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Since the passage of the allotment bill approximately 425,000 acres have passed into the hands of white men or Indians other than the original allottee, and these lands are unrestricted. The Osage Indian Reservation originally embraced all of what is now Osage County, Okla., and included more than 1,400,000 acres. Of this land, approximately 186,000 acres is tillable, the remainder being unfit for agriculture except for grazing purposes. This tillable land is scattered somewhat over the entire county, but is largely confined to river and creek bottoms and some of the level prairie. At the time of the passage of said allotment bill Congress provided that the oil, gas, and other minerals should remain the property of the Osage Tribe for a period of 25 years, unless otherwise provided by act of Congress, and that the Osage Tribe of Indians, through its tribal council, with the approval of the Secretary of the Interior, might lease said mineral lands, the royalty to be derived from the same to be fixed by the President of the United States, and the rules and regulations under which such leases were to be made to be provided by the Secretary of the Interior. It was at that time contemplated by Congress that 25 years would be sufficient time in which to take the oil and gas from the ground and in which to give the Indians an opportunity to have the full benefit of same; however, a very small amount of development at that time had been done and very little was known as to the extent or value of the oil or gas minerals covered by the Osage lands. It is now known that 25 years is not nearly long enough to obtain this wealth by the Indians, and that if the Indians are to get the benefit from the wealth that rightfully belongs to them that at least an additional 25 years will have to be given them in which to get it. To permit the mineral trust period to expire in 1931 would be equivalent to taking away from the tribe millions of dollars' worth of property and turning it over to those who have not paid for it and who are from no standpoint of equity and justice entitled to it. Since the allotment of the Osage lands there has been considerable land sold through the Indian office and the price these lands brought will show that the parties who purchased the same did not pay an amount which would indicate that they were buying mineral in addition to surface rights.

During the year ending June 30, 1916, 13,126 acres were sold at an average price of $6.31 per acre. During the year ending June 30, 1917, 10,346 acres were sold at an average price of $9.51 per acre. No land was sold during the fiscal year of 1917 and 1918. On March 4, 1919, 5,886 acres were sold at an average price of $18.44 per acre. All of the above sales were at public auction and on terms which permitted the purchaser to pay one-fourth down, onefourth in one year, one-fourth in two years, and the remaining fourth in three years, with interest at 6 per cent. At private sales during the fiscal year June 30, 1919, with the approval of the department, there were sold 3,549 acres at an average price of $20.66 per acre. Much land was sold by members of the tribe who had received certificates of competency, and much was sold through the probate court, but the average price of such sales did not amount to as much as the price given above, so that it can be seen from this that the purchaser of said lands did not pay an amount which would justify anyone in saying after he bought the same that he allowed any extra consideration for any mineral prospects that might be and which might come to him after the expiration of such mineral trust period. All deeds issued contain a clause stating that the land is sold subject to the mineral rights of the Osage Tribe of Indians as provided by act of Congress of June 28, 1906.

Some of those who have purchased these lands either from the individual allottee who had received certificates of competency or through sales as above specified are contesting against Congress extending the mineral period, and they are organized. Others who have purchased said land are not contesting the extension of the mineral period.

To show the value of the oil and gas mineral rights to the Osage Tribe of Indians the following figures are given :

The income per capita from oil and gas for a number of years last past.

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During the year ending June 30, 1914, there was what was known as a bonus payment made, which was derived from the sale of oil leases, and bonuses were made during the years ending June 30, 1917, 1918, 1919, and the last half of 1919. The oil and gas leases made by the Osage Tribe of Indians provide for a one-sixth royalty, and in addition to that whatever bonuses may be paid for the leases when sold at public auction.

On November 12, 1917, oil leases on 19,868 acres were sold, bringing a total of $1,677,200, or $84.32 per acre.

February 14, 1918, leases were sold on 25,440 acres, bringing a total of $1,275,500, or $50 per acre.

May 11, 1918, 38,980 acres were sold, bringing a total of $1,180 575, or an average per acre of $30.

On November 9, 1918, 34,720 acres were sold for a total of $3,350,200, or anaverage per acre of $75.

On March 5, 1919, leases were sold on 20,420 acres, at a total of $2,790,925, or an average per acre of more than $100.

