India’s First Oil Refinery: The Legacy of Digboi

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Digboi is a town located in the Tinsukia district of Assam, India. Known for its historical significance in the oil industry, Digboi holds the title of the “Oil City of Assam.”

Historical Background

  • Crude Oil Discovery: Oil was discovered in Digboi in the late 19th century, making it a landmark location for the petroleum industry in India.
  • First Oil Well: The first oil well in Asia was drilled here in 1866.
  • Refinery Establishment: Digboi’s oil refinery, established in 1901, is one of the oldest in the world and remains operational to this day.

Key Features

British Legacy

  • Digboi flourished during the British colonial period, with many British professionals working for the Assam Oil Company.
  • The town is notable for its colonial-style bungalows and well-developed infrastructure from that era.

Tourist Attractions

  • Golf Course: Digboi has an 18-hole golf course as part of the prestigious Digboi Club.
  • Accommodations: Guesthouses and tourist apartments have been set up to boost tourism in upper Assam.

Heritage Value:

  • Digboi boasts the oldest operational oil well in India, a living testament to its rich industrial history.

Discovery of Oil in Digboi

  • Oil was accidentally discovered in 1867 by Italian engineers working for the Assam Railways and Trading Company while building a railway line from Dibrugarh to Margherita.
  • The discovery site was around 10 miles from Margherita.

Origin of the Name ‘Digboi’

  • The phrase “Dig boy, dig” was allegedly shouted by Canadian engineer W. L. Lake upon spotting oil traces, leading to the town’s name.
  • This story is intertwined with the discovery of oil and the use of elephants for haulage, whose footprints were reportedly stained with oil.

Timeline of Events

  • 1867: Initial discovery by Italian engineers.
  • 1882: Engineers extending the Dibru-Sadiya railway line to Ledo noticed oil traces from elephants’ footprints.
  • 1888: The Assam Railways and Trading Company directors approved oil drilling, spearheaded by W. L. Lake.
  • 1889: The first oil well drilling began in September.
  • 1890: The well was completed in November at a depth of 662 feet (202 meters).

Role of W. L. Lake

  • An English engineer and oil enthusiast who persuaded the Assam Railways and Trading Company to commence oil drilling.
  • Supervised the drilling process, assembled equipment, and used elephants to transport machinery to the site.

First Oil Well

  • Drilling at the first well initially struck oil at 178 feet but yielded a small pocket, prompting further drilling.
  • The well eventually became a significant discovery, marking the foundation of Digboi as a center for oil production.

Legacy of Digboi

  • The oil drilling project laid the foundation for the Assam Oil Company.
  • Digboi holds historical importance as Asia’s first oil drilling site and a major milestone in India’s petroleum industry.

History of Digboi: Key Highlights

Early Discoveries (1825-1865)

  • Early records of oil sightings in India date back to 1825, when Army officers such as Lt. R. Wilcox, Major A. White, and Capt. Francis Jenkins reported petroleum seeping from the banks of the Dihing River in Upper Assam.
  • In 1828, C.A. Bruce, while prospecting for coal, noticed oil in the region.
  • H.B. Medicott of the Geological Survey of India also observed oil in 1865 during coal exploration.

Initial Drilling Attempts

  • 1866: Mr. Goodenough of McKillop, Stewart & Co., Calcutta, initiated the first systematic drilling for oil at Nahorpung, approximately 30 miles southeast of Digboi.
  • The first hand-dug oil well in India, drilled to a depth of 102 feet (31 m), was dry, but the second well at Makum, near Tinsukia (14 miles from Digboi), struck oil.

Establishment of Digboi Oilfield and Refinery

  • 1889: A small oil installation was set up in Digboi by the English.
  • 1899: Assam Oil Company was formed to manage the oil business in the area.
  • 1901: Asia’s first oil refinery was established at Digboi.
  • During World War II, the Digboi oil field produced up to 7,000 barrels per day, its peak production.
  • Post-war, mismanagement of reservoirs led to a sharp decline in production. Currently, output is approximately 240 barrels per day.

Modern Developments

  • Digboi oilfield remains India’s oldest continuously producing oilfield, with over 1,000 wells drilled to date.
  • The Digboi refinery, now part of Indian Oil Corporation, had a capacity of 0.65 million tonnes per year as of 2003.
  • Digboi is the Headquarters of the Assam Oil Division of Indian Oil Corporation Limited.

Historical Events

1939 Labour Union Strike

  • The refinery witnessed a major labour union strike led by Sardar Amar Singh Marwah, aligning with the Indian Independence Movement.
  • Harsh measures, including shooting the union president and issuing “Quit Digboi, Quit Lakhimpur, and Quit Assam” orders, were taken by British authorities to suppress the movement.

Commemoration

  • In 1989, the Department of Posts, India, issued a stamp commemorating the 100 years of the Digboi oilfields.

Digboi Refinery – Recent Initiatives and Achievements

Modernization Project

  • To address technological obsolescence, the Digboi Refinery modernization project was implemented on a large scale.
  • Various additional major projects were initiated by the Assam Oil Division to further revamp and modernize the refinery.

Certifications

  • The refinery has been awarded the ISO-14001 certification, signifying its commitment to environmental management.
  • It has also earned the OHSMC (Occupational Health and Safety Management Certificate) for adhering to high safety standards.

Conclusion

Digboi Refinery stands as a testament to India’s pioneering journey in the oil industry. Through continuous modernization efforts, the refinery not only operates efficiently but also upholds international standards for safety and environmental sustainability.

Beyond its industrial significance, Digboi reflects the rich historical legacy of India’s first oil town, blending British-era charm with modern advancements. This iconic destination, with its historical importance and tourism potential, remains a symbol of India’s progress and resilience in the energy sector.

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