by Bruce Wells | Mar 4, 2024 | This Week in Petroleum History
March 4, 1918 – West Virginia Well sets World Depth Record –
Hope Natural Gas Company completed an oil well at a depth of 7,386 feet on the Martha Goff farm in Harrison County, West Virginia. The well, drilled northeast of Clarksburg using cable-tools, was the world’s deepest at the time — until surpassed by a 1919 well drilled in nearby Marion County. The previous world depth record had been 7,345 feet for a well in Germany.
This 1918 West Virginia oil well was the world’s deepest. Photo courtesy West Virginia Oil and Natural Gas Association.
In 1953, the New York State Natural Gas Corporation claimed the world’s deepest cable-tool well at a depth of 11,145 feet near the New York town of Van Etten. By 2018, a rotary rig depth record was reached by a Russian well drilled 40,502 feet deep on Sakhalin Island.
March 4, 1933 – Oklahoma City Oilfield under Martial Law
Oklahoma Governor William H. “Alfalfa Bill” Murray declared martial law to enforce his regulations strictly limiting production in the Oklahoma City oilfield, discovered in December 1928. Two years earlier, Murray had called a meeting of fellow governors from Texas, Kansas and New Mexico to create an Oil States Advisory Committee, “to study the present distressed condition of the petroleum industry.”
William “Alfalfa Bill” Murray in 1932.
Elected in 1930, the controversial politician was called “Alfalfa Bill” because of speeches urging farmers to plant alfalfa to restore nitrogen to the soil. By the end of his administration, Murray had called out the National Guard 47 times and declared martial law more than 30 times. He was succeeded as Oklahoma governor by E.W. Marland in 1935.
March 4, 1938 – Giant Oilfield discovery in Arkansas
The Kerr-Lynn Oil Company (a Kerr-McGee predecessor) completed its Barnett No. 1 well east of Magnolia, Arkansas, discovering the giant Magnolia oilfield, which would become the largest producing field (in volume) during the early years of World War II, helping to fuel the American war effort.
Crew members stand in front of their 1938 giant oilfield discovery well at Magnolia, Arkansas. Photo courtesy W.B. “Buzz” Sawyer.
The southern Arkansas gusher launched a Columbia County oil boom similar to Union County’s Busey-Armstrong No. 1 well southwest of El Dorado in January 1921.
March 5, 1895 – First Wyoming Refinery produces Lubricants
Near the Chicago & North Western railroad tracks in Casper, Civil War veteran Philip “Mark” Shannon and his Pennsylvania investors opened Wyoming’s first refinery. It could produce 100 barrels a day of 15 different grades of lubricant, from “light cylinder oil” to heavy grease. Shannon and his associates incorporated as Pennsylvania Oil and Gas Company.
The original Casper oil refinery in Wyoming, circa 1895. Photo courtesy Wyoming Tales and Trails.
By 1904, Shannon’s company owned 14 wells in the Salt Creek field, about 45 miles from the company’s refinery (two days by wagon). Each well produced up to 40 barrels of oil per day. Despite Casper’s improved railroad access, transportation costs meant Wyoming oil could not compete for eastern markets. The state’s first petroleum boom would have to wait until 1908, when Salt Creek’s “Big Dutch” well was completed.
Learn more in First Wyoming Oil Wells.
March 6, 1935 – Search for First Utah Oil proves Deadly
More than a decade before Utah’s first commercial oil wells, residents of St. George had hoped the “shooting” of a well drilled by Arrowhead Petroleum Company would bring black gold prosperity. A crowd had gathered to watch as workers prepared six, 10-foot-long explosive canisters to fracture the 3,200-foot-deep Escalante No. 1 well.
A 1935 attempt to find oil in Utah proved deadly. Photo courtesy Washington County Historical Society.
An explosion occurred as the torpedoes, “each loaded with nitroglycerin and TNT and hanging from the derrick,” were being lowered into the well. Ten people died from the detonations, which “sent a shaft of fire into the night that was seen as far as 18 miles away.”
The 1935 accident has remained the worst oil-related disaster in Utah, according to The Escalante Well Incident, a 2007 historical account.
March 6, 1981 — Shale Revolution begins in North Texas
Mitchell Energy and Development Corporation drilled its C.W. Slay No. 1 well, the first commercial natural gas well of the Barnett shale formation. Over the next four years, the vertical well in North Texas produced nearly a billion cubic feet of gas, but it would take almost two decades to perfect cost-effective shale fracturing methods combined with horizontal drilling.
