Frank Phillips (oilman)

Frank Phillips
Frank Phillips
Born	Error: Invalid birth date for calculating age; Scotia, Nebraska, U.S.
Died	August 23, 1950 (aged 76); Atlantic City, New Jersey, U.S.
Occupation	Oil industry entrepreneur
Known for	Co-founder of Phillips Petroleum Company

Frank Freeman Phillips (November 28, 1873 – August 23, 1950) was a prominent American oil industry entrepreneur who, along with his brother Lee Eldas Phillips, established the Phillips Petroleum Company in 1917. He held the position of president from its inception until 1939 and then served as chairman until 1949.

Early life and education

Frank Phillips was born in Scotia, Nebraska and spent his early years on a farm. Following a devastating grasshopper outbreak, his family moved to a rural area in southwest Iowa. Among his siblings was Waite Phillips, notable for founding the Philmont Scout Ranch in New Mexico.

At 14, Phillips left formal schooling to apprentice as a barber in Creston, Iowa. His proficiency in barbering enabled him to acquire the Climax Barber Shop—later renamed Climax Shaving Parlor—situated in the basement of the Creston National Bank Building. Over the next decade, he expanded ownership to all three barber shops in Creston and marketed hair loss remedies alongside his services. By age 25, he had amassed $75,000 through these enterprises.

Marriage and family

On February 18, 1897, Phillips wed Jane Gibson, daughter of John Gibson, president of a local bank in Creston. Jane had been one of Phillips’ customers, and her father consented to their marriage on the condition that Phillips leave the barber trade to pursue banking. The couple had one son named John Gibson Phillips and later adopted two orphaned daughters, Mary Francis and Sara Jane Phillips. Jane passed away shortly before Frank.

Career

Following their marriage, John Gibson invited Phillips to enter the bond business due to his favorable impression of him. Phillips subsequently sold bonds across New England and Chicago. In 1903, during a visit to St. Louis, he encountered C. B. Larabee who informed him about the burgeoning oil prospects in Oklahoma’s Osage County. That same year, with assistance from Gibson, Frank and his brother L.E. established Anchor Oil & Gas Company with an authorized capital of $100,000 and $15,000 paid-in capital.

Anchor Oil set up an office in Bartlesville by 1905 and drilled its inaugural well—Holland No. 1—which struck oil on June 23. After two unsuccessful wells nearly exhausted their funds, the Anna Anderson Number One well produced an abundant flow in September 1905. This breakthrough allowed them to raise $100,000 through stock offerings. The company went on to develop 80 consecutive producing wells and was an early adopter of natural gas utilization at a time when it was often wasted.

In the same year, Frank and L.E., together with their brother Waite—who later founded Independent Oil & Gas Co. in Tulsa—formed Lewcinda Oil Company; this entity merged with Phillips Petroleum in 1930.

Also in 1905, they launched Citizens Bank and Trust in Bartlesville with $50,000 capital. This institution eventually merged with Bartlesville National Bank to become First National Bank of Bartlesville. By 1916, aiming for financial stability beyond the fluctuations of oil markets, the brothers planned to establish a bank in Kansas City as part of a Midwest network but delayed due to World War I.

With wartime oil prices rising from 40 cents to over $1 per barrel, they consolidated their assets into Phillips Petroleum Company on June 13, 1917. The newly formed company possessed $3 million in assets, employed 27 people, and held leases throughout Oklahoma and Kansas.

Affectionately called "Uncle Frank" by staff members, Phillips valued dedication and loyalty but was also known for his firm leadership approach. He remained president until he turned 65 in 1939 when Kenneth S. "Boots" Adams took over following record earnings of $24.1 million. Phillips continued as chairman until retiring at age 76 in 1949.

Jane Phillips died in 1948; Frank passed away on August 23, 1950 while vacationing in Atlantic City. He was interred alongside his wife at Woolaroc—their ranch and country estate located near Bartlesville in Osage County.

Legacy and honors

In 1944, Phillips contributed a portion of his ranch to establish the Frank Phillips Foundation and proceeded to sell the remaining land.
The community junior college located in Borger, Texas, was named Frank Phillips College in tribute to him.
He earned induction into the Oklahoma Hall of Fame in the year 1930.
In 2008, Woolaroc, the historic residence of Frank and Jane Phillips, gained recognition by being added to the National Register of Historic Places in Osage County, Oklahoma.

External links

Voices of Oklahoma interview with Elliot "Chope" Phillips, Frank Phillips's nephew. This first-person interview from May 5, 2009, is preserved within the Voices of Oklahoma oral history project.