by Bruce Wells | Jan 14, 2025 | Petroleum Companies
Wildly optimistic promotions during WWI and some drilling, but no gushers.
“Oil Excitement at Rocky Ford Field Near Sundance,” proclaimed a front page of the Moorcroft (Wyoming) Democrat on September 14, 1917, describing a “big drill” of the Wyoming-Dakota Company.
“Rocky Ford, the seat of the oil activities in Crook county is about the busiest place around,” the newspaper continued. “Cars come and go, people congregate and the steady churning of the two big rigs continues perpetually.”
Not finished with its excited reporting, the Moorcroft Democrat noted: “Excitement has reached the zenith of tension, and with each gush of the precious fluid, oil stock climbs another notch. The big drill of the Wyoming-Dakota Co. has been pulled from their deep hole until spring. The drill reached 600 feet and was in oil.”
The Rapid City, South Dakota, oil exploration company — reported to have one producing well and three more drilling — was capitalized $500,000 with a nominal par value of 25 cents per share. All the leases were in Crook County and included 3,200 acres in Lime Butte field; 10,000 acres in Rocky Ford field; and 4,000 acres in Poison Creek field.
Since Wyoming would not pass its first “Blue Sky” to prevent fraudulent promotions until 1919, Wyoming-Dakota Oil’s newspaper ads often rivaled patent medicine exaggerations. For example, one ad noted “geologists claim this showing indicates alone 500,000 barrels to the acre.”
Wyoming-Dakota Oil further enticed investors with, “Your Chance Has Come if you want to make money in Oil.” In Sioux Falls, South Dakota, the Sells Investment Company offered Wyoming-Dakota Oil Company stock reportedly after “a careful selection of conservative issues from among the thousand prospects, offering same to you before higher prices prevail or its present substantial position has been discounted by professional traders. A good clean cut speculation of this character may mean a fortune. Watch this company for sensational developments.”
The United States had entered World War I in April 1917; by November newspapers reported Francis Peabody, chairman of the Coal Committee of the Council of National Defense, was telling the U.S. Senate Public Lands Committee that the country was not producing enough oil to win the war.
“He said if nothing were done to develop new wells the reserve supply would he exhausted in twelve months and production would be 50,000,000 barrels less than requirements,” one newspaper noted. Wyoming-Dakota Oil Company executives took advantage of the opportunity.
“The (war) situation outlined leads us to suggest that you investigate Wyoming-Dakota Oil. ‘We are doing our bit’ by drilling night and day. Ours is an investment worth while. The allotment of Treasury stock at 25 cents is almost sold out and the Directors will advance the price of stock to 50 cents a share (100 per cent on your present investment) on December 15th, 1917.”
The Wyoming-Dakota Oil promotion continued: “By that time our newspaper announcement in the Eastern cities, pointing out the enormous acreage, present production and negotiations for additional valuable holdings will be made known to millions of seasoned investors in New York, Philadelphia, Chicago, Boston and Pittsburgh. We feel confident this will result in a demand for this stock that will send the present market price skyward. We trust you will see the wisdom of prompt action before all available stock at 25 cents per share has been purchased by other investors.”
In early 1918, Wyoming-Dakota Oil Company had drilled wells in the Upton-Thornton oilfield and was “holding out high hope of bringing in a gusher in few days.” In July, the Laramie Daily Boomerang reported the company had “two rigs going steadily in Crook County’s Rocky Ford field” — but no oil gushers
Growing investor pessimism was reflected in Wyoming-Dakota Oil Company’s stock prices, which fell in over-the-counter markets from 75 cents bid in June 1919 to 50 cents bid at the end of September. By March 1920, brokers offered 5,000 shares or any part thereof at 5 cents a share.
A final blow to the company was reported in the Laramie Republican of July 25, 1921: “Wyoming-Dakota…has completed pulling the casing from the well which it has been drilling north of town, after having struck a formation said to be granite, at a depth of 715 feet,”
The Laramie newspaper remained optimistic. “While this has a tendency to retard the activities of other interests, it is by no means stopping them entirely and it is to be hoped that another well will be started this summer.”
