The Manchester journal. [volume] (Manchester, Vt.) 1861-current, 1878-12-19
THE PErHoLEuM WAR.

Twenty years ago the man most famil'
lar with the resources OF the United States
would have looked upon the persons who
should have been rash enough to assert
that petroleum IN the year 1878 would
rank third among the great staples OF the
country, as a hopeless visionary. Such,
however, has come TO pass, since, after
cotton and grain, petroleum stands both
In quantity and value the next in tue list
Of our exports. And inconceivable as II
may seem, that immense trade is now
practically controlled by one corporation,
the Standard Oh Company.
Asa rule there Is very little Of romance
about trade, bat IN the history Of the rise,
progress aud gigantic proportions which
the corporation referred TO has attained,
there is an element OF the wonderful
which reminds one Of the story of Jack
- ,Ls n---- cs-il-
About the time that the fret oil craze
was receiving its check because Of the,dif-
ficulties which the questions Of consump'
tion and transportation involved, those
who never thought of the matter until
acres were covered with oil tanks full
of crude petroleum which could not be
put upon the market, a young English
man named Andrews appeared at Cleve.
land, having what he claimed TO be o
more economical process for refining oil !.
He was so very poor that his wife took
in sewing to help support the family
Andrews got little still and put bis
method Ia practice. In six months be
had made $500 lie borrowed little
money aud put up more stills and began
to make money quite fast AT that time
he made the acquaintance OF young man
OF thirty named Rockefeller, who had
made a little money as book-keeper and
had set Up flour store. This man An
drews interested in the enterprise, aud
the hrm Of Andrews, Rockefeller IL Co.,
began busines, aud in il the Standard Oil
Company had It's origin. The firm push
ed It's business. 1t made profits where
others filled. Prudent management kept
the Standard on it's feet wbilo relineries
generally were going TO pieces. in the
course OF year il turned It's competi-
tion into new channel and adopted The
policy of driving ont all competitors BY
underselliug. 10 1871 II bad squeezed
out all competing establishments in Cleve
land and bad begun TO carry the war into
other cilies. About that time the accompany
\ was reorganized with capital Of $500,
900. To this time the company bad de
voted It's attention to manufacture. Now
third party joined the corporation, Pete
II. Watson, once President Of the Eri'
Railroad aud au expert railway man, ant
/ the combination undertook TO control th'
transportation Of oil. The South Improve
menl Compsny was organized, aud unde
that guise tue parties named contracted
with all The trunk lines to carry their oil
4 for 81 per barrel below regular rates ant
10 pay the Standard that amount per bar
rel shipped by other parties. Production
thus fell into the hands Of these men wh'
did not producebut refined oil, aud there
by millions Of capital became the slave 0
The combination between the standar,
sud the trunk lines. The carrying trad
alone gave the STANDARD ~ ,oo0, 900 snnn
ally aud thus enabled IL to crush out CON
petition.
This combination finally drove the pro
dncers 10 unite for self protection. The
secured the passage ofA bin 70 ensbl
them to construct free pipe line by ib
Pennsylvania Legislature and brough
about Congressional investigation
which showed the illegaliiy Of the sont
Improvement Company, aud made con
tracts Of their own with the railroad 30
while all this wss going on the Standard
with 80, 90, 900 capital a, iia control an
monthly profit Of si 0o0, 900, wss qaiei
! IL al work and succeeded again 10 gel
, ding kold Of ihe railroads. II adopted 70
J policy Of upderselllpg all The opposIlio
relneries, even GU the seaboard, so
! completed iss second victory ~ baildin
: aDd running ST the tank cars 10 whle
: petroleum reached the seaboard.
; Agsln the producers appealed 70 tie Al