The Hickman courier. [volume] (Hickman, Ky.) 1859-current, 1881-04-29
GAMBLING IN OIL.
How Fortunes Are Made aud Lost in
NOrthwestcrn I'en1syIVanta-A Mania
For Wild Speculation.


One might spend weeks IN the oil re-
gions listening to the local historian as he
narrates stories of the past two decades
of towns and cities depopulated III
week, of fortunes won as by the turning
of the die aud lost as quickly, OF thrilling
accidents, of hairbreadth escapes and
heroic daring From Stump creek, with
its mysteriously wildcats" on the south,
to Olean, IN southern New York, there Is
not town or hamlet with its tavern that
has not its misapthrope, who sits, with
his clay or cob pipe, and croaks from
morn to eve about.the evils of the OIL
business. Ifone IL acquainted with the
feelings of sucha oneand secures Tor HIM
n strange mixture Of alcohol. klmmel
water and old rye. his tongue VIII he
loosened and he viii talk for hours con-
cerniug the past, present and probable
future of the region. The oil business
at present is confined to a great extent
to the Bradford field, ia Mexican County.
Oil is still produced To a certain extent
for n distance.of seventy miles south of
this. but Bradford and vicinity produce
tive-sixths of all the oil at present The
daily production by the best calculations
is at present about 81, 600 barrels The
consumption Is about 40, 600 barrels,
leaving ~, 600 barrels of stock to be run
into the United Line, as they call 1t here,
and stored away IN hopes OF n future
market Two months ago the produc-
ton was estimated at 70, 900 barrels, so
that it has decreased 4, 900 barrels each
month The immense iron tanks that
overlook the tops and guards the base of
these mountains like castles of old had
the amount of oil In them increased from
1000, 600 barrels on January l, 1880, to
D1 00l DOl ,T, Tatr1orv I 1881 The oil
is all taken care of and stored away by
the United Line, mentioned above. They
build these huge tanks holding twenty
five and thirty thousand barrels IN diff
ferent parts of the region. Whenever a
a new well is struck and ''ile" comes TO
the surface this company connects the
well TO its main line, and about once n
month the oil is run into the line, the
man receives his money for it and stock
certificates are issued for speculation on
change.
The speculative mania has existed
since the first oil well was sunk near
Titusville. From time to time it has
taken different forms. but 1t always ends
in the same way. Fortunes are won
to-day and lost tomorrow. Men who
are the money kings one week are the
curbstone brokers the next. At first the
speculation was in oil land or what was
supposed TO be such When oil was first
discovered and its commercial value as
certained, men knew but little how to 60
about producing it. The idea prevailed
that all this vast area OF country, and
no one pretended 10 determine its eX-
tent, was underlaid by a vast sea of oil,
and that all that had to be done was to
secure land, sink a well to the required
I ]
course, IN great demand. Men from
neighboring States rushed in, and
market was obtainable for any tract.
Land was bought in the morning and
sold before night for five times the first
price. Men became rich The money
of Wall street flowed into the region.
and the natives secured 1t. The belt
theory obtained prominence soon after,
and land was not salable unless II
was on a belt or supposed belt. This
theory, and there is little doubt but it
Is the correct one, Is that the oil runs
in belts or subteTranean streams. As
a rule it follows a straight course, and
good territory can generally be told by
the compass before the well is struck
Some of the belts are wide and some
very narrow. Very few people were
benefited by the speculative price paid
it away, but the large majority went
wild with excitement, and the money
went into the ground in the shape of
| dry holes or wells that had no oil in
them.
Speculation on the price of oil was the
next form, and the one that finds pro
minence to-day Magnificent oil ex-
| changes were erected in Oil City. Titus
! L..
| indnlged III on the price of oil, the oil
! certificates being the basis. One instance
! of now men become rich in this specula-
ton occurred in Oil City. Two brothers,
| by the name of Goethe in 1867 were
| boOtblacks around the streets of the oil
towns. They made a good deal of
money for boys and saved it. When
| they had a few hundreds saved they took
| a flyer on the market They were sue
cessful and doubled success still followed
them, and to-day they are among the
| wealthiest and most successful specula-
tors In the region. The magnificent
generosity Of oil men is well known. A
| poor and needy woman has often had
thousands of dollars raised for her among
a crowd of oil men, aud in few minutes
she was raised from poverty to opulence
They spend money like water and no
towns in the country will show better
dressed men and women than these.
| They all almost universally wear diamonds
upon their bosoms, which in many cases
they are forced to pawn for necessities
before they have become even accustomed
to them. Speculation is the life blood OF
Oil City When the market Is dull, in
active for a few days it is noticeable
every place. Business stagnates, mer
get the "blues" and the town is dull in.
deed. But let the market be variable.
fortunes are being made and lost, men
are excited, the streets are alive with oil
brokers rushing back and forth between
banks and exchanges with certificates,
drafts, checks and even money in theil
hands. The wives of the brokers CROWD
to the exchange and filling the visitors
gallery watch the operations of theil
husbands.
Some time ago, in one of these ex
changes the gallery was filed to over
flowing The market was leaping up al
the rate of ten cents an hour One o.
the heaviest buyers was on the wrong
side. He saw his fortune disappearing
like mist, at the rate of $25, 900 an hour
For six hours this continued, and he wa!
forced to clay down" as it is Called Il
be announced bankrupt, in othe
words. His wife was a witness of th'
whole scene. An hour before the wors
came she left the exchange, walked int
a drygoods store, took off her seal-skil
sack and sold it. From that she wen
to the jewelers. and disposed of he
diamonds and all her silver. When he
husband returned home, disconsolat'
and downcast, she met him at tn
door dressed in a neat calico wrapper
He had been. clerk before forum
smiled upon him, and she a modes
school-teacher. She informed him tina
she had discharged all the servants
and that they would live a
formerly, she doing the work. Sh
handed him $500 as the result c
her selling her iewelry, and told him t.
use It Joy and hope beamed in hi
| L.