36. Adelman, Efficiency of Resource Use in Crude Petroleum, Southern Economic Journal, vol. 31, October 1964. 37. Boulder Daily Camera, April 10, 1967. 38. Burck, "U.S. Oil: A Giant Caught in Its Own Web," Fortune, April, 1965. 39. Department of the Interior Press Release, January 27, 1967. 40. Of particular interest to this committee are the following statutory provisions relating to Com Sat: all authorized users of the communications satellite system have nondiscriminatory access to the system (47 U.S.C.A. sec. 701c) maximum competition is to be maintained in the provision of equipment and services utilized by the system (47 U.S.C.A. sec. 701c) competition in the provision of communications services to the public is to be maintained and strengthened (47 U.S.C.A. sec. 701c) activities of the corporation and all companies participating in it are to be consistent with the Federal antitrust laws (47 U.S.C.A. sec. 721c1) small businesses are to be given an opportunity to share in the corporation's procurement program (47 U.S.C.A. sec. 721c1). 41. Note 4, supra. 42. Congressional declaration of policy and purpose for Com Sat. 47 U.S.C. § 701 (1964). 43. Ibid. 44. Federal Register, January 28, 1967, p. 1058; Federal Register, March 13, 1967, p. 4030. 45. Brown, supra note 2. 46. Oil Shale Corp. v. Udall, 261 F. Supp. 954 (1966). For a critical analysis of Judge Doyle's decision, asserting that the Department of the Interior clearly had authority to cancel the oil shale claims, see 39 Colorado Law Review (4th issue, 1967). 47. 78 Stat. 982 (1964), 43 U.S.C. sec. 1391 (1964). 48. Department of the Interior Press Release, January 27, 1967. 49. Colorado Rev. Stat. Ann. 137-6-1 (b) (Sess. Laws 1965). 50. Colorado Rev. Stat. Ann. 138-1-10 (3) (h) (Sess. Laws 1964). Senator HART. Comment has been made with respect to taxes periodically today. Let me order in the record at this point the summary analysis from the gasoline letter of the 20 largest oil companies' Federal taxes from 1962 through 1965. (The summary analysis referred to follows:) Cities Service: Rank in size 20 largest oil companies' Federal tax, 1962-65-Continued Net income Federal tax Percent Foreign, some States' tax Percent Income after tax Percent 0.8 84, 513, 000 74.0 0.7 104, 118, 000 76.0 Sinclair: 1962. 1963 57,936,000 71, 036, 000 66,444, 000 67, 173, 000 0 1,200,000 23, 119, 000 0 10, 586,000 9,532, 000 10,531,000 30 0 15, 299, 000 1000 24, 222, 000 65.0 0.5 • Marathon is the only large oil company that has been able to conceal its domestic income taxes in the Securities and Exchange Commission files. We phoned Girard Jetton, Marathon's tax chief and asked the U.S. figures, but he said it's a secret. Since the firm probably doesn't want to keep secret the smallness of its foreign taxes, it's assumed the U.S. tax is small and all of Marathon's income taxes are listed as foreign. Senator HART. We apologize to our two remaining witnesses. It is necessary that we press briefly for a quorum call on two votes. I would anticipate we will be back within 30 minutes. (A short recess was taken.) Senator HART. The committee will resume. Our next witness is the Acting Chief of the Conservation Division of Geological Survey, Interior, Mr. Russell Wayland. Mr. Wayland. STATEMENT OF RUSSELL WAYLAND, ACTING CHIEF, CONSERVATION DIVISION, U.S. GEOLOGICAL SURVEY, DEPARTMENT OF THE INTERIOR Senator HART. Senator Hansen indicated he has to make a phone call but to go right ahead. He will be with us in a very few minutes. Mr. WAYLAND. Mr. Chairman, as you know, my name is Russell G. Wayland, and as Acting Chief of the Conservation Division, U.S. Geological Survey, it is my understanding that I am simply to discuss the nature and the extent of the resources with you here today. Senator HART. Correct. Mr. WAYLAND. Ninety-eight years ago F. V. Hayden wrote in the third annual report of the U.S. Geological Survey of the territories that one of the marked features of the rocks of a large area in the West is the "great amount of combustible or petroleum slates." During the many years following Hayden's observation, an area of 16,000 square miles in adjacent parts of Colorado, Utah, and Wyoming has continued to intrigue the oil industry and the informed citizens of our Nation. This is the area underlain by the sedimentary rocks comprising what is known as the Green River formation. These particular rocks are of Eocene age and were formed about 50 million years ago as lakebed deposits. The organic matter in them constitutes an enormous source of potential energy, but our technological knowledge to date, being described to you today by the Director of Petroleum Research, Bureau of Mines, indicates that this energy can be released commercially only by using heat to liberate shale oil from oil shale. Oil shales have been worked in several areas of the world, notably in Scotland, Estonia, and Manchuria. The latter apparently has been the largest operation, with production of 40,000 barrels of oil a day or more. Many years ago in the Eastern United States minor high-grade cannel shales and lower grade black shales were mined to produce small amounts of oil and illuminating gas prior to the discovery of petroleum in 1859. In the present century several commercial experiments to produce shale oil in the United States have been attempted, but sustained production has not yet been attained. The Green River formation was deposited in lakes in several large basins. Figure 1, as shown by these exhibits along the wall, gentlemen, is survey exhibits. UNDER SIMILAR BUT NOT IDENTICAL CONDITIONS Best known are many of the uppermost lacustrine beds in the Piceance Creek Basin of Colorado, the Green River Basin of Wyoming, and the Uinta Basin of Utah. In each basin the geologic history, as shown by the nature of the individual beds deposited in upward sequence, indicates that the lakes continually expanded and contracted. Fluviatile sand, silt, and clay accumulated around the margins of the |