry on the work with all diligence and should the well at present being sunk fail to disclose the presence of oil in commercial quantities to sink another well or wells with a view to giving the lands a thorough test, but that in view of the uncertainty of work of this character the company can not safely engage in the development of these lands in the manner desired without further assurance that its title to these claims will be protected from agricultural entry.

These lands comprise 103 sections in six contiguous townships and up to date, though nine months have elapsed since the withdrawal, no development work has been done or even commenced at but the one point on section 29. The suspension under the withdrawal made October 7, 1901, provided that "failure to prosecute work with reasonable diligence shall be considered an abandonment and consequently good cause for revoking the order." It is possible that this proviso was not fully understood and that the position of this office may be more clearly defined it will be required of persons and corporations working under the privilege granted by the extension of the period of withdrawal for one year, to October 7, 1903, which is hereby

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ordered, that they make earnest and diligent efforts to exploit these lands for oil and that the land shall be prospected and exploited in various and other places than is shown to have been done during the past year and that operations at different points must be entered upon and continued with reasonable diligence so that at the end of this extended period it will have been satisfactorily demonstrated whether or not the lands or any portion thereof are in fact oil lands. It is believed that if the parties interested in prospecting these lands will enter upon their work in good faith and make earnest and diligent efforts to ascertain the true character of these lands that the extension herein allowed will be ample for such purpose.

Make proper note hereof upon your records and duly advise the applicants.
Very respectfully,

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By office letter "N" of August 11, 1900,1 townships 2 and 3 S., ranges 1, 2 and 3 W., S. B. M., were suspended from disposition under the agricultural land laws upon allegations that same contained deposits of mineral (oil). During the latter part of March and the early part of April, 1902, a special agent of this Department visited said townships, examined the same and interviewed parties living therein, among others Mr. Arthur G. Munn et al., who filed the allegation that said townships contain mineral. The special agent reports that he finds no evidences of mineral upon any of said lands and no attempt at development work except on the north half of section 4, T. 3 S., R. 2 W., where three wells have been sunk. The first of these wells was sunk in an attempt to discover oil but at the depth of 750 feet a 9-inch flow of water was struck whereupon the parties who were boring same abandoned their intention of exploring for oil and are using said water for irrigation purposes, and that the two other wells sunk upon said section were sunk for the purpose of obtaining water for irrigating. The special agent states that the parties who filed the mineral allegations now state that after prospecting over the lands they are satisfied that none of said lands contain oil except the north half of section 4, T. 3 S., R. 2 W., upon which tract they decline to express an opinion. Numerous other parties were interviewed by the agent and all state that no oil has ever been discovered upon the lands in question or adjacent thereto. The special agent therefore concludes that the lands have no value whatever for mineral but do possess some value for grazing and agricultural purposes and recommends that the suspension be revoked.

The said townships were returned as agricultural by the survey thereof and since the suspension no allegations have been made as to the mineral character of said lands which would justify any further investigation by this office or the further suspension of the tracts mentioned. In view of these facts, and of the report submitted by the special agent, the lands in townships 2 and 3 S., ranges 1, 2 and 3 W., S. B. M., are hereby relieved from the suspension imposed thereupon by office letter "N" of August 11, 1900.

Make the proper notations upon your records.

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WITHDRAWAL OF OCTOBER 21, 1902.

REGISTER AND RECEIVER,

SIRS:

Burns, Oregon.

OCTOBER 21, 1902.

November 13, 1901,' the following described lands were withdrawn from disposition as agricultural for a period of one year on allegations that the same were mineral (oil) in character, viz: NW NE‡,2 St NW, SW NE and the S of Sec. 10 and all of section 25, T. 19 S., R. 43 E., W. M., all of sections 19 and 20, the S of section 21, the NW and the S of section 22 and all of sections 27, 28, 29, 30 and 31, T. 19 S., R. 44 E., W. M.

I am now in receipt of a petition from W. C. Cowgill, Baker City, Oregon, and also a letter from Hon. John H. Mitchell, U. S. Senate, requesting, for reasons stated, that the period during which said lands shall remain so withdrawn be extended for a further period of one year.

The reasons presented, which are in substance that the petitioners have been unable as yet to determine with certainty whether said lands are valuable for oil, appear to me to be sufficient on which to base favorable action. Accordingly the suspension of the lands described from agricultural entry is hereby extended for a period of one year from date hereof with the same proviso made a part of the former withdrawal, viz: That failure to prosecute mineral development work with reasonable diligence shall be considered an abandonment and consequently good cause for revoking the withdrawal.

This withdrawal will expire by limitation in time without further action by this office, unless the same is officially extended.

You will advise petitioners, through Mr. Cowgill, at Baker City, Oregon, of this action, making the proper notations on the records of your office.

Very respectfully,

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In my letter of October 21, 1902,3 extending the withdrawal from agricultural entry of certain lands in township 19 S., R. 43 E. W. M. and 19 S., R. 44 E. W. M. made by office letter of November 13, 1901, for a further period of one year from date, the N. W. of N. E. Sec. 10, Tp. 19 S., R. 40 E. W. M. was described. This was erroneous, the proper description being N.W. of N.W. said section.

You will make the necessary correction on your record and advise the parties

interested.

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