That did not happen. Reports on Wyoming-Dakota Oil Company disappeared for the next 24 years, until a court summons was published in the January 25, 1945, Sundance (Wyoming) Times. The summons said Wyoming-Dakota Oil — address or place of residence to plaintiff unknown — was being sued in the Sixth District Court of Wyoming.
The world war-inspired oil exploration company has since faded into history, and its stock certificates are valued only by scripophily collectors. For the true story behind a Texas oilfield that played a vital role in the “War to End All Wars,” see Roaring Ranger wins WWI.
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The American Oil & Gas Historical Society (AOGHS) preserves U.S. petroleum history. Please become an AOGHS annual supporter and help maintain this energy education website and expand historical research. For more information, contact bawells@aoghs.org. Copyright © 2025 Bruce A. Wells.
Citation Information: Article Title – “Wyoming-Dakota Company” Authors: B.A. Wells and K.L. Wells. Website Name: American Oil & Gas Historical Society. URL https://aoghs.org/old-oil-stocks/wyoming-dakota-oil-company. Last Updated: March 31, 2025. Original Published Date: January 14, 2016.
by Bruce Wells | Jan 6, 2025 | This Week in Petroleum History
January 7, 1864 – Oilfield Discovery at Pithole Creek –
The once famous Pithole Creek
oilfield was discovered in Pennsylvania with the United States Petroleum Company’s well reportedly located using a witch-hazel dowser. The discovery well, which initially produced 250 barrels of oil a day, brought a “black gold” rush as boom town Pithole made headlines five years after the first U.S. oil well drilled at nearby Titusville.
Boom town Pithole City’s history is preserved at Pennsylvania’s Oil Creek State Park. Photo by Bruce Wells.
Adding to the boom were Civil War veterans eager to invest in the new industry. Newspaper stories added to the oil fever — as did the Legend of “Coal Oil Johnny.” Tourists today visit Oil Creek State Park and its education center on the grassy expanse that was once Pithole.
January 7, 1905 – Humble Oilfield Discovery rivals Spindletop
C.E. Barrett discovered the Humble oilfield in Harris County, Texas, with his Beatty No. 2 well, which brought another Texas drilling boom four years after Spindletop launched the modern petroleum industry. Barrett’s well produced 8,500 barrels of oil per day from a depth of 1,012 feet.
The population of Humble jumped from 700 to 20,000 within months as production reached almost 16 million barrels of oil, the largest in Texas at the time. The field directly led to the 1911 founding of the Humble Oil Company by a group that included Ross Sterling, a future governor of Texas.
An embossed postcard circa 1905 from the Postal Card & Novelty Company, courtesy the University of Houston Digital Library.
“Production from several strata here exceeded the total for fabulous Spindletop by 1946,” notes a local historic marker. “Known as the greatest salt dome field, Humble still produces and the town for which it was named continues to thrive.” Another giant oilfield discovery in 1903 at nearby Sour Lake helped establish the Texaco Company.
Humble Oil, renamed Humble Oil and Refining Company in 1917, consolidated operations with Standard Oil of New Jersey two years later, eventually leading to ExxonMobil.
January 7, 1957 – Michigan Dairy Farmer finds Giant Oilfield
After two years of drilling, a wildcat well on Ferne Houseknecht’s Michigan dairy farm discovered the state’s largest oilfield. The 3,576-foot-deep well produced from the Black River formation of the Trenton zone.
After 20 months of on-again, off-again drilling, Ferne Houseknecht’s well revealed a giant oilfield in the southern Michigan basin.
The Houseknecht No. 1 discovery well at Rattlesnake Gulch revealed a producing region 29 miles long and more than one mile wide. It prompted a drilling boom that led to production of 150 million barrels of oil and 250 billion cubic feet of natural gas from the giant Albion-Scipio field in the southern Michigan basin.
“The story of the discovery well of Michigan’s only ‘giant’ oilfield, using the worldwide definition of having produced more than 100 million barrels of oil from a single contiguous reservoir, is the stuff of dreams,” noted Michigan historian Jack Westbrook
in 2011.
Learn more in Michigan’s “Golden Gulch” of Oil.
