24 non-productive. During the same period there were 17 
oil wells and 8 gas wells abandoned, leaving the Company, at 
the close of the year, interested in 574 producing oil wells and 
104 producing gas wells; 247 oil wells and 87 gas wells owned 
sutright by the Company and the balance owned jointly with 
sther companies. 
The total acreage under lease at the close of the year was 
239,807.73 acres of which 28,367.77 were operated and 
211,439.96, unoperated. 
14.46 miles of gas transportation, distribution, and field 
pipe lines of various sizes and 18.31 miles of oil pipe line were 
laid during the year and 9.82 miles of gas pipe line were 
reclaimed. 
During the year your Company erected an additional gas- 
oline plant in the Eastland, Texas, district known as the 
Downtain Plant which increased the daily capacity by 8,000 
gallons. The combined sales from the four gasoline plants 
now owned and operated amounted to 3,012,648 gallons in 
1023 
Your Company served 26,392 domestic consumers with 
ratural gas in the month of December, 1928, an increase of 
'.490 over the same month of 1922. 
The combined gross earnings and miscellaneous income 
for the year was $3,903,420.53 and the combined operating 
expenses, taxes, and other deductions was $3,232,157.75, 
leaving a balance of $671,262.77. Considering the depressed 
condition of the oil and gasoline business during 1928 your 
Board feels gratified with the result of the year’s operations. 
Your Board deemed it advisable to separate the oil and 
gasoline business of the Company, to the extent practicable, 
from its natural gas business, for the reason that the natural 
gas business of the company is strictly a public utility and 
subject to commission regulation as to rates. The separation 
was accomplished by increasing the capital stock of Arkansas 
Fuel Oil Company, (all of which was owned by your Com- 
pany), from $25,000.00 to $8,200,000.00 and issuing the in- 
crease up to $8,143,450.00 for the oil and gasoline business 
and properties of the Company, thereby accomplishing a sep-