The Beginning of an Era: 1903-1926
 Brothers Frank and L.E. Phillips began their quest for oil in 1903, after hearing of vast oil deposits in Oklahoma. In 1905, the brothers hit the first of 81 wells in a row without a single dry hole. Twelve years later, they founded Phillips Petroleum Company, headquartered in Bartlesville, Okla.
From the company’s beginning, Frank and L.E. used their pioneering spirit to create value for Phillips. While most companies found little use for the natural gas they discovered while drilling for oil and usually burned it off at the wellhead, the Phillips brothers turned it into a valuable resource. In 1917, the company opened the first natural gasoline plant for extracting liquid byproducts from natural gas, which allowed the liquid byproducts to be used in motor fuels.
During the next few years, Phillips continued to research new opportunities, including gas-processing plant technologies. The research turned profitable in 1924, when Phillips was awarded the first patent on a process for recovering natural gasoline from natural gas. Two years later, the company formed its Research and Development group to continue on the path of innovation.
Entering New Territory: 1926-1932
Phillips’ first decade proved prosperous for the company. The Aviation department was formed in 1926 which highlighted the company's growing role in air travel. By 1927, the company was pumping 55,000 barrels a day from its more than 2,000 wells in Texas and Oklahoma. 1927 also marked the year Phillips began marketing gasoline through the first of more than 10,000 service stations. Also in 1927, Phillips decided to enter the refining business and acquired its first refinery near Borger, Texas.
Phillips began to leave its mark on the aviation industry by designing the first aviation refueling trucks and developing a new, lighter, more efficient Phillips aviation fuel that powered the first flight between the United States and Hawaii.
 Later, Phillips began to provide specialized products and services to consumers. During this time, the company was the first to develop and market propane for home heating and cooking, the first to produce and sell gasoline designed to match seasonal conditions and the first to build a long-distance multi-product pipeline. In 1930, Phillips began to increase its refining and retailing capacities when it acquired the Independent Oil and Gas Company.
Continued Innovation: 1932-1952
The 1930s provided Phillips with several challenges, yet also opened the door for new innovations. Toward the late 1930s, the company developed new processes for producing butadiene and carbon black, two ingredients in synthetic rubber. In 1936, Phillips granted its first license outside of the United States, a license for a copper sweetening process used in gasoline refining. Soon after, Phillips began to generate substantial income by licensing its patents to other foreign companies.
Phillips continued to pave new paths in the oil and gas industry during the 1940s. In 1940, Phillips invented the HF Alkylation process, which made high-octane gas possible. Four years later, Phillips became the first to produce “cold” synthetic rubber. By the mid-1940s, the company’s reserves totaled 13.3 trillion cubic feet worth nearly $1 billion. Phillips continued to invest in oil exploration, refining, petrochemical plants and natural gas drilling, including drilling the first well out of sight of land, which opened offshore production. The company's first overseas oil production began in Venezuela in 1946.
In 1948, Phillips formed a new subsidiary, Phillips Chemical Company, and became one of the first oil companies to install electrostatic precipitators at refineries to reduce air emissions. A few years later, Phillips invented polyethylene plastics and discovered and developed a new process to produce high-density polyethylene resins launching Phillips' entry into the plastics business.
Expanding Boundaries: 1952-1966
 While Phillips’ researchers continued to improve and develop products, the company proceeded to grow. In 1952, Phillips began expanding the company’s marketing beyond the Midwest by opening Phillips 66 stations in Texas and Louisiana. That same year, the company became the first United States oil company approved by the United States Department of Interior to drill in Alaska.
The next 10 years marked a series of “firsts” for Phillips. The company developed and introduced Trop-Arctic, the first all-season motor oil, designed the first-of-its-kind offshore platform that combined a storage platform design with one of the most advanced remote control systems in the world, invented an anti-icing additive for jet fuels and became one of the first oil companies to form a formal management-level committee charged with minimizing the effect of company operations on the environment. Rtyon, a tough new plastic, was inverted to replace metals in specialized uses and K-Resin was developed for packaging, medical and household uses.
During the same time, Phillips also set several industry records. The company’s University #1-EE well near Fort Stockton, Texas, reached a depth of 25,340 feet, a record it held for 12 years. In 1955, Phillips drilled a well 40 miles offshore, setting the record for the farthest offshore well drilled to date. 1965 brought Phillips permission to operate in Bridger Lake in Utah’s Wasatch National Forest, making the company the first allowed to conduct exploration and production in a United States National Forest.
New Discoveries, Innovations and Challenges: 1966-1986
During the 1960s, Phillips began to slow exploration in the continental United States and concentrated on Alaska and locations overseas. This proved lucrative in 1969 when the company discovered the Ekofisk field in the North Sea. During the same year, Phillips pioneers the shipment of liquefied natural gas from Alaska to Japan from its Kenai LNG plant.
As Phillips began expanding its exploration and production beyond the United States, it continued to excel in research and development. In 1975, the company received its 10,000th patent and formed Phillips Coal Co. Nearly a decade later, Phillips developed new polymers that increased oil production from other fields. Around the same time, the company increased its crude supplies when it acquired General American Oil Company for $1.1 billion, and later Aminoil, Inc. and Geysers Geothermal Company for approximately $1.7 billion. By 1978, all major facilities were completed at Ekofisk Complex, one of the world's largest offshore oil and gas production centers.
In 1984 and 1985, Phillips fended off two unfriendly takeover attempts which led to a major financial restructuring, requiring asset sales and staff reductions.
Leading the Pack: 1986-1999
Phillips continued to develop new technologies and explore new areas. Additionally the company’s commitment to its employees, safety and innovation earned Phillips several recognitions. In 1986, the company set an all-time safety record at its Borger refinery. Soon after, the Phillips Research Center was recognized for its excellence in safety and health when the Occupational Safety & Health Administration designated it a “Star” worksite. Around the same time, the United States Fish and Wildlife Service presented Phillips with an environmental stewardship award.
As the turn of the century neared, Phillips remained a leader in innovation. In 1993, the company proved the viability of drilling for oil and gas beneath sheets of salt in the Gulf of Mexico by developing 3-D seismic technology. At the same time overseas exploration continued, which soon led to the company’s first oil production in China from the Xijiang field; a historic joint venture to produce polyethylene plastic in China; and a major gas discovery in the Timor Sea, located between Australia and Indonesia. The company unveiled a metallocene catalyst, allowing for production of linear low-density polyethylene in loop reactors. Soon after, the company began an improvement project at its Ekofisk field, which was completed in 1998 and China's first polyethylene plant, Shanghai Golden came on stream.
A Time for Change: 1999-2002
The turn of the century brought several changes for Phillips. In 2000, a joint venture transaction combined Phillips’ GPM operations with Duke Energy’s midstream operations, creating Duke Energy Field Services. During the same year, Phillips made its largest acquisition in the company’s history when it purchased ARCO Alaska for approximately $7 billion. Phillips completed its third major transaction of 2000 when it combined Phillips’ and Chevron’s chemicals and plastics operations, creating Chevron Phillips Chemical Company. The following year, Phillips acquired Tosco Corporation, one of the largest refiners and marketers in the United States.
The most drastic change for the company came in November 2001, when Phillips and Conoco agreed to merge. The merger, completed in August 2002, created the sixth-largest publicly traded oil company in the world and the third-largest in the United States.
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