(Published By Arrangement.) WAIPATIKI OIL FIELDS

Dominion, Volume 10, Issue 3082, 12 May 1917, Page 2

(Published By Arrangement.) WAIPATIKI OIL FIELDS

. A PROMISING VENTURE, At no previous period has the value of oil been !io amply demonstrated as the present, and its employment in modern times has revolutionised methods of locomotion and transport, of which no better instance is required than that provided by the present war. The old method of horse traction has been supcrswleil by motor transport, and in viirious other ways this valuable product is finding for itself a prominent and permanent place in the scheme of modern progression. The sources of these oil supplies are, therefore, assets of the highest commercial value, and to many countries, principal among them being Rumania, Russia, and America, aie a means of revenue of very large proportions. In view.of these facts,'tho presenco iu the Weber district of what is believed will prove a successful oil field is of the utmost importance, not only to the adjacent localities, but to the Dominion as a whole. Tho site of the fieldis..at Waipatiki, about four miles from the township of Weber, in the direction of tho East Coast, and distant 25 miles from Dannevirke, or about 47. from Palmerston. An option over tho field was originally secured by an English company, which installed a costly boring plant to test the ground, but after putting the bore down 2500 feet, with encouraging prospects, operations were suspended about tho- time the war broke out, and -were not resumed. In December last, however, a Palmerston svndicate purchased the plant, and secured the option over the oil area previously held by the English company. Work nas been resumed, and it is the intention of the syndicate now to form a company and thoroughly exploit the field, and recently a party .of gentlemen interested .in the undertaking, accompanied by a representative of the Mnnawatu 'Staviard," made a visit of inspection to rr» works. THE WAIPATIKI HELD. The scene of. tho boring operations is within a mile of the main road to Weber ml a D f ancll roa d leads to the works! the works and plant, wheh are valued at ,£IO,OOO, are most complete and up-' to-date, and are considered superior to any other in New Zealand, comprising a large and powerful derrick,- 20 h.p. engine, boring- tools, necessary buildings,■' and three cottages for the workmen, withsteel casing sufficient to take the boredown to 4000 ft., and the company has an-option over another 2000 ft. if required. The area of land attached to the vorks is 435 acres. The plant is inthorough working order, and with the bore down to 2600 ft. the. syndicate is iu an .excellent position for continuing the' bore, which will he taken up immediately the bore is cleaned out, this work being now in hand. Everything is fheretore in excellent order for carrying on. OIL INDICATIONS. The presence of oil indications are very pronounced at different points in this district, but.especially so by the exist- < ence ot a large benzine gas spring on the property a short distance from the bore, and there aro similar but smallerindications in tho immediate vicinity. An analytical -examination of a sample of this gas showed that by tho presence ot a large percentage of the important elements, methane and ethane, the gas is derived from a petroleum source, and in this respect is almost identical with t«n B T£ P ro(illc , e d by .the famous oil | wells ot Baku and also those of America In aS.. I **" J 3 a material P°intf™ .°y. mean s of Pipes is used for lighting m the ordinary way. A similar experiment has been tried, with success at Haipatiki. An ordinary iron tank has been placed over the gas spring, and the gas conducted by a- pipe to the works, where it is used almost entirely to generate the heat required for the steam engine, the gas is also used to light the workmen s dwellings, and is utilised for cooking and other domestic purposes with tho-besfc-rosultsr-'ln his report on tho gas sample, Professor Easterfield stated that-it-would he very suitable for-driv-ing a gas ongine or burning with an incandescent mantle. It has already proved ! ts ,. wo . rtl ' as a n illuminant, and'it is the intohtion to uso it to drive a gas engine which is to be installed at ah early date to operate an electric plant. Even with the crude appliances in uso for capturing the gas, a good pressure is secured,- but it is estimated that fully nine-tenths escape, so that the vast quantity arising from the lower strata is a very strong indication of oil, and that in large bodies. Geologically, the conditions are also favourable to the existence of petroleum. The overlying marls, as proved bv the bore, are thick and unbroken'by volcanio aotion. These overlying beds confine the oil underneath, and if the bed "is pierced by the bore, and the oil, if it exists at all (and this is Btrongly supported at Waipatiki by theoretic and expert opinion), is at 'once , released. • Tho presence of the gas spring and the strong gas indications in the bore being: sunk are favourable omens, and tangible signs of petroleum in the lower formations. THE BORE. The site of tho bore was selected for the original company by Dr. Wanner,, an eminent geologist and oil expert, who spent several months fully and exhaustively testing the surrounding country, and tho Bite was chosen on account of its high geological position, coupled with its being in close proximity to the large gas spring referred- to. ■ In selecting this site, Dr. Wanner gave the opinion -that if no water was struok at 2000 ft. it would bo a desirable feature in tho prospect of a successful bore. So far no water has

