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'<br />

COif I OEITI Al , , , 9<br />

must be 11 continuing ouesUon mark while slum Oi vision can never be t oo sure about<br />

inventories a re high and the plMe pro- how fa r 1 t can go in closing potllnes<br />

grM ~ubject to change. And under such or in expanding the use o f aluminum for<br />

ci rcumstances, the Aluminum And Magne- nonwar products.<br />

More Oi I for Invasion Forces<br />

With pipelines completed, production will hit peok<br />

this yeor But increased war demands, lock<br />

of storage ore expected to keep civilian consumption<br />

at present level.<br />

PI':TROLEUM- li! eblood of the invasion<br />

forces--is raPidly neAring the all- out<br />

production stage. The peek, at Rbout<br />

5 .000,000 barrels dally !including imports<br />

l, is scheduled for the third ouarter<br />

of this year. This is lUi higher<br />

t han t he 1943 peak, 1~ above 1941 .<br />

But H doesn' t me'ln er.y more for<br />

civilians: all t he increase is scheduled<br />

t o be absorbed by rising mllHI\ry reoulrements.<br />

The armed forces will take<br />

about 32$ o f the t otal supol y this year ,<br />

as a gain st 27~ in 1943.<br />

'l'ot e.l produc t ion of gasoline--the<br />

mAjor Petrol eum Product--is schedu l ed<br />

to r each a new high of 1.955 .000 bar rels<br />

daily in the third qu•rter. But or t his<br />

t he mill tary wl.ll t ake "bout 37~, M<br />

s g,.inst 3 3~ last year. The civilian<br />

allocation for t he second oullrter of<br />

t his year was upped 101 ove r t he first<br />

ouarter t o 1, 257,000 bar rels a day, to<br />

meet seasonal reouirements of farmers,<br />

t ruckers, const ruction comp~nies , e t c .<br />

But t his is s till 500,000 ba r rels "' day<br />

bel ow peacet ime u ee ; Pll.Ssenger -car dri v­<br />

e r s are getting only 4~ as much llB<br />

they consumed i n 1941.<br />

The oolnt is that a larger portion<br />

of pe t r oleum i s now going i nt o a viat ion<br />

gasoline, but adiene for synthetic rubber<br />

, and toluene for ex ol o~l ves, " t the<br />

e xpense of aut omot i ve g" sol i ne . Be for e<br />

Pearl Harbor, a 42- gallon barrel of c rude<br />

y i elded 18 gallons o r automotive gasoll.ne<br />

: t oday it yields only 114 gallons.<br />

However, t he petroleum ertuation i n<br />

most respects is bet ter now than at any<br />

time since the outset of t he war. Chief<br />

re•son is t he completion of t he huge<br />

network o f pipelines--Big Inch, Little<br />

Big Inch, Plantation (from Baton Rouge<br />

to Rlchmond, Va . ), etc. l)uring 1942 and<br />

D~trt of 1943, production had to be h~ld<br />

below the prew•r levPl, orimarily because<br />

crude oil 11nd refiMry or oducts<br />

couldn • t be moved ; tankers, which h~d<br />

been haull ng 9~ of the oil to the &ss t<br />

Co•st , wen t over seM or t o the bottom<br />

or these~, and railroad c"rs couldn ' t<br />

make up the deficit.<br />

TodAy, About 40l o f t he oil !petroleum<br />

and Petrol eum oroduct s) delivered<br />

to t he &!!st em Seaboard comes by pipeline.<br />

TotAl deliver ies, i nc l uding t Mk<br />

C'lr, b'lrge, Md t anker, have jumped 25~<br />

over S year ltgO t O 'In a l l - time high Of<br />

1, 750,000 Mrrels dallY, are schedul ed<br />

to r ise t o mor e t han 1 .8 20.000 b~ rrels<br />

by the third o~rt e r . Aa a result , ex­<br />

PAnded refinery facil ities are ope r~ t ­<br />

lng at near ca~ clty , and total U.S.<br />

product ion of t he four major petrol eum<br />

products-gasoline, kerosene, dist illate,<br />

~nd residual fuel oll--ie a t a new high:<br />

Qftso- Kero- Distil- Resld-<br />

~ ..!!!!!l!L late ual<br />

!000 barre l s daily a ve ra ge )<br />

1941 .... 1 .922 199 518 938<br />

1942 .... 1,1;!'>3 185 539 983<br />

1943 . ... 1.672 198 580 1,044<br />

lat. otr :<br />

1944.. .. 1. 925 22A 637 1. 255<br />

Now, howeve r , the pr obl em is lack<br />

o f clvl ~ an s t ora ge . Reserve s t ocks,<br />

COWfiDUTIAL

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