uneau, Alaska
VOL. 18 NO. 50
KODIAK, ALASKA, DECEMBER 13, 1958
PRICE 10 CENTS
Oil Found in 2nd Well on Kenai;
Best Area of Well to Be Tested
Alaska’s second oil-producing
well on the Kenai Peninsula was
confirmed Wednesday—and indi
cations are that it will be even
bigger than the initial discovery.
Tests by the Standard Oil Com
pany of California on the Swanson
River Unit well No. 2 showed a
capacity of about 500 barrels per
day in a zone beneath the primary
oil-bearing sands.
A two-hour test early Wednesday
showed oil flowing at the rate of
between 15 to 20 barrels an hour,
which would average between 300
and 500 barrels per day.
However, the test was made at
a relatively small testing zone be
tween depths of 11,038 feet and
11,060 feet, a zone which is below
the main sands where the first
commercial discovery was made
in July of 1957. That zone is also
lower than the main “hemlock”
zone on the well. The hemlock
zone is considered the primary oil
bearing structure.
Swanson River Unit well No.
2 is located about two miles south
of the Swanson River No. 1 well,
which was discovered by the Rich
field Oil Corp. The No. 1 well is
now producing at the rate of 500
barrels per day on a standard pro
duction test.
Tests at the No. 2 well continue.
The interval in which oil was
found Wednesday will be tempor
arily shut off, while testing be
gins in the main oil-bearing sands.
Land Purchased
For Cemetery Site
The land in the Abercrombie
area, part of which was designated
as the city cemetery, was purchas
ed from the Bureau of Land Man
agement, following action by the
council Monday approving of the
purchase.
Purchase price of the land was
$1920, with payments to be made
annually over a four-year period.
The land in question, U.S.S. 3462,
Lot 3, comprises 77.5 acres.
Funds to be used for the pur
chase are to come from airport
monies, which will not be used
this fiscal year.
C. of C. Invited
To Goodwill Meet
The Kodiak Chamber of Com
merce, invited to a goodwill gath
ering at Anchorage to be held on
January 9, plan to send a repre
sentative should one be available.
This will be a meeting of rep
resentatives from the southwes
tern area of Alaska and is being
sponsored by the Anchorage
Chamber of Commerce.
The Alaska Visitors Association
has requested that the names of
people traveling in the other
states from Alaska sent sent to
their office in the future..
The idea back of the request is
(Continued on page 10)
Newsmen from all over Alaska
visited the new well Monday, the
day prior to finding oil.
The new discovery may speed
the company’s plans to bring in
another rig to the Kenai penin
sula. Six wells a year could then
be drilled.
The oft-mentioned construction
of pipelines to four possible ports
is not in the immediate offing, ac
cording to J. E. Toussaint, vice
president/ in charge of Standard
Oil Company’s production. He
stated there would have to be
eight oil wells with an average
production of 750 barrels per day
each before construction would
start.
Toussaint also stated in the
press conference following the
tour, that a refinery in Alaska
was not considered feasible in the
next 25 years. Civilian consump
tion of fuel oils and gasoline
would have to be doubled, in
creasing the present requirement
of 14,000 barrls to 25,000 barrels.
Divert Water to
Upper Reservoir
Diversion of a creek feeding
the Erskine water system will in
crease the level of water in the
upper city reservoir.
Agreement was reached with
Bob Acheson of Donnelley and
Acheson, owners of the system,
to divert the water. Part of the
agreement was to provide a flood
gate, thus assuring an adequate
supply to the private system.
The city thus increases its wa
ter supply and in turn will keep
down the forming of ice in the
harbor, as it lessens the amount
of drainage from the creek which
flows into the harbor. It also will
decrease pumping expense.
Rotary Show Set;
Speaker Is Heard
Art Brooks, chairman of the
Christmas committee, announced
at the Rotary luncheon Tuesday
at the Island Fountain that the
two Rotary Santa Claus shows for
children will be held this year on
Dec. 20, Saturday, at 10 a m. As
in the past, there will be Santa,
gifts and a free movie at the Or
pheum theatre for the older chil
dren, and a similar pro m at
the USO for tmy tots a’ ' thei~
parents. The committee ir charge
includes Lou Veerman, A' Hoch
berger, Jess Ballard, John Civens,
Eddie Naughton, Bob Mrler and
Jules Radinsky.
Principal speaker at the meet
ing was Dr. Victor Strash, of the
local school staff, who spoke on
“The Challenge of a Stable Soviet
IVUSMd.
Dr. Strash described Russia as
a country where “words are pre
ferred to force in manipulating
population” and where treaties
and agreements with other coun
tries seemed to be made only for
tactical advantage.