On June 5, 1919, 38,451 acres were sold, at $3,884,925, or an average per acre of more than $100.

On October 6, 1919. 34,670 acres were sold for $6,056,950, or an average per acre of more than $174.40.

These figures given above are for oil leases sold on undeveloped territory, although a considerable part of it was adjacent to territory which had been proven. They show conclusively that the price paid by those who bought the surface of the land could not be considered as any compensation for mineral rights. In addition to the sale of oil leases, the gas leases sold on said lands brought to the tribe $1.173,920.48. These figures all show the exceedingly great value of this mineral property and give some idea as to what will be taken away from the Osage Tribe and delivered to the owner of the surface if Congress should fail to extend the mineral period.

At the time of the passage of the allotment bill in 1906, the oil production reached its highest mark up to that time, and during the year ending June 30, 1906, produced 4,514,004 barrels of oil. This was very much more than had been produced in any year previous to that. Thereafter the production did not increase materially until 1911, when the production for the year ending June 30, 1911, was 9.418,767 barrels. For the year ending June 30, 1915, it produced only 7,258.788 barrels and has greatly increased since that time until for the year ending June 30, 1919, it produced 12,138,086 barrels, and the pro duction at this time is the greatest it has been at any time in the history of the Osage oil field.

Under the act of Congress of March 3, 1905, the old oil and gas lease that had been in existence covering the Osage Reservation was renewed as to 680,000 acres and on March 16, 1916, leases covering 187,000 acres of said 680,000 acres were renewed for a period not longer than the time in which the title to the minerals belonged to the tribe. Since March 16, 1916. there have been leased by the tribal council, in accordance with the rules and regulations of the Seeretary of the Interior, and with his approval, 272.342 acres, making a tota acreage leased up to this time for oil purposes, of 459,342 acres. The tota! bonus received for these 272,342 acres is $25,928,514.36. The average price per acre which this land brought for oil mineral purposes only was a little more than $95. In addition to the oil leases that have been made, the entire Osage Reservation has been leased for gas mining and mining for gas is going on practically in every part of said reservation. Leases for oil are all made i units of 160 acres each; and no company is permitted to lease in excess of 4,800 acres on what is known as the east side of Osage County, and 4,800 acres on what is known as the west side of Osage County. The purpose of this restriction is, first, to prevent monopoly, and second, to have more companies operating in producing oil, thereby hastening the development of this territory. The great value of this mineral property to the Osage Tribe as compared to what it was in 1906 may well be shown by a statement setting out the prices that have been paid for oil since the passage of the allotment bill above re ferred to:

In 1906, the price per barrel for oil ranged from 52 to 39 cents.
In 1907, the price per barrel ranged from 39 cents to 41 cents.
In 1908, the price remained throughout the year at 41 cents.
In 1909, the price per barrel ranged from 41 cents to 35 cents.
In 1910, the price ranged from 38 to 42 cents.

In 1911, the price ranged from 44 cents to 50 cents.

In 1912, the price ranged from 53 cents to 83 cents.
In 1913, the price ranged from 86 cents to $1.03.
In 1914, the price ranged from $1.05 to 55 cents.

In 1915, the price ranged from 55 cents to $1.20.

In 1916, it ranged from $1.25 to $1.40.

In 1917 it ranged from $1.50 to $2.

In 1918 it remained throughout the year at $2.25 per barrel.

In 1919 it ranged from $2.25 per barrel to $2.75, and at the present time the price per barrel is $3.

On June 30, 1907, there had been drilled 779 oil wells, 67 gas wells, and 309 dry wells, making a total of 1,155. On June 30, 1919, there had been drilled and which were producing oil, 4,442 oil wells, 468 gas wells, and 1.930 dry wells and wells that were abandoned, making a total of 5,840. On January 1, 1920, there were 5,036 oil wells, 513 gas wells, 2,100 dry and abadoned wells, or a total of 7,892 wells, and there were 241 wells drilling. Up to March, 1916, there had only been drilled 65,548 acres. This acreage was divided in units of 160 acres each, not all of which had been fully drilled. On October 1, 1919, there were 2,700 leases of 160 acres each, or a total of 415,900 acres which were under lease for oil-mining purposes, leases on practically 45,000 acres having been surrendered or canceled. Of this number, 753 leases were producing oil, 340 had been proven dry and 241 had wells drilling on them, leaving at that time, of the territory that theretofore had been leased for oil-mining purposes, 1,240 that had not been tested.

