Shallow Oklahoma oilfield launched many petroleum giants.
When an Oklahoma drilling boom arrived in 1919 thanks to shallow wells in the Healdton oilfield, a 27-year-oid inventor applied his new method for cementing oil wells. His service company would become one of the largest in the world.
Erle Palmer Halliburton (1892-1957) received a U.S. patent for his “Method and Means for Cementing an Oil Well in 1921 during Oklahoma drilling booms in and around the Healdton oilfield. He had arrived in Duncan after working for service companies in North Texas towns, including boom town Burkburnett.
The Healdton Oil Museum includes IPAA founder Wirt Franklin’s Pierce-Arrow. The museum hosts annual oil history events.
Halliburton’s New Method Oil Well Cementing Company would receive many patents on its way to becoming Halliburton Corporation, which in 2022 employed 42,000 worldwide specializing in “locating hydrocarbons and managing geological data, to drilling and formation evaluation, well construction and completion, and optimizing production through the life of the field.”
The Healdton field was first revealed in August 1913 by the Wirt Franklin No. 1 well about 20 miles northwest of Ardmore. The wildcat well discovered what soon became known as the “poor man’s field,” because of its shallow depth and low cost of drilling.
The Carter County oilfield, about 70 miles east of Burkburnett, quickly attracted independent producers with limited financial backing — often edging out major oil company competitors.
“Within a 22-mile swath across Carter County, one of the nation’s greatest oil discoveries was made — the Greater Healdton-Hewitt Field,” reported Kenny Arthur Franks in his 1989 history of the oilfield.
“Encompassing some of the richest oil-producing land in America, Healdton and Hewitt, discovered in 1913 and 1919 respectively, produced an astounding 320,753,000 barrels of crude by the close of the first half of the 20th century,” Franks explained.
Erle P. Halliburton Halliburton in 1957. Photo courtesy Oklahoma Hall of Fame.
In addition to launching Halliburton’s petroleum career, the shallow field also helped independent producer Wirt Franklin in 1929 become the first president of the then Tulsa-based Independent Petroleum Association of America (IPAA).
The Healdton Oil Museum preserves Franklin’s and other independent producers’ exploration heritage — and many who got their start in the Healdton field. Among them were former Oklahoma Governor Charles Haskell and Roy Johnson, president of the Healdton Petroleum Company.
According to the Oklahoma Historical Society (OHS), the towns of Wilson, Ringling, and New Healdton (now Healdton) came into existence during the oilfield’s development. Just a few who began their careers there were Robert Hefner Sr. and Lloyd Noble.
“Hefner, a lawyer, introduced the concept of subsurface leasing into mineral rights law,” OHS notes. “Noble developed an international oil business and established the Samuel Roberts Noble Foundation, a nonprofit biotechnology research foundation that helps farmers.”
Born in Ardmore in 1896, Noble found early success at Healdton — and at the Seminole oil boom in 1926.
Noble also was instrumental in the success of a top-secret drilling project during World War II (see Roughnecks of Sherwood Forest).
Cement Well Control
Healdton drilling boom and its many shallow wells, Halliburton established his New Method Oil Well Cementing in Duncan. He was soon experimenting with technologies to improve oil well production. Water intrusion hampered many wells, requiring time and expense for pumping out.
Halliburton noted in his 1920 patent application, “Water has caused the abandonment of many wells which would have developed a profitable output.”
The oilfield cementing innovation — at first resisted by some skeptics — isolated the various down-hole zones, guarded against collapse of the casing and permitted control of the well throughout its producing life.
The city of Duncan, Oklahoma, dedicated a Halliburton statue in 1993.
According to William Pike, former editor-in-chief of E&P magazine, Halliburton’s well cementing process revolutionized how oil and natural gas wells were completed.
Halliburton also patented other modern cementing technologies, including the jet mixer, the remixer and the float collar, guide shoe and plug system, bulk cementing, multiple-stage cementing, advanced pump technology and offshore cementing technology.
Halliburton’s only real service company competitor for decades was Carl Bakerof Baker Oil Tools. Halliburton Oil Well Cementing Company in 1938 expanded into offshore work with a barge-mounted unit cementing a well off the Louisiana coast.
Meanwhile, another Oklahoma oilfield service company, the Reda Pump Company, had been founded by Armais Arutunoff, thanks to help from his close friend Frank Phllips and Phillips Petroleum of Bartlesville, Oklahoma.
