Chapter 7: California Oil Sensation

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Los Angeles Santa Cent Springs Heights Produces Oil !!

This rumor became a sensational topic in California for a while, attracting the attention of countless people, and public opinion was full of public opinion for a while. (If you like this book, please bookmark biquge.info)

"Hey, man, why is it so noisy up front? Did the Mexicans and Italians fight? A passer-by on the street, who had nothing to do, asked curiously.

"It's been a long time ago, but now something big has happened, and I don't tell him in general." Passerby B quietly leaned into Passerby A's ear and said, "Did you hear that?" Shengda Fenquan punched out oil? ”

"Take! Do you still need to pretend to be mysterious? Now who doesn't know that the Shengda Fenquan is out of the oil field, I tell you, my cousin's aunt's brother's uncle lives near there, and he sees the oil spewing out dozens of meters high! Passerby C said triumphantly.

"Wow! If we really find an oil field, then let's go to drill wells quickly! Passerby Ding Tiyì said.

"Oops, hurry up, hurry up, hurry up・・・・・・"

What followed was another scene of commotion. Just as decades ago, gold was discovered in the West, and people from the East and the world flocked to California, workers threw away their machines, farmers threw away their fields, civil servants left their desks, soldiers became deserters, and under the magic of gold, a steady stream of new troops threw themselves into the vigorous gold rush.

The discovery of oil fields in Santa Fenquan also detonated an oil fever in California! All of a sudden, all kinds of people flocked to the Shengda Fen Spring.

When the discovery of the Shengda Fenquan oil field was confirmed, the scene became even more lively.

Since the first wellhead was drilled, everyone's enthusiasm has been higher, and under the recommendation of Hayes, Situ Nan recruited more than a dozen workers, and five oil wells started at the same time, but this is not enough, far from enough, but Situ Nan is now running out of cash, so he can only work slowly!

Situ Nan hired the engineering team and built a tall oil warehouse near the oil well, and after the oil well was reinstalled with drill frames, a steady stream of oil was constantly being loaded into the warehouse.

At this time, in the oil exploration industry in the United States, in addition to the large oil companies, there were countless private oil prospectors, who moved to carry out oil exploration in partnership with a small number of people, such people were called "wildcat prospectors". Now Situ Nan is also playing the role of "Wildcat Prospector".

The "Wildcat Prospectors" have short capital and demand immediate returns, so most of the oil they drill is sold to oil companies, and they are also outposts of oil companies, and once they find oil, those oil companies will follow.

In fact, since the news of the discovery of the oil field in Shengdafenquan spread, in just a few days, many wild cats have come to the vicinity of the Situ Nan oil well, and they have flocked to it like "sharks that have seen blood", hoping to get a piece of the pie.

But will Situ Nan let them get their wish? No! He had already bought most of the oil field, and any oil exploration on land belonging to Situ Nan was illegal without Situ Nan's permission.

Situ Nan was happy to see those wild cats who saw the food and were not allowed to enter, that kind of anxious look.

Since it is no longer possible to drill wells and extract oil on the land of Situ Nan, then, those smart wild cats are drilling and extracting oil near the Situ Nan oil field, according to the principle of who captures and owns, the oil will not stay in one place and not leave, and Situ Nan will be taken away if he does not mine, so the nearby land began to soar, and those cunning farmers offered four or five thousand dollars per mu for one dollar per acre of land.

In order to lease the land's oil exploration rights, the wild cats had to be slaughtered willingly.

In fact, as soon as they got the lease contract for oil exploration, they drilled wells and drilled many oil wells, and they got much more in return than they paid for the lease.

Only some lucky or "fast" wildcats can get their hands on oil wells, but most of them do not have land lease contracts for oil exploration, and can only watch others get rich dryly.

Every day, there are many wild cats wandering near Situ Nan's oil wells, and they propose to Situ Nan to buy or lease part of Situ Nan's land for oil exploration, following the continuous drilling of oil wells in the land near Situ Nan's oil field, fools know that Situ Nan has the best oil field in his hand, and every inch of land is full of oil, so there is no need to explore such land at all, and you can drill directly to extract oil.

Gradually, there are also some large companies that want to buy Situ Nan's oil fields, although their offer is not low, but this is not the result Situ Nan wants, so it has been delayed. Situ Nan did not refuse or agree to their request, but only announced that there would be a satisfactory result for everyone in ten days.

