Applied Geophysics in Brazil and the Development of a National Oil Industry (1930 - 1960)

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Applied geophysics in Brazil and the development of a national oil industry (1930 - 1960)

Drielli Peyerl & Silvia Fernanda de Mendonça Figueirôa

To cite this article: Drielli Peyerl & Silvia Fernanda de Mendonça Figueirôa (2020) Applied geophysics in Brazil and the development of a national oil industry (1930 - 1960), History and Technology, 36:1, 83-104, DOI: 10.1080/07341512.2020.1765618 To link to this article: https://doi.org/10.1080/07341512.2020.1765618

Published online: 19 May 2020.

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Full Terms & Conditions of access and use can be found at https://www.tandfonline.com/action/journalInformation?journalCode=ghat20 HISTORY AND TECHNOLOGY 2020, VOL. 36, NO. 1, 83–104 https://doi.org/10.1080/07341512.2020.1765618

Applied geophysics in Brazil and the development of a national oil industry (1930 - 1960) Drielli Peyerla and Silvia Fernanda de Mendonça Figueirôab aInstitute of Energy and Environment, Research Centre for Gas Innovation, University of São Paulo, São Paulo, Brazil; bDepartment of Teaching and Cultural Practices, School of Education, University of Campinas, Campinas, Brazil

ABSTRACT KEYWORDS From the late nineteenth century onwards the Brazilian state Geophysics; oil industry; founded several public institutions involved in oil exploration: the technology; Brazil Geographical and Geological Commission of São Paulo (CGG, 1886), the Geological and Mineralogical Survey of Brazil (SGMB, 1907), the National Oil Council (CNP, 1938), and the state-run oil company Petrobras (1953). This article details the history of geophysical exploration in Brazil over the ﬁrst half of the twentieth century and its role in transforming the country into a major oil producer, stressing the involvement of foreign experts and the role of imported technology. It focuses on the close relationship between Brazil and the United States in applying geophysics techniques to scrutinize Brazilian territory in the search for oil while unveiling the commercial and political dimensions of such technoscientiﬁcexchanges.

Introduction From the late nineteenth century onwards the Brazilian state founded several public institutions involved in oil exploration: the Geographical and Geological Commission of São Paulo (CGG, 1886), the Geological and Mineralogical Survey of Brazil (SGMB, 1907), the National Oil Council (CNP, 1938), and the state-run oil company Petrobras (1953).1 This article details the history of geophysical exploration in Brazil over the ﬁrst half of the twentieth century and its role in transforming the country into a major oil producer, stressing the involvement of foreign experts and the role of imported technology. It focuses on the close relationship between Brazil and the United States in applying geophysics techniques to scrutinize Brazilian territory in the search for oil while unveiling the commercial and political dimensions of such technoscientiﬁc exchanges. While economic historians commonly characterize Brazil as an industrial latecomer with an industrialization process only initiated through import substitution after World War One, some sectors like its oil industry, those same scholars assert, achieved uncon- tested internationally competitive levels.2 By following the history of geological surveying technologies, this text contextualizes and interrogates the paths taken by the Brazilian oil industry since its early stages. The authors suggest the importance of a history of technology approach, attentive to the role of geophysics techniques and their promises

CONTACT Drielli Peyerl [email protected] © 2020 Informa UK Limited, trading as Taylor & Francis Group 84 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA of driving down exploration costs, for more general discussions of the role played by oil and gas industries in the contemporary history of Brazil.3 Although the field of history of science and technology in Brazil has undergone a sustained expansion in the last decades, it is still rare to find in the literature examples of scholarship following David Edgerton’s ‘eclectic theses’ urging a ‘serious engagement between general history and the history of technology’.4 We hope that the present text will contribute to expanding such disposition among Brazilian scholars while its transnational dimensions suggest its relevance beyond its local context, in particular for all those historians interested in discussions of ‘American scientific hegemony’. Before we delve into the history of the emergence of geophysics in Brazil, we offer a generic account of its role in oil prospecting to help the reader follow our argument. The consensus had always been that oil drilling involved some guesswork. Even in the twentieth century, when ‘petroleum geologists began to rationalize and codify prospecting, Everette L. DeGolyer, one of the most influential geologists of his time, noted: “it takes luck to find oil”’.5 The experience acquired across different geographies confirmed that geologic knowledge and technological expertise were not sufficient to eliminate some guessing when drilling a location for oil extraction.6 Nevertheless, development of new exploration areas and investment in new research methods gradually made predicting a more consistent practice: The actual location of oil accumulations enhanced and refined models relating oil concentration to geological structures, which in turn led to the discovery of new deposits, producing a ‘virtuous circle’ of growing number of oil fields and more accurate models. Until the 1920s, geology provided the main hints regarding anticlines and salt domes to be surveyed and drilled when searching for oil deposits. When oil finders started systematically to look beyond surface features to determine where to drill, they turned to geophysics.7 This new discipline emerged in the early twentieth century by regrouping some fields of the earth sciences:

A larger framework – geophysics – was advocated to encompass various geophysical specializations: geodesy, meteorology, terrestrial magnetism and electricity, physical oceanography, seismology, volcanology, and hydrology. The assembly of this larger framework occurred simultaneously with the emergence of these specializations and interacted intensively with them. (. . .) A disparate collection of methodological, instrumental, theoretical, and mathema- tical commitments was assembled into a stronger, though not singular, geophysics.8

Innovation-centered histories of oil technology point to ‘four techniques, in particular, [that] revolutionized exploration for locating oilfields. Together, they signaled the beginnings of exploration geophysics’.9 The first technique was magnetics, which employed the magnetometer, invented by Swedish engineers in 1870; the second, the detection of gravitational variations on the surface, using a variant of the torsion balance invented in the eighteenth century; the third technique, created in 1912, used measurements of the electrical resistivity of the earth’s surface. Finally, the fourth technique, seismic exploration, had been applied to record earthquake tremors since 1885, when ‘the first modern device to detect earth movement was constructed’.10 These geophysical techniques complemented and expanded previous surveying practices, helping to locate drilling sites leading to the discovery of vast oil deposits, such as those along the Gulf Coast in the HISTORY AND TECHNOLOGY 85

Americas and Australia. It is not an exaggeration to state that ‘exploration geophysics’ became the basis for oil exploration from the 1920s onwards.11

Over the period 1920–1940, there were many competing ways of discovering and then mapping oil ﬁelds. One great natural divide between sets of methods was whether or not one had to drill a hole in order to practice the technique. Drilling was always expensive in terms of resources and time. With oil companies scrambling for leases on possible oil-bearing lands and spread thin across the world, other methods were generally initially preferred- even if they led to only a marginally higher return.12

Hence, geophysical surface methods such as seismic, electrical, and torsion balance gave additional data for research and discoveries of new oil ﬁelds.13 As we will see, this was also the case in Brazil.