Production from the Barnett shale formation extends from Dallas west and south, covering 5,000 square miles, according to the Texas Railroad Commission. Chart courtesy Dan Plazak.
Mitchell Energy’s 7,500-foot-deep well and others in Wise County helped evaluate seismic and fracturing data to understand deep shale structures. “The C.W. Slay No. 1 and the subsequent wells drilled into the Barnett formation laid the foundation for the shale revolution, proving that natural gas could be extracted from the dense, black rock thousands of feet underground,” the Dallas Morning News later declared.
By the end of 2012, with almost 14,000 wells drilled in the largest gas field in Texas, production started to decline, but the Barnett field still accounted for 6.1 percent of Texas natural gas production and 1.8 percent of the U.S. supply, according to the Federal Reserve Bank of Dallas.
March 7, 1902 – Oil discovered at Sour Lake, Texas
Adding to the giant oilfields of Texas, the Sour Lake field was discovered about 20 miles west of the world-famous Spindletop gusher of January 1901. The spa town of Sour Lake quickly became a boom town where major oil companies, including Texaco, got their start.
“The resort town of Sour Lake, 20 miles northwest of Beaumont, was transformed into an oil boom town when a gusher was hit in 1902,” notes the Texas State Library and Archives Commission.
Originally settled in 1835 and called Sour Lake Springs because of its “sulphureus spring water” known for healing, the sulfur wells attracted many exploration companies. Some petroleum geologists predicted a Sour Lake salt dome formation similar to that revealed by Pattillo Higgins, the Prophet of Spindletop.
Sour Lake’s 1902 discovery well was the second attempt of the Great Western Company. The well, drilled “north of the old hotel building,” penetrated 40 feet of oil sands before reaching a total depth of about 700 feet. The Hardin County’s salt dome oilfield yielded almost nine million barrels of oil by 1903, when the Texas Company made its first major oil find at Sour Lake.
Learn more in Sour Lake produces Texaco.
March 7, 2007 – National Artificial Reef Plan updated
The National Marine Fisheries Service of the National Oceanic and Atmospheric Administration (NOAA), approved a comprehensive update of the 1985 National Artificial Reef Plan, popularly known as the “rigs to reefs” program.
A typical platform provides almost three acres of feeding habitat for thousands of species. Photo courtesy U.S. Bureau of Safety and Environmental Enforcement.
The agency worked with interstate marine commissions and state artificial reef programs, “to promote and facilitate responsible and effective artificial reef use based on the best scientific information available.” The revised National Artificial Reef Plan included guidelines for converting old platforms into reefs. A typical four-leg structure provides up to three acres of habitat for hundreds of marine species.
“As of December 2021, 573 platforms previously installed on the U.S. Outer Continental Shelf have been reefed in the Gulf of Mexico,” according to the Bureau of Safety and Environmental Enforcement (BSEE).
Learn more in Rigs to Reefs.
March 9, 1930 – Prototype Oil Tanker is Electrically Welded
The world’s first electrically welded commercial vessel, the Texas Company (later Texaco) tanker M/S Carolinian, was completed in Charleston, South Carolina. The World War I shipbuilding boom had encouraged new electric welding technologies. The oil company’s 226-ton vessel was a prototype designed by naval architect Richard Smith.
Construction of M/S Carolinian began in 1929. The M/S designation meant it used an internal combustion engine. Photo courtesy Z.P. Liollio.
The tanker — the first electrically welded ship — eliminated the need for about 85,000 pounds of rivets, according to a 2017 article for the International Committee for the Conservation of the Industrial Heritage (TICCIH). Success of the prototype led to “the standard of welded hulls and internal combustion engines would become universal in construction of new vessels.”
March 9, 1959 – Barbie is a Petroleum Doll
Mattel revealed the Barbie Doll at the American Toy Fair in New York City. More than one billion “dolls in the Barbie family” have been sold since. Eleven inches tall, Barbie owes her existence to petroleum products and the science of polymerization, including several plastic acronyms: ABS, EVA, PBT, and PVC.
Petroleum-based polymers are part of Barbie’s DNA.
Acrylonitrile-Butadiene-Styrene (ABS) is known for strength and flexibility. This thermoplastic polymer is used in Barbie’s torso to provide impact and heat resistance. EVA (Ethylene-Vinyl Acetate), a copolymer made up of ethylene and vinyl acetate, protects Barbie’s smooth surface.
