THE THREE GORDONS

Conservation and Regulatory Impact of Government
All three are chemical engineering graduates from University of Alberta, all three have worked in Turner Valley and all three are retired. Out of the multitude of people involved with that erstwhile giant, these three Gordons probably made the greatest contribution of all by bringing unitization into reality after long years of Waste.

Turner Valley's brute force nearly ended Gordon Webster's career in 1943 when a flailing flow line whipped off both his legs. But sheer guts and determination brought Gordon back to the patch where he continued his career with Home Oil, not only in the North End but also in other areas. Always concerned with practical aspects, always skeptical of theoretical solutions, Webster's participated in the hearings and had much to do with Home's acceptance of the overall unitization plan and the formation of its own Unit No.6.

Gordon Connell's entire career had a regulatory thread running through it and yet he was a strong industry man. After moving over to the newly - formed Conservation Board from its provincial predecessor, Connell then joined Royalite (later to become Gulf Oil), concentrating on the Valley. His work led him to appear before the Public Utility Commissioners, the Conservation Board and also the National Energy Board in Ottawa. On top of this, he found time to organize and chair the respected Central Reserves Committee of the CPA. Retired after nearly 40 years of service, he still has a keen intuitive sense of what will work, combined with a photographic memory. This has earned him wide respect: "When Gordon speaks, everyone listens".

One of Connell's "students", Gordon McGuffin, considered himself to be a second generation professional. Starting with Royalite in 1947, he provided continuity for Gordon Connell's work, especially in the area of unitization. In many respects, McGuffin was one of the key workers on the unitization proceedings. He developed parameters and accomplished compromises, all due to his interpersonal skills and ability to communicate. Gordon cut his teeth at Madison Natural Gas (a Royalite subsidiary), then went with Royalite. When Gulf took over, he stayed on, concentrating on unitization until his retirement.

CHARLES CATHMER ROSS

One of the main driving forces in conservation was a McGill engineering graduate: Charles Cathmer Ross. Born in Ottawa in 1884, sometime after graduation he became an engineer with the old Department of Interior, the same employer that Stan Slipper had.

When Alberta obtained its mineral rights in 1930, he switched over to the Provincial Government. During this entire period his main objective was to try to curb waste in Turner Valley.

The short-lived Turner Valley Conservation Board was meant to be funded by the operators but these hard-nosed individuals, even if they were under the thumb of the Royalite monopoly, were not going to allow encroachment into their relatively small revenues.

Although Brownlee's United Farmers of Alberta regime had been populist in its outlook, Aberhart's new Social Credit Government (1935) was even more so, targeting Bay Street and the big oil companies as the chief villains in prevailing wealth from being created in Alberta.

Although Ross lived in Edmonton, he sought the Athabasca riding. He was elected by acclamation in the Social Credit Aberhart sweep of 1935. Because of his background, Aberhart gave him a Lands and Mines portfolio. C.C. continued his strong efforts to ensure conservation and therefore could be said to be the father of the Conservation Board legislated into being on July 1, 1938. Unfortunately he only lived a few months after its inception and died in Vancouver on September 13, 1938.

ROYALTIES

The most famous example of a royalty entrepreneur was Robert A. Brown, Sr., electrical engineer, sometimes employee of General Electric and Calgary's Street Railway Superintendent. He built power plants at Fort Mcleod and elsewhere. He had a number of "companies", their names painted on the door of 232 Lougheed Building (southeast corner of 6th Avenue and 1st street S.W.): Brown, Moyer and Brown, Brown Consolidated, Brown Oil Corp. Limited, United Brown, Vulcan Brown and of course Turner Valley Royalties.

Brown Sr.'s crude "discovery" well, aptly named TV Royalties No.1 was located in Isd 13-28-18-2-W5M n two ten-acre parcels with no offset acreage protection. The hole was started with cable tools in 1934 and then switched over to rotary. Every time funds ran out, the rig would shut down, Brown would ring doorbells and peddle royalties on the play. When his well blew in on June 16, 1936 at 960 barrels a day, more than 100% royalties are believed to have ben sold. But by that time, who cared? Brown was on his way to riches which his son, Bobby Brown, Jr., would build on and lose.

Another outstanding (flagrant?) example of financing by royalties can be seen in an organization known as the Pacalta Operating Royalty Holders Committee with offices at 317 Alberta corner (8th Avenue and 1st Street S.W., Calgary) The committee had taken over the Pacalta Royalties well in Isd 7-28-18-2-W5M in November 1934 from the original operators. It was completed on January 14, 1935 "for the benefit of royalty holders". In the six months ending June 30, 1936, production was 16,600 barrels of crude naptha valued at $40,682 and 1.065 Bcf of gas valued at $1,694 (over $2,000,000 in today's market using $2 per Mcf. no wonder natural gas was flared!) Their royalty liabilities were 10% to the crown, 12½% to Pacalta Oils and the balance: 77½% sold to complete the well.

From, Historic Turner Valley, Cradle of Westen Canada's Oil and Gas Industry, pg 94-95