Beginnings of geophysics in Brazil Brazilian historians characterize the early years of the twentieth century as the apogee of the oligarchic state, a moment in which the elite and growing middle class shared the belief that they were progressing towards the ‘level of civilization’ of advanced countries.14 While until the end of the nineteenth century, industrialization efforts were dependent upon investments in the export sector, namely coffee exports, from 1900 onwards Brazilian domestic industry could boast its growing ability to attract investments.15 Expanding industrialization opened up discussions concerning domestic energy sources and justified in 1904 the hiring by the Brazilian government of Israel Charles White (1848–1927). A North American geologist from the University of West Virginia, White would undertake a coal-focused geological survey of Brazil after he was appointed head of the Commission for Coal Mine Studies (Comissão de Estudos das Minas de Carvão). He had been employed previously by the Geological Survey of Pennsylvania, the U.S. Geological Survey and the West Virginia Geological and Economic Survey.16 In 1892 he had resigned his academic position to run his own oil business. White specialized in coal, petroleum and natural gas, and was renowned for having formulated the so-called Anticlinal Theory of oil and gas occurrence.17 The suggestion of his name to direct the Brazilian Commission probably came from Orville Adelbert Derby (1851–1915), then director of the Geographical and Geological Commission of São Paulo, another North American geologist who after obtaining his Ph.D. at Cornell University on Devonian brachiopods of Amazonia had also left the United States for Brazil. It should be noted that at the time White was hired by the Brazilian state, oil exploration in Brazil was subordinate to coal exploration. The first object of interest of the Commission was coal, and issues related to potential findings of oil came up only in the Final Report White published in 1908. In this report, oil deserved no more than two and a half pages in which White explained how he had been frequently asked about oil possibilities regarding the whole country, but that he could only express his opinion about the part of the territory he had actually visited. He was thus confident enough to declare it was hopeless to seek oil deposits in considerable quantities in any part of southern Brazil.18 And while he had not surveyed the northern part of the country, White concluded ‘from the presence of big asphalt deposits in the neighboring country of 86 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA

Venezuela [. . .], we could predict that if someday big oil deposits are found in the country [Brazil], they will be in the territory drained by the big Amazon River’.19 White’s report discouraged investments in search of liquid fuels in Brazil for some years, particularly in the South.20 Nevertheless, it did promote new discussions regarding possible domestic energy sources for Brazilian industry and urged the direct intervention of the Brazilian State in this matter. Governmental initiatives such as the Geological and Mineralogical Survey of Brazil (SGMB), founded on 10 January 1907, played a vital role in keeping up research indeed. The SGMB had been charged with ‘making the scientific study of the geological structure, petrology, and mineral resources of the territory of the Republic, considering above all the exploitation of these mineral resources as well as surface and subterranean water resources’.21 The SGMB was directed in its first eight years by Orville Adelbert Derby, who had been working since 1875 in different Brazilian institutions involved in the geological exploration of the country.22 In addition to its general mandate, the SGMB was expected to research Brazil’s energy resources, namely the possible existence in the country of oil and its derivatives such as pyrobituminous shale and peat.23 It was under Derby’s direction of the SGMB that the mining and civil engineer Euzébio Paulo de Oliveira started to investigate the oil potential of the Brazilian territory through traditional geological mapping and drilling. Oliveira published his results in 1920 in the first volume of the SGMB newsletter ’ entitled ‘Rochas Petrolíferas do Brasil [Brazilian Oil Rocks]. That same year, President Epitácio Pessoa, in his annual address to Congress, mentioned the establishment of an Experimental Station of Fuels and Ores to ‘undertake economic research of fuels, best methods for its enrichment, and furnace types better adapted to their burning’.24 Pessoa justified the need for this new station by the growing demands for energy by industry, transportation (automobiles), and urbanization. At the end of 1922, the station promoted the First Brazilian Congress on Fuels, which launched a discussion on national coal, on the possibilities of exploring oil in Brazil, as well as on the prospects for distilling bituminous shale.25 Derby died in 1915, and Luiz Felipe Gonzaga de Campos (1856–1925) succeeded him as head of the SGMB. Gonzaga de Campos, a mining engineer from the Ouro Preto School of Mines, planned ambitious projects concerning Brazilian coal processing, coke production, the creation of an electro-iron industry, the development of heavy chemical industry in general, and the efficient use of mineral resources in the country.26 In 1922, research carried out under his leadership in Marechal Mallet in the State of Paraná, and São Pedro in the State of São Paulo (Graminha Well no. 22) revealed a new natural resource in Brazil: natural gas. The SGMB carried out work for about eleven years in the city of São Pedro, but the results did not correspond to the expectations and investments.27 Indeed, the findings of ‘natural gas, a small amount of oil and saltwater or sulfurous, artesian, d[id] not constitute sufficient indications of a valuable oilfield’.28 Despite his initial positive assessments, Gonzaga de Campos was clear about the reasons for the fiasco: ‘this failure could have been avoided if geophysical studies, even if they are still embryonic in our country, had been carried out in the region’.29 In 1925, the mining and civil engineer Euzébio de Oliveira succeeded Gonzaga de Campos in the direction of the SGMB, a position he held until 1933. In this period, ‘the research of oil fields continued, though in a limited way, given the precariousness of the equipment’, the lack of skilled experts, and the scarcity of geological information related HISTORY AND TECHNOLOGY 87 to oil.30 The new director, whose previous study on Brazilian oil rocks had been undertaken exclusively through traditional geological methods, purchased the first seismographs and a magnetometer for the SGMB, thus initiating the use of geophysics in the institution.31 The next step in the incorporation of the new methods for searching for oil in Brazil was the creation of a department of geophysics within the SGMB.32 This institutional innovation was the result of constant contact with foreign expertise, namely from the United States, not only through technical publications encouraging the use of geophysics in the pursuit of oil but also through international conferences where Brazilian scientists interacted with scientists and engineers employed by companies selling geophysics instrumentation. Through letters and reports of the Geographical and Geological Commission of São Paulo and the SGMB, it is indeed possible to identify the vital role of such companies in the promotion of geophysics in Brazil (see Figure 1). Euzébio de Oliveira emphatically mentioned how Brazil was being ‘bombed’ with proposals from several foreign companies, mainly from the US, UK, and Germany, selling new methods and techniques of oil exploration connected to geophysics.33 Letters and reports show a fierce competition among different companies such as Metropolitan Vickers, Ingersoll Rand, Siemens– Schuckert, Sullivan, Oscar Taves & Co., Maschinen–und Bohrgeraetefabrik Alfred Wirth. The firms did not refrain from directly attacking each other over the quality of the instruments commercialized.34