Under the terms and conditions of leases under which these 1,240 tracts were held, they must all be tested not later than March 16, 1921.

It is not known definitely how long oil wells will produce oil in the Osage Reservation, but many wells have been producing at this time for as long as 15 years and it is reasonable to expect that many wells that have been drilled and will be drilled in the future, will produce oil for as long as 20 years. This of itself clearly demonstrates that it would be impossible for the Osage Tribe to secure all this oil by 1931, even from the wells that have already been drilled. When the vast amount of territory that has already been leased and not drilled, and the still greater amount that is to be leased in the future has been leased and drilling operations started on it, it will be seen that the extension of 25 years from 1931 would indeed be a short time in which the tribe may hope to even get a large percentage of all of the oil that may be found and produced in its reservation.

Attention is called to the fact that oil leases and gas leases are made separately, although covering the same territory. Gas leases are made on a very large amount of acreage, while oil leases are confined to 160 acres. This has proven beneficial to the Osage Tribe in several ways, especially it has enabled the tribe to get the best possible terms for its gas and to realize the most money out of gas leases. It has also resulted in a conservation of gas and has caused the life of gas wells in the Osage Reservation to be more than three times that of the gas wells in any other part of what is known as the midcontinent field. The average life of a gas well in the Osage Reservation is four years, while the average life throughout the midcontinent field other than the Osage Reservation is only 14 months. This conservation of gas has resulted in great benefit to the public generally in that more than 50 per cent of all the gas produced and sold in the States of Oklahoma, Missouri, and Kansas has been produced in the Osage Reservation. At the present time the annual income from gas royalty in the Osage Reservation is nearly $1,000,000.

Attached hereto and marked Exhibit A is a map of Osage County, Okla., showing the acreage as at present leased for oil. It also shows what leases are producing oil, on what leases drilling operations are now being carried on, on which oil has not been found, leases that have been made and which have not yet been drilled, and tracts which are now being offered for lease and are to be sold at public auction on the 3d of February, 1920. What is denominated as the east side of the Osage Reservation is all that territory east of the range line between ranges 7 and 8, and what is denominated as the west side of Osage Reservation is all territory lying west of said range line.

The Osage Tribe of Indians are exceedingly anxious and desirous for the extension of the mineral period, notwithstanding the individual members of the tribe each own approximately 659 acres of land, except in those instances where they have sold a part of the same. They feel that they selected their allotments with the understanding that the minerals beneath the same should go to the

tribe and be divided equally among the members of the tribe, and they are anxious that this arrangement be carried out. They also feel that as a tribe they were and are the owners of this mineral, and that it is now the duty of the Government not only not to take it away from them, but to see that they retain it and have an opportunity to get it and divide it among themselves. They feel that to take this wealth away from the tribe and give it to whomsoever may own the surface in 1931 would be taking away from them many millions of dollars and turning it over to those who had paid no consideration for it. It is well known that even in oil territory like the Osage Reservation oil is found only in tracts and that a greater part of the land produces no oil. Should this oil be taken away from the Osages, it would mean that only a small part of the owners of the surface of the land, whether they be Indian or white, would get the benefit of the same, while the larger part of the members of the tribe would be cut off from this splendid income after April 8, 1931.

The Osage Indians themselves, to a large extent, took the lead in the matter of the allotment of their lands, and were before Congress on that matter in the winter of 1904 and 1905, as well as 1905 and 1906. The present chief of the tribe was a very active member of the Osage tribal council at that time. It was understood at that time between the tribe and those who were then in Congress having charge of the matter of the allotment of the Osage lands, and the Interior Department, that the Osage Indians should be given ample opportunity to extract this oil and gas and other mineral wealth and receive the benefits from the same; that it was then urged upon the tribe that in all probability 25 years would be a sufficient time in which to do that. But to satisfy the tribe at that time provision was made in the Osage allotment bill whereby Congress reserved the right to extend the period of time in which they were to get this wealth. if it became necessary so to do.