January 7, 1913 – “Cracking” Patent improves Refining
William Burton of the Standard Oil Company’s Whiting, Indiana, refinery received a patent for a process that doubled the amount of gasoline produced from each barrel of oil refined. Burton’s invention came as gasoline demand was rapidly growing with the popularity of automobiles. His thermal cracking concept was an important refining advancement, although the process would be superseded by catalytic cracking in 1937.
January 8, 1903 – Sour Lake discovery leads to Texaco
Founded a year earlier in Beaumont, Texas, the Texas Company struck oil with its Fee No. 3 well, which flowed at 5,000 barrels a day, securing the company’s success in petroleum exploration, production, transportation and refining.
A monument marks the site where the Fee No. 3 well flowed at 5,000 barrels of oil a day in 1903, helping the Texas Company become Texaco.
“After gambling its future on the site’s drilling rights, the discovery during a heavy downpour near Sour Lake’s mineral springs, turned the company into a major oil producer overnight, validating the risk-taking insight of company co-founder J.S. Cullinan and the ability of driller Walter Sharp,” explained a Texaco historian. The Sour Lake field — and wells drilled in the Humble oilfield two years later — led to the Texas Company becoming Texaco (acquired by Chevron in 2001).
Learn more in Sour Lake produces Texaco.
January 10, 1870 – Rockefeller incorporates Standard Oil Company
John D. Rockefeller and five partners incorporated the Standard Oil Company in Cleveland, Ohio. The new oil and refining venture immediately focused on efficiency and growth. Instead of buying barrels, the company bought tracts of oak timber, hauled the dried timber to Cleveland on its own wagons, and built its own 42-gallon oil barrels.
A stock certificate issued in 1878 for Standard Oil Company, which would become Standard Oil of Ohio (Sohio) following the 1911 breakup of John D. Rockefeller’s oil monopolies.
Standard Oil’s cost per wooden barrel dropped from $3 to less than $1.50 as the company improved refining methods to extract more kerosene per barrel of oil (there was no market for gasoline). By purchasing properties through subsidiaries, dominating railroads and using local price-cutting, Standard Oil captured 90 percent of America’s refining capacity.
January 10, 1901 – Spindletop launches Modern Petroleum Industry
The modern U.S. oil and natural gas industry began 123 years ago on a small hill in southeastern Texas when a wildcat well erupted near Beaumont. The Spindletop field, which yielded 3.59 million barrels of oil by the end of 1901, would produce more oil in one day than all the rest of the world’s oilfields combined.
The Spindletop-Gladys City Boomtown Museum in Beaumont, Texas, opened in 1976 to educate visitors about the importance of the 1901 “Lucas Gusher.”
The “Lucas Gusher” and other nearby discoveries changed American transportation by providing abundant oil for cheap gasoline. The drilling boom would bring hope to a region devastated just a few months earlier by the Galveston Hurricane, still the deadliest in U.S. history. Petroleum production from the well’s geologic salt dome had been predicted by Patillo Higgins, a self-taught geologist and Sunday school teacher.
Learn more in Spindletop launches Modern Petroleum Industry.
January 10, 1919 – Elk Hills Oilfield discovered in California
Standard Oil of California discovered the Elk Hills field in Kern County, and the San Joaquin Valley soon ranked among the most productive oilfields in the country. It became embroiled in the 1920s Teapot Dome lease scandals and yielded its billionth barrel of oil in 1992. Visit the petroleum exhibits of the Kern County Museum in Bakersfield and at the West Kern Oil Museum in Taft.
January 10, 1921 – Oil Boom arrives in Arkansas
“Suddenly, with a deafening roar, a thick black column of gas and oil and water shot out of the well,” noted one observer in 1921 when the Busey-Armstrong No. 1 well struck oil near El Dorado, Arkansas. H.L. Hunt would soon arrive from Texas (with $50 he had borrowed) and join lease traders and speculators at the Garrett Hotel — where fortunes were soon made and lost. “Union County’s dream of oil had come true,” reported the local paper. The giant Arkansas field would lead U.S. oil output in 1925 with production reaching 70 million barrels.
Learn more in First Arkansas Oil Wells.
