An Exploratory, Longitudinal Study of Factors Influencing Development of a Networked Company

Abstract

In 1901 the Gulf Refining Company was chartered to provide refining and sales support to the Spindletop oil field in southeast Texas (Gulf Oil History, 2003). A refinery was built immediately after on a 4,000 acre site. The facility was acquired in 1985 by Chevron as a part of a merger with Gulf (‘Congratulations Premcor 100 Years,’ 2001). In February 1995, Chevron sold the Port Arthur plant with an important proviso. Chevron agreed to perform any environmental remediation required by the United States Environmental Protection agency (U.S.-EPA) or the Texas Natural Resource Conservation Commission (TNRCC) after sale was complete. Chevron assumed responsibility for contamination associated with the site since 1901. A total of US$500 million was placed in reserve. Chevron was ultimately required to “make good” on the agreement, and Chevron established a networked company fulfill the obligation. This longitudinal study of that networked company reports the factors found to have positive, negative, and neutral effects on the project.