Arutunoff invented a practical electric submersible pump). As Phillips foresaw, use of the Arutunoff artificial lift pump would dominate U.S. oilfields by 1938 — and oilfields worldwide after World War II.
Hydraulic Fracking
A major petroleum industry milestone came in 1949, when Halliburton and Stanolind Oil Company completed a well near Duncan, Oklahoma – the first commercial application of hydraulic fracturing (see Shooters – A “Fracking” History).
“Halliburton was ever the tinkerer. He owned nearly 50 patents,” noted Pike. “Most are oilfield, and specifically cementing related, but the number includes patents for an airplane control, an opposed piston pump, a respirator, an airplane tire and a metallic suitcase.”
Thanks in part to his prospering oilfield service company, Halliburton in 1931 started his own airline in Tulsa, the Southwest Air Fast Express — Safeway Airlines — that later merged with American Airlines.
As U.S. production from oil and natural gas shale formations grew in 2018, Halliburton Corporation’s worldwide operations employed 80,000 people.
Citation Information – Article Title: “Halliburton and the Healdton Oilfield.” Authors: B.A. Wells and K.L. Wells. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/petroleum-pioneers/halliburton-and-healdton-oilfield. Last Updated: June 3, 2024. Original Published Date: July 14, 2015.
African American entrepreneurs began their Oklahoma oil venture in 1917.
Discovery of Oklahoma’s giant Healdton oilfield in August 1913 about 20 miles northwest of Ardmore launched years of investment as petroleum companies competed to secure leases and drill. In the African American community, four entrepreneurs formed the Ardmore Lubricating Oil Company.
Oklahoma’s Daily Ardmoreite reported on August 15, 1918, that Ardmore Lubricating Oil Company moved a Star Rig to explore for oil on land adjacent to the town of Tatums. Image from online auction sale.
Today, East 2nd Street is the heart of the “Deep Deuce” district and is known for its historic jazz and culture. But in 1917, that part of downtown was exclusively for “coloreds,” segregated to the other side of the Santa Fe railroad tracks. It was the era of Gov. William “Alfalfa Bill” Murray’s Jim Crow laws (the Civil Rights Act was still half a century away), but along East 2nd Street African-American businesses and neighborhoods prospered.
Ardmore Lubricating Oil Company moved into offices at 319 and 321 East 2nd Street, across from the Black Dispatch weekly, established two years earlier by Roscoe Dunjee. Advertised as the “Largest circulation Negro journal in Oklahoma,” the paper soon carried Ardmore Lubricating Oil Company promotions encouraging readers to invest.
“Buy Stock in a Home Company – With Men Whom You Know at its Head…100 acres leased and shallow wells producing the high-grade of oil,” declared one ad. The company announced plans “to deepen our 1,360 foot well to the lower pay.” Early investors could get in for the bargain price of $1 a share.
As Ardmore Lubricating Oil operations continued into June 1919, news reports for stockholders were mixed. The company completed a producing well on its 100-acre lease that yielded one barrel of oil a day of “high grade lubrication oil.” The company’s chemist predicted it would be worth $10 a barrel at a time when ordinary oil was selling for $2 dollars per barrel.
In 1920, Ardmore Lubricating Oil began moving equipment to drill a well just outside Tatums, about 80 miles south of Oklahoma City. The company announced it would build its own refinery there to process its especially valuable oil from the Healdton field. Tatums was one of about 50 all-black towns in the former Indian Territory that grew from post Civil War reconstruction. These self-segregated communities were reflective of the times; they remain as reminders of America’s struggle with race and identity.
With a new lab opened in 1920 upstairs at its Oklahoma City offices, the company’s wells reportedly could produce “high grade lubrication oil” and “Icthyol Oil,” a salve for eczema and other skin conditions. Image from online auction sale.
The superintendent, manager and stock salesman of the Ardmore Lubricating Oil, H.E. Baker, published a telegraphed message about the Tatums well site: “We have three wells producing the highest grade and most valuable oil found in the United States, the great drug Icthyol Oil, one of the most sought for and needed products of the world today.”
“Icthyol” was a popular European skin ointment produced from dry distillation of sulfur-rich oil shale, but Ardmore Lubricating Oil Company executives declared they could refine it from Tatums’ crude oil and process it in their own laboratory. In February 1920, the company announced a four-day grand opening to celebrate their new lab upstairs.
“The general public is cordially invited to come and see Kerosene, Automobile Oil and Icthyol,” noted an Ardmore Lubricating Oil promotion. Other ads proposed mutually beneficial business arrangements with merchants, investors, farmers, and consumers.
