Roberts Petroleum Torpedo Co. - Fantastic Vignette - 1865 dated Stock Certificate

Stock printed by Major & Knapp, New York with 25 cents Washington revenue stamp! Similar to OS1106 but not issued to a Roberts.

Founded in 1865 by Civil War veteran Colonel Edward A.L. Roberts and his brother Walter, the Roberts Petroleum Torpedo Company revolutionized the American oil industry through the invention of the “exploding torpedo.” Inspired by the underwater explosions of artillery shells during the Battle of Fredericksburg, Roberts conceived a method that, a precursor to modern hydraulic fracturing, involved lowering iron flasks filled with black powder (later replaced with nitroglycerin) into wells and covering them with water to “tamp” the blast. This water column redirected the energy of the explosion horizontally into the oil-bearing rock, causing it to shatter and significantly increasing production by up to 1,200% in certain instances.

Despite its substantial success, the company gained notoriety for its aggressive enforcement of a near-total monopoly on “shooting” wells. Roberts imposed high fees, often ranging from $100 to $200 per torpedo, along with a royalty on the increased oil flow. This led many independent operators to hire illegal “moonlighters” to perform the service clandestinely. To address this issue, the Roberts Petroleum Torpedo Company invested hundreds of thousands of dollars in Pinkerton detectives and legal proceedings, reportedly engaging in more patent lawsuits than any other entity in U.S. history at the time. The company’s legal grip on the industry ultimately ended in 1883 when Congress declined to renew the patent due to the widespread controversy it had generated in the oil regions.