The Mattel doll also includes Polybutylene Terephthalate (PBT), a thermoplastic polymer often used as an electrical insulator. A mineral component facilitates PBT injection molding of her “full figure,” according to the company. Barbie’s hair and many of her designer outfits are made from the world’s first synthetic fiber, nylon, invented in 1935 (see Nylon, a Petroleum Polymer).
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Recommended Reading: Where it all began: The story of the people and places where the oil & gas industry began: West Virginia and southeastern Ohio
(1994); Kettles and Crackers – A History of Wyoming Oil Refineries
(2016); Utah Oil Shale: Science, Technology, and Policy Perspectives
(2016); George P. Mitchell: Fracking, Sustainability, and an Unorthodox Quest to Save the Planet (2019); Sour Lake, Texas: From Mud Baths to Millionaires, 1835-1909
(1995); Rigs-to-reefs: the use of obsolete petroleum structures as artificial reefs
(1987); Plastic: The Making of a Synthetic Century Hardcover
(1996); American Fads
(1985). 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.
by Bruce Wells | Mar 2, 2024 | Petroleum Pioneers
Book by Washington Irving in 1837 helped reveal natural resources of Far West.
Tales of a Wyoming “tar spring” convinced the experienced Pennsylvania oilfield explorer Mike Murphy to drill a shallow well in 1883. He sold his oil to Union Pacific to lubricate train axles. Others would follow in the search for Wyoming oilfields.
Civil War veteran Philip Shannon explored for oil at Salt Creek outside of Casper in 1890. His well revealed what proved to be a 22,000-acre oilfield. An oil gusher drilled by a Dutch company made headlines in 1908.
But the story of Wyoming’s petroleum really began with Washington Irving, author of “The Legend of Sleepy Hollow.” (more…)
by Bruce Wells | Jan 24, 2024 | Petroleum History Almanac
Col. William F. Cody searched for Wyoming black gold.
Col. William F. “Buffalo Bill” Cody’s legacy extends beyond his famous Wild West show. A Wyoming town named Cody preserves his Big Horn Basin heritage, but less known is his adventure into the oil business.
“Buffalo Bill’s Wild West and Congress of Rough Riders of the World” once made W.F. Cody the most recognized man in the world. His fanciful Indian attacks on wagon trains, the marksmanship by Annie Oakley, and other attractions drew audiences in America and Europe. (more…)
by Bruce Wells | Oct 23, 2023 | This Week in Petroleum History
October 23, 1908 – Salt Creek Well launches Wyoming Boom –
Wyoming’s first oil boom began when the Dutch company Petroleum Maatschappij Salt Creek completed its “Big Dutch” well about 40 miles north of Casper. Salt Creek’s potential had been known since the 1880s, but the area’s central geological salt dome received little attention until Italian geologist Cesare Porro recommended drilling there in 1906.
Five years earlier, a salt dome formation had revealed the giant Spindletop oilfield in Texas.
The “Big Dutch” No. 1 well, above, launched a Wyoming drilling boom in 1908. Photo courtesy U.S. Geological Survey.
The Oil Wells Drilling Syndicate, a British company, drilled the “Big Dutch” well, which produced 600 barrels of oil a day from 1,050 feet deep. By 1930, about one-fifth of all U.S. oil production came from the Salt Creek oilfield. Production continued with water-flooding technologies in the 1960s and the use of carbon dioxide injection beginning in 2004.
Learn more in First Wyoming Oil Wells.
October 23, 1948 – “Smart Pig” advances Pipeline Inspection
Northern Natural Gas Company recorded the first use of an X-ray machine for internal testing of petroleum pipeline welds. The company examined a 20-inch diameter pipe north of its Clifton, Kansas, compressor station. The device — today known as a “smart pig” — traveled up to 1,800 feet inside the pipe, imaging each weld.
A pipeline worker inspects a “smart pig.” Photo courtesy Pacific L.A. Marine Terminal.
As early as 1926, U.S. Navy researchers had investigated the use of gamma-ray radiation to detect flaws in welded steel. In 1944, Cormack Boucher patented a “radiographic apparatus” suitable for large pipelines. Modern inspection tools employ magnetic particle, ultrasonic, eddy current, and other methods to verify pipeline and weld integrity.
