by Bruce Wells | May 24, 2024 | Petroleum Pioneers
West Texas discoveries in the 1920s revealed a petroleum region 250 miles wide and 300 miles long.
A West Texas wildcat well blessed by nuns revealed the true size of the petroleum-rich Permian Basin in 1923. A small university in Austin owned the arid land, which had been deemed mostly worthless by experts.
Successful exploration of the Permian Basin, once known as a “petroleum graveyard,” began in February 1920 with a discovery by William H. Abrams in Mitchell County in West Texas. When completed after “shooting” the well with nitroglycerin in July, production averaged 20 barrels of oil a day.
In 1958, the University of Texas moved the Santa Rita No. 1 well’s walking beam and other equipment to the Austin campus. The student newspaper described the well, “as one that made the difference between pine-shack classrooms and modern buildings.” Photo from 2007 by Bruce Wells.
The W.H. Abrams No. 1 oilfield discovery well of the Permian Basin would lead to the area’s first commercial oil pipeline in the Permian Basin, according to a Texas Historical Commission historic marker placed near the well in 1996 (reported missing in 2020). Even with its limited production, the Abrams well began attracting oil exploration to the barren region.
However, it would be another Permian Basin discovery well that launched a stampede of wildcatters to explore the full 300-mile extent of the basin from West Texas into southeastern New Mexico.
With many geologists still unconvinced the Permian Basin was suitable for commercial oil production, the Santa Rita No. 1 wildcat well tapped into a vast and prolific field. The Santa Rita oil well, drilled by Texon Oil and Land Company near Big Lake, Texas, on land leased from the University of Texas, struck oil on May 28, 1923.
The discovery well had not been easy for Texon Oil and Land Company — requiring 21 months of difficult cable-tool drilling that averaged less than five feet per day. Once completed, the well produced for the next 70 years.
Because state legislators had given the land and mineral rights to the university when it opened in 1883 petroleum royalties would endow the University of Texas with $4 million .
Discovery of the Big Lake oil field in 1923 led to many boom towns, including Midland, which some called “Little Dallas.”
The Texas board of regents moved Santa Rita’s drilling equipment to the campus in 1958, “In order that it may stand as a symbol of a great era in the history of the university.” After the dedication, the student newspaper of the day described the well “as one that made the difference between pine-shack classrooms and modern buildings.”
Santa Rita No. 1
The historic well’s oil discovery began in 1919 when attorney and oil speculator Rupert Ricker applied to lease rights on more than 430,000 acres of arid land designated by the state for the financing of the University of Texas. As time ran out to pay a filing fee of about $43,000, Ricker failed to raise money from Fort Worth investors.
“Nobody seemed to have any interest in the deal so with the deadline looming he sold the entire scheme to El Pasoans Frank T. Pickrell and Haymon Krupp for the sum of $2,500,” noted a 2017 article in the Permian Basin Petroleum Association Magazine.
The two men had served in the same Army company during World War I. Their Santa Rita No. 1 well near Big Lake was spudded shortly before midnight on August 17, 1921 — on the last day before the 18-month drilling permit was to expire.
The original Santa Rita equipment is now a permanent exhibit at San Jacinto Boulevard and 19th Street on the Austin campus of the University of Texas. Photo by Bruce Wells.
Pickrell hired an experienced Pennsylvania driller, Carl Cromwell, to drill Texon Oil and Land’s test well. Cromwell had been born in 1889 not far from the first commercial U.S. oil well in Titusville, Pennsylvania.
Drilling crews, when available, “consisted mostly of cowboy roustabouts who were distinguished for high absenteeism and steady turnover,” notes one historian. The well was often shut down and roughnecks laid off because cash was not available to pay salaries or buy supplies.
Several months after drilling began, the increasingly desperate Pickrell climbed to the top of the derrick. He threw out rose petals that a group of Catholic women investors from New York had given him. Pickrell christened his wildcat well for the church’s Patroness of Impossible Causes — Santa Rita.
