Cleveland morning leader. [volume] (Cleveland [Ohio]) 1854-1865, 1864-10-05

As look out of my hotel WinooW, muo
city appears more appropriate name
than oil city. People who have never
visited this oil depot, at the mouth Of Oil
Creek, cannot form any idea of hOrrid trav-
cling. The chief street of this place is
lake of mud, interminable mud, creeping
into the houses, running over side walks,
subnerging horses legs, blockading pedes-
trians, norriryIng city gentlemen with fine
ly blacked boots and good coats, and prov
ing veritable Egyptian plague.
OIL CITY
is town of 1000 migratory inhabitants,
situated at the mouth of Oil Greek which
runs into the Allegheny river. The bluffs
of the Allegheny and Oil Creek come
down nearly to the waters edge, SO that
the town is chiefly laid out on the narrow
strip of territory which skirts the margin
of the two streams. Everything looks
temporary, as if men had no idea Of lodging
there more than-a few months, with the
exception of few fine residences which
are going up on the opposite side of the
Allegheny. Restaurants and saloons are
the most numerous resorts, and such q
thing as a fine building is unknown in the
place. Oil City has become an important
point for trading. The whole region
known as "up the creek is tributary to the
plsee. The thousand wants of such COM
munity as are the oil men are partially met
in Oil City, and consequently there has
sprung up a large and important trade.
It is becoming the headquarters of num-
Der of oil companies that represent stocks
from FIVE hundred thousand to five millions
of dollars. There Is probably 30
place on the Western Continent of the
same size in which such large financial
transactions are conducted, SIS transpire in
this place. 1t is no uncomon thing for
hundreds of thousands of dollars to change
hands in a few hours AS an illustration,
take tn business done by the Fisrt Nation
al Bank, owned by Mr.. Culver,
Of Franklin. This institution keeps four or
five men busily at work from early morn
ing to late at night. Itprobably does more
business than any bank for hundreds of
miles about Oil City. Standing as it does
at the mouth of Oil Creek, it has become
a centre for the gathering together of men
from all quarters of the country. Go into
any of the hotels and you will find repre-
sentatives from all quarters of the country.
The oil fever has spread all over the land,
and the almost fabulous sums of money
which sre being made, are attracting ad-
venturers and capitalists, and broken
down business men and laborers from ev-
ery direction. The oil wells have become
greater fortunes than gold mines, and con-
sequently attract the shrewdest most
plucky and most venturesome business tai
ent ofthe country.
T-z SPECULATION IN OIL LANDS
is now the mania of the hour The New
York and Philadelphis papers are already
shame with Advertisements of new oil
companies. Probably more money is be-
ing made just now by the successful engi-
nearing Of these companies than by the
pumping of oil The plan for construct
ing company is very simple and yet
very i'taking." A few individuals buy a
tract of land, say oftwo hundred acres for
which they pay three hundred thou
sand dollars. A portion, probably
one tenth of this land lies along Oil Creek
in the valley, which is not at any point
over half mile wide and generally quite
narrow. The remainder of this two hun
dred acres may include the high hills
which border the creek and which hsve
not been worked to any extent and are
generally regarded as nonproducing re-
gions. The oilbearing portion of the com
pany's land is very small therefore. The
purchasers of this land, however, have
maps constructed, showing its relative po-
sition to the other lands and particularly
to the successful we lis that are in opera
ton in that vicinity. All strong pumping
wells, and ali flowing wells, are clearly
indicated on the map SO that the prospects
of the new companys lands are prefgured
by the success of surrounding wells. Very
frequently the new company may have
very good wells on its own territory
which are paying large dividends and
which, therefore, are attractive to capital
Tne cost of the land being $780, 900, it is
put into stock company Of eight hundred
thousand or a million dollars, each share
being nominally worth five dollars. This
plan attracts both the small fry and the
fat fry. People having fifty dollars can
thus invest as well as those having te1s of
thousands. The stock is then thrown on
the market in Philadelphia or New York,
and probably sold at from two to three
dollars share. When the stock is dis
posed OF, the original purchasers make as
much as they originally invest, or more,
and at the same time transfer the whole
company over into the hands of new men,
to develope the lands belonging to it,
There are already organized as many as
two hundred companies, with capital
stock of $2O0,O0O,O0O. Many of them are
called at the Stock Boards of
New York and Philadelphia. Some of
them are paying institutions, while others
are shams and humbugs-mere orgsniza-
tons for making money out of gullible
Making money after this plan
seems to be the great rage just now.
THE OIL REGION
as yet undeyeloped, although the number
Of wells is immense. Heretofore, the ope-
rations have been chiefly confined to the |
immediate vicinity of Oil Greek, and along
certain runs that empty into it. But even
IN the valleys of these little streams and
creeks, there is much territory that is yet /
There ara many choice
pieces of land that can be bought or leased
f any person has the enterprise or pluck
1aoaaraT ~ 70 ka hold of than Tho hills |