Spindletop A discovery that changed Texas forever.

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Presentation transcript:

Spindletop A discovery that changed Texas forever

Oil Men: (1 and 2) *Pattillo Higgins: -Business man from Beaumont -Bought land on Spindletop Hill -Early efforts failed but sure there was oil -Earned the nickname “The prophet of Spindletop” *Anthony Lucas: -Hired by Higgins to help drill for oil -Leading expert in mining salt domes

Anthony F. Lucas began drilling in salt dome deposits near Beaumont in October of (3) Drilling crew at Spindletop

(4) -Drilling started in Oct No sign of oil -Lucas hit a gusher at Spindletop on January 10, Gusher shot out 100,000 barrels of oil a day! -More than all the other wells in the U.S. combined!!! Lucas gusher on Jan. 10, 1901

News of the gusher spread around the world (5) Oil workers, financiers, & onlookers came to see the gusher. Within two yrs., Spindletop produced 17.5 million barrels of oil. As the number of wells grew, production declined. by 1904, production fell to less than 4 million barrels.

The Boom Changes Texas (6) -Beaumont population soared from 9,000 to > 30,000 -Land prices rose quickly -Attracted wildcatters: Oil seekers who took great risks by drilling in areas not known to have oil. -Wildcatters hired roughnecks: worked the oil fields -Many oil companies failed. *Texas Fuel Company in Beaumont became Texaco – a giant in the industry.

Growth of the Auto Industry (7) first Oldsmobile produced -General Motor Company was soon formed Henry Ford started Ford Motor Company *Within 10 yrs. Ford made half the cars in the nation!

(8) Demand for cars… Increased demand for… gasoline!!! In turn, a cheap and ample supply of fuel increased the demand for autos!

Economic Changes (9) -Oil industry grew to meet surging demand!! -Pipelines transported oil from fields to the refineries -Workers refined crude petroleum into gasoline and kerosene -Improved roads enabled more people to drive cars -New jobs arose -Houston Ship Channel opened in 1914

MAJOR OIL AND NATURAL GAS DISCOVERIES, 1900–1940

(11) The rapid growth in oil production reduced the price of oil from $1.10 a barrel to 10 cents a barrel in a matter of a few months!! YES!! NO! Why Me?

(12) The boom was followed by a bust. Regulation and discoveries in West Texas helped bring Texas out of this initial bust, but the boom/ bust cycle has continued through the years. Today, petroleum is still key to the Texas economy. Boom and Bust

(13) The Impact of Spindletop on Texas Spindletop Gusher *Pop. Of Beaumont explodes *Land prices in Beaumont rise *Oil companies form *Cities grow around new oil refineries *Auto industry grows *State revenue increases *New jobs are created