October 23, 1970 – LNG powers World Land Speed Record
Liquefied natural gas (LNG) powered the Blue Flame to a new world land speed record of 630.388 miles per hour. A rocket motor combining LNG and hydrogen peroxide fueled the 38-foot, 4,950-pound Blue Flame, which set the record at the Bonneville Salt Flats in Utah. The rocket motor could produce up to 22,000 pounds of thrust — about 58,000 horsepower.
In 1970, the Blue Flame achieved, “the greenest world land speed record set in the 20th century.”
Sponsored by the American Gas Association (AGA) and the Institute of Gas Technology, the Blue Flame design came from three Milwaukee, Wisconsin, automotive engineers: Dick Keller, Ray Dausman, and Pete Farnsworth. After building a record-setting rocket dragster in 1967 that got the attention of AGA executives, the men began designing a more ambitious vehicle.
The American Oil & Gas Historical Society interviewed Dick Keller in 2013 to produce a YouTube video using his 8mm home movies.
Interviewed for a 2013 video featuring his home movies, Keller explained how the growing environmental movement of the late 1960s, encouraged AGA “suits” to see value in educating consumers about natural gas as a fuel. In 2020. he published Speedquest: Inside the Blue Flam, his account of the last U.S. team to set the world land speed record. The Blue Flame, fueled by natural gas, remains “the greenest world land speed record set in the 20th century,” according to Keller,
Learn more in Blue Flame Natural Gas Rocket Car.
October 25, 1929 – Cabinet Member guilty in Teapot Dome Scandal
Albert B. Fall, appointed Interior Secretary in 1921 by President Warren G. Harding, was found guilty of accepting a bribe while in office, becoming the first cabinet official in U.S. history to be convicted of a felony. An executive order from President Harding had given Fall full control of the Naval Petroleum Reserves.
Wyoming’s Teapot Dome oilfield was named after Teapot Rock, seen here circa 1922 (the “spout” later fell off). Photo courtesy Casper College Western History Center.
Fall was found guilty of secretly leasing the Navy’s oil reserve lands to Harry Sinclair of Sinclair Oil Company and to Edward Doheny, discoverer of the Los Angeles oilfield.
The noncompetitive leases were awarded to Doheny’s Pan American Petroleum Company (reserves at Elk Hills and Buena Vista Hills, California), and Sinclair’s Mammoth Oil Company (reserve at Teapot Dome, Wyoming). Fall received more than $400,000 from the two oil companies.
It emerged during In Senate hearings that cash was delivered to Secretary Fall in a Washington, D.C., hotel. He was convicted of taking a bribe, fined $100,000, and sentenced to one year in prison. Sinclair and Doheny were acquitted, but Sinclair spent six-and-a-half months in prison for contempt of court and the U.S. Senate.
October 26, 1970 – Joe Roughneck Statue dedicated in Texas
Texas Governor Preston Smith dedicated a “Joe Roughneck” memorial in Boonsville to mark the 20th anniversary of a giant natural gas field discovery there. In 1950, the Lone Star Gas Company Vaught No. 1 well had discovered the Boonsville field, which produced 2.5 billion cubic feet of natural gas over the next 20 years.
By 2001 the Boonsville field in East Texas reached production of 3.1 trillion cubic feet of gas from more than 3,500 wells.
“Joe Roughneck” in Boonsville, Texas. Photo, courtesy Mike Price.
“Joe Roughneck” began as a character in Lone Star Steel Company advertising in the 1950s. A bronze bust was awarded each year (until 2020) at the Chief Roughneck Award ceremony of the Independent Petroleum Association of America (IPAA). In addition to the Boonsville monument, Joe’s bust sits atop three different Texas oilfield monuments: Joinerville (1957), Conroe (1957) and Kilgore (1986).
Learn more in Meet Joe Roughneck.
October 27, 1763 – Birth of Pioneer American Geologist
William Maclure, who would become a renowned American geologist and “stratigrapher,” was born in Ayr, Scotland. He created the earliest geological maps of North America in 1809 and later earned the title, “Father of American Geology.”
After settling in the United States in 1797, Maclure explored the eastern part of North America to prepare the first geological map of the United States. His travels from Maine to Georgia in 1808 resulted in the first geological map of the new United States.
“Map of the United States of America, Designed to Illustrate the Geological Memoir of Wm. Maclure, Esqr.” This 1818 version is more detailed than the first geological map he published in 1809. Image courtesy the Historic Maps Collection, Princeton Library.
