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Extraction Not Creation: The History of Offshore Petroleum in the Gulf of Mexico

Published online by Cambridge University Press:  18 February 2015

Abstract

Offshore development is one of the most important but least analyzed chapters in the history of the petroleum industry, and the Gulf of Mexico is the most explored, drilled, and developed offshore petroleum province in the world. This essay examines offshore oil and gas development in the Gulf of Mexico, highlighting the importance of access and how the unique geology and geography of the Gulf shaped both access and technology. Interactions between technology, capital, geology, and the political structure of access in the Gulf of Mexico generated a functionally and regionally complex extractive industry that repeatedly resolved the material and economic contradictions of expanding into deeper water. This was not achieved, however, simply through technological miracles or increased mastery over the environment, as industry experts and popular accounts often imply. The industry moved deeper only by more profoundly adapting to the environment, not by transcending its limits. This essay diverges from celebratory narratives about offshore development and from interpretations that emphasize the social construction of the environment. It challenges the storyline of market-driven technology and its miraculous ability to expand and create petroleum abundance in the Gulf.

Type
Articles
Copyright
Copyright © The Author(s) 2007. Published by Cambridge University Press on behalf of the Business History Conference. All rights reserved.

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References

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Santiago, Myrna. “Rejecting Progress in Paradise: Huastecas, the Environment, and the Oil Industry in Veracruz, Mexico, 1900-1935.” Environmental History 3 (April 1998): 16988.Google Scholar
Stine, Jeffrey K. and Tarr, Joel A. “At the Intersection of Histories: Technology and the Environment.” Technologyand Culture 39 (Oct. 1998): 160–40.Google Scholar
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Kaiser, Mark J., and Pulsipher, Allan G. “Various Factors Affect Severance Selection.” Oil & Gas Journal (27 Sept. 2004): 4152.Google Scholar
Mcgee, Dean A. “Economics of Offshore Drilling in the Gulf of Mexico.” Offshore Drilling (Feb. 1955): 16.Google Scholar
Mouawad, Jad. “Oil Explorers Searching Ever More Remote Areas.” New York Times, 9 Sept. 2004, pp. B1, B4.Google Scholar
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Offshore Louisiana: Fabulous Industry within an Industry.” Ocean Industry (June 1966): 3841.Google Scholar
Oil Firms Spend Record Amount for Gulf Leases.” Wall Street Journal 1 Oct. 1980,pp. 415.Google Scholar
Pioneers Mark Anniversary of First Commercial Offshore Well.” Ocean Industry (Dec. 1977): 4345.Google Scholar
Pittman, J. W. “It’s A Boom!Offshore (Oct. 1963): 9.Google Scholar
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Sandrea, Ivan. “Deepwater Oil Discovery Rate May Have Peaked; Production Peak May Follow in 10 Years.” Oil & Gas Journal (26 July 2004): 1823.Google Scholar
Spector, Mike. “Oil Rigs Stage Exodus from Gulf of Mexico.” Wall Street Journal, 5 July 2006, p. C 1.Google Scholar
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Thorpe, Helen. “Oil and Water.” Texas Monthly (Feb. 1996): 9093, 139–145.Google Scholar
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Wilson, Howard M. “Drillers Face Offshore Deadline with 40 Leases to Test.” Oil & Gas Journal (11 April 1996): 4851.Google Scholar
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