Increasingly creative financing and uninterrupted stock sales were needed for Ardmore Lubricating Oil to remain solvent. The Black Dispatch in 1921 praised H.E. Baker, noting his company’s “development grows by leaps and bounds…You can get into this company now on the ground floor, $10 is all that you can invest at this time for each member of the family, this will insure at the outset an equal opportunity for all, later on the hundreds of stock holders can get together and determine as to the larger plan of organization.”
Tatums’ townspeople in 1927 hosted and acted in “Black Gold,” a silent picture produced by Norman Studios and featuring an “All Colored Cast.” Posters courtesy IMDB.com and Norman Studios.org.
However, construction of the Ardmore Lubricating Oil refinery in Tatums still had not begun by August 1921. News about the company’s oil wells grew scarce as Baker sold his own leases. The last appeals for new investors appearing in the Black Dispatch were nevertheless optimistic:
“Wonderful Opportunities In Larger Faith And Deeper Hole,” proclaimed the newspaper. “To anyone with a limited amount of brains it can be seen that a little more faith and a deeper hole will bring into the hands of the Negro landholders in this section the millions of dollars, which their white neighbors all around them are reaping hourly from the derricks that have lunched great holes in the earth and are spouting liquid treasure everywhere.”
A few years later, but too late for Ardmore Lubricating Oil, the area around Tatums did experience an oil boom that was celebrated on the big screen. In 1927, townspeople hosted the making of Black Gold, a silent picture produced by Norman Studios and distributed to all-black theaters the next year. The Florida-based studio described its movie as a “stirring epic of the oil fields” with a cast including, “U.S. Marshall L.B. Tatums. and the entire all-colored City of Tatums, Oklahoma.”
The action-packed melodrama featured Ace Brand, his sweetheart Alice, and a one-legged cowboy (named Peg), who overcame both adversity and injustice in the oil patch. While the film’s happy ending delivered an oil gusher, Ardmore Lubricating Oil Company did not.
Few financial records remain about the company, but Gateway to Oklahoma History and the Black Dispatch’s archives offer more context to this almost forgotten story from U.S. petroleum history.
Citation Information – Article Title: “Ardmore Lubricating Oil Company.” Author: Aoghs.org Editors. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/stocks/ardmore-lubricating-oil-company. Last Updated: February 21, 2024. Original Published Date: July 4, 2019.
Ardmore Lubricating Oil Company opened offices in this building on East 2nd Street in a segregated district of downtown Oklahoma City known for its prospering businesses and jazz music nightlife. Photo courtesy The Black Dispatch, Oklahoma City, April 20, 1922, Vol. 7, No. 20.
Decades of production from the Healdton oilfield would yield more than 200 million barrels of oil — but the prolific field left hundreds of forgotten petroleum companies hidden in its exploration and production history.
Oil production from the Healdton field was shallow, averaging about 1,000 feet, and the low cost of drilling attracted many small ventures that operated on capital raised by aggressive stock sales. State “Blue Sky” laws had yet to restrain advertising excesses and promotions. Competition for investors often was fierce (see Homestead Oil Company).
Ardmore Lubricating Oil Company
When a group of foundering Coffeyville, Oklahoma, investors gave up on their 100-acre oil lease in 1917, four African American entrepreneurs bought out the venture and its unfinished 1,360-foot-deep well, which had encountered “several light sands” and a water-filled borehole.
Wilson Newman, J.C. Pratt, S.M. Holland, and Heston Welborn formed the Ardmore Lubricating Oil Company, capitalized at $50,000, and set up offices on East 2nd Street in Oklahoma City.
Oklahoma’s Daily Ardmoreite reported on August 15, 1918, that Ardmore Lubricating Oil Company moved a Star Rig to explore for oil on land adjacent to the town of Tatums. Image from online auction sale.
Today, East 2nd Street is the heart of the “Deep Deuce” district and is known for its historic jazz and culture. But in 1917, that part of downtown was exclusively for “coloreds,” segregated to the other side of the Santa Fe railroad tracks. It was the era of Gov. William “Alfalfa Bill” Murray’s Jim Crow laws (the Civil Rights Act was still half a century away), but along East 2nd Street African-American businesses and neighborhoods prospered.
Ardmore Lubricating Oil Company moved into offices at 319 and 321 East 2nd Street, across from the Black Dispatch weekly, established two years earlier by Roscoe Dunjee. Advertised as the “Largest circulation Negro journal in Oklahoma,” the paper soon carried Ardmore Lubricating Oil Company promotions encouraging readers to invest.
