Part VI
HISTORY On the Hill
Written by Julie Bendzick-Sin.
This is a reprint 6 of 24 articles first published in the Star Tribune 1990-1991
Digitally Preserved by the Signal Hill Historical Society for future generations
The View before the Oil Boom
By the late 1870s sheep ranching in Southern California was on the decline. The owners of the Ranchos which covered the area now known as Signal Hill were the Bixbys. They began selling off their land to incoming settles. primarily farming families and professional people. In 1878 Jotham Bixby leased the part of Rancho Los Cerritos containing Signal Hill (or a large portion of the Hill) to Archibald Borden, a wheat and barley farmer. In payment, Borden gave Bixby one fourth of his harvest and let Bixby’s sheep graze on the left-over stubble. Other portions of Signal Hill were used to graze dairy cattle or planted with beans or alfalfa.
Residential development first came to Signal Hill in two waves spanning the years 1880-1910. In 1880. William Willmore obtained an option from Rancho Los Alamitos owner Lewellyn Bixby on 4,000 acres atop Signal Hill. Willmore planned to make the hilltop an exclusive residential area. He sold view lots there for $12 to $20 per acre. Although Willmore’s venture failed in 1884, due to lack of interest, George W. Hughes, a subsequent developer, was successful.
Hughes laid out a 118-acre tract for houses atop the Hill in the early l900’s. With its panoramic 360 degree view of mountains, ocean, Catalina Island and the Palos Verdes Hills, the then “smog-free” hilltop had much to offer. The Denni, Reeves, Pease, Pala and Hughes families all built fabulous mansions there.
Little did these wealthy families suspect that the value of their property would increase to millions of dollars, overnight. An oil money mania erupted on June 23.1921, the first day of the Black Gold Rush of Signal Hill.
to be continued...
Part VII
HISTORY On the Hill
Written by Julie Bendzick-Sin.
This is a reprint 7 of 24 articles first published in the Star Tribune 1990-1991
Digitally Preserved by the Signal Hill Historical Society for future generations
The Black Gold Rush Begins
The events of June 23, 1921; when discovery well Alamitos Number One struck oil atop Signal Hill, forever altered the destiny of this locale. Instead of remaining a pristine hilltop chaparral rich in canyon flora and fauna, encompassing a few mansions and truck farms, Signal Hill became a frenzied eruption of oil derricks, pipelines, gushers, and Big Money. Competition to get in on this oil money was fierce. According to Walker A. Tompkins. author of Little Giant of Signal Hill, never before had southern California seen such a frenzy of town-lot drilling such cut-throat royalty wars and unprecedented speculating. The scramble for Signal Hill drill sites became so competitive that in many cases the legs of tall wooden derricks interlaced each other. By late October 1921, within five months of the original discovery of oil, Signal Hill, states Tompkins, "appeared to be cowled by a perpetual fog bank (of) steam from the myriad boilers which furnished power to the drilling and producing rigs." It was said that the noise from this drilling could be heard from five
miles away.
The statistics for the Signal Hill oil field in February l922 were impressive, especially for a field that had not yet reached its peak production level. By this time there were 158 active operators on the hill with approximately 400 rigs at work, more than 300 completed wells, and 150 of these wells were actively producing oil. Daily oil production was estimated to be 100,000 barrels, and climbing.
Real estate values skyrocketed as speculators and oil company bidders swarmed the Hill like ravenous termites. On the evening of June 23, l92l, Andres Palas was offered $150,000 for his pink hilltop mansion, ten times its pre-oil strike market value. One by one, Palas’s neighbors’ homes were moved or torn down to clear land for more drilling. One such casualty was the adjacent Denni mansion, torn down by the Richfield Oil Company. Denni’s carriage house was relocated across the street and later became the Hilltop Cafe. (Unfortunately, this historic landmark has since been destroyed.) Lewis Denni negotiated for, and received, and unprecedented 50% royalty on the oil recovered from his leased land. Other landowners received 20% to 33% royalties from drilling on their property. Prior to the Signal llill oil boom, royalties of 12% to 16% were the norm. _
In 1924, the Signal Hill area was considered part of the City of Long Beach. Long Beach’s annual revenue from lease rights, oil royalties and related taxes reached $1.2 million that year. But when Long Beach approved a barrel tax on oil produced within city limits, the oil producers of Signal Hill revolted. They moved rapidly to incorporated a two-square-mile area which included the most profitable hilltop wells.
On April 14, 1924, the City ofSignal Hill, population 2000, was incorporated. This new city was entirely surrounded by the City of Long Beach. The latter retained some 140 acres of producing wells.
California's first woman mayor was also Signal Hill’s first mayor. Her name was Jessie Elwin Nelson and her official title was President of the Directors’ Board of Trustees. She functioned the same as today’s mayor of Signal Hill. Mrs. Nelson's 1924 home stood at the corner of Hill Street and Cherry Avenue, the present site of the Signal Hill City Hall.
to be continued -
Part VIII
HISTORY On the Hill
Written by Julie Bendzick-Sin.
