The Savannah morning news., 1901-05-18
WILD OVER OIL.
DISCOVERIES OF OIL WELLS IN
BEAUMONT, TEXAS.

Capacity of the Wells Greater Than
Any in the Country-Mr. G.. f.
Dickinson of Savannah One of the
Organizers of n stock Company to
Develop Oil Wells, Has Returned
From the Oil Fields-He Says Land
Is Selling at Fabulous Prices-The
Industry Is N Great One.
Mr.. Gardner E. Dickinson, second vice
president of the Orleans Beaumont Oil
and Land Company of New Orleans. has
returned from Beaumont. Tex, where the
excitement Of oil well discoveries is at
its highest The first wells were discov-
cred in January. The Lucas gusher
which spouts 10000 barrels of oil daily
was opened Jan. 10. This discovery threw
the oil district into a fever of excitement
and well after well was sunk. At present
more than thirty wells are being bored
Land has advanced 40 per cent. in the
past few weeks, and is selling around the
Lucas gusher for $4,000 to $4,000 per
acre. Mr. Dickinson thinks the sale of
land in the oil district will aggregate
100000 daily He is one of the origi-
Land Company. He landed in New Or
leans in April looking after the exporta-
ton of cotton. The oil discoveries was
all he heard. In company with Mr.. e.
Perrin large cotton merchant and rail-
road president of New Orleans, and Mr..
T. P Thompson an influential business
man of New Orleans he went out to
Beaumont, While there, they were, so
favorably impressed that options were
secured on something like 300 acres of
oil land in 800 yards of the Lucus gusher,
and lying on two large railroads. Mr..
Dickinson said upon returning to New
Orleans, the cotton merchants met and
company was organized. With
exception possibly of one or
two firms, every cotton man
ir New Orleans is a member of it. He
said that it is composed of the best me-
in New Orleans The president, Mr.. A. Brit
tin is a prominent business man of New
Orleans, and has been foremost in every
worthy enterprise which was started
there. He is chairman of the Sinking
Fund Committee of New Orleans, IS
chairman of council and a director in the
Union Bank, one of the largest banking
houses there. Mr.. VIM. p. Emo. who is
third vice president, is owner of Fifth
Avenue Hotel New York. Mr.. S. P.
Walmsley is president of the New Orleans
Cotton Exchange and a prominent cot
ton merchant. Mr.. W. p. Richardson is
prominent cotton factor. Mr.. Richardson
is brother-in-law of Col. Beirne Gordon
of this city. Mr.. c. A. Johnson of Co
lumbus, Miss, president of First State
Bank Mr.. Lawrence Fabacher president
Jackson Brewing Company, the largest
establishment in the South. And other
business men equally prominent. Mr..
Dickinson said that the company holds
its lands in fee simple. Before taking
hold of it the opinion of counsel from
both New Orleans and Beaumont was
obtained and that the titles are absolute
ly fawless. The company pledged itself
not to sell its individual stock below par,
aud that the stock which is being dis
posed of is treasury stock Sold he said,
to raise funds to develop the wells.
Mr.. Dickinson said, referring to oil dis
coveres:
THE center of the new Texas oil field
is about three miles south of Beaumont
Jefferson county, Texas. The first gusher
was struck Jan. 10, 1901. and at once an
enormous stream of oil. the full size of
the 6-inch casing, spouted to hight of
over M1 feet, being forced upward by
pressure of over 5000 pounds to the square
inch. The pressure was so great that it
was impossible to check the flow. which
continued for ten days before being
not then be measured. but it was con-
servatively estimated at 5000 barrels
day.
When the gusher was again opened it
filed a 5000 barrel tank in less than
twelve hours, or 1t rate of 10000 barrels
per day." He said the greatest excitement
followed the first strike and active devel-
opments were Immediately begun on all
sides, with the result that eleven more
sushers have been struck in the vicinity,
with a capacity apparently as great as
the first we'll.
Mr. Dickinson said on first impression
IL would seem that as the Beaumont oil
is chiefly a fuel oil, it would be of Sec
ondary importance to a higher grade oil
but when the relative demands for fuel
oil and refined oil are considered. it is
evident that fuel oil, in the apparently
ineXhaustible quantities in which it has
been found In the Beaumont field, is of
much more Importance and value than an
Illuminating oil in the comparatively linn
tied quantities that nature has provided
it. The demand for refined oil, he said,
Is TO certain extent limited, and the
supply at the present time is approxi-
mately equal to the demand, while the
demand for fuel oil has been met in only
one country, Russia, where the consump-
ton of fuel oil amounts to more than
eight times the combined consumption of
all the rehned oils.
Referring to the excitement again, Mr..
Dickinson said that an old theater which
mad perhaps paid its owners $500 an
nually had been cut up into offices for
OIL and land promoters, and was now
Yielding its owners over 5000 a month.
Mr.. Dickinson's company engaged a
small floor space in the balcony at what
ne considered heavy rental. Before
leaving New Orleans he sub-rented a
space 3 feet by 4 for $50 a month. The
engines which force the drills In the
wells use oil as fuel. Every three and a
nalf barrels of this oil is equal to one
ton of coal This is selling on the
grounds for 80 cents a gallon. June the
wells Of this property will begin to be de-
Veloped.