On May 25,1923, oil and natural gas began to show at the well. On May 28, a loud roar was heard and Santa Rita No. 1 blew in. People as far away as Fort Worth traveled to see the well. When the necessary casing and other well equipment arrived a month later, it was brought under control — and the first commercial well in the Permian Basin went into production.
The Big Lake field — at 4.5 square miles — revealed that vast oil reserves in West Texas came from both shallow and deep formations. Exploration spread into other areas of the Permian Basin, still one of the largest oil-producing regions in the United States.
In the fall of 1923, Pickrell found an important investor, Michael L. Benedum, the highly successful independent oilman from Pittsburgh, Pennsylvania. Benedum and another Pittsburgh wildcatter, Joseph Trees, purchased Texon properties and formed the Big Lake Oil Company in 1924.
The new company’s president, Levi Smith, would be instrumental in creating Big Lake — the first oil company town in the Permian Basin. Santa Rita No. 1 well, capped in May 1990, would be remembered with a replica erected in the Reagan County Park.
The Big Lake oilfield proved to be 4.5 square miles and demonstrated that vast oil reserves in West Texas came from both shallow and deep horizons. Exploration spread into other areas of the Permian Basin, which would become one of the largest oil-producing regions in the United States.
Learn the story the Permian Basin at the Petroleum Museum in Midland. Not far from the museum, in Odessa, an Ector County historical marker notes “the first Permian Basin dry hole” was drilled in 1924.
Pennsylvania independent operators drilled the well to 900 feet and found only “Red Bed” rock, notes the 1965 marker. The 1924 well was abandoned, but by 1964 Ector County would have 9,600 oil wells.
Hollywood features Big Lake Baseball
The 2002 movie “The Rookie” was filmed almost entirely in West Texas.
In the opening scenes of the movie “The Rookie,” Catholic nuns christened the well with rose pedals. In reality, one of the well’s owners did.
It featured a Big Lake high-school teacher played by Dennis Quaid, who despite being in his mid-30s briefly makes it to the major leagues. As the well is being drilled, Catholic nuns are shown carrying a basket of rose pedals to christen it for the patron Saint of the Impossible – Santa Rita.
Learn more about baseball teams fielded by petroleum “company towns” in Oilfields of Dreams.
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Recommended Reading: Santa Rita: The University of Texas Oil Discovery (1958); Chronicles of an Oil Boom: Unlocking the Permian Basin (2014). 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. © 2024 Bruce A. Wells.
Citation Information – Article Title: “Santa Rita taps Permian Basin.” Authors: B.A. Wells and K.L. Wells. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/petroleum-pioneers/west-texas-petroleum. Last Updated: May 27, 2024. Original Published Date: November 1, 2004.
by Bruce Wells | Mar 11, 2024 | This Week in Petroleum History
March 11, 1829 – Kentucky Salt Well Driller discovers Oil –
Boring for brine with a simple spring-pole method on a farm near Burkesville, Kentucky, Martin Beatty found oil at a depth of 171 feet. Disappointed, he searched elsewhere. Beatty drilled brine wells to meet demand from Kentucky settlers who needed salt to help preserve food. He bored his wells by percussion drilling, raising and dropping a chisel suspended from a sapling, an ancient drilling technology.
The 1829 “American Oil Well” of Burksville, Kentucky, drilled to find brine, produced oil later bottled and sold as medicine.
Historian Sheldon Baugh described the scene of Beatty’s 1829 oil discovery: “On that day, well-driller Beatty bragged to bystanders, ‘Today I’ll drill her into salt or else to Hell.’ When the gusher erupted he apparently thought he’d succeeded in hitting Hell. As the story goes, he ran off into the hills and didn’t come back.”
Beatty’s discovery would be neglected for years — until oil from his well was sent to Pittsburgh, where Samuel Kier bottled and sold it as medicine. Kier also would build the earliest refineries for turning oil into kerosene for lamps.
Learn more in Kentucky’s Great American Oil Well.
March 11, 1930 – Society of Exploration Geophysicists founded
The Society of Exploration Geophysicists (SEG) was founded by 30 men and women in Houston as the Society of Economic Geophysicists, to foster “the expert and ethical practice of geophysics in the exploration and development of natural resources.”