“Here, in broad strokes, he identifies six different geological classes,” a Princeton geologist reported. “Note that the chain of the Appalachian Mountains is correctly labeled as containing the most primitive, or oldest, rock.”
In the 1850s, a chemist at Yale analyzed samples of Pennsylvania “rock oil” for refining into kerosene; his report led to the drilling of the first U.S. oil well in 1859 (also see Rocky Beginnings of Petroleum Geology).
October 27, 1923 – Refining Company founded in Arkansas
Lion Oil Company was founded as a refining Company in El Dorado, Arkansas, by Texan Thomas Harry Barton. He earlier had organized the El Dorado Natural Gas Company and acquired a 2,000-barrel-a-day refinery in 1922.
Founded in 1923 in El Dorado, Arkansas, Lion Oil will operate about 2,000 service stations in the south in the 1950s. Photo courtesy Lion Oil.
Production from the nearby Smackover oilfield helped the Lion Oil Refining Company’s refining capacity grow to 10,000 barrels a day. By 1925, the company acquired oil wells producing 1.4 million barrels of oil.
A merger with Monsanto Chemical in 1955 brought the gradual disappearance of the once familiar “Beauregard Lion” logo. The company has continued to sell a variety of petroleum products, including gasoline, low-sulfur diesel fuel, solvents, propane and asphalt.
Learn more Arkansas history in Arkansas Oil and Gas Boom Towns.
October 28, 1926 – Yates Field discovered West of the Pecos in Texas
The 26,400-acre Yates oilfield was discovered in a remote area of Pecos County, Texas, in the Permian Basin. Drilled in 1926 with a $15,000 cable-tool rig, the Ira Yates 1-A produced 450 barrels of oil a day from almost 1,000 feet deep. Prior to the giant oilfield discovery, Ira Yates had struggled to keep his ranch on the northern border of the Chihuahua Desert.
“Drought and predators nearly did him in” noted one historian, until Yates convinced a San Angelo company to explore for oil west of the Pecos River. With the Pecos County well 30 miles from the nearest oil pipeline and a storage tank under construction, four more Yates wells yielded another 12,000 barrels of oil a day.
Ira Yates would receive an $18 million oil royalty check on his 67th birthday. Also see Santa Rita taps Permian Basin.
October 27, 1938 – DuPont names Petroleum Product “Nylon”
DuPont chemical company announced that “Nylon” would be the name of its newly invented synthetic fiber yarn made from petroleum. Discovered in 1935 by Wallace Carothers at a DuPont research facility, nylon is considered the first commercially successful synthetic polymer.
Nylon found widespread applications in consumer products, including toothbrushes, fishing lines, luggage and lingerie, or in special uses like surgical thread, parachutes, and pipes. Carothers would become known as the father of the science of man-made polymers (see Nylon, a Petroleum Polymer).
October 28, 1868 – Newspaper praises Explosive Technology
In Pennsylvania, the Titusville Morning Herald praised results of an explosive oilfield production technology, Civil War veteran Colonel E.A.L. Roberts’ patented nitroglycerin torpedo. “It would be superfluous, at this late day, to speak of the merits of the Roberts Torpedo,” the 1868 newspaper article explained.
“For the past three years, it has been a most successful operation, and has increased the production of oil in hundreds upon hundreds of oil wells to an extent which could hardly be overestimated” (see Shooters – a “Fracking” History).
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Recommended Reading: The Salt Creek Oil Field: Natrona County, Wyoming, 1912
(2017); Oil and Gas Pipeline Fundamentals
(1993); The Reluctant Rocketman: A Curious Journey in World Record Breaking
(2013); Speedquest: Inside the Blue Flame (2020); The Bradford Oil Refinery, Pennsylvania, Images of America
(2006); Early Louisiana and Arkansas Oil: A Photographic History, 1901-1946
(1982); Du Pont Dynasty: Behind the Nylon Curtain
(1984); The Boom: How Fracking Ignited the American Energy Revolution and Changed the World
(2015); 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. Become an AOGHS annual supporting member and help maintain this energy education website and expand historical research. For more information, contact bawells@aoghs.org. Copyright © 2023 Bruce A. Wells. All rights reserved.
by Bruce Wells | Sep 29, 2022 | Petroleum Companies
Elk Basin United Oil Company incorporated in 1917 seeking oil riches in Wyoming’s booming Elk Basin oilfield. Oilfields found in North Texas, including a 1911 gusher at Electra, already had resulted in a rush of new exploration ventures – and created boom towns like Burkburnett.
