Sketches in Crude-oil: Some accidents and incidents of the petroleum development in all parts of the globeMcLaurin, John J. (John James)
History
Sketches in Crude-oil: Some accidents and incidents of the petroleum development in all parts of the globe
McLaurin, John J. (John James)
Petroleum -- History; Petroleum industry and trade -- North America -- History
Producers have enjoyed quite a reputation for “resolving,” and the first
meeting ever held to regulate the price of crude was at Tarr farm in
1861. The moving spirits were Mr. Janes, General James Wadsworth and
Josiah Oakes, the latter a New-York capitalist. The idea was to raise
five-hundred-thousand dollars and buy up the territory for ten miles
along Oil Creek. Wadsworth and Oakes raised over three-hundred-thousand
dollars for this purpose, when the panic arising from the war ended the
scheme. A contract was also made with Erie parties to lay a four-inch
wooden pipe-line from Tarr farm to Oil City. On the advice of Col.
Clark, of Clark & Sumner, and Sir John Hope, the eminent London banker,
it was decided to abandon the project and apply for a charter for a
pipe-line. This was done in the winter of 1861-2, Hon. Morrow B. Lowry,
who represented the district in the State Senate, favoring the
application. Hon. M. C. Beebe, the local member of the Legislature,
opposed it resolutely, because, to quote his own words: “There are
four-thousand teams hauling oil and my constituents won’t stand this
interference.” The measure failing to carry, Clark & Hope built the
Standard refinery at Pittsburg.
Resistance to the South-Improvement-Company welded the producers solidly
in 1872. The refiners organized to force a larger margin between crude
and refined. To offset this and govern the production and sale of crude,
the producers established a “union,” “agencies” and “councils.” In
October of 1872 every well in the region was shut down for thirty days.
The “spirit of seventy-six” was abroad and individual losses were borne
cheerfully for the general good. This was the heroic period, which
demonstrated the manly fiber of the great body of oil-operators. E. E.
Clapp, of President, and Captain William Harson, of Oil City, were the
chief officers of these remarkable organizations. Suspensions of
drilling in 1873-4-5 supplemented the memorable “thirty-day shut-down.”
At length the “union,” the “councils” and the “agencies” wilted and
dissolved. The area of productive territory widened and strong companies
became a necessity to develop it. The big fish swallowed the little
ones, hence the _personal_ feature so pronounced in earlier years has
been almost eliminated. Many of the operators are members of the
Producers’ Association, in which Congressman Phillips, Lewis Emery,
David Kirk and T. J. Vandergrift are prime factors. Its president, Hon.
J. W. Lee, practiced law at Franklin, served twice as State-Senator and
located at Pittsburg last year. He is a cogent speaker, not averse to
legal tilts and not backward flying his colors in the face of the enemy.
Public-domain text, read in full here on John Shaqi.
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