The society began publishing its journal Geophysics in 1936, and in 1958 formed a scholarship trust for students of geophysics. In 2021, SEG and the American Association of Petroleum Geologists (AAPG) combined annual meetings to create the International Meeting for Applied Geoscience & Energy (IMAGE), which in 2023 attracted 7,329 global attendees.
March 12, 1912 – Thomas Slick discovers First of Many Oilfields
Once known as “Dry Hole Slick,” Thomas B. Slick discovered a giant oilfield midway between Oklahoma City and Tulsa. His No. 1 Wheeler uncovered the Drumright-Cushing field, which produced for the next 35 years, reaching 330,000 barrels of oil a day at its peak. Knowing speculators would descend on the area when word got out, Slick secretly hired all of the local livery rigs.
Tom Slick is among those honored at the Conoco Oil Pioneers plaza at the Sam Noble Museum, University of Oklahoma, Norman.
After his success in Cushing, Slick began an 18-year streak of discovering some of America’s most prolific fields in Oklahoma, Kansas, and Texas. His discoveries during the Greater Seminole Oil Boom of the 1920s made him the leading independent producer in the United States with a net worth up to $100 million.
By 1930 in the Oklahoma City field alone, Slick completed 30 wells with the capacity to produce 200,000 barrels of oil a day. When he died suddenly the same year from a stroke at age 46, oil derricks in the Oklahoma City field stood silent for one hour in tribute to Slick.
Learn more in Oklahoma’s King of the Wildcatters.
March 12, 1914 – Last Coal Powered U.S. Battleship Commissioned
The USS Texas, the last American battleship built with coal-fired boilers, was commissioned. Coal-burning boilers, which produced dense smoke and created tons of ash, required the Navy to maintain coaling stations worldwide. Coaling ship was a major undertaking and early battleships carried about 2,000 tons with a crew of “coal passers.”
The USS Texas’ coal-powered boilers were converted to burn fuel oil in 1925. Photo courtesy Battleship Texas State Historic Site.
Dramatic improvement in efficiency came when the Navy began adopting fuel oil boilers. By 1916, the Navy had commissioned its first two capital ships with oil-fired boilers, the USS Nevada and the USS Oklahoma. To resupply them, “oilers” were designed to transfer fuel while at anchor, although underway replenishment was soon possible in fair seas.
The USS Texas was converted to burn fuel oil in 1925. The “Big T” — today the Battleship Texas State Historic Site docked on the Houston Ship Channel — was the first battleship declared to be a U.S. National Historic Landmark.
Learn more in Petroleum and Sea Power.
March 12, 1943 – WWII Roughnecks of Sherwood Forest
A top-secret team of 42 American drillers, derrickhands, roustabouts, and motormen boarded the troopship HMS Queen Elizabeth. They were volunteers from two Oklahoma companies, Noble Drilling and Fain-Porter Drilling. Their mission was to drill wells in England’s Sherwood Forest and help relieve the crisis caused by German submarines sinking Allied oil tankers. Four rotary drilling rigs were shipped on separate transport ships. One of the ships was sunk by a U-Boat.
Volunteer roughnecks from two Oklahoma drilling companies embarked for England in March 1943. Derrickhand Herman Douthit would not return.
With the future of Great Britain depending on petroleum supplies, the Americans used Yankee ingenuity to drill an average of one well per week. Their secret work added vital oil to fuel the British war effort.
Learn more in Roughnecks of Sherwood Forest.
March 12, 1968 – Alaska’s Prudhoe Bay Oilfield Discovered
Two hundred and fifty miles north of the Arctic Circle, Alaska’s Prudhoe Bay oilfield was discovered by Richfield Oil (ARCO) and Humble Oil Company (Exxon). The Prudhoe Bay State No. 1 exploratory well arrived more than six decades after the first Alaska oil well. It followed Richfield Oil’s discovery of the Swanson River oilfield on the Kenai Peninsula in 1957.
Map courtesy Alaska Oil and Gas Conservation Commission. Photo from 1969 courtesy Atlantic Richfield Company.
