Colorado Paper - Oil in Southern Tamaulipas, Mexico (with Discussion)

The great activity with which the oil resources of the northern Cantons of the State of Veracruz have been developed has largely resulted from the great success obtained by the important explorations carried out since 1902 in the Ebano district in the North, and several years later near Tuxpam, in the South. It must not be thought that these successes were quickly obtained, since the preliminary studies by good experts, the acquisition of what were thought to be the most promising coast lands, the extensive clearing thereof, and finally the number of unsuccessful drillings at great depth, signified an original outlay of some tens of millions of dollars before finding commercial oil. The discovery of oil in industrial quantities at Cerro de la Pez, Ebano district, and the famous Dos Bocas gusher some years later, which was burned, once and for all made famous the Veracruz coast, where today is concentrated the Mexican output of mineral oil. In 1917, this production was nearly 61,000,000 bbl. It is well known that this output represents only a fraction of what the wells in actual production can furnish, because with adequate means of transportation and storage, the present extraction could be somewhat over 300,000,000 bbl. a year. These enormous potential oil resources of the Veracruz coast proceed from a relatively small number of wells, scattered over a few oil fields, separated from each other by large unexplored areas, wherein may be found other favorable fields which, in time, will undoubtedly become just as great centers of oil production. Experts who know our Gulf Coast believe that lands with commercial oil resources lie not only between the Pgnuco and Tuxpan Rivers, but that indications are that the oil zone of Mexico, with more or less interruption, takes in the coast zone from Northern Tamaulipas to the foot of the Sierra Madre of Chiapas, and the banks of the Usumacinta River. This generalization is not merely the outcome of optimism, but is the result of the persistency with which one finds, throughout this Gulf Coast, the most usual characteristics upon which we depend for recognizing oil-bearing lands.