This is a reprint 8 of 24 articles first published in the Star Tribune 1990-1991
Digitally Preserved by the Signal Hill Historical Society for future generations
The Black Gold Rush Continues
Although June 23, 1921 lives in history as the day wildcat oil well Alamitos Number One blew a gusher and began the Signal Hill oil boom, it was only one incident in ah chain of many which lead to the discovery of one of the world's richest oil fields per acre. As early as 1916 the Union Oil Company of Califomia had leased acreage just west of Signal Hill near what is now the comer of Wardlow Road and Long Beach Blvd. Union Oil drilled to a depth of 3,449 feet but mistakenly stopped just short of tapping an oil reservoir.
Oil companies drilling in nearby coastal regions were luckier. On May 24, 1920 Standard Oil of Califonia tapped a meager 40-barrel well at Huntington Beach, about 20 miles southeast of Signal Hill. But the following November, the historic Bolsa Chica Number One Oil well blew a gusher at 2,549 feet down. lt flowed 20,000 barrels per day.
According to Walker A. Tompkins, author of Little Giant of Signal Hill, the oil strike of Huntington Beach's Bolsa Chica No. l "focused the attention of geologists on die chain of topographic highs which extends vertebra-like, from Newport Beach on the south to Beverly Hills. Each vertebra was underlaid by a well-known oil field- Huntington Beach, Seal Beach, Signal Hill, Dominguez Hills, Rosecrans, Baldwin Hills and Inglewood.”
After surveying the geology of Signal Hill in 1920, Royal Dutch Shell, a British and Dutch owned oil corporation, leased 240 acres on the east slope of Signal Hill. Shell began drilling Alamitos Number One on March 23, 1921 at the comer of Temple Avenue and Hill Street O.T. “Happy" Yowell was the man in charge on site.
True to Yowell‘s nickname, drilling proceeded "happily" without a hitch. At a depth of 2,724 feet, Yowell found definite indications of oil and natural gas. Shell soon leased additional acreage on Signal Hill in anticipation of an oil strike.
At a depth of 3,114 feet, exactly three months after Yowell had begun drilling, Alamitos Number One suddenly blew out. The well blasted a gusher of crude oil over 114 feet above the top of its wooden derrick. This geyser raged out of control for four days, drenching everything around it until it was finally capped and its flowing crude diverted into a storage tank. lt was estimated that Alamitos Number One's
gusher yielded 1200 barrels of oil. The state registered landmark plaque which commemorates the site credits this well as once "flowing 590 barrels of oil a day.
Originally published Nov 9, 1990:
Today, (Alamitos Number One is called Signal Hill East Unit Number 149, owned by Barto Signal Petroleum. The well is currently shut down because sand has plugged its pump. The owners are interested in keeping it going because it is still producing quite a bit of natural gas and is capable of yielding more oil. Plans have been made to re-drill or insert an inner liner to bring Signal I-lill’s important historic landmark back to working order.
To Be Continued
Part IX
HISTORY On the Hill
Written by Julie Bendzick-Sin.
This is a reprint 9 of 24 articles first published in the Star Tribune 1990-1991
Digitally Preserved by the Signal Hill Historical Society for future generations
Jessie Elwin Nelson - The Mother of Signal Hill
The first Mayor of Signal Hill. Mrs. Jessie Elwin (Le Master) Nelson. was also ‘called affectionately, by her l920s constituents “Mother of Signal Hill.” Mrs. Nelson, a native of Clarksville, Tennessee, came to Long Beach in I903 with her husband Z.T, Nelson. Mr. Nelson had been born in Illinois. Soon after arriving in Long Beach, Mr. and Mrs. Nelson purchased 17 ½ acres of land in Signal Hill. and then made two more local land purchases totaling 9 additional acres. Later. the Nelsons sub-divided and sold this land.
Mrs. Nelson was an active resident of Signal Hill. During World War l, she was an effective member of the Red Cross and furthered local Liberty Loan drives. She wrote a column for the Long Beach Telegram which reported community news from Signal Hill and Los Cerritos. During the emerging oil boom on the hill, Mrs. ‘ Nelson covered oil production news. as well.
lt is credited to Mrs. Nelson that her influence, by and large, led the defeat of a movement to annex Signal Hill to Long Beach. She was supported by Signal Hill residents who had abandoned their homes to make way for extensive oil drilling. These residents objected to paying a higher tax rate the City of Long Beach was attempting to levy upon them.
ln his l927 book. The History of Long Beach and Vicinity, Walter Case wrote this about Mrs. Jessie Nelson:
"She started the movement for the incorporation of Signal Hill into a city of the sixth class. ln this she was successful and the city was incorporated April 7, l924. She was elected a member of the Board of City Trustees and. having received the highest number of votes, was made chairman of the Board, which automatically made her mayor. Hers is the distinction of having been the first woman Mayor in California. She served very ably and considered the interests of her constituents, without fear or favor or selfish ends. A woman of strong individuality, tactful and gracious in manner, she has long been recognized as one of Signal Hill's most progressive citizens. While in the social life of the community she enjoys a well merited popularity having a host of warm and devoted friends.”