January 11, 1926 – “Ace” Borger discovers Oil in North Texas
Thousands rushed to the Texas Panhandle seeking oil riches after the Dixon Creek Oil and Refining Company completed its Smith No. 1 well, which flowed at 10,000 barrels a day in southern Hutchinson County. A.P. “Ace” Borger of Tulsa, Oklahoma, had leased a 240-acre tract. By September, the Borger oilfield was producing more than 165,000 barrels of oil a day.
A downtown museum exhibits Borger’s oil heritage. Photo by Bruce Wells.
After establishing his Borger Townsite Company, Borger laid out streets and sold lots for the town, which grew to 15,000 residents in 90 days. When the oilfield produced large amounts of natural gas, the town named its minor league baseball team the Borger Gassers. The team left the league in 1955 (owners blamed air-conditioning and television for reducing attendance).
Dedicated in 1977, the Hutchinson County Boom Town Museum in Borger celebrates “Oil Boom Heritage” every March.
January 12, 1904 – Henry Ford sets Speed Record
Seeking to prove his cars were built better than most, Henry Ford set a world land speed record on a frozen Michigan lake. At the time his Ford Motor Company was struggling to get financial backing for its first car, the Model T. It was just four years after America’s first auto auto show.
The Ford No. 999 used an 18.8 liter inline four-cylinder engine to produce up to 100 hp. Image courtesy Henry Ford Museum.
Ford drove his No. 999 Ford Arrow across Lake St. Clair, which separates Michigan and Ontario, Canada, at a top speed of 91.37 mph. The frozen lake “played an important role in automobile testing in the early part of the century,” explained Mark DIll in “Racing on Lake St. Clair” in 2009. “Roads were atrocious and there were no speedways.”
Learn about a 1973 natural gas-powered world land speed record in Blue Flame Natural Gas Rocket Car.
January 12, 1926 – Texans patent Ram-Type Blowout Preventer
Seeking to end dangerous and wasteful oil gushers, James Abercrombie and Harry Cameron patented a hydraulic ram-type blowout preventer (BOP). About four years earlier, Abercrombie had sketched out the design on the sawdust floor of Cameron’s machine shop in Humble, Texas. Petroleum companies embraced the new technology, which would be improved in the 1930s.
James Abercrombie’s design used hydrostatic pistons to close on the drill stem. His improved blowout preventer set a new standard for safe drilling
First used during the Oklahoma City oilfield boom, the BOP helped control production of the highly pressurized Wilcox sandstone (see World-Famous “Wild Mary Sudik”). The American Society of Mechanical Engineers recognized the Cameron Ram-Type Blowout Preventer as an “Historic Mechanical Engineering Landmark” in 2003.
Learn more in Ending Oil Gushers – BOP.
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Recommended Reading: Myth, Legend, Reality: Edwin Laurentine Drake and the Early Oil Industry (2009); Humble, Images of America
(2013); Michigan Natural Resources Trust Fund 1976-2011: A 35-year Michigan Oil and Gas Industry Investment Heritage in Michigan’s Public Recreation Future
(2011); Handbook of Petroleum Refining Processes
(2016); Black Gold in California: The Story of California Petroleum Industry (2016); Titan: The Life of John D. Rockefeller, Sr.
(2004); Giant Under the Hill: A History of the Spindletop Oil Discovery at Beaumont, Texas, in 1901
(2008); Early Louisiana and Arkansas Oil: A Photographic History, 1901-1946
(1982); I Invented the Modern Age: The Rise of Henry Ford
(2014); Drilling Technology in Nontechnical Language
(2012). Your Amazon purchase benefits the American Oil & Gas Historical Society. As an Amazon Associate, AOGHS earns a commission from qualifying purchases.
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The American Oil & Gas Historical Society (AOGHS) preserves U.S. petroleum history. Please become an AOGHS annual supporter and help maintain this energy education website and expand historical research. For more information, contact bawells@aoghs.org. Copyright © 2025 Bruce A. Wells. All rights reserved.
The first true oil production in South Dakota came in 1954 in northwestern corner of the state. Harding County wells produced oil from the massive Williston Basin.