The Mesa oil field in Santa Barbara, Calif., in 1935. Edward
Doheny discovered oil under a private residence in 1892. His find set
off an oil-drilling spree.
AP
Ever watch
The Beverly Hillbillies and wonder why Jed Clampett moved to Beverly Hills and not Texas or some town that we more closely associate with oil?
Even
Angelenos forget sometimes that the Clampetts came first, then the
swimming pools and movie stars. Think J. Paul Getty or Edward Doheny,
men who made their fortunes on oil and then made LA.
Los Angeles is a world center for transportation,
fashion,
manufacturing
and — above all — entertainment. In the heart of this metropolis, oil
is hidden in plain sight. If you go on a walk to clear your head at
NPR's Culver City studios, cross the street and you're in one of the
largest producing urban oil fields in America.
"When you think
about Los Angeles, you tend to think of big skyscrapers and beaches. You
don't generally tend to think of oil wells," says Lars Perner, a
professor at the Marshall School of Business at the University of
Southern California.
"This is fairly valuable real estate, with some rather expensive
homes close by," he says of the Inglewood oil field. Perner points to
the Baldwin Hills and View Park neighborhoods that are considered the
"Black Beverly Hills" for former residents such as Tina Turner, Ray
Charles and Nancy Wilson. "This oil is clearly very valuable to justify
using that space for those oil pumps," Perner says.
He says
that as iconic as the Hollywood sign or the movie studios are, it's the
oil wells that made modern life in LA possible. The LA Basin is very
isolated and vast. That makes getting goods into the area difficult, and
it made transporting goods around the region very tough. That is until
the invention of the automobile and the discovery of oil.
"Back
in those days there weren't really a lot of regulations as to how you
could drill, so a lot of people got very entrepreneurial. And they were
trying to get pumps onto their property before their neighbors could,"
Perner says.
Oil rigs extract petroleum in Culver City, Calif., on May 16, 2008.
Gabriel Bouys/AFP/Getty Images
You can find oil wells hidden
all over Los Angeles.
Beverly Hills High School has multiple oil wells on its campus. (The
school's wells were the subject of a class action suit brought by Erin
Brockovich). Edward Doheny, for whom the major thoroughfare in Beverly
Hills is named, discovered oil under a private residence in 1892. His
find set off an oil-drilling spree. The battle over the rights to that
oil could fill several history books and many films. As J. Paul Getty
once said, "The meek shall inherit the earth, but not its mineral
rights."
Part of what made Los Angeles oil so attractive,
Perner says, was that the oil was close to the surface and easy to
extract. Add to that the newly invented automobile, incredible weather
and a port, and that's a recipe for exponential expansion.
But
Perner suggests that without oil there would be no modern LA. "Well, the
petroleum industry of course made it possible to have Hollywood." And
he says it made it made it possible to build an infrastructure to
transport agricultural produce from other areas to help support the
growth of a relatively large city very quickly.
"Los Angeles was a sleepy pueblo that became LA, and Hollywood and
the studios all popped up and people got wealthy because of oil," says
David Slater, chief operating officer of Signal Hill Petroleum. In 1921,
oil was discovered on Signal Hill, a city near the Port of Long Beach.
These two discoveries are what made Los Angeles one of the world's major
petroleum fields.
It's difficult to overstate just how much oil was being produced in LA back in the 1920s.
"The production from here made Los Angeles the equivalent of Saudi Arabia today," Slater says.
Today,
the city of Signal Hill is one of the largest urban producers of oil in
the U.S. But the steep drop in oil prices has had a big impact on
smaller oil companies like Signal Hill Petroleum.
"The painful
part, though, is when prices go down, contracting our business and
eliminating jobs is never ever a fun thing to go through," says Slater.
His company has shrunk from 150 employees to 85.
As he looked
out over the bay of Long Beach, where supertankers line the horizon,
Slater said he wished he could drill more. He joked that cheap gas
wasn't completely bad, as he drove us down Signal Hill in his white
Escalade.
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