Although the feral explorers and the big oil companies who flocked to the market took some of the profits, in order to raise money, Situ Nan planned a spectacular oil auction.

At the same time, under the careful arrangement of a bad person, the news of a third party (mainly wildcat prospectors, who are senior oil people) confirmed that the first oil well drilled by Shengda Fenquan produced 2,300 barrels per day, or about 115,000 tons/year.

The funny thing is that the farmer who sold the land to Situ Nan before, after hearing that oil was drilled here, regretted it to death, and finally came back cheekily and begged Situ Nan to sell some land to him again.

Although Situ Nan could ignore this request, he still sold five acres of land back to him at a price of $2,000 per mu, who knew that this guy had no intention of operating after getting the land, and sold it at a price of $4,000 per mu, making $10,000 at once.

Situ Nan couldn't cry or laugh after hearing this, and felt that this person was also quite cute.

The first partner Situ Nan found was Handar Brown, at first Handar thought Situ Nan was really risky, but he was still willing to help Situ Nan with some small favors, but he didn't expect Situ Nan to succeed quickly.

When Situ Nan found the Brown family again, Hantec was happy with Situ Nan's success, and applauded Situ Nan's attention when he thought of auctioning off the oil field.

"Great! You gave me a big surprise! As soon as Handar met, he stepped forward to hug Situ Nan.

"Thank you! I am very grateful to the Brown family for the help they have given me. Without your help from Henda, things didn't go so smoothly. Situ Nan said sincerely.

"Oh! That's on your own! Everyone's success is inseparable from their own efforts, and we just have the right time. Although Handar was happy to hear Situ Nan's thanks, he was not cheeky enough to admit his credit.

"Alright! Mr. Brown, I want to work with you today. I want to set up an oil company, I will join the company with my current oil field, I wonder if you are interested in joining? Situ Nan said.

"Oh, that sounds good." As a successful businessman, Hantec has to think through before making every decision before making a decision.

Over the years, since the Texas "spindle" oil well self-blowout, the oil industry in the United States is booming, especially after more and more cars, the demand for oil is increasing, Handar Brown has always been interested in the oil industry, Situ Nan suddenly came to the door to cooperate is to make Hantec feel "stepping on the iron shoes and nowhere to find", the two almost hit it off, but as an old fox in a shopping mall, Handa still didn't want to be too enthusiastic, he said: "I think it's good, it's a good idea, but if you want to do it, you can do the best, there are no too big oil companies in the west now, this is our opportunity, we should not only operate oil extraction, but also do oil processing, open our own oil refinery, and preferably have our gas stations and other sales channels." But the two of us can't do anything like that. ”

"The old fox is the old fox, and he thought so far at once, and he just wanted to make some money quickly, but he didn't expect so much. Handar, this guy is quite wild, but according to him, if he finds more partners, his shares will be diluted, and it may not be swallowed by these old foxes when the time comes, is this good or bad? Situ Nan couldn't say it for a while, thinking silently in his heart.

Seeing Situ Nan's pensive and frowning appearance, Hengda didn't expect Situ Nan to think so far in his heart, at first he just thought about how to form an oil company from a practical point of view, and never thought about how to swallow Situ Nan's shares.

Handar thought that Situ Nan didn't understand, so he explained: "The last time I met with you, Bert Fordlaus, his family runs a pipeline company in Los Angeles, and if we add him to us, the company will grow faster." Their Ford Laus family has been in business in California for several generations, and they have a lot of connections that can save them a lot of trouble, and besides, I've known Bot for more than ten years, and he's a decent person, so he should be a good partner. ”

"Alright! I agree with Bot joining. But how will the shares be distributed? My plan is like this, the total investment of the oil company is 10 million US dollars, a quarter of my oil field is set aside for auction, and the remaining three-quarters are all invested in the oil company, with an estimated value of 3.5 million US dollars, accounting for 35% of the shares, and the remaining 65% are distributed by you and Bot through negotiation, (but I hope that the shares of the three can be evenly divided) What do you think? Situ Nan didn't want to occupy more shares, but this is not realistic, now he has a huge oil field, but no matter how much liquidity is gone, the establishment and operation of oil companies need more resources, which is what Situ Nan currently lacks the most, so he found Handar Brown to cooperate, that is, he sees that Hantec has more resources. It's just that I didn't think that Hantec's idea was bolder, he wanted to bring Botla in, so Situ Nan put forward a share request that was neither high nor low.

