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| THE NORTHERN PENNSYLVANIA VICTORIAN REGION |
| Locations
Emlenton
Styles Adam
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OIL CITY The railroads approached Oil City three ways. The Allegheny Valley
Railroad, a Pennsylvania Railroad affiliate, came up the river from Pittsburgh
and reached Oil City’s South Side, then called Laytonia, in 1867.
In 1866, the Oil City and Pithole Railroad, built by Oil City residents
Jacob J. Vandergrift and George Forman, arrived in town from Oleopolis
up the river. The Oil City and Pithole was obtained that same year
by the Warren and Franklin Railroad which had a line up the Allegheny River
to Irvine on the Philadelphia and Erie, a major carrier to the seaboard
and another Pennsylvania Railroad affiliate. That same year, 1866,
the Atlantic and Great Western arrived in downtown Oil City by crossing
a bridge over Oil Creek. The Atlantic and Great Western was allied
with and eventually owned by the Erie Railroad. In 1870, the Jamestown
and Franklin was extended to Oil City on tracks parallel with the Atlantic
and Great Western’s, though it went through the tunnel on the west side
of the creek and then up the valley. The Jamestown and Franklin was
associated with the New York Central. The competition for the crude
and refined oil trade being shipped from the region among the big three,
long distance trunk lines - the Pennsylvania, the Erie, and the New York
Central- resulted in distorted freight rates and rebates which favored
the Cleveland refineries and Rockefeller’s Standard Oil of Ohio.
The railroad bridge over Oil Creek is particularly significant because
it leads west to Cleveland and is a tangible reminder of where and how
the railroad rate wars of the late 1860's and early 1870's played out.
Pipelines were used in the 1870's to gather the oil from the producing wells and transport it to the tank cars at railheads. In 1877, a number of local men including J. J. Vandergrift and Marcus Hulings combined their pipeline interests and those of others to form the United Pipelines. The pipeline company was in fact controlled by Standard Oil of Ohio and operated as a Standard Oil subsidiary. Vandergrift was not only the President of the company but sat as a director on the Standard Oil board. In 1881, the National Transit Company was formed with the purchase of the entire stock of the United Pipelines with its 3000 miles of pipelines and over 30 million barrels of storage capacity. To this gathering and storage system was added Standard Oil’s long distance pipelines to Buffalo and Cleveland and one under construction from Olean, New York to Bayonne, New Jersey. Operational headquarters remained in Oil City. Very soon, this Standard Oil pipeline transportation company was regularly pumping crude oil long distances and taking crude and refined oil traffic away from the very railroads that had treated Standard Oil so favorably in previous decades.
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| This Site is Sponsored
by
Venango Economic Development Corporation P O Box 128 Oil City, PA 16301 |