At more than 213,000 acres, the Prudhoe Bay field was the largest oilfield in North America, surpassing the 140,000 acre East Texas oilfield discovery of 1930. Prudhoe Bay’s remote location prevented oil production beginning in earnest until 1977, after completion of the 800-mile Trans-Alaska Pipeline.
Prudhoe Bay field’s production exceeded an average rate of one million barrels of oil a day by March 1978, according to the Alaska Oil and Gas Conservation Commission. It peaked in January 1987 at more than 1.6 million barrels of oil per day.
March 13, 1974 – OPEC ends Oil Embargo
A five-month oil embargo against the United States was lifted by Arab members of the Organization of Petroleum Exporting Countries (OPEC), a cartel formed in 1960. The embargo, imposed in response to America supplying the Israeli military during the October 1973 Yom Kippur War, created gasoline shortages, prompting President Richard M. Nixon to propose voluntary rationing and a ban of gas sales on Sundays. OPEC ended the embargo after Secretary of State Henry Kissinger negotiated an Israeli troop withdrawal from parts of the Sinai.
March 14, 1910 – Lakeview No. 1 Well erupts in California
The Union Oil Company Lakeview No. 1 well erupted a geyser of oil at dawn in Kern County, California (some sources give the date as March 15). With limited technologies for managing the deep, highly pressured formation of the Midway-Sunset field, drillers had experienced several accidental oil spills, including the Shamrock gusher in 1896 and the 1909 Midway gusher.
A marker and remnants of a sand berm north of Maricopa, California, mark the site of a 1910 Union Oil gusher that flowed uncontrolled for 18 months. Photo courtesy San Joaquin Valley Geology.
“But none of these wells came close to rivaling the Lakeview No. 1 which flowed, uncapped and untamed, at 18,000 barrels a day for 18 months,” noted a San Joaquin Valley geologist. Surrounded by berms and sandbags to contain the oil, the well collapsed and died in September 1911, after producing 9.4 million barrels of oil (about half was contained and sold).
Oil erupted in California’s Midway-Sunset oilfield on March 14, 1910. Contained by sandbags by October, the Lakeview No. 1 well produced 9.4 million barrels during the 544 days it flowed. Photo courtesy San Joaquin Valley Geology.
The environmental impact of the Lakeview well, still the largest oil spill in U.S. history, was less destructive due to evaporation and levees of sandbags that prevented contamination of Buena Vista Lake. A Kern County historic marker was erected in 1952 at the site, seven miles north of the West Kern Oil Museum.
The ram-type blowout preventer to seal well pressure was invented in 1922.
March 15, 1946 – Texas Independents produce TIPRO
With Texas oilfield discoveries resulting in overproduction, declining prices, oilfield thefts, and conflicts with major oil companies, independent producers formed a trade association to lobby federal and state lawmakers. The Texas Independent Producers and Royalty Owners Association (TIPRO) was established “to preserve the ability to explore and produce oil and natural gas and to promote the general welfare of its members.”
March 15,1985 – Gulf Oil becomes Chevon
Gulf Oil Corporation, founded in 1907 by Andrew and William Mellon of Pittsburgh, Pennsylvania, merged with Socal, the Standard Oil Company of California (see First California Oil Well). The combined companies re-branded as Chevron in the United States, and the Hinduja Group acquired the Gulf name and products, creating Gulf Oil International, a lubricants company.
March 16, 1911 – Pegasus Trademark takes Flight
A Vacuum Oil Company subsidiary in Cape Town, South Africa, trademarked a flying horse logo inspired by Pegasus of Greek mythology. Based in Rochester, New York, Vacuum Oil had built a successful lubricants business long before gasoline was a branded product.
When Vacuum Oil and Standard Oil of New York (Socony) combined in 1931, the Socony-Vacuum Oil Company adopted the winged horse trademark and marketed Pegasus Spirits and Mobilegas products.
The original Mobil Pegasus logo was registered in 1911 by a South Africa subsidiary of New York-based Vacuum Oil Company.