Using geophysics in Brazil In 1929, the Brazilian Ministry of Agriculture designated a commission of experts, mostly linked to the SGMB, for a six-month visit to the United States to get acquainted with the most up to date mining and oil exploration methods. The visit aimed, more specifically, at investigating and searching for solutions for some technical problems faced in Brazil, namely the ‘exploitation methods of lead and zinc deposits, metallurgical treatment applied to these minerals, and the process of silver recovery in it’.35 The official visits concentrated in industrial plants, federal agencies, and scientific institutions. After returning from the US, civil and mining engineer Luciano Jacques Moraes (1896–1968),

Figure 1. Proposals from foreign companies to start geophysical studies, selling machinery for polling to Brazil. (Source: Oliveira, ‘A História do Petróleo no Estado de São Paulo, antes do monopólio da Petrobras [1872–1953]’, 47). 88 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA another graduate from the Ouro Preto School of Mines, published a detailed report of the visit. He devoted a whole chapter to geophysical methods of surveying, insisting upon the necessity of applying geophysics when surveying the Brazilian territory. For Moraes, the use of geophysics would be important not only for the survey of metalliferous ore deposits, of groundwater (a severe economic problem in Northeastern Brazil), or of sites for the construction of dams and tunnels; Geophysics was also crucial to identify oil fields.36 Seismic methods37 for oil prospecting, Moraes reminded, had already proven their value in the Gulf Coast of Mexico, Texas, and Louisiana, as well as in Venezuela.38 In a chapter dedicated to ‘Geophysical Processes of Surveying’, Moraes presented detailed data related to financial costs, technical teams, and geophysical tools. This chapter counted on the contribution of Mark Cyril Malamphy, a US geophysicist employed from 1929 to 1931 by the state-run Argentinian oil company Yacimentos Petrolíferos Fiscales.39 Moraes and Malamphy urged the use of geophysical methods while reinforcing the need for a fully equipped geophysical department within the SGMB. Although, as we have seen, the campaign for importing geophysics into Brazil had started a few years earlier, it is possible to date the official implantation of geophysics in Brazil to 21 February 1933, when Malamphy, who had been collaborating with local professionals like Moraes since December 1931, was officially hired by the SGMB. The act was justified by ‘the need to develop subsoil investigation and the viability of applying geophysical methods to the assessment of suitable structures for oil accumulation, and metalliferous deposits in the country’.40 Malamphy’s work also encompassed the training of SGMB engineers in fieldwork, with whom he performed magnetic and gravimetric measurements in several Brazilian states (see Figure 2). He supervised the formation of the first team of SGMB geophysicists, which included, among others, engineers Irnack Carvalho do Amaral and Henrique Capper Alves de Souza.41 The ambitious program sponsored by the Brazilian state to explore the country’s mineral resources clearly identified oil as one of its main targets.

Figure 2. São Jorge Mine, Araçariguama (São Paulo State); at the top of the vertical well are pictured engineers George H. Stother, Mark C. Malamphy, and J. A. Allen. (Source: Leonardos, ‘Chumbo e Prata no Estado de São Paulo’, Print 4). HISTORY AND TECHNOLOGY 89

In the early 1930s, under the government of President Getúlio Dornelles Vargas (1882–1954), intense debates between two concepts of economic policy broke out with historical consequences for the nature of the Brazilian state.42 One side, based on the classical theories of the international division of labor, endorsed the opening of the country to foreign investments; the other side espoused the view of an industrialization policy based on the use of Brazilian natural resources under state control and supervision.43 The opposing sides pointed at different paths for the development of Brazilian capitalism, the state now assuming the role of balancing conflicting interests and forming what scholars have called the ‘State of compromise’.44 Under Vargas, the state enlarged its agency, guaranteeing the growth of the domestic market while dictating regulations of economic activities and acting in the economic system as a property owner.45 Technical elites now looked at the state as the instrument par excellence for the transformation of Brazilian social and political structures and, simultaneously, as the tool allowing their intervention in the economic system, previously impossible to achieve through the private sector.46 The creation in 1934 of the National Department of Mineral Production, replacing the SGMB, should be understood in this context of a growing presence for the state in the life of the country.47 It was in this transitional moment that geophysics would prove its value for the new capacities expected of the state. In 1936, the Mineral Production Development Service (SFPM), a section of the National Department of Mineral Production, had sufficient funds to buy equipment to perform geophysical exploration through magnetic, gravimetric, electric, seismic, and radioactivity methods (see Figure 3). Importantly, some of the SPFM instruments did not fitthespecific requirements of Brazilian territory. As one may note in Figure 3, the equipment marked with an asterisk (*) had not only been designed by SFPM personnel but had also been locally produced in Rio de Janeiro, the country’scapital.Thefirst instrument purchased in 1928, the torsion balance48 fabricated in England by L. Oertling (1928), was, according to Malamphy, ‘too big and heavy device for a country like Brazil’, making its transportation very difficult given the large distances and difficult communications characteristic of the country (see Figure 4).49 On the other hand, Malamphy praised the qualities of the German torsion balance built by AskaniaWerkeandboughtbytheBrazilianservicesin1933(seeFigure 5). He noted that this company had developed by 1935 a new version of the same instrument, which was smaller and faster, although less accurate. That equipment, he said, was more convenient in the US, ‘where competition is strong and any device that offers speed, even with less accuracy, is preferable for the first studies in an unknown region’.50 Another example of available instruments were the Mechanic Seismographs,52 considered to be:

Outdated and never applied to Brazilian problems due to the high quantity of dynamite needed toprovidevaluabledata.Theseequipment [sic] were designed to ‘Salt Domes’ prospection in Texas and Louisiana, structures that, from what we know, do not exist in Brazil.53

Malamphy’s descriptions and statements reveal pertinent points concerning Brazilian technoscientiﬁc relations with the United States. Some of the attempts at developing instruments adopted to local conditions can be appreciated from the list reproduced in Figure 3.54 An example of the eﬀorts to produce devices whose application was compa- tible with Brazilian environmental conditions follows below: 90 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA

Figure 3. Purchased Equipment owned by SFPM from Brazil. (Source: Malamphy, ‘O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral’, 112.).

(. . .) Concerning the “Diurnal Variation” and “Temperature” residual effects, our field data show a bigger accuracy when compared with those that have similar problems. The determination of the “Magnetic Susceptibility” of rocks by the equipment built by us greatly facilitates the interpretation of the magnetic anomalies observed in the field.

Our device that measures the “Electrical Resistivity” of the subsoil does not have the best accuracy; however, it is suﬃciently precise regarding the major problems to which this method was applied. (. . .).

Our equipment that measures Self-Potential shows a more than suﬃcient accuracy, and it is comparable to the best ones used for this kind of measurements.55

Accuracy of instruments not only changed with local conditions, such as temperature variation, but decisions about how much accuracy was needed were also a function of the local objects being measured. Making a good instrument meant much more than merely reproducing international devices, instead demanding knowledge about both the conditions under which it would be used and about the objects under scrutiny. HISTORY AND TECHNOLOGY 91

Figure 4. Magnetometer Oertling. (Source: Malamphy, ‘O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral’, 113).

Besides the need to acquire additional equipment such as the Gravimetric Pendulum (used for surveying through the Electromagnetic method56), the SFPM also struggled with the limited budget allocated explicitly for field research, as well as with the lack of trained personnel – even though some personnel had created apparatuses, as we just saw. The instruments owned by SFPM could ‘equip five field groups, each of them working with adifferent method’, but Malamphy stressed that SFPM was deficient in:

(. . .) technical professionals and sufficient funding to cover field expenses, if we are to use this equipment simultaneously. In order to apply these five methods simultaneously, it would be necessary to have twelve engineers and a monthly expense of fifty ‘contos [de réis]’ for fieldwork. Without these professionals and budget, we see ourselves compelled to apply the several methods randomly, focusing on obtaining the maximum quantity of results as possible.57

Nevertheless, Malamphy and his team did apply diﬀerent geophysical methods, such as magnetic, magnetic and gravimetric, and electrical resistivity, in various Brazilian states, including Alagoas, Paraná, Santa Catarina, Minas Gerais, Rio de Janeiro, and Rio Grande do Sul. These eﬀorts did not exclusively emphasize oil prospection but were thought to contribute as well to the study of other topics like earthquakes and mineral deposits, with an additional focus on gold exploration. The work performed by the US geophysicist and his Brazilian team resulted in several publications, mainly in journals of the state agencies 92 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA

Figure 5. Torsion Balance, type Z, Askania.51 (Source: Malamphy, ‘O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral’, 113). such as the Boletim do Serviço Gelógico Mineralógico do Brasil, and in the Separatas do Instituto Brasileiro de Mineração e Metalurgia. Although Malamphy’s contract with the Brazilian state finished in 1936, the geophysical work at the SFPM continued thereafter with Brazilian scientists and engineers performing magnetic profiles, investigations using the torsion balance, and seismographs.58 Meanwhile, and as we will see below, the US presence in geophysical prospection in Brazil did not disappear, being assured after Malamphy’s departure through several partnerships with private companies. Shortly after Malamphy was hired in Canada in 1939 by the firm of Hans Lundberg Ltd., he published the paper, ‘Petroleum problem of Brazil hinges on law and technique’.59 The paper presented information on the Brazilian general geological constitution, the use of geophysical methods for surveying the territory, and the changes in Brazilian laws for subsoil exploitation. More importantly, he concluded by reinforcing his belief that:

(. . .) petroleum does exist in Brazil and that important reserves will eventually be discovered. I consider the Acre and Upper Amazon Valley as being the most promising regions, followed by the Coastal Belt of Alagoas, Sergipe, and Bahia, and the Rio Tapajos area of the Lower Amazon. I also believe that the program of exploratory work now being organized by the National Oil Council will result in the early discovery of commercial oil ﬁelds in one or more of these regions.60 With this statement, he contravened both previous and contemporary experts. HISTORY AND TECHNOLOGY 93

