March 3, 1938, is a historic date in Saudi Arabia. On this day, the first commercial oil well was discovered in the Dhahran region, marking a turning point in the country’s economy and the global energy balance.
Dammam No. 7 — The First Successful Oil Well
The well, named Dammam No. 7, later known as the Prosperity Well, was the first to yield oil in commercial quantities. Previous drilling attempts had failed, but continuous effort and testing led to success at a depth of approximately 1,440 meters on March 3, 1938.
Challenges Before the Discovery
The discovery was not easy. Six earlier drilling attempts had failed, shaking investor confidence. Geologist Max Steineke and his team persisted with drilling, ultimately achieving a successful breakthrough.
Oil Production and Early Output
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On March 4, 1938, the well produced approximately 1,585 barrels per day.
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By the end of the month, production increased to 3,810 barrels per day.
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The well continued producing for nearly 45 years, yielding over 32 million barrels before its closure in 1982.
Transforming Saudi Arabia
The discovery of Dammam No. 7 transformed Saudi Arabia from a desert country into one of the world’s leading energy producers. Oil revenue helped the nation:
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Develop infrastructure
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Improve education and healthcare
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Advance industrial and social growth
Aramco and Global Influence
Following the discovery, the California-Arabian Standard Oil Company invested in the region, which later became Saudi Aramco — now one of the world’s largest energy companies.
The discovery also positioned the Middle East as a global energy hub, influencing oil supply routes, maritime strategy, and international politics for decades.
Historical Significance
In 1999, Crown Prince Abdullah officially named the site Prosperity Well to honor its historical importance. Today, it is a cultural and historical landmark in Dhahran and is included in UNESCO’s tentative World Heritage list.
The discovery of the first commercial oil well on March 3, 1938, changed the fate of Saudi Arabia and reshaped global energy dynamics. It turned the country into a major energy power, the effects of which are still felt worldwide today.