He said there are three main
sources of possible changes in the
Russian regime. First of these he
named as the problem of succes
sion, with each new leader impos
ing the totalitarian regime with
renewed vigor.
Secondly hS said changes may
come from break-up in satellite
powers as evidenced by the recent
abortive revolt in Hungary; and
lastly Dr. Strash declared that in
dustrial maturation will erode the
dictatorial regime and create new
forms of socialism.
Guests included Rotarians Wal
ter Williams, Spenard, and W. R.
Wood of Anchorage, and L. H.
Heller and A. Bjerken.
Fred Rave Dies
In Seattle, Wash.
Fred Rave, well-known Naval
Station emplovee. died Wednesday
in Seattle. Wowing his arrival
there from Kodiak.
Fred and his wife Evelvn left
here Tuesday for Seattle, where
he was to enter t^e Virginia Mason
Clinic for medical treatment. They
arrived in the Washington city at
7 a.m. Wednesday. The deceased
was sitting in ° chair wifen he
died. Time ~ hout 6:30 o m.
Kenneth ar
Seattle T‘u
■mn o" Mrs T>'
riage.
Rave ha= 1
Naval Stati
1946. He c*
chauffer, wo:
fer from No
1953. He trac,
Loft i ’ 1 '.
raine Rkeitt left
Kenneth is a
by a torn mar
employe at the
"nee M y 28,
ere fir~ t as a
oadingma chauf
er, 1946 ntil in
ed to the R gging
e he was c nploy
ed unfii the ' • .ent time.
The 'deceased was born in
Waukesha, Wisconsin, in 1892. He
worked in t Bremerto Navy
yard before coming here.
Funeral services will be held to
day at 1 p.m at the Clark-Raffor
ty and Putman chapel in Seattle.
The body will be cremated.
No Codification,
Council Decides
The city attorney’s proposal to
work on the codification of the
city’s ordinances on a full-time
basis for several weeks for the
sum of $1,000 was turned down
by the council.
Russ Arnett stated in a letter
he could devote the time to the
job during his vacation, and felt
certain the cost would be less
than that of a code company. The
only other expense would be for a
typist, he said.
Only dissenting vote was Coun
cilman Huer.
NEW PRODUCER—This is the rig at Standard
Oil Co. of Calif.’s Swanson River Unit well
No. t which came in Wednesday. It is located
approximately two miles from well No. 1.
Fishermen Oppose
Increasing Length
Of Seine Boats
JUNEAU UP) — Southeastern
Alaska fishermen voiced opposi
tion Wednesday to any increase in
the length of seine boats beyond
the present max?Tnum 50 feet
now permitted in Alaskan wafers.
They urged elimination of fish
traps from Alaska waters and! op
posed continued use of drum
seines in 1959 Alaska salmon >ea
son. Expressions C2me f nm
about 25 fishitten who 'attended
hearings on the proposed regula
tions for next season.
The hearings were the second in
a series scheduled by U. S. Bureau
of Commercial Fisheries. The 1959
regulations propose elimination of
salmon traps from Alaskan wa
ters, but would retain permission
for use of drum seines. About 35
drum seines were used in Alaska
last year.
Fisherman here, protested that
other types of seine gear ccald
not compete with drum seines.
The proposal for use of seine beats
more than 50 feet in length were
advanced by Washington State
fishermen at the first hearing a
week ago in Seattle.
The hearings will resume Dec.
17 at Anchorage, and will run for
three days. Additional hearings
are scheduled for Kodiak, Dilling
ham, Cordova,, Wrangell and
Ketchikan in January.
A long The
Waterfront
Very little to report for this
column this week.
At the Standard Oil dock, the
Ruth L, skippers-owners Del Kra
mer and Vic Hansen, were in, but
are leaving for Alitak today. They
are hauling crab for the Kache
mak Fisheries at Ouzinkie.
&
The Totem is tied up at the
face of the dock while Cory Kal
stad, who left Sunday, is outside
for the holidays. He is expected
to return Jan. 10.
&
Mayor Merrill Coon, agent for
SO, reports no boats have teen
tied up to the company’s float
since the small boat harbor facili
ties were completed.
&
At the City Dock, the only ac
tivities is the decorating of the
office for Christmas.
King Crab, Inc. reports boats
could not get out all week be
cause of v/eather conditions —
hence very little activity.
The power barge Afognak is
due today from Seattle, with
shrimp sorter and grader aboard.
Skipper is Dick Olsen. Johnny
Lange is engineer. The Afognak
is expected to act as shrimp boat
tender.
The cannery hopes to make
another experimental run. Mon
day. Chris Poulsen left Sunday for
Anchorage and Seattle.
The Alaska King Crab cannery
Continued to page 4