To grasp the potential size of the region's subterranean oil slick one need

only recount a simple fact: Northern Lake County at one time was among the

nation's oil meccas - a vast network of refineries, pipelines and inland

shipping for oil.

Amoco Oil Co. runs one of its largest refineries in Whiting, and miles of

pipeline zigzag below the ground's surface while dozens of large storage tanks,

vestiges of refineries from earlier times, dot the landscape in East Chicago

and Hammond.

"The area became the designated site for the nastiest, smelliest, heaviest

industries in Chicago," said Lance Trusty, a professor of local history at

Purdue University Calumet.

The technology during the 1920s when most of the area's refineries were

built included wooden-bottom and brick storage tanks, unwelded pipe fittings,

and wooden pumps and pipelines. The technology leaked and manual gauges led to

frequent tank overfills.

Environmental officials measuring the quantity of the area's subsurface oil,

Trusty said, "will find a soup (of petroleum products). You had this great

sandy soil back then that was great for dumping (liquid industrial wastes). ...

Gasoline, a waste product back then, was dumped into the Grand Calumet River."

And the highly contaminated Indiana Harbor Ship Canal, explained Archibald

McKinlay, another noted local historian, "From its beginning in 1888 was meant

to be an industrial canal. It never was a natural waterway, so what was abused?"

Said Trusty, "The attitude was different then. ... It's quite unreasonable

to hold someone to (today's) ecological standards. In the early 20th century

this was where the jobs were. It was the epitome of the old industrial

revolution and people were damn proud of it."

Added McKinlay, "Criticizing people for what happened back then is like

criticizing us for what we did to the Indians. If someone didn't build industry

in the Calumet Region, we wouldn't be here."

The number of refineries peaked during the 1920s when five plants churned

out about 130,000 barrels of petroleum daily. Today, all but Amoco have halted

refining operations, although some maintain storage tanks.

* STANDARD OIL CO. of Indiana was built in 1889 on 235 acres of sandy

marshland next to Lake Michigan. Plans included 80 crude stills, each with a

600-barrel capacity and a host of storage tanks.

The refinery and city of Whiting grew side-by-side. By 1891, the refinery

processed 17,000 barrels of crude oil daily, and in 1913 Standard won the first

gasoline patent about the same time it expanded its property to the canal where

its tankers hauled gasoline and oil for distribution throughout the Great Lakes

region. By then, it produced hundreds of products.

In 1960, American Oil Co. was born when refining, distribution, marketing

and research arms merged into a single company. In 1973, the company

incorporated the name Amoco into the names of its major subsidiaries.

Today the refinery, at 2815 Indianapolis Blvd., sits on 1,400 acres and

processes about 360,000 barrels of crude oil daily - roughly equal to the

estimated 400,000 barrels Amoco last month acknowledged has leaked beneath its

plant and nearby homes over 102 years.

* SINCLAIR OIL CO. refinery was completed in the winter of 1917 on the north

bank of the canal in East Chicago, not far from Standard. About a year later it

processed 10,000 crude oil barrels daily, with pipelines stretching from

Oklahoma and Kansas oil fields to the refinery.

Later, Atlantic Richfield Co. ran the 280-acre refinery until 1976 when a

group of eight farm cooperatives bought it. Called Energy Cooperative Inc., at

3500 Indianapolis, the group in 1981 mothballed much of the plant. In May 1984,

ECI filed for bankruptcy and later bulldozed the site.

In December 1989, the deed was signed over to a nonprofit city development

group at a tax scavenger sale. The U.S. Environmental Protection Agency

estimates there are 2.3 million gallons of sub-surface waste oil at the site,

and oil slicks appear on the adjoining canal whenever there are heavy rains.

An EPA official said the law exempts cities from cleanup liability in cases

where they acquire tax-indebted property.

* SHELL OIL CO.'S subsidiary, Roxana Petroleum Corp., was established in

1927 on Michigan Street in Hammond. A $15 million, 400-acre facility with a

large dock on the canal and pipelines that stretched to the plant from southern

oil fields, Roxana was said by the former East Chicago Magazine "to make East

Chicago the Midwest oil center in America."

The same 1926 issue of the magazine went on to say, "It is claimed that the

addition of the plant will not add to the industrial grime of the city on

account of the process used in refining." Roxana's estimated output was 25,000

barrels of fresh crude daily.

Later, Stauffer Chemical Co., now Rhone-Poulenc Basic Chemicals Co. of 2000

Michigan, bought 23 acres of the Shell property. Vista Chemical Co., located

next door, leases some four acres from Rhone-Poulenc for its operations.

Vista later bought 30 acres of the Shell property east of Rhone-Poulenc and

has torn down large storage tanks there. The property remains vacant. Sources

told The Times that Vista found oil on the groundwater table through core

samples.

Plant Manager Jim Pavao said, "There may have been testing of the 30 acres.

There's no question there's some contamination there." Pavao later said he

checked with company officials and was told Vista conducted no such testing.

* CITIES SERVICE OIL CO.'S subsidiary, Empire Oil Co., built a refinery in

1929. Crude oil traveled through a 12-inch pipeline from southwestern oil

fields to the 372-acre facility. The plant boasted a 15,000-barrel crude oil

output daily, much of it used to make gasoline, which by then was in great

demand along with the car.

Cities Service shut down Jan. 1, 1973 after financial losses. City planner

John Vasconi proposed converting 55 large storage tanks at the site into

high-rise apartment buildings by cutting portholes in the sides and installing

elevators. Vasconi's "Marina Towers" idea never got off the ground.

In 1980, a dramatic fire erupted in one of the abandoned tanks, which still

contained the highly explosive chemical naptha.

* SOCONY VACUUM CO. of Hammond was the result of several mergers. In 1930

its predecessor, Vacuum Oil Co., bought two companies that had merged two years

earlier, Bartles-Maguire Oil Co. and Wadhams Oil Co.

In 1931, Vacuum Oil and Standard Oil Co. of New York joined to become Socony

Vacuum, then the second-largest oil company in the nation.

Later, Socony became Mobil Oil Corp., with a bulk storage facility at 1527

Columbus Drive, Hammond, directly west of the Hammond-East Chicago border and

north of Columbus Drive, and a more than 20-acre refinery and tank yard at 3821

Indianapolis, East Chicago, between the west and south canal branches and Tod

Park.

Today, Mobil is tearing down many of its old tanks.

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