The Washington times., 1922-11-07
FINANCE.
III
By Il. @. FORBES.
by u. &. FORBES.


wells. 1000 miles OF pipe lines con.
Meeting with over 10000 wells, anu
has $500 employees. And II IL only
| eight years old.
How nearly many million dollars.
worth OF hidden wealth was SOLD
for a song, forms u dramatic chap'
ter In the company's unique history
Let me tell about II.
A local natural gas company, upon
the brink of failure because it's gas
| supply had given out, was taken
hold OF by B. q. Dawes, "A youngish
man even then making brilliant
record. The only available gas
fields were controlled by another
company. and they demanded too
| high "A price for gas.
Mr.. Dawes. while continuing the
negotiations. sent an army OF agents
into West Virginia to lease pros
! pective gas lands In Boone and
! Kama wha counties. They gathered
! together over 200. 900 acres in leases
lie then announced that the com
pany would produce Its own gas. and
| he laid plans to build a 200-mile pipe
line from West Virginia to Columbus
Then the other concern came off Its
favorable terms.
The Ohio Cities Gas Company was
then lin 1919 incorporated and ac'
quired all the capital stock of the
Columbus Gas Company, Springfield
pany.
Some OF the leases obtained in
West Virginia specified that drilling
| hA "a 4 a.
started. But as Mr.. Dawes had now
acquired an adequate supply Of gas,
IL was decided to try to find buyer
for the West Virginia leaseholds.
While Mr.. Dawes was in New
York dickering with prospective
buyers in January. 1915, X. w. Nc.
Twain. now vice president, was
feverisby rushing to completion the
first test. Untold difficulties were
encountered.
But, 10. ON January Q oil was
struck. II was OF extremely high
quality. and il poured out at the
rate OF 400 barrels a day.
Mr.. McIlvain was panic stricken
lest his superior close a deal before
the great news could be communi.
Gated TO him. There was no tele
miles There was no railway sta
ton nearby.
What would he do? What could
| he do?
Mr. McIlvain promptly set out
on marathon to the nearest way
side railway station, miles distant,
The frs; train that Crawled along
was "A freight. He Immediately
, boarded il and did his best to get il
! To make Il record run to "A point
where n could get into communi
cation with MIR. Dawes.
! Had he been "A little later tho
deal would have been closed. And
the loss.
In seven years this property has
/ yielded the company over 10000
900 OF net profits.
[ America has been rich in gold
mining romances, silver mining 70
mances, copper mining romances
/ oil field romances. and other bust
ness romances. But the country :
| annals contain no parallel TO the
Pure Oil Company's amazing growth
and its spectacular earnings.
There is space here for only 4
few of the more notable facts:
The original pool. which has not
had to be protected from invasion
! by rivals. has consistently averaged
! 5000 barrels day during the last
+ five years.
Properties acquired with the three
Ohio gas companies had then daily
production Of about 200 barrels. Pure
OILS production in Ohio now ap
proximates 1000 barrels daily, the
largest of any company in the State
In 1916 and 1917 IL acquired a
number of large oil properties in
cluding the old Pure Oil Company
of New Jersey. became an important
operator in the mid-continent terri
tory and now ranks fourth among
Oklahoma producers.
Whereas the company drew 81
per cent OF its earnings from gas ir
1916. oil produced e6 per cent of the
earnings in 1920. and II accordingly
changed its name from Ohio Cite,
Gas to the Pure oil Company.
Plans were at one time made tC
invade Mexico on n large scale. But
| HltnOugn tne company now mas NV',
000 acres in prospective oil terri
tories, 1t has not yet tapped thai
source Of supply.
Pure OIL also has hundreds OF thou
sands OF acres in South American
oil areas.
1t owns 90 per cent interest ir
the Humphreys Oil Company. who's
production in Texas has been aver
aging about 10000 barrels a day.
/ II has seven refineries in varioI.
States. with an aggregate capacity
of 10000 barrels n day.
or late the company has beer
aggresively extending It's market
ing organization. II now markets
in every State in the Union through
central organizations in Boston
New York, Atlanta. Philadelphia
Pittsburgh, Detroit Chicago. Co
lumbus. Minneapolis, Tulsa, Dalla'
and San Francisco.
within the last year It's foreirr
business has been developed cnor
mously through the acquisitions o
important companies in Germany
J Belgium. Holland. Spain and Por