LEGISLATION AND ORGANIZATION
E. W. Hilgard was appointed Mississippi's State Geologist
who outlined the geology of the State in a report entitled
"The Geology and Agriculture of Mississippi,"
reporting the existence of the Jackson Dome.
Amerada Petroleum Company had its beginning as the Alabama
Exploration Syndicate. This was the brainchild of Everette
In Mississippi, C.R. Ridgway spearheaded the organization
of one of the earliest exploration companies known as
the Jackson Oil & Gas Company.
Utilizing the vast natural gas reserves found in the
Monroe Gas Field, the Mississippi Power and Light Company
joined two other utilities in generating electricity.
A power line was built from the generating plant on
the Ouachita River to Vicksburg to supply electricity
to central Mississippi. This electric power reached
Jackson by 1925.
The Southeastern Oil Review was originated as the Mississippi
Oil Review by M. Frank Henderson. J. Ishee will provide
On October 6 an oil scouting service was established
for Mississippi and Alabama by Robert L. Steffy, operating
from the Edwards Hotel in Jackson.
Two bills were passed taxing companies and persons selling
natural gas to the public, and establishing a conservation
bill and setting up the Oil & Gas Board. The first
rules required permits, logs filed, casing cemented
and plugging notice. The Oil & Gas Board also was
given the power to require steel line measurements and
to cease operations.
Oil was being tremendously over-produced and the Connally
"Hot Oil Act" was passed. State reacted by
forming the Interstate Oil Compact Commission.
A State Mineral Lease Commission was formed and engaged
in the drilling of several wells on the Jackson Dome
(Hughes page 82).
The Legislature gave the State Oil & Gas Board the
power to prorate wells, but the Federal Court overturned
this proration law.
The first official "scout check" was initiated
The Natural Gas Act became effective June 1 making gas
companies subject to regulation by the Federal Power
The Mississippi State Geologic Survey made public a
report by Fred Mellon on April 12 that a "high"
structure had been discovered in Yazoo County. This
led to the discovery of Tinsley Field. (Hughes, Chapter
This Mississippi Geological Society was formed. The
officers were Henry Toler, President and Tom McGlothlin,
The Steffey Report was bought out by "Buzz"
Morgan. The first report of the Dixie Geological Service
was published April 24.
In January, the "Dixie" reported that Dr.
Everett DeGolyer, Director of Conservation of the Office
of the Petroleum Coordinator, urged the State Legislature
to "take up the job of managing production of oil
and gas so that it will be properly conserved and the
physical waste will be avoided. Mississippi failed to
pass a conservation bill in 1942.
The Legislature placed a tax of six cents or six percent,
whichever is greater.
The Mississippi Association of Petroleum Landmen was
formed June 7 with W. Brantley Jackson as its first
The Mid-Continent Oil & Gas Association affiliated
the Mississippi-Alabama Division on October 27, with
first officers being Buzz Morgan, President and W.M.
Vaughey, Vice President. E. D. Kenna was its first Chairman.
The Mississippi Legislature enacts Conservation Statutes
and created the present State Oil & Gas Board. "
It is the intent and purpose of this law to permit each
and every oil and gas pool in Mississippi to be produced
up to its maximum efficient rate of production, subject
to the prohibition of waste as herein defined
Unitization Laws were enacted by the Legislature. This
was a significant move by the Legislature to encourage
Risk Compensation laws were adopted providing a mechanism
which allows parties drilling oil and gas wells to be
compensated for the risk associated with exploration
and development from interest owners who do not lease
or participate financially in the drilling projects.
The Mississippi Independent Producers and Royalty Owners
Association (MIPRO) was formed at its initial annual
meeting August 22.
The Mississippi Natural Gas Marketing Act went into
effect July 1 to give all owners in a gas well the assurance
of an opportunity to market its share of gas.
Incentive Legislation was enacted which has provided
certain exemptions from the State's 6% severance tax
to encourage the drilling of wells within the state.