OIL: Wildcat King

Twenty years ago, big oil companies began putting the chancy business of oil discovery on a semi-scientific basis. Scouring the earth’s surface with geologists and expensively equipped seismographic crews, they played no hunches, never drilled until they found indication of oil-bearing structure. These methods have vastly lowered the percentage of dry wells drilled. But many an important field (like “Dad” Joiner’s huge East Texas discovery in 1930) is still brought in by wildcatters.

Most successful wildcatter in the U. S. is young, tough Glenn H. McCarthy. His glib boast: he drills wells for nothing (i.e., very cheap), hence can’t lose. Dubbed “King of the Wildcatters” by fellow Texans, Glenn was a moderately successful filling-station operator until 1933. Borrowing a rig from a friend, he drilled several failures, then struck in Big Creek and the Conroe field, sold out the latter for $50,000. From there he moved on to Anahuac in Chambers County. Drilling two and a quarter miles north of the centre of a field controlled by the majors, he struck again, proved the northward extension of Anahuac, the second largest field on the Gulf Coast, sold out for almost a million. More McCarthy wells followed in West Beaumont, South Cotton Lake, Palacios, Benavides, League City, Anchor, Chocolate Bayou, Lovell’s Lake. In seven years he has brought in more wells than any other oil man in the world.

McCarthy success is not mere luck. Oil men say he never knows when to stop drilling. Before McCarthy, the unwritten rule on the Gulf Coast was: “When you haven’t found it after going 200 feet into the Frio (oil-indicating sand), start tearing down the rig because it just isn’t there.” In League City he drilled 600 feet into the Frio before finding one of the most important pay sands in Texas.

Dapper, 32-year-old Glenn McCarthy loves to wear big diamonds, has a reputation as a ruthless bargainer, admits he “takes no chances.” When his natural gas field in West Beaumont came in, he offered to sell to vast United Gas System. When they refused, he organized Beaumont Natural Gas Co., secured a franchise, caused United to cut its industrial rate from 18 to 10¢ per thousand cu. ft. McCarthy’s offer to the city—gas for as low as 3½¢ per thousand—inspired a campaign for municipal ownership which is costing United thousands of dollars. Last week, after property owners had defeated a bond referendum for a municipal system using McCarthy’s gas, United found itself under Federal inquiry for campaigning against the bond issue.

“Diamond Glenn” now has 300 employes, figures his staff of engineers, geologists, drillers, roughnecks, are the best in the business. Month ago he announced his tenth discovery. Out on Bailey’s Prairie, in Brazoria County, his latest gusher came in. One of the deepest low-gravity oil producers on the Coast, it was the centre of a 10,000-acre tract, all under McCarthy lease. It looked as though the Wildcat King had joined the semi-majors.