Appalachian Basin Independents

28 Pages·2004·4.53 MB·English

by  Elizabeth Kaney

American Oil and Gas Families
APPALACHIAN BASIN INDEPENDENTS
This publication was prepared by the American Oil & Gas Historical Society. Much of the
information contained herein documents the travels of Bruce Wells, photographer and Executive
Director of the Society, through Ohio and West Virginia in September 2002, profiling several of
America’s oil and gas families~and historic communities~in the Appalachian region.
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Oil and gas resources are organic, formed by
the effects of heat and pressure on sediments
trapped beneath the earth’s surface over millions
of years. While ancient societies made some
use of these resources, the modern petroleum
age began less than a century-and-a- half ago.
Advances in technology have steadily improved
our ability to find and extract oil and natural
gas, and to convert them efficiently to fuels and
useful consumer products.
From fossil resources to products, the life cycle
of oil and natural gas activity involves exploration,
tshitee drreislltionrga taionnd, ctroamnpslpeotriotant ioofn ,w aenllds ,r epfirondinugc toiorn, OhioRiver
processing for use as a fuel or feedstock.
Contents
4
Inventing a New Industry . . . . . . . . . . . . . . . . . . . . . . .
8
Oil and Gas Community on Parade . . . . . . . . . . . . . . .
12
Today’s Independents . . . . . . . . . . . . . . . . . . . . . .
Documenting a Colorful History: 20
Oil and Natural Gas Museums
of the United States . . . . . . . . . . . . . . . . . . . . . .
front cover:
The Oil and Gas Museum in Parkersburg,
West Virginia features an operating pump
jack and a 16-foot bank wheel among its
many exhibits and artifacts. The wall mural
is designed by Pamela Porter, Jeff Shenkle,
and David L. McKain.