Geophysics in Brazil and North American companies Malamphy was referring to a profound change in the institutional landscape of oil exploration in Brazil. Indeed, two federal acts, separated by 15 years, became significant landmarks for the history of oil in Brazil. The first one, issued on 29 April 1938, created the National Oil Council (Conselho Nacional do Petróleo – CNP), referred to by Malamphy in his paper; the second, of 3 October 1953, founded Petrobras, the state- run Brazilian oil company. The CNP was created during President Vargas’ rule to give the state more direct control of both the oil industry and oil prospecting, regulating the pressure being exerted by foreign capital.61 Its actions were nevertheless always more focused on regulating oil exploration than undertaking routine prospection since the Council developed limited technical capacities.62 Limitations were primarily related to the extension and complexity of the territory to be explored; the insufficient detail of the geographical and geological maps available; incomplete knowledge about structural (tectonic) features of the subsoil; and a generalized deficit of technicians and workers.63 All of these problems would remain obstacles for the development of Petrobras in the 1950s. Petrobras began its activities in 1954, gradually taking over CNP’s structure (and absorbing its problems), until the subsequent complete closure of the Council. From the founding of Petrobras onwards, the rights over Brazilian oil became a federal state monopoly. Not surprisingly, CNP and Petrobras played a central role in the use of geophysics in Brazil. First, as a result of flexibility in the use of the CNP’s budget, it was decided to ‘engage service providing companies’, instead of relying on in-house explorations. The CNP did not have enough technical personnel and equipment, and ‘with these contracts, [it could, therefore] accelerate the work speed’.64 Thus, in 1939, the CNP established a contract with the United Geophysical Company, from Pasadena, California, a prospection company specializing in seismic surveying. This company, founded in 1935 by the engineer Herbert Hoover, Jr. (1903–1969), presented itself as ‘an innovative and extremely successful company that focused on improving technologies for locating new subterranean oil deposits’.65 The technical team of CNP supported this decision based on the consensus regarding the need to employ geophysics techniques to locate oil deposits in Brazil, and the US’s leading role in the international prospecting market.66 The choice of an American company, instead of for example a German one, although not explicitly mentioned was in tune with the ‘Good Neighbor Policy’ promoted by the Roosevelt administration towards Latin America, envisioning the formation of a continental economic bloc. President Roosevelt even paid a visit to Brazil in 1936, offering a very favorable speech praising the centralizing policies of Getúlio Vargas.67 During World War Two, after an initial rapprochement with Germany, Brazil aligned with the US and the Allied powers, eventually obtaining from the Roosevelt administration support for the first steel industry in the country – the Companhia Siderúrgica Nacional (CSN), located in the town of Volta Redonda (Rio de Janeiro State), which constituted the most visible element of the Vargas industrialization policy. It is in this context of increased US presence that United Geophysical committed to bringing to Brazil cutting-edge geophysics equipment and an experienced team of specialized technicians. Brazilian engineers expressed their enthusiasm not only for the economic benefits this technology could bring to the country but also for the opportunity to become 94 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA

Figure 6. Field equipment of the Reflection Seismograph. From right to left: Water Tank, Seismographic Probe, Topographer’s Truck, Explosives’ Car, and Register Truck. (Source: Eichelberger, Jr., ‘Pesquisa de petróleo com o método sísmico de reflexão de prospecção geofísica’,210). familiar with state-of-the-art apparatuses (see Figure 6).68 Similar exchanges also happened in other Latin American countries, namely in Argentina, that also hired the services of this same US company for similar purposes.69 Initially, the seismic operations performed by the United Geophysical Company, together with CNP’s professionals, targeted states in Northeastern Brazil, namely in the states of Alagoas and Sergipe, the coastal sedimentary area of Pernambuco and Paraíba states, and the Maranhão-Piauí Basin. In the state of Bahia, the mining and civil engineer of the CNP, Pedro de Moura performed the geological mapping within the region called Recôncavo baiano. Geophysical works executed by United Geophysical contributed to the discovery of commercially viable oil fields in Brazil on January 21st, 1939.70 The company, by the end of the 1940s, also invested in surveying the region of Ponta Grossa, Paraná State, in Southern Brazil. The results indicated ‘that the possibilities of finding oil in the pros- pected areas are meager, given that the rest of the area is just a tiny fraction of Paraná Basin’.71 The rhythm of prospection undertaken by United Geophysical was in accor- dance with CNP’s plan of activities, but it would slow down due to restrictions imposed by the US government regarding shipment of exploration equipment and replacement parts, essential to the development of oil research in Brazil.72 After CNP’s extinction, the work of United Geophysical in Brazil continued for years with Petrobras. The two companies partnered in detailed maritime gravimetric operations in the Baía de Todos os Santos in 1962 and 1969, prospecting for oil using the latest seismographic techniques.73 Geophysical Service Inc. was another North American company operating in Brazil in conjunction with CNP. It had been founded in 1930 by geophysicists John Clarence Karcher (1894–1978) and Eugene McDermott (1899–1973), who used refraction and reflection seismic methods to find oil. This company focused its efforts mainly on the states of Pará and Amazonas in the 1940s and 1950s, employing seismic techniques.74 In addition to these regions, the company also operated in the 1950s in the State of Alagoas, hiring land and water seismic teams that became prepared to run later studies in the State of Espírito Santo.75 Geophysical Service kept its partnership with Petrobras for decades. HISTORY AND TECHNOLOGY 95

The CNP also hired in 1944 as a consultant the firm of DeGolyer & MacNaughton, which had been founded in 1936 in Dallas, Texas.76 The company suggested for Brazil the need for ‘geological and geophysical programs and drilling all over the country’.77 Both Everette DeGolyer and Lewis MacNaughton traveled sporadically to Brazil to monitor the work of their company while the geologists responsible for the consulting, Aubrey Hamilton Garner (from 1944 to 1949) and Wilbur B. Sherman (from 1949 to 1953), took up residence in Brazil.78 In 1945, MacNaughton and Garner undertook the first technical visits, starting in the State of Bahia (see Figure 7).79 In 1946, the studies focused on the Amazon Basin evaluating the geophysical work being done by Geophysical Service Inc. through the application of the seismic refraction method.80 Subsequently, following the suggestions given by DeGolyer & MacNaughton, the CNP commissioned another company, Exploration Surveys, also from Dallas, to perform gravimetric studies mainly in the region of Marajó, State of Pará.81 Until 1950, ‘the geophysical works in the Amazon Basin demonstrated the existence in the Marajó pit of several structures capable of accumulat- ing oil’.82 It was also DeGolyer & MacNaughton job to suggest which kind of probe was the more appropriate to prospect in different localities. On some occasions, they suggested discontinuing exploratory works, as was the case in the State of Acre, after identifying the logistical difficulties in transporting the equipment into the region.83 In 1953, after intense disputes between political ideologies concerning Brazil’s posi- tioning towards international capital, those supporting more nationalistic economic positions won. The founding of Petrobras that same year was a direct consequence of typical nationalist development policy. A state-controlled oil company, responsible for

