Posted on: 03. 31. 20
Oil is one of the biggest natural commodities that Texas is known for. Over the years, it’s helped to stimulate our economy and has even been the focus of a famous show that really put one of our cities in the spotlight.
While we’re all still tucked inside and staying safe from the novel coronavirus, the team at Pro-Gas, LLC decided to take a look into the rich history behind our success in oil and how it’s truly impacted our state over the years.
The Big Boom
January 10, 1901 will always be known as the date that oil truly reared its head into the Texas market. On this date, Captain A.F. Lucas was drilling a well at Spindletop, when suddenly a geyser of oil erupted from the earth.
Before the well could be controlled, this geyser at Spindletop had already expelled thousands of gallons of crude oil. This was the moment when future oil moguls knew that Texas had something special beneath the ground, and was the start of the big oil boom in our state.
Was Oil Found Before 1901?
While the big boom was the true start of the petroleum industry in Texas, Lucas wasn’t the true first man to discover the natural resource. In fact, even before Lyne T. Barret created the first drilled well in 1868, early settlers were shown this natural product by the Native Americans in the 1500s. However, earlier oil was used for medicinal and caulking purposes. The oil refineries that we know today didn’t come to fruition until 1898.
The Permian Basin and the Big Lake Discovery
One of our biggest sources of oil is the Permian Basin. Based in West Texas, the basin was part of a massive discovery of oil, deemed the Big Lake Discovery. From that point on, the Permian Basin dropped its renown for being a “petroleum graveyard.” The basin currently produces around 4 million barrels of crude oil per day.
What Were the Socio-Economic Effects of Oil in Texas?
Economically, oil has been a major factor in Texas. Currently, the oil and gas industry pays billions in taxes on its oil production gains. This means that every year Texas earns a large quantity of money that goes towards government programs, schools, and public works needs.
Socially, the boom also proved beneficial to rural individuals and created jobs for the jobless. Many people during the great oil boom sought out to make a name for themselves as wildcatters, drilling across the land. However, much like a gamble on when one would actually strike oil, some were successful and others were not.
Stay Connected with the Oil and Gas Industry Through Pro-Gas, LLC
Right now, the oil and gas industry is in a strange place as prices continue to plummet due to geopolitical circumstances and the threat of the virus that’s spreading through our communities. Pro-Gas, LLC is here to say that no matter what happens, we’ll be here to help our customers pick up the pieces when work returns to normalcy. Stay safe, stay healthy, and remember, we are always available to help.