A stylized red gargoyle earlier had advertised the company, which produced petroleum-based lubricants for carriages and steam engines. Created by the Vacuum Oil Company of South Africa, the Pegasus trademark proved to be a far more enduring image.
Learn more oil and gas history in Mobil’s High-Flying Trademark.
March 16, 1914 – “Main Street” Oil Well completed in Oklahoma
A well completed in 1914 produced oil from about 1,770 feet beneath Barnsdall, Oklahoma. The popular TV program Ripley’s Believe It or Not would proclaim the well the “World’s Only Main Street Oil Well.”
An oil well pump in the middle of Main Street in Barnsdall, Oklahoma, was visited by American Oil & Gas Historical Society volunteer Tim Wells in 2016. Photo by Bruce Wells.
The town originally was called Bigheart, named for Osage Chief James Bigheart, who on behalf of the Osage people in 1875 signed the first lease for oil and gas exploration, according to Osage County. In 1922, Barnsdall was renamed for Theodore Barnsdall, owner of the Barnsdall Refining Company, which later became part of Baker Hughes Company. The National Register of Historic Places added the Barnsdall Main Street oil well in 1997.
March 17, 1890 – Sun Oil Company founded
The Peoples Natural Gas Company, founded four years earlier by Joseph Pew and Edward Emerson to provide natural gas to Pittsburgh, expanded to become the Sun Oil Company of Ohio.
Sun Oil Company brands from 1894 to 1920 (top) to SONOCO from 1920 to 1954.
At the turn of the century, the company had acquired promising leases near Findlay and entered the business of “producing petroleum, rock and carbon oil, transporting and storing same, refining, purifying, manufacturing such oil and its various products.” Sun Oil marketed Sunoco Motor Oil beginning in the 1920s, and became an oilfield equipment supplier in 1929, forming Sperry-Sun.
March 17, 1923 – Oklahoma Discovery leads to Giant Oilfields
The Betsy Foster No. 1 well, a 2,800-barrel-a-day oil gusher near Wewoka, county seat of Seminole County, Oklahoma, launched the Seminole area boom. The discovery south of Oklahoma City was followed by others in Cromwell and Bethel (1924), and Earlsboro and Seminole (1926). Thirty-nine separate oilfields were be found at Seminole and Pottawatomie, Okfuskee, Hughes, and Pontotoc counties. Once among the poorest economic regions in Oklahoma, by 1935 the greater Seminole area became the largest supplier of oil in the world.
March 17, 1949 – First Commercial Application of Hydraulic Fracturing
A team from Halliburton and Stanolind companies converged on an oil well about 12 miles east of Duncan, Oklahoma, and performed the first commercial application of hydraulic fracturing.
A 1947 experimental well had fractured a natural gas field in Hugoton, Kansas, and proven the possibility of increased productivity. The technique was developed and patented by Stanolind (later known as Pan American Oil Company) and an exclusive license was issued to Halliburton Company to perform the process. Four years later, the license was extended to all qualified oilfield service companies.
The first commercial hydraulic fracturing job (above) took place in 1949 about 12 miles east of Duncan, Oklahoma. Photo courtesy Halliburton.
“Since that fateful day in 1949, hydraulic fracturing has done more to increase recoverable reserves than any other technique,” proclaimed a Halliburton company spokesman in 2009, adding that more than two million fracturing treatments have been pumped without polluting an aquifer.
Erle P. Halliburton had patented an efficient well cementing technology in 1921 that improved oil production while protecting the environment. The earliest attempts to increase petroleum production by fracturing geologic formations began in the 1860s.
Learn more in Shooters – A ‘Fracking’ History.
March 17, 1949 – “Diamond Glenn” opens Shamrock Hotel
Texas independent producer “Diamond Glenn” McCarthy hosted the grand opening of his $21 million, 18-story, 1,100-room Shamrock Hotel on the outskirts of Houston. McCarthy reportedly spent another $1 million for the hotel’s St. Patrick’s Day opening day gala, including arranging for a 16-car Santa Fe Super Chief train to bring friends from Hollywood.