The Osages feel that this tacit arrangement and understanding between them and the Government should at this time be faithfully carried out. They feel that it should be done now, in order that in going ahead and making further leases on their lands they will be able to get the best possible results and get the best terms, whereas if it is not done at this time oil men will not feel like buying these leases and expending the enormous amounts of money that it will be necessary for them to spend, and take leases for the short period of time that remains. In addition to that, Congress should, in carrying out its duty toward the Osage Indians, say, by an extension of this period, to all those contemplating purchasing the surface, that they do so knowing that this oil is the wealth of the Osage Indians, and that said Indians shall be permitted and given an opportunity to obtain the same. The Osage Tribe, in contracting with oil and gas lessees, has provided in its contract that the term of the lease shall run as long as oil is found in paying quantities, but not longer than the period of the time in which the mineral rights remain in the Osage Indians. The tribe had in mind that the mineral period would be extended and that the oil and gas leases would run for as long a time as the extension covered. Its desire is to carry out its contract in this regard, and asks that Congress in granting the extension of the mineral period also provide that the leases which it has made with oil lessees be extended for the same period of time.

Trusting that the committee will give this matter favorable consideration and take such steps as will carry out the wishes of the Osage Tribe in this matter, we are,

Very respectfully,

C. W. Brown, principal chief; Paul Red Eagle, assistant principal chief; Ben Harrison, acting interpreter; G. E. Tinker, secretary of council; Franklin Shaw, Francis Revard, Fred Lookout, Francis Claremore, Ben Harrison, Geo. V. Labadie, Elmer, Wheeler, Anthony Carlton, members of council.

The CHAIRMAN. Who is the chief of this council?

Mr. TINKER. Mr. Brown is now our chief.

The CHAIRMAN. He is the man who signed the statement which was sent out to the bankers, is he not?

Mr. TINKER. Yes, sir.

The CHAIRMAN. Where did you prepare that statement-in Washington or out in the wilderness?

Mr. TINKER. We prepared it in the city of Washington.

The CHAIRMAN. In the office of the Commissioner of Indian Affairs?

Mr. TINKER. No, sir.

The CHAIRMAN. Tell us right where it was prepared and who prepared it. Let us get right down to brass tacks.

Mr. TINKER. I prepared it in the National Hotel with the assistance of a lady stenographer.

The CHAIRMAN. You did not expect to get very far with this unless you took it to the Indian Commissioner and got his O. K. on it, did you?

Mr. TINKER. We did not expect it to carry any weight with the bankers and others here unless the Indian Office would work with us on the matter, because we have no authority to send counsel over there to right the wrongs we have suffered.

The CHAIRMAN. Did you think your case was so weak that it needed that sort of method to put it over?

Mr. TINKER. We did not. We felt that it was incumbent upon us to fight fire with fire. We felt that any man who was handling Osage money in a bank or as a guardian and was profiting thereby had no moral or legal right to oppose the interest of the tribe or the wards he represented.

The CHAIRMAN. What led you to think that the bankers were opposing this scheme?

Mr. TINKER. The fact that they were openly presenting it on the streets, in the press, by word of mouth, by action, by letter, which came to us, opposing the extension of the mineral period.

The CHAIRMAN. And you sought this method of coercion to bring them into line, and it seems to have its effect.

Mr. TINKER. Coercion is a little bit ahead of us in the case. The CHAIRMAN. That was the ultimate outcome of it, was it not? Mr. TINKER. We felt that the first law of nature should control the action of an Indian, the same as it does that of the white man. The CHAIRMAN. I am just trying to get to the bottom of the thing. I had some idea you had something to do with getting up the statement. I am trying to find out, if I can, the real force behind the

matter.

Mr. TINKER. The fact is that the opposition to the extension of the mineral period has never been the farmer who owns the land. It is not to-day. The opposition to the extension of the mineral period comes from a few capitalists who have bought large acreages in here.

The CHAIRMAN. They do not any of them seem to appear here. Can you give me any reason why they should not come here and testify if they believe, as do the bankers, that the thing should be done?

Mr. TINKER. I think I can. I believe they have other interests. that might be jeopardized; public-land interests.

The CHAIRMAN. I think you have the wise idea myself, now. What other interests do you think are jeopardized if they should come forward now and be openly against the extension?

Mr. TINKER. I believe that the bankers of the county and the guardians of the county would come openly now and insist upon Congress not extending the mineral period, but the council of the

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