Wherever found, America’s newly discovered oilfields led to the founding of many exploration ventures that competed against more established companies.
Newly formed companies frequently struggled to survive as competition for financing, leases, and drilling equipment intensified, especially as exploration moved westward.
Wyoming Oilfields
In a remote, scenic valley on the border of Wyoming and Montana, a discovery well opened Wyoming’s Elk Basin oilfield on October 8, 1915. Wyoming’s earliest oil wells had produced quality, easily refined oil as early as 1890.
Drilled by the Midwest Refining Company, the wildcat well produced up to 150 barrels of oil a day of a high-grade, “light oil.” Credit for oil discovery is given to geologist George Ketchum, who first recognized the Elk Basin as a likely source of oil.
“Gusher coming in, south rim of the Elk Basin Field, 1917.” Photo courtesy American Heritage Center.Ketchum, a farmer from Cowly, Wyoming, in 1906 had explored the area with C.A. Fisher, who had been the first geologist to map a region within the Bighorn Basin southeast of Cody, Wyoming, where oil seeps were discovered in 1883.
The Elk Basin, which extends from Carbon County, Montana, into northeastern Park County, Wyoming, attracted further exploration after the 1915 well. More successful wells followed.
Once again, petroleum discoveries in unproved territory attracted speculators, investors, and new companies – including the Elk Basin United Oil Company.
Established petroleum companies like Midwest Refining — and the Ohio Oil Company, which would become Marathon Oil — came to the Elk Basin. These oil companies had the financial resources to survive a run of dry holes or other exploration hazards.
The exploration industry’s many smaller and under-capitalized companies would prove especially vulnerable.
Audacious advertising claims helped Elk Basin United Oil Company compete for investors.
Is My Old Oil Stock Worth Anything features several such small players in Wyoming’s petroleum history, including the notorious Dr. Frederick Albert Cook (Arctic Explorer turns Oil Promoter). Even Wyoming’s famous showman, Col. William F. Cody, got caught up in the state’s oil fever (Buffalo Bill Shoshone Oil Company).
Elk Basin United Oil Company
Elk Basin United Oil Company of Salt Lake City, Utah, incorporated on July 30, 1917, and acquired a lease of 120 acres in Wyoming’s Elk Basin oilfield. By February 1918, company stock sold for 12 cents a share.
Enthusiastic newspaper ads promoted its “6 properties in 3 different fields…A 6 to 1 shot!” Twenty producing wells were reputed to be within one mile of Elk Basin United Oil’s Wyoming well site.
Meanwhile, Elk Basin United Oil reported expansion plans underway in a growing Kansas Mid-Continent oilfield. The company secured leases near Garnett and completed four producing oil wells, yielding a total of about 500 barrels of oil a month. It added an additional 112 acres and planned a fifth well.
Prairie Pipe Line Company (later Sinclair Consolidated) completed pipelines into the Garnett field through which several companies looked to transport their oil production.
However, growing competition from better funded exploration ventures and low crude oil prices ranging between $1.10 and $1.98 per barrel of oil in 1917 and 1918 drove many small companies into consolidations, mergers or bankruptcy.
Elk Basin United Oil, exploring back in Wyoming by March 1919, sought a lease on the property of the First Ward Pasture Company bordering the Utah line, “with a view of prospecting the property declare the surface showing to be very favorable for an oil deposit.” But financial issues continued to burden the company.
In December 1919, Oil Distribution News reported Basin United Oil Company was negotiating mergers with the Anderson Oil Company and the Kansas-United Oil Company, with a proposed capitalization of $1 million. With no results of the planned combination documented, Elk Basin United Oil Company disappeared from financial records soon thereafter.
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The stories of exploration and production companies joining petroleum booms (and avoiding busts) can be found updated in Is my Old Oil Stock worth Anything? Become an AOGHS annual supporting member and help maintain this energy education website and expand historical research. For more information, contact bawells@aoghs.org. Copyright © 2022 Bruce A. Wells. All rights reserved.
Citation Information – Article Title: “Elk Basin United Oil Company.” Authors: B.A. Wells and K.L. Wells. Website Name: American Oil & Gas Historical Society. URL: https://aoghs.org/old-oil-stocks/elk-basin-united-oil-company. Last Updated: September 29, 2022. Original Published Date: October 1, 2021.