After paying $21 million to construct the Shamrock Hotel, Glenn McCarthy spent another $1 million for its grand opening on St. Patrick’ Day 1949. The 1,100-room Houston hotel was demolished in 1987.
The Texas wildcatter, who had discovered 11 oilfields by 1945, also introduced his own label of bourbon at Shamrock, the largest hotel in the United States at the time. Dubbed Houston’s biggest party, the Shamrock’s debut “made the city of Houston a star overnight,” one newspaper reported.
Learn more in “Diamond Glenn” McCarthy.
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Recommended Reading: A Geophysicist’s Memoir: Searching for Oil on Six Continents (2017); “King of the Wildcatters:” The Life and Times of Tom Slick, 1883-1930 (2004); Historic Battleship Texas: The Last Dreadnought (2007); The Secret of Sherwood Forest: Oil Production in England During World War II (1973); Discovery at Prudhoe Bay Oil (2008); San Joaquin Valley, California, Images of America (1999); A History of the Greater Seminole Oil Field (1981); The Frackers: The Outrageous Inside Story of the New Billionaire Wildcatters (2014).; The Green and the Black: The Complete Story of the Shale Revolution, the Fight over Fracking, and the Future of Energy (2016); Corduroy Road: The story of Glenn H. McCarthy (1951).
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The American Oil & Gas Historical Society (AOGHS) preserves U.S. petroleum history. Become an annual AOGHS supporter and help maintain this energy education website and expand historical research. For more information, contact bawells@aoghs.org. Copyright © 2024 Bruce A. Wells. All rights reserved.
by Bruce Wells | Mar 1, 2024 | Petroleum Pioneers
As drillers and speculators rushed to Spindletop Hill, the Texas Company organized in 1902.
A series of oil and natural gas discoveries at Sour Lake, Texas — near the famous 1901 gusher at Beaumont — helped launch the major oil company Texaco.
Originally known as Sour Lake Springs because of sulfurous spring water popular for its healing properties, a series of oil discoveries brought wealth and new petroleum companies to Hardin County in southeastern Texas.
“A forest of oil well derricks at Sour Lake, Texas,” is from the W.D. Hornaday Collection, Texas State Library and Archives Commission, Austin. Oil discoveries at the resort town northwest of the world-famous Spindletop gusher of 1901 would transform the Texas Company.
As the science of petroleum exploration and production evolved, some geologists predicted oil was trapped at a salt dome at Sour Lake similar to that of Beaumont’s Spindletop Hill formation, which was producing massive amounts of oil.
According to Charles Warner in Texas Oil & Gas Since 1543, in November 1901 an exploratory well found “hot salt water impregnated with sulfur between 800 and 850 feet…and four oil sands about 10 feet thick at a depth of approximately 1,040 feet.”
Warner noted that the Sour Lake Springs field’s discovery well came four months later when a second attempt by the Great Western Company drilled “north of the old hotel building” in the vicinity of earlier shallow wells.
“This well secured gusher production at a depth of approximately 683 feet on March 7, 1902,” Warner reported. “The well penetrated 40 feet of oil sand. The flow of oil was accompanied by a considerable amount of loose sand, and it was necessary to close the well in from time to time and bail out the sand, after which the well would respond with excellent flows.”
A monument marks the site where in 1903 the Fee No. 3 well flowed at 5,000 barrels of oil a day, launching the Texas Company into becoming Texaco.
As more discoveries followed, Joseph “Buckskin Joe” Cullinan and Arnold Schlaet were among those who rushed to the area from their offices in Beaumont.
The Texas Company
The most significant company started during the Spindletop oil boom was The Texas Company, according to one historian.
“Cullinan worked in the Pennsylvania oil industry and later went to Corsicana, Texas, about 1898 when oil was first discovered in that district where he became the most prosperous operator in the field,” reported Elton Gish in his “History of the Texas Company and Port Arthur Works Refinery.”
Cullinan formed the Petroleum Iron Works, building oil storage tanks in the Beaumont area — where he was introduced to Schlaet. “When the Spindletop boom came in January 1901, Mr. Cullinan decided to visit Beaumont,” Gish noted. Schlaet managed the oil business of two brothers, New York leather merchants.