“Buy Stock in a Home Company – With Men Whom You Know at its Head…100 acres leased and shallow wells producing the high-grade of oil,” declared one ad. The company announced plans “to deepen our 1,360 foot well to the lower pay.” Early investors could get in for the bargain price of $1 a share.
As Ardmore Lubricating Oil operations continued into June 1919, news reports for stockholders were mixed. The company completed a producing well on its 100-acre lease that yielded one barrel of oil a day of “high grade lubrication oil.” The company’s chemist predicted it would be worth $10 a barrel at a time when ordinary oil was selling for $2 dollars per barrel.
In 1920, Ardmore Lubricating Oil began moving equipment to drill a well just outside Tatums, about 80 miles south of Oklahoma City. The company announced it would build its own refinery there to process its especially valuable oil from the Healdton field. Tatums was one of about 50 all-black towns in the former Indian Territory that grew from post Civil War reconstruction. These self-segregated communities were reflective of the times; they remain as reminders of America’s struggle with race and identity.
With a new lab opened in 1920 upstairs at its Oklahoma City offices, the company’s wells reportedly could produce “high grade lubrication oil” and “Icthyol Oil,” a salve for eczema and other skin conditions. Image from online auction sale.
The superintendent, manager and stock salesman of the Ardmore Lubricating Oil, H.E. Baker, published a telegraphed message about the Tatums well site: “We have three wells producing the highest grade and most valuable oil found in the United States, the great drug Icthyol Oil, one of the most sought for and needed products of the world today.”
“Icthyol” was a popular European skin ointment produced from dry distillation of sulfur-rich oil shale, but Ardmore Lubricating Oil Company executives declared they could refine it from Tatums’ crude oil and process it in their own laboratory. In February 1920, the company announced a four-day grand opening to celebrate their new lab upstairs.
“The general public is cordially invited to come and see Kerosene, Automobile Oil and Icthyol,” noted an Ardmore Lubricating Oil promotion. Other ads proposed mutually beneficial business arrangements with merchants, investors, farmers, and consumers.
Increasingly creative financing and uninterrupted stock sales were needed for Ardmore Lubricating Oil to remain solvent. The Black Dispatch in 1921 praised H.E. Baker, noting his company’s “development grows by leaps and bounds…You can get into this company now on the ground floor, $10 is all that you can invest at this time for each member of the family, this will insure at the outset an equal opportunity for all, later on the hundreds of stock holders can get together and determine as to the larger plan of organization.”
Tatums’ townspeople in 1927 hosted and acted in “Black Gold,” a silent picture produced by Norman Studios and featuring an “All Colored Cast.” Posters courtesy IMDB.com and Norman Studios.org.
However, construction of the Ardmore Lubricating Oil refinery in Tatums still had not begun by August 1921. News about the company’s oil wells grew scarce as Baker sold his own leases. The last appeals for new investors appearing in the Black Dispatch were nevertheless optimistic:
“Wonderful Opportunities In Larger Faith And Deeper Hole,” proclaimed the newspaper. “To anyone with a limited amount of brains it can be seen that a little more faith and a deeper hole will bring into the hands of the Negro landholders in this section the millions of dollars, which their white neighbors all around them are reaping hourly from the derricks that have lunched great holes in the earth and are spouting liquid treasure everywhere.”
A few years later, but too late for Ardmore Lubricating Oil, the area around Tatums did experience an oil boom that was celebrated on the big screen. In 1927, townspeople hosted the making of Black Gold, a silent picture produced by Norman Studios and distributed to all-black theaters the next year. The Florida-based studio described its movie as a “stirring epic of the oil fields” with a cast including, “U.S. Marshall L.B. Tatums. and the entire all-colored City of Tatums, Oklahoma.”
The action-packed melodrama featured Ace Brand, his sweetheart Alice, and a one-legged cowboy (named Peg), who overcame both adversity and injustice in the oil patch. While the film’s happy ending delivered an oil gusher, Ardmore Lubricating Oil Company did not.
Few financial records remain about the company, but Gateway to Oklahoma History and the Black Dispatch’s archives offer more context to this almost forgotten story from U.S. petroleum history.
Citation Information – Article Title: “Ardmore Lubricating Oil Company.” Author: Aoghs.org Editors. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/stocks/ardmore-lubricating-oil-company. Last Updated: February 21, 2024. Original Published Date: July 4, 2019.