Figure 7. A geological inspection party in Bahia: two Brazilian chauffeurs; Jack Dunlap (with dark glasses); Everett DeGolyer; Lewis MacNaughton; Dr. Gerson, (CNP geologist); Wilbur Sherman; J. E. Brantly, Jr. (resident geologist with Drilling and Exploration Company). (Source: Taylor, ‘Petroleum Exploration in Brazil’, 129). 96 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA prospecting, producing, and refining, was now seen as a requirement to guarantee actual control over the mineral wealth – in that case, oil and gas – of the country. CNP, which more than anything was a regulatory agency, did not suffice anymore, especially after the finding of commercially viable oil fields in the 1940s. Also, fossil fuels were by then considered to have an extraordinary international strategic value, as illustrated by the creation in the US in 1950 by the Truman administration of the agency ‘Petroleum Administration for Defense’, to coordinate US oil resources during the early Cold War.84 Petrobras organized its department of exploration, DEPEX, with the declared purpose of depending less on imported technology and of developing its own know-how. This said, the company hired the North American geologist Walter Karl Link (1902–1982) as the Superintendent-in-Chief of DEPEX, one of the most prominent positions in the Brazilian oil industry at that moment, and charged him with organizing the new department.85 To develop an ambitious exploration program, Link began his work by assembling a large group of foreign and Brazilian professionals, and by February 1956, he had assembled geologists working both in the field and indoors, as well as geophysicists.86 The DEPEX organizational structure was based on the example of the US oil industry, namely that of Standard Oil, where Link had worked as chief geologist for Latin American countries.87 Instead of having an institution like CNP hiring different US exploration companies and consulting firms, Petrobras invested in having in its interior all the necessary know-how and technology for exploring oil across Brazil.88 Link, who remained the director of DEPEX until 1960, was indeed instrumental in developing the oil industry in Brazil through geophysics, mainly due to the technical training provided to the DEPEX team. DEPEX scientists intensely focused on Brazilian sedimentary basins, especially the Amazonian, intending to develop new oil fields.89 Link invested in seismic, gravimetric, and geological mapping units, while adding as well the new method of micropaleontology.90 He emphasized that the evolution of geophysics instruments could profoundly alter Brazilian oil resources by revealing new exploration points, insisting primarly in directing new studies towards the Brazilian continental shelf.91

Concluding remarks In this article, we unveiled how the application of geophysics methods contributed to the materialized Brazilian visions for transforming the country into a major oil producer. In a well-known pattern in Brazilian history, local elites looked outwards at international examples and promoted the appropriation of science and technology to serve specific national development policies.92 Brazilian scientific institutions directly hired foreign experts and adapted new institutional models from the Northern hemisphere, most prominently from the US. We saw, in particular, how Malamphy in the 1930s at SPFM and Link in the 1950s at Petrobras were crucial historical actors in the transfer of knowledge from the United States to Brazil, bringing with them new methods already tested in their home country and training Brazilian engineers. Crucially, we emphasized how these North/South transfers were not an automatic process but demanded as well local adaptions for technology to operate in its place of use. Geophysics instruments designed in Germany, England, or the United States were significantly redesigned in Rio de Janeiro by SPFM personnel to be of use under Brazilian conditions. HISTORY AND TECHNOLOGY 97

The presence of foreign geologists in twentieth-century Brazil was not a novelty. Nevertheless, while in the nineteenth century such experts were exclusively connected to academia and state institutions like surveys, when geophysics emerged in the country in the 1930s commercial interests also played a significant role: Foreign instrumentation companies actively promoted the acquisition by the Brazilian SGMB (and later SPFM) of new prospection technology. The marketing of such geophysics technology was funda- mental for oil prospection campaigns across Brazil lead by Malamphy until 1936. No less important, once the Vargas regime decided to have more direct control of oil prospection operations in the country by creating the CNP, this new regulatory state institution contracted US companies directly to survey the Brazilian territory in search of oil. That is not to say that relations among nation-states did not matter. After all, and as we noticed, such presence of US companies in Brazil in the late 1930s and during the years of World War Two should be put in the strategic context of the ‘Good Neighbor Policy’ of the Roosevelt administration. However, the role of private commercial interests in the scientific relations between the two countries has been underappreciated, as unveiled by following the geophysics involved. There is a large body of literature that has detailed the interactions between Brazilian and US experts in the biomedical sciences by exploring the philanthropic actions of the Rockefeller Foundation.93 Beyond the Brazilian context, relevant accounts of American scientific hegemony during the Cold War years tend not only to ignore the Latin American context, but to rely as well on state-level actors or, alternatively, on international organizations such as the agencies of the United Nations.94 Geophysics and oil demand attention from historians of technology not only through heightened attention to state and academia but also to less studied and more elusive private actors. ‘American hegemony’ was both scientific and commercial, and its history represents a significant element how through geophysics made plausible visions of Brazil as an oil-rich country. Moreover, the ‘visible record about the advantages of applying geophysical methods in prospection, especially in Latin American countries like Venezuela’95 was well-known, exemplifying the impact of technology in Brazilian history.

