Have you heard about the Canadian oil and gas giant? Originally known as British American Oil, Gulf Canada has been in business since 1906. For over 100 years, it has been supplying the country with energy resources. Still, it is less famous than Chevron or Shell. Outside Canada, this brand is mainly familiar to oil industry experts.
Still, the company has a fascinating history. The story of its evolution is also confusing due to multiple mergers and acquisitions. There are so many names and locations. Here are five essential facts about the company and its activities today.
Many Names, One Company
This energy provider has been named differently over the many decades of its existence. This causes a lot of confusion, and consumers are understandably puzzled. Let’s begin with the origins. Originally, in 1906, Gulf Canada Resources Limited was incorporated as the British American Oil Company Limited.
Over the next 60 years, its name was unchanged. Then, the British American Oil company limited was bought by an American corporation. This buyer was Gulf Oil Corp. The result of the merger was called Gulf Oil Canada Limited.
So, what about Gulf Canada Ltd.? you may ask. This name became official 9 years later — in 1978. In another 9 years, in 1987, the name was changed once more. The company became known as Gulf Canada Resources Limited. Today, it is a giant with diverse interests. They go far beyond oil. The brand distributes natural gas, distills spirits, produces pipelines, and sells various forest products.
Was There Anything British about the British-American Oil Company?
Hardly! The founder of the company was born in Welland, Ontario. Albert Leroy Ellsworth born in 1876 established his firm in Toronto, across the ocean from the UK. By that time he had worked at a refinery in New York for 9 years.
The company was officially registered on October 17th, 1906. Its first office building was at the corner of King and Yonge Streets in Toronto. As for the ‘British’ in the name… We have not been able to find any connections.
The Little Egypt Bump Controversy
Big corporations are known to cook their books time after time. Do you remember Enron? The Little Egypt Bump was the name of an accounting strategy that caused quite a stir. In 1985, the company used it to make a few corrections to its reports concerning the purchasing activities. The trick did not go unnoticed.
The corporation was motivated by its desire to take advantage of the national tax legislation. The illicit accounting behavior allowed it to circumvent the rules that applied to partnerships. This caused a scandal so big that the head of the opposition John Turner made a dramatic official announcement.
In Parliament, the politician declared that the company had deprived local taxpayers of 1 billion dollars. This loss equaled the lost tax revenue. However, other sources claimed the cost was half as big. The former federal deputy minister of finance was alleged to have been involved. He had left his position in the government to work alongside the Reichmann family during the negotiations.
Why Did the Canadian Gulf Company Disappear?
Canadian Gulf Company was once a subsidiary of the Gulf Oil Corporation. Until 1956, it operated independently. Then, it was merged with British American Oil. In exchange, the former subsidiary gained a controlling interest. The result of the merger was a giant. It became the second-biggest producer of oil and the biggest holder of gas reserves in the country.
In How Many Countries Can You Find Gulf’s Products?
The geographic coverage is truly impressive. The company has been working on its brand identity for over 100 years. At the moment, you may find its products in over 100 countries. Globally, it is one of the oldest and most famous producers of oil and related products in the world. The brand is committed to development and growth, which is reflected in its impressive expansion.
Gas stations with the company’s recognizable orange logo are found on different continents. The brand is also famous for its support of motorsport and the Le Mans 24Hrs. The sponsorships include race teams like the famous Aston Martin Racing Le Mans.
The Bottom Line
Admittedly, Gulf is among the biggest energy brands in the world. Its history is rich, and the future is robust. The company is still growing and looking for more partners and new territories.