The Ford Model T
The rise of oil’s big three, part 2: The start of the oil age
In the second part of our history of oil special on the ascent of the US, Russia and Saudi Arabia, we examine the early years of the age of oil
The turn of the 20th century saw intensified market competition. New sources of oil were found in the US, attracting fresh entrants, and demand for petroleum products significantly shifted in favour of mobility and manufacture. The US saw substantial new discoveries of oil in the Gulf of Mexico, Mid-Continent, Illinois and California. The output in the first two decades increased at an astonishing rate of about 45% a year. Growing demand kept the oil prices steady, while the introduction of a rotary drill and increased use of the science of geology significantly increased productivity. In the Gulf area, wells of more than 1,000ft were being drilled in days. It resulted in gushers such as the
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