Notes

1. For more information about the work these institutions developed in relation to oil, see: Figueirôa et al., History, Exploration & Exploitation of Oil and Gas; and Peyerl, The Oil of Brazil. 2. Draibe, Rumos e metamorfoses; and Suzigan, Indústria brasileira: origem e desenvolvimento. 3. Fulton and Stringer, “The dawning of geophysical exploration”; and Howarth, “Gravity surveying in early geophysics. II. From mountains to salt domes.” 4. Edgerton, “Innovation, technology, or history. What is the historiography of technology about?”. 5. Frehner, Finding Oil, 26. Everette Lee DeGolyer (1886–1956) was a noteworthy North American geophysicist, a pioneer in applying geophysics in the oil industry. 6. Frehner, Finding Oil, 26. 7. Fulton and Stringer, “The dawning of geophysical exploration”; and Mau and Edmundson, Groundbreakers. 8. Good, “The Assembly of geophysics: Scientiﬁc disciplines as frameworks of consensus,” 260–1. 9. Mau and Edmundson, Groundbreakers, 27. 10. Ibid. 98 D. PEYERL AND S. F. DE MENDONÇA FIGUEIRÔA

11. Frehner, Finding Oil. The application of new geophysical methods crossed national and international borders, impacting other sectors, as well. For example, Germany developed the use of the portable seismograph to locate Allied artillery firing positions during World War One. Additionally, seismic refraction applied to the ocean’s crust was in full development in the United Kingdom and the United States in the years following the World War. From 1945 onwards, “geophysical research increased rapidly in academic and industrial labora- tories, at first in response to business opportunities and subsequently stimulated by defense needs to monitor nuclear explosions.” Owen, Trek of the Oil Finders, 514; Frehner, Finding Oil; Mau and Edmundson, Groundbreakers; Mason and White, “Cambridge radio sonobuoys and the seismic structure of oceanic crust.” Applied geophysics was characterized by a broad interaction between academia, industry, and government. Lawyer et al., Geophysics in the Affairs of Mankind: A Personalized History of Exploration Geophysics. 12. Bowker, Science on the Run, 22. 13. Bowker, Science on the Run. 14. Martins, Pouvoir et développement économique, 54. 15. Suzigan, Indústria brasileira, 71. 16. Hennen, “Memorial Israel Charles White”. 17. In 1882, Israel Charles White “promulgated what is known as the anticlinal theory of oil and gas accumulation and demonstrated the important part played by gravity in conjunction with anticlinal and domal types of geologic structure in the segregation of oil and gas into commercial pools. (. . .) His theory was finally published in ‘Science’ under date of 26 June 1885.” Hennen, “Memorial Israel Charles White,” 341. 18. White, “Relatório Final,” 242–4. 19. White, “Relatório Final,” 245–7. 20. There were only a few private investments made in the state of São Paulo state that were nonetheless unsuccessful. See: Oliveira and Figueirôa, “History of oil exploration in the State of São Paulo before the foundation of Petrobras (1872–1953).” 21. For more on the SGMB, see: Figueirôa, “Applied Science in Latin American Countries”; and Figueirôa, “Geological Surveys in the tropics.” 22. Derby was first employed by the Brazilian Geological Commission in 1875, even before the creation of the first School of Mines in the country in 1876. Figueirôa, As Ciências Geológicas no Brasil. 23. Lopes, “Petroleum: New Energy Perspectives for Brazil in 1922.” 24. Castro and Schwartzman, Tecnologia para a indústria, 11. 25. Castro and Schwartzman, Tecnologia para a indústriam 13; Lopes, “Petroleum: New Energy Perspectives for Brazil in 1922.” 26. Castro and Schwartzman, Tecnologia para a indústria,9. 27. Oliveira and Figueirôa, “History of oil exploration in the State of São Paulo before the foundation of Petrobras (1872–1953).” 28. Oliveira, Pesquisa de Petróleo no Brasil, 61. 29. Ibid. 30. Peyerl, The Oil of Brazil. 31. Equipment that measures the intensity and direction of a magnetic field. In petroleum engineering, magnetometers are mainly used in directional logging tools to obtain well direction. Fernandéz, Dicionário do Petróleo em Língua Portuguesa. The SGMB mining and civil engineer Luiz Flores de Moraes Rêgo (1896–1940) later used that equipment in his surveys in the State of Bahia. Abreu, “Petróleo,” 140. 32. Moraes, “Província Petrolífera do Nordeste,” 20. 33. Oliveira, “A História do Petróleo no Estado de São Paulo,” 46. 34. Ibid. 35. Moraes, “Estudos metallurgicos e organização de serviços públicos,” 9. 36. Moraes, “Estudos metallurgicos e organização de serviços públicos,” 6. 37. “The seismic method depends fundamentally on measurement and interpretation of travel times of elastic waves through various media. Theoretical basis for the technique was HISTORY AND TECHNOLOGY 99

