RUSSIAN MOTOR SPIRIT

Hokitika Guardian, 30 June 1932, Page 2

RUSSIAN MOTOR SPIRIT

MOTORISTS SECURE CONTRACT. A contract, has been entered into between Associated Motorists Petrol, Co,, Ltd., and Russian Oil Products, Ltd. London, a British company registered in England. The contract grants to the New Zealand company an exclusive monopoly (for a period of seven years) Jor the importation, distribution, and sale of Russian petrol, lubricating oils, and kerosene. Mr A. E. Batt. a director of Associated -Motorists, is the authority for the announcement. He has informed the Wellington “Post” that Russia to-day holds the key position in the world’s

petroleum, It is now the second largest oil producing country in the world its production being exceeded only by the U.S.A. Russia’s oil fields, however, have scarcely yet been tapped, and their potentialities are considered to be enormous. As an indication' the output in 1922 was approximately 1,190,000,000 gallons, and i» 1931 5,470,000,000 gallons. |

“Russian oils are a Toady distributed in many of the important markets ot the world. ’ said Air Batt, “the principal being FT gland. Italy, France, South Africa, Germany, Spain, .Belgium, and all principal Asiatic countries; the French and Italian Navies, the Spanish monopoly, and other large State departments, as well as most of the important shipping companies of tin' world are also all big users. England is the largest user of Russian petn Is, which because of t eir inherent

properties, are peculiarly suited to the small, high compression, high efficiency English engines. •From the economic standpoint," he continued } “there is much that New Zealand can gain as a result of the agreement entered into by our company. ißus=ia is a tremendous market for raw materials —wool, tahow, and hides, are amongst her principal imports. Th e importation of Russian oil to New Zealand opens the door to valuable reciprocal trade, and it is anticipated that /Russia will become an important customer for New Zealand raw materials. ’

When ashed what effects the Associated Motorists Petrol Co., Ltd., woulr have on the New Zealand petrol market, Mr Bat' said his company was an entirely New Zealand financed and con trolled organisation, and that it wouV bn ent'i'e'-y free to , direct its own policy in every way, and would be in a position to meet all competition. Hoing an exclusive monopoly of these oils, would place the company in an important position in the New Zealand market. The entire profits of the company will pay direct to tile New Zealand Government, should be an item material assistance to our Dominion in the' present time of difficulties.” Associated Motorists Petrol Co, wil distribute its products through garages and petrol stations, 'find already a large numbers of stations and garages throughout New Zoiahuul have been linked up to distribute these products. T’h e company is now erecting its b”’ installations, and immediately these arc completed tlm fir-t tanker will be ev mate for New Zealand. Within t 1 next few months 'the company "dl have supplies ot petrol available.