Named after its original New York City telegraph office address, Texaco’s name became official in 1959.
“Schlaet’s field superintendent, Charles Miller, traveled to Beaumont in 1901 to witness the Spindletop activity and met with Cullinan, whom he knew from the oil business in Pennsylvania. He liked Cullinan’s plans and asked Schlaet to join them in Beaumont.”
According to Texaco, Cullinan and Schlaet formed the Texas Company on April 7, 1902, by absorbing the Texas Fuel Company and inheriting its office in Beaumont. Texas Fuel had organized just one year earlier to purchase Spindletop oil, develop storage and transportation networks, and sell the oil to northern refineries.
By November 1902, the new Texas Company was establishing a new refinery in Port Arthur as well as 20 storage tanks, building its first marine vessel, and equipping an oil terminal to serve sugar plantations along the Mississippi River.
Fee No. 3 Discovery
The Texas Company struck oil at Sour Lake Springs in January 1903, “after gambling its future on the site’s drilling rights,” the company explained. “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.”
A Texaco station was among the 2012 indoor exhibits featured at the National Route 66 Museum in Elk City, Oklahoma. Photo by Bruce Wells.
Their 1903 Hardin County discovery at Sour Lake Springs — the Fee No. 3 well — flowed at 5,000 barrels a day, securing the Texas Company’s success in petroleum exploration, production, transportation and refining. Sharp would found the Sharp-Hughes Tool Company in 1908 with Howard Hughes Sr.
High oil production levels from the Sour Lake field and other successful wells in the Humble oilfield (1905), secured the company’s financial base, according to L. W. Kemp and Cherie Voris in Handbook of Texas Online.
“In 1905 the Texas Company linked these two fields by pipelines to Port Arthur, ninety miles away, and built its first refinery there. That same year the company acquired an asphalt refinery at nearby Port Neches,” the authors noted.
“In 1908 the company completed the ambitious venture of a pipeline from the Glenn Pool, in the Indian Territory (now Oklahoma), to its Southeast Texas refineries,” added Kemp and Voris. “As early as 1905 the Texas Company had established marketing facilities not only throughout the United States, but also in Belgium, Luxembourg, and Panama.”
The Texas Company registered its “Texaco” trademark in 1909.
The telegraph address for the company’s New York office is “Texaco” — a name soon applied to its products. The company registered its first trademark, the original red star with a green capital letter “T” superimposed on it in 1909. The letter remained an essential component of the logo for decades.
The Texas Corporation in August 1926 incorporated in Delaware (from Texas) and by an exchange of shares acquired outstanding stock of The Texas Company (Texas), which is dissolved the next year. The new corporation became the parent company of numerous “Texas Company” — Texaco — entities and other subsidiaries, according to Jim Hinds of Columbus, Indiana (see Histories of Indian Refining, Havoline, and Texaco).
By 1928, Texaco operated more than 4,000 gasoline stations in 48 states.
The major oil company, which officially renamed itself Texaco in 1959, purchased Getty Oil Company in 1984. On October 9, 2001, Chevron Corp. and Texaco agreed to a merger that created ChevronTexaco — renamed Chevron in 2005.
Although the Sour Lake Springs oil boom soon was surpassed by other Texas discoveries, Sour Lake proudly promotes itself as the birthplace of Texaco.
Learn more Spindletop history in Spindletop creates Modern Petroleum Industry and Prophet of Spindletop.
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Recommended Reading: The Texaco Story, The First Fifty Years 1902 – 1952 by Texas Company (1952). Texaco’s Port Arthur Works, A Legacy of Spindletop and Sour Lake (2003); Giant Under the Hill: A History of the Spindletop Oil Discovery (2008). 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 © 2024 Bruce A. Wells. All rights reserved.
Citation Information – Article Title: “Sour Lake produces Texaco.” Authors: B.A. Wells and K.L. Wells. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/petroleum-pioneers/sour-lake-produces-texaco. Last Updated: August 12, 2024. Original Published Date: April 5, 2014.