enunciated by Pierre de Fermat of France, who lived from 1601 to 1665.” Owen, Trek of the Oil Finders, 503. 38. Moraes, “Estudos metallurgicos e organização de serviços públicos,” 6; Martínez, “Breve historia de la Sociedad Venezolana de Geólogos”; Doyle, “Geophysics in Australia”; and Sorkhabi, “George Bernard Reynolds.” 39. Mark Malamphy is considered a pioneer in the use of geophysics for archaeological purposes, using an “equipotential technique: (similar to a resistivity survey) to search for buried stone vaults. Wiewel, “Geophysical and Bioarchaeological Investigations,” 23. 40. Legis Senado. Brazil, Decree no. 21.079, 24 February 1932. 41. Pinto, “Mário da Silva Pinto.” 42. Skidmore, Brasil: de Getúlio a Castelo (1930–1964). 43. See: Martins, Pouvoir et développement économique. 44. The concept of “State of compromise” translates a situation of “absence of hegemony of any of the dominant groups” and would exert “the role of judge between among these interests”; cf. Draibe, Rumos e metamorphoses, 21. 45. Kawamura, Engenheiro: trabalho e ideologia,28–9. 46. Castro and Schwartzman, Tecnologia para a indústria, 11. 47. On 8 March 1934, the Departamento Nacional de Produção Mineral/DNPM [National Department of Mineral Production] was created, attached to the Ministry of Agriculture, replacing the SGMB, therefore declared extinct. The Serviço de Fomento da Produção Mineral [Mineral Production Development Survey] became part of the DNPM. Peyerl, The Oil of Brazil. 48. Instrument to measure the gradients of the gravitational ﬁeld. Fernandéz, et. al, Dicionário do Petróleo em Língua Portuguesa. 49. Malamphy, “O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral,” 111. 50. Malamphy, “O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral,” 113. In the following decades, gravimeters would entirely replace the torsion balance. Fulton and Stringer, “The dawning of geophysical exploration.” 51. Malamphy, “O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral,” 113. 52. Apparatus in which seismic displacement measurements are made directly in relation to an inertial mass (these instruments usually use moving rods which write on paper attached to a rotating drum). Fernandéz, Dicionário do Petróleo em Língua Portuguesa. 53. Malamphy, “O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral,” 112. 54. Ibid. 55. Ibid. 56. Electromagnetic method refers only to inductive methods, such as methods that use direct current (electrical or resistivity methods). Fernandéz, et. al, Dicionário do Petróleo em Língua Portuguesa. 57. Malamphy, “O Aparelhamento Geophysico do Serviço de Fomento de Produção Mineral,” 113. Fifty Contos de Réis were nearly equivalent to USD 4,500 in 1936. 58. Abreu, “Petróleo,” 140. 59. Malamphy, “Petroleum problem of Brazil hinges of law and technique,” 34. 60. Ibid. 61. Marinho, Jr., Petróleo: política e poder: um novo choque do petróleo?, 242. 62. Cohn, Petróleo e Nacionalismo, 61. 63. Távora, Petróleo para o Brasil,73–4. 64. Dias and Quaglino, A questão do petróleo no Brasil. 65. Conyers, Phillips, and The Pasadena Museum of History, Pasadena: A Business History, 70. 66. Fulton and Stringer, “The dawning of geophysical exploration.” In Australia, another major mineral producer, there were “connections with geophysical companies and developments in North America and Europe (. . .). Canadian and U.S. companies, in particular, have commonly been contracted for exploration for metals and hydrocarbons. International companies have been responsible for the introduction of new techniques and instruments.” Doyle, “Geophysics in Australia,” 186. 100 D.PEYERLANDS.F.DEMENDONÇAFIGUEIRÔA

67. Tota, Os americanos. 68. “Mais um grande passo na solução do problema do petróleo nacional,” 2. 69. Nonetheless, Argentina had already had some encouraging results replacing foreign technicians by local ones. Gadano, Historia del petróleo en la Argentina, 1907–1955. 70. Paiva, G. apud Oliveira, Pesquisa de Petróleo no Brasil, VIII. 71. “O aproveitamento do petróleo brasileiro,” 7. 72. Dias and Quaglino, A questão do petróleo no Brasil, 14. 73. Amaral et al, “Índice dos levantamentos sobre a margem continental brasileira projeto REMAC,” 26. 74. “O aproveitamento do petróleo brasileiro,” 7. 75. Motta, “O Petróleo Alagoano,” 131. 76. Oliveira, “As pesquisas de petróleo na Amazônia,” 154; and Tinle, Mr. DE: A biography of Everette DeGolyer, 226. 77. Oliveira, “As pesquisas de petróleo na Amazônia,” 154. 78. Ibid. 79. “As pesquisas de Petróleo na Bahia,” 2. 80. Oliveira, “As pesquisas de petróleo na Amazônia”, 155. 81. Ibid. 82. Ibid. 83. Costa, “Petróleo do Acre,” 197. It is worth mentioning that the geological constitution of the Amazonian region/basin, being mostly a flat landscape similar to the Gulf Coast, demanded geophysical methods as it had been the case in that region, where the findings were very positive from 1916 onwards. Fulton and Stringer, “The dawning of geophysical exploration.” 84. Wald, “When Government Empowers Industry.” 85. It is important to point out that the organizational structure of the Department of Exploration followed the “Organization Plan” made by Hélio Marcos Pena (1916–1997) in 1954. This plan was considered by Link as simple, but concise, and for that reason it was maintained in the structuring of the Department of Exploration. Peyerl et al., “The North American geologist Walter Karl,” 393. 86. Ibid. 87. See above 64. 88. Dias and Quaglino, A questão do petróleo no Brasil, 115. 89. Some sites remained unexplored because it was impossible to reach the required depth. A good, specific example is the research in the same region already explored by Israel Charles White, quoted above. Link and his group nurtured high expectations of finding oil there and gathered data from 1954 to 1960. Link, “Exploration – PETROBRÁS – October 1954 to December 1960, 2. 90. Peyerl et al, “The North American geologist Walter Karl Link,” 393; Peyerl and Bosetti, “Technique and exploration.” 91. Milani et al. “Petróleo na margem continental brasileira,” 379. 92. Figueirôa, “Mundialização das ciências e respostas locais”; and Dantes et al., “Sciences in Brazil: an overview from 1870–1920.” 93. Such literature has noted the benefits of the “Good Neighbor Policy” for the US medical instrument industry. Mota and Tarelow, “O Hospital das Clínicas de São Paulo.” See also, Marinho, Norte-americanos no Brasil. 94. Krige, American Hegemony and the Postwar Reconstruction of Science in Europe. 95. Moraes, “Província Petrolífera do Nordeste.”

Acknowledgements

The authors would like to thank especially Tyler Priest for his contributions. The authors are also indebted to the referees, and to the Editors, whose valuable remarks helped improve the paper. HISTORY AND TECHNOLOGY 101

Disclosure statement

No potential conﬂict of interest was reported by the authors.

Funding

Drielli Peyerl thanks especially the current financial support of grant Process 2017/18208-8 and 2018/26388-9, São Paulo Research Foundation (Fundação de Amparo à Pesquisa do Estado de São Paulo – FAPESP), and gratefully acknowledges support from SHELL Brazil and FAPESP through the ‘Research Centre for Gas Innovation - RCGI’ (Fapesp Proc. 2014/50279-4), hosted by the University of São Paulo, and the strategic importance of the support given by ANP (Brazil’s National Oil, Natural Gas and Biofuels Agency) through the R&D levy regulation. The authors also acknowledge the financial support of FAPESP (Grant Processes 2014/06843-2 and 2015/03244-3), CNPq (Conselho Nacional de Desenvolvimento Científico e Tecnológico – grant 308432/2013-4), and Linda Hall Library.

Bibliography

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