Brown & Root Founding of Brown & Root Brown & Root was established by Herman Brown and Dan Root in 1919. The company initially focused on construction projects such as roads and bridges, with particular emphasis on municipal and county government contracts. In 1922, Brown's younger brother, George Rufus Brown, joined the firm. Brown & Root expanded quickly, securing numerous construction projects throughout Texas.
Depression years During the
Great Depression, Brown and his company faced significant challenges. In 1929, Dan Root died, and the stock market crashed. As the economy worsened, state projects dwindled. To make ends meet, the Brown brothers worked hauling trash for the City of Houston. The company's fortunes were completely turned around with two major projects—a road for
Humble Oil and a dam near
Austin. In 1934, Brown secured a contract with Humble Oil to build a wooden plank road in
Roanoke, Louisiana, marking the company's first major expansion outside Texas and establishing a lasting relationship with Humble Oil for future projects. In 1936, the firm won the bid to build the
Marshall Ford Dam on
Colorado River near Austin. The five-year dam project was the largest of its kind in Texas and helped raise the company's profile. Together, these projects helped solidify Brown & Root's position as a prominent heavy construction and industrial firm, paving the way for long-term government contracts. The Marshall Ford Dam project was funded, in part, by the U.S. government. Newly elected Congressman
Lyndon Johnson supported funding of the dam, which was located in his
congressional district. This established a relationship between Johnson and the Brown brothers, which set a foundation for subsequent government projects for Brown & Root, and was the beginning for support by the Browns for Johnson's political career.
Early expansion and growth Brown & Root, having established a solid foundation in municipal construction, began to bid on federal contracts. One of the major early successes for the company was the construction of the
Naval Air Station at Corpus Christi in 1940, which was worth $90 million (equivalent to $ billion in ). This contract was one of the first large federal defense contracts awarded to Brown & Root during
World War II. During this period, the company also began branching into new sectors, including shipbuilding and pipeline construction.
Brown Shipbuilding In 1942, the Brown brothers founded
Brown Shipbuilding on the
Houston Ship Channel, as a subsidiary of Brown & Root. The company built 359 ships for the
U.S. Navy, employing over 25,000 people during the war effort. Despite having no prior experience in shipbuilding, the company succeeded in fulfilling significant contracts for the Navy, contributing to the U.S. war effort and solidifying its position as a major contractor. The contract, which began at $27 million, eventually grew to $357 million. Following World War II, Brown & Root expanded into new areas of business. In 1947, the company reached a significant milestone by constructing its first offshore oil platform, located off the coast of
Morgan City, Louisiana.
Major projects and global presence During the 1950s and 1960s, Brown & Root was involved in the construction of major U.S. air and naval bases, including facilities in Spain, France, and Guam. The company also built large-scale infrastructure projects such as roads, dams, bridges, petrochemical plants, and offshore drilling platforms. Brown & Root's international presence grew substantially during this period as the company took on more global construction contracts.
Manned Spacecraft Center In 1961, Brown and Root won the contract to help plan and construct the
Manned Spacecraft Center in Houston, a $200 million project (equivalent to $ billion in ) that played a critical role in the United States' space exploration efforts. This marked a significant milestone for the company, which continued to be involved in large-scale government contracts through the 1960s.
After Herman Brown's death: Halliburton and KBR In the early 1960s, as Brown's health declined, the company's future was uncertain. Oilfield services company
Halliburton approached Brown & Root with an acquisition offer. Shortly after Brown's death in 1962, Brown & Root was sold to Halliburton, for a sale price reported to be $36.8 million. Brown & Root continued to operate under its own name, with George R. Brown serving as chairman of the board. After Halliburton acquired
Dresser Industries in 1998, M. W. Kellogg, a subsidiary of Dresser, was combined with Brown & Root to form a larger subsidiary,
KBR (Kellogg-Brown-Root). In 2006, KBR was spun off from Halliburton. By July 2015, the legacy Brown & Root company was spun off into an independent corporation, Brown & Root Industrial Services, headquartered in
Baton Rouge, Louisiana.
Texas Eastern Transmission During World War II, U.S. government funded the building of
Big Inch petroleum pipelines, which reached from Texas to New Jersey. The pipelines were built between 1942 and 1944 as emergency war measures in the United States, to create an interior route for transporting oil, versus the vulnerable shipment of oil by sea. At the end of the war, the pipelines were put up for sale. In 1947, Herman and George Brown, along with partners, formed the Texas East Transmission Corporation and purchased both pipelines for $143 million, converting them to transport natural gas.
Corporate boards Brown served on the boards of several institutions, including First City National Bank of Houston, Texas Eastern Transmission Company,
Southwestern University,
Armco Steel Corporation, and
Texas Children's Hospital.
Other interests Brown also participated in oil and gas exploration and owned ranching operations. == Philanthropy, service, honors ==