On the same day, Handar took Situ Nan to the Ford Laus family again, Bott was very surprised by Handar's door, when he saw Situ Nan, Bott thought that this matter should be related to oil, now Situ Nan is a limelight figure in Los Angeles, although most people have not seen Situ Nan, only heard his name, and know that there is a Stoney William man who discovered a large oil field in Santa Fen Spring, but Bott is the head snake of Los Angeles, He soon learned that the lucky man who owned the big oil field was Situ Nan, a young man he met on the train who had bought a drilling rig in his own hands.

"Hahaha! Handar, you've been on the Three Treasures Hall for nothing, Stoney, I've heard that you've made a fortune lately, hehe, you're so lucky. Bot laughed out loud.

"As you wish, I have a good thing to share with you today." Handar said.

"Oh? Let's go into the study and talk. Bot led them into the study.

"Well, Stoney and I are going to start an oil company and are looking for a strong partner. The total investment is $10 million, Stoney takes a stake in his oil field, 35% of the shares, I am ready to invest $4 million, 40% of the shares, and the remaining 25% you come out, don't you have a pipeline company? So? Handar Brown finished speaking, smoking a cigar and smiling at Bote.

Bot thought about it for a while, and thought it was a good idea, investing in oil was a good note, his family had run a gold mine for so many years, and had accumulated a lot of wealth, and it was better to use it for other industries than to put it in the bank. However, Bot was not very satisfied with the distribution of shares, it was too little, so he said: "I have no problem with the formation of an oil company, but I ask for more shares, at least not less than 30%. ”

After some haggling, the trio finally reached an agreement: Handar Brown valued $500,000 at a transportation company, plus $3.5 million in cash or other stakes in the new oil company, a 40 percent stake. Stoney William owns 30% of the three-quarters of the Shengda Fenquan field. Bert Fordlaus has a 30 percent stake in a pipeline company valued at $1 million plus $2 million in cash. The name of the new company is called California Petroleum Corporation, or PetroCal for short, according to Bot's founding yì, and is headquartered in Los Angeles. The chairman and general manager were both served by Hantec, and both Bot and Hantec sent people to participate in the establishment of the new company, only Situ Nan himself was a single commander, but Situ Nan sought a position in the new company for Pratt and Hayes's workers.

In the end, Situ Nan appeared to have suffered a loss, seemingly ceding his own 5% stake to Bert Fort Laus, but Stuart received the equivalent of 5% of the shares, and Situ Nan exchanged 5% for a $400,000 small steel mill in Botte's possession and a 100-hectare ranch in Hantec's possession.

At the same time, Situ Nan promised to sell half of the quarter of the oil fields that he had put up for auction to the California Oil Company, that is, California Petroleum, at a price of $4,000 per acre.

It's so dark! Insider trading!

Since then, the more than 6,000 acres of land in Situ Nan's hands have almost been disposed of, except for hundreds of acres waiting for auction.

In fact, that highland is the center of the entire oil field, and the 2,000 acres of farms around the highland are not as much oil as highland, and it should be said that drilling a well may not produce oil. These could not be concealed from the shrewd "wildcat prospector" and an oil merchant, but despite this, the auction day was still hot, and the closer to the highlands, the more valuable the land, and in less than two days, more than 100 lots were all sold, winning Situ Nan a total of $500,000.

After the auction, the entire Shengda Fenquan area became a large construction site, especially those individual oilmen who had just acquired the land, and immediately started drilling without delaying for a minute.

The blockade of the flow of people has made the houses near Shengdafenquan strained, and many people do not have houses, so they can sleep outside and set up tents.

The shrewd Handar saw a lot of business opportunities, and he brought in a large number of tents to rent to the oil workers, and at the same time brought in an engineering team to build houses, which were rented out to make various shops.

In just six months, the population of Shengda Fenquan has grown rapidly from less than 100 to 50,000, and a new oil city is emerging, which has made Handar a small profit.

However, these were small sums of money, and after the three of them agreed, Cal-Oil built an oil refinery in Santa Fenquan and built the railroad to Santa Fenquan. Because of the fair price, other oil traders are willing to sell their oil to California.

At this time, California oil is just a small character with an unknown name, and it is far from being comparable to a giant like Standard Oil, but who can imagine that this immature California oil has superhuman vitality and will become an international oil giant in the near future?

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