Pan American Sulphur Company
List of Deals
Pan American Sulphur was incorporated in Delaware in April 1947. The firm, which was based in Dallas, was organized to explore and produce sulphur in Mexico through a wholly owned subsidiary, Gulf Sulphur Co. de Mexico, S.A.
On the basis of sixty-nine test wells drilled on its concession prior to 1952, Pan American estimated that its proved reserves totaled about twelve million tons. Pan American purchased and developed sulphur concessions through several common stock and debt offerings in the early to mid-1950s. They also received financing loans granted by the Export-Import Bank. The concessions were known as the Jaltipan, Potrerillos, and Teterete concessions, were located on Isthmus of Tehuantepec, State of Veracruz, Mexico, and totaled an area of 23,300 acres. As of September 1953 eighty-eight wells were drilled on this property and a production plant was constructed.
By mid-1954 proven reserves of sulphur were estimated at 19.7 million long tons and probable reserves were estimated to be 7.9 million long tons. By December 1955, the plant at Jaltipan was producing at a rate of over two thousand long tons per day.
Pan American Sulphur earned $378,028 in 1955 from sales of $3,393,924.