been met with, although a depth of 2600 ft. has boon reached. AN EXPERT DRILLER, Tho boring operations are in charge of Mr. O'Dowda, fin expert driller with considerable oxporience of all the New Zealand oilfields. Mr. O'Dowhv, considers W.tipatiki superior to any of the others. In Taranaki, -whore ha was the first driller to strike payable oil in New Zealand, at the Birthday well at New Plymouth, ho states that the formation is broken, which permits the greater quantity of tho real supply escaping. In Waipatikl tho formation was solid, and thoro was an absence of water, another favourable sign, whereas the presence of water is one of Taranaki's troubles. Tho drill is ut present in papa formation, and after the cleaning of tho bore, Mr'. O'Dowda considers that tho actual boring will bo resumed in two or three weeks' time, and is confident of striking oil between 3000 ft. and 4000 ft. This means another 1000 ft. below tho depth already attained, and at tho normal rato of boring this level should be reached in about October next. The gaa indications are strong in the bore at present, and on Saturday last a large quantity was released aud sho"t up the bore. - Mr. O'Dowda is very oonfidont nbout this field and its prospects, and .his faith was so strong that ho offered to put;the bore down another 300 ft. for tho previous company without salary, but as tho compauy had decided on closing down, tho offer was not accented. With his expert knowledge, Mt. O'Dowda s firm belief in tho success of tho field at an early date is entitled to some respect. PROPOSITION OPEN TO THE PUBLIC. As stated, tho syndicate is determined that tho • bore should be given a tantrial, and the field fully tested, and propose forming a company with a capital of J220.000. The vendors will receivo J29000 cash and 5000. paid-up shares in consideration of their boring rights, p'unt, and machinery, thus-leaving 15,000 £1 shares to be ofl'ored to the public. It is the company's desire that tho control of tlio venture shall be-conhned to Now Zealand, and to that end no capital outsido the Dominion will be considered. It is intended that tho headquarters and administration of tho company shall bo located at Palmerston. The indications iu-o denidfldty encouraging. The effect of a successful oil industry in our midst is of first.importance, whilst tlio duty of assisting in the development of our resources is. one devolving upon tho citizens, and an opportunity of doing so is now offored. Tho scheme is pregnant with immense possibilities, and is ono that offers a reasonable prospect of success. The public should note this and get on tho share list. - Although only, launched a. few days ago the promoters aro receiving every encouragement in tho number of shares taken up, and

J./V) JLUJL I » inquiries are also being received from , tho outside districts, so apparently it will not be long beforo tho available shares are absorbed. A party composed of Messrs. E.' Redpath. W. Dovine, A. M. Williams, and H. Haycock, recently visited tho bore, and wero favourably impressed with the : possibilities of the field. Those interested in the proposition will ' be afforded every opportunity of visiting the property. Cars will run out to Waipatiki on two days during the woek, al6o to-morrow, and those who intend making the journey aro invited to communicate with Mr. Q. Andrews, at his garage in Enngitikei Street, Palmet6ton North. For prospectuses and application forms for Waipatiki Oil Company applv Box 281, Palmerst_<ffl_ North. Only a limited numbers of shares available.