On March 30. I925, Mrs. Nelson presented a written resignation to the board of trustees of the City of Signal Hill. Her resignation as mayor would take effect April 2, 1925. ln her own words, Jessie Nelson explained her motivations for her political involvement as first mayor.
"At the time of the proposed annexation to Long Beach of the territory embraced in the City of Signal Hill, I strenuously opposed the same and favored the incorporation of a new city. My attitude was inspired by the fact that had my late husband, Z.T. Nelson. survived, he would have personally taken the same position relative to these problems. My entry into the public service was not prompted by desire of personal gain or prestige or political preferment.
l have been glad to neglect my own personal and business interest for the past eighteen months. on behalf of my fellow citizens of Signal Hill in the common good, and now that the big project is well under way others can take up the good work and continue it.
Therefore, l ask to be relieved of the exacting duties and demands that l may devote my time and attention to to the recovery of my health, which has been greatly impaired during this period of time and to the protection of my personal business and property interests.”-
Z.T. Nelson, Jessie Nelson's husband, died in l92l. He had been previously married and had a son, Roy B. Nelson. by his first wife. ln l925 Jessie got married. again. This time to her stepson, Roy B. Nelson. Roy died two years later. Mrs. Nelson, herself, died August 25, l929 after a long period of illness. She was 58.
Her obituary credits Jessie Nelson with helping to establish city and county libraries in Long Beach and Signal Hill. She also organized the Ebel Club of Signal Hill, serving as its first president, and was president of the Civic League.
Mrs. Nelson's years of dedicated community service has earned her a place in local history. Truly. she was “The Mother of Signal Hill.”
To Be Continued
Part X
HISTORY On the Hill
Written by Julie Bendzick-Sin.
This is a reprint 9 of 24 articles first published in the Star Tribune 1990-1991
Digitally Preserved by the Signal Hill Historical Society for future generations
Tales of the Hill from the 1920’s
In 1924, Mrs. Viva Bill Boyd arrived in Long Beach as a young woman, with her parents. She describes in Long Beach As! Remember It how a sightseeing visit to Signal Hill in the mid-1920s was like a trip to Disneyland: "Oh, I almost forgot all about beautiful Signal Hill. That was something for me to see, because I had never seen an oil well before coming to California. I was scared to death to drive or ride up that old hill on Cherry Street. To me, it was the longest and highest hill I had ever seen." Mrs. Boyd's reaction to Signal Hill's oil field was typical for area residents of the 20s. Instead of seeing the Hill's oil derricks as dirty, noisy, industrial eyesores, they were viewed, more or less, as exciting curiosities and enviable sources of industry, progress and of course, wealth.
When Alamitos No. 1, the first well to produce oil on Signal Hill, blew out at 4:00 a.m., June 25, 1921, there were 500 spectators present who had been waiting at the drilling site throughout the night. Ray M Riddle, who worked as a fireman on Alamitos NO. 1 had vivid recollections of large crowds surrounding the drilling site. "They made us all nervous. I saw Billie Parker (a drilling crew member) slip from the top of the derrick and fall twice in one morning, but each time his safety belt caught him.
Everyone was excited. Wild promises were made. A shoe store owner who had property on the Hill vowed he would give me the deed to his store the instant Shell's discovery well came in. Later, of course, these enthusiastic statements were ignored by everyone.”
CH. Cupernell, who also worked with the Alamitos No. 1 crew, also remembered the throngs of thrill-seekers who witnessed the drilling, day and night. Cupernell recalled that on Sundays, men and women in their Sunday suits and best dresses would often gather around the site. One Sunday, a rotary hose broke loose, throwing mud in all directions. Everyone nearby was spattered with grime, yet the muddied crowd seemed to accept the accident without getting upset. Except for one woman in a large white hat, that is. When the mud from the rotary hose had ruined her hat, she insisted that Shell Oil Company or the drilling crew replace it.
Cupernell recalled that, "Soon after this incident, we built a wire fence around the well, but crowds broke it down every day or two. Finally, the boys hooked up the electric light cord from inside the derrick to the wire fence. From the spectators vantage point it looked like a sure shock to touch the fence. Actually, the cord inside the derrick was never plugged in, but it was a good bluff and lasted for a week until people discovered the ruse.”
Matt Schumacher, a cable-tool driller on Alamitos No. 1, recalls what happened one day when a boy bicycled to the well to collect a sample bucket of crud oil. The lad leaned over the slush pit to scoop up the crude, and he slipped and fell in. When the boy sank out of sight, Schumacher fished him out. Dripping wet, the youngster got back on his bike, muttered “Thanks," and rode off with the bucket of oil still gripped in his hand.
To be continued
To be continued…