VIRGINIA. The area in which oil or gas might be found in Virginia is very limited because of faulted structural conditions. Gas was first developed in commercial quantities from the Early Grove field near Bristol in 1938. The first oil in commercial quantities was discovered in the fenster area near Rose Hill in Lee County, Virginia, in 1944. This oil is produced from the Trenton limestone of Middle Ordovician age. Since the discovery, 30 wells have been drilled, of which 15 were producing approximately 400 barrels daily by the end of 1946. During 1947 with no important new discoveries, and because of physical and mechanical difficulties encountered in producing the Rose Hill oil, the daily production is greatly decreased.

The most important development in Virginia during 1947, was started by major gas-producing companies in Buchanan County. By the end of 1947, three wells were being drilled by the United Producing Company, Inc. At this writing one of the wells on the W. M. Ritter Lumber Company's land came in at a depth of 2301 feet, producing 17,000 MCF from the Maxon sand. More than 200,000 acres have been leased and other leases are being made to major and independent operators.

It is the forecast of the writer that this area of Virginia will have more extensive exploration during 1948 than it has in the past.