S
ay “American oil”and many people immediately think of the Texas Panhandle, Oklahoma Plains, or
Louisiana Gulf. But the cradle of the American petroleum industry is Appalachia. In the late 19th century,
the Appalachian Basin — comprising more than 35,000 square miles in West Virginia, eastern Ohio,
southwestern New York, and western Pennsylvania alone — attracted a wave of inventors, speculators, entrepreneurs,
and wildcatters determined to make their fortunes.
below left: In the space of a decade, these pioneers created a dynamic new industry, one with ramifications far beyond
Travelers are welcomed to Ohio as
they drive west across the U.S.
Highway 50 bridge spanning the Ohio anything they could have imagined. Petroleum drove the nation’s westward expansion and fueled its burgeoning
River between Parkersburg, West
Virginia, and Marietta, Ohio. The river
once represented the edge of the industrialization. It created extraordinary wealth, reduced the need for manual labor, and became the mainstay of
nation’s first “Northwest Territory,”
where the earliest settlers arrived near
Marietta in April 1788. modern transportation. In many ways, it came to define life in the 20th century and beyond.
opposite page:
Today, thousands of people in the Appalachian states are employed by the oil and gas industry, the vast majority
A natural gas drilling rig nestled within
the trees is part of the rural landscape
in Lewis County, West Virginia.
by small independent producing companies. This publication profiles several West Virginia and Ohio communities
built on a legacy of petroleum and the individuals and families who keep the industry productive, providing the
nation with a vital source of domestically produced energy.
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Inventing a New Industry
Today, oil and natural gas are essential to Oil and natural gas were discovered in the natural gas. The first marketing breakthrough opposite page:
the U.S. economy and the quality of life that Appalachian region long before they were first came with progress in refining petroleum into Ohio drilling contractor Dean
Decker’s grandfather traveled from
Americans have come to enjoy. In 2003, oil commercially produced. In fact, it was hard an illuminant, which proved to be a superior Washington County to Oklahoma
and natural gas supplied the energy for not to discover petroleum in some areas, and lower cost alternative to mineral oils for to seek his fortune in the oil and
natural gas fields, where
99.9% of transportation, 48% of businesses, where “oil seeps”left their dark signature on fueling the newly invented kerosene lamp. discoveries of the late 1920s led
58% of homes, 71% of industry, and 16% of land surfaces and stream beds. Oil is Soon, demand for petroleum illuminants to work as a roustabout. The elder
Decker was still in his twenties
electric power generation in the United States. mentioned in the journals of 17th century in such major markets as New York City was when he joined the other oilfield
French missionaries in western New York, and outstripping available supplies, and investors roughnecks who gathered in
makeshift “oil patch” towns. Two
Demand for oil and natural gas is growing and was traded in Niagara by the Seneca Indians. competed not only to find new reservoirs, but
carefully restored Decker family
is forecast to comprise 64% of total U.S. Revolutionary War soldiers reported scooping also to develop cost-effective ways to drill for photographs show him in the
energy consumption in 2025. it from seeps as a balm for sore muscles. and produce petroleum in large quantities. Oklahoma oil fields at this time:
middle row, second from left.
Appalachian salt miners were, This challenge required innovations in
States, through organizations such as the inadvertently, the first Americans to drill for drilling technologies, building on methods below:
Interstate Oil and Gas Compact Commission oil and natural gas. A well drilled for used by salt producers. Several oil wells were Dean Decker’s grandfather,
standing at right.
and the National Association of Regulatory saltwater struck oil in Noble County, Ohio, drilled nearly simultaneously in the United
Utility Commissioners, have long recognized in 1814, and another struck gas at States, Canada, and Europe.
the integral role of oil and natural gas in their Charleston, West Virginia, in 1815. While The best known was Colonel Edwin
economies and the well-being of their citizens. petroleum was valued by some as a patent Drake’s well in Titusville, Pennsylvania,
balm (said to cure a host of ailments in brought in on August 27, 1859, on behalf of
humans and animals) or as a machinery the Seneca Oil Company. Major wells also
lubricant, salt producers regarded it as a were drilled at Petroleum, West Virginia,
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merican O sbtriicnkey ias nndo wod tohreo u“sn uniusaisnacnec,”e.a ( Ibryopnriocdalulyc,t soaflt oCuatlsifiodren Piaa,r Wkeressbt uVrigr,g einarialy i nin t h1e8 5su9m; mer of
il and G petroleum production.) 1859; and Burning Springs, West Virginia,
as Fam A challenge faced by early industry and Washington County, Ohio, in 1860.
ilies: a pioneers was creating new markets for oil and
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opposite page: BOOM TIMES to produce, refine, and market oil. Yet a century later, the Appalachian
Thaddeus Mortimer Fowler of Entrepreneurs battled for dominance in Basin remains an active petroleum-
Massachusetts painted hundreds The Appalachian region yielded vast deposits
of prospering towns and cities of petroleum at remarkably shallow depths transporting oil, quickly creating a network producing region, accounting for about five
during the industrial revolution, of pipelines that connected to major rail percent of U.S. crude oil production.
by today’s standards. Drake struck oil at only
many depicting oil and natural
lines throughout the region. No longer were Regional natural gas production, which
gas “boomtowns.” This 1896 69 feet, and many of the other early wells
lithograph features Sistersville, producers dependent on floating barrels accounts for about three percent of the
were between 50 and 200 feet deep. (In
West Virginia.
downriver on rafts or loading them into national total, has been increasing recently
contrast, 70 percent of today’s U.S. natural
below: gas comes from wells 5,000 feet or deeper, wagons. Production ramped up to massive- in West Virginia thanks to new investments
Offshore platform Neptune Star scale operations. in exploration and production.
and the latest frontier in deep-drilling
operated by Kerr-McGee
Virtually all exploration and production
Corporation, an independent technology is 15,000 feet plus, in the range
producer, in the Gulf of Mexico. of three miles below the earth’s surface.) INDEPENDENTS IN ACTION in the region are now conducted by small
independent companies, many of them family
Early successes inspired hundreds of Then, almost as quickly as it began, the
owned. These independents operate with an
small exploration and production companies boom in Appalachia ended. California
entrepreneurial spirit matched in few other
throughout the world. In 1860, world oil drilled its first oil well in 1879, and Texas, in
American industries, continuing the wildcatter
production was 500,000 barrels annually; by 1887 — regions that soon became the new
legacy. They are an integral part of the
the 1870s annual production had soared to centers of the domestic industry. Many
Appalachian economy and play an important
20 million barrels. Ohio, West Virginia, and Pennsylvania
role in domestic energy production.
Appalachia was the heart of the global families moved west, taking their exploration
industry. Populations boomed, towns sprang and production skills with them. Oil
up almost overnight, and many fortunes production in the Appalachian region
were made (and some lost) in the scramble peaked around 1900.
The Vital Role of Small Companies in Exploration and Production (E&P) in the United States
There is no doubt the United States will rely on oil and natural
gas well into this century. What’s uncertain is how much of our A
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carnidtic haol wp emtroulcehu mm ussutp bpeli eims wpoilrl tceodm. e from domestic sources 15% 35% erican O
Small independent producers play a key role. If our nation is to 60% il and G
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48 states has grown dramatically since the mid 1980s, as major pa
integrated energy companies began concentrating their exploration lac
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Oil and Gas Community on Parade
below: You might not consider the petroleum industry create a dome containing rich oil and gas below:
Ed Broome (with plaque), named 2002 a natural subject for tourism or a hobby. But resources. For 35 years, Sistersville has 2001 Festival Queen Kristen Morrison
Oilman of the Year, is joined by honored oil acknowledges admirers along the
and gas men of past years. He is pictured don’t say so to those at the annual West celebrated its historic industry with the downtown Sistersville parade route.
with (left to right) John Wright Sr. (1976), Virginia Oil and Gas Festival in Sistersville or September festival — including a beauty
Steve Williams (2001), Duncan Malcom opposite page:
to the collectors and their families camping pageant, downtown parade, antique engine
(1998), Tom Dunn (1982), Larry Woodfork
Cub Scouts and vintage cars lead off the
(1991), I. L. “Ike” Morris (1994), and Jim beside hundreds of antique, oil-field engines at show, and award ceremony at the Wells Inn. West Virginia Oil and Gas Festival parade.
Ryan (1993).
the town’s fairground. If you have a chance to Edward Broome, named 2002 Oilman of
Sistersville was named in 1815 for the join them for the weekend celebration, you’ll the Year (and parade grand marshal),
daughters of its first settler in 1776,
come away with a true appreciation for the participated in the first Sistersville festival in
Charles Wells. In 1895, his grandson
Ephraim Wells opened the elegant Wells inventive, colorful history of petroleum 1968. After earning a petroleum engineering
Inn, which remains in business today. production in the Appalachian Basin. degree, he went to work in oil fields in Texas
A few miles northeast of Parkersburg on and New Mexico. Moving to the Appalachian
the east bank of the Ohio River, Sistersville Basin in the late 1960s, he supervised more
can make a strong claim for being among the than 500 wells in Pennsylvania and West
nation’s earliest oil and gas capitals. The town Virginia. He now runs his own business in
sits on a geologic formation where rock folds Glenville, buying and selling oil and gas leases.
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