THE STANDARD. SATURDAY, MAY 24, 1873.

Poverty Bay Standard, Volume I, Issue 55, 24 May 1873, Page 2

THE STANDARD.

SATURDAY, MAY 24, 1873.

“ We shall sell to no man justice or right: We shall deny to no man justice or right: Me shall defer to no man justice or right.”

The promoters of the projected Petroleum Company acted wisely in deferring the election of the Provisional Directory until a future day. A considerable advantage will be gained by an appreciable augmentation of the number of subscribers, the natural result of the personal discussion of subjects in which all have an interest, but few possess a practical knowledge of their detailed working, namely that of Joint Stock Companies. The programme of last Tuesday evening might, perhaps, have been arranged in a more understandable, if we may so say, and more business-like way; but no scheme of money enterprise could be launched with more honesty and straightforwardness of purpose. There are many points of information which require to be well understood before men of business will embark their capital in a speculation. And that speculation must possess the elements of a transparent genuineness, and be based upon principles and conditions that of no equivocal interpretation. We do not say that the promoters have any object in view, but that of forming a company upon terms equally advantageous to the shareholders and themselves ; but we think it our duty to express a belief that a greater success would have resulted on Tuesday last if the meeting had been more definitely made to understand the Dr. and Cr. jsidea of the account, and been met with

a gratuitous exemplification of the results likely to follow the proposed outlay. Public meetings called for the purpose of aggregating money, no matter what the object mav be, are most difficult of management, and it requires much tact and discernment of human nature, to carry a given point against opinions which are adverse only insofar as they are the product of an unsatisfied enquiry. Nothing can be more assuring than the pronounced success of this first appeal ;' but the shareholders, to a large extent, were guided more, by their own inherent faith in the ultimate success of the’ undertaking, than by the judgment and perspicuousness of its projectors. But still we must not be understood in any way to imply that the method of treating the subject has had, or will have, any more damaging effect, than that in having failed to satisfy the public mind in its cravings for an extended knowledge on matters of detail, a more hesitating adhesion has been given to the cause, than would otherwise have been ; but which will, nevertheless, receive an impetus of a very satisfactory kind at the meeting on Wednesday next.

There is one point which, no doubt, militated much against establishing undoubted confidence; and as our own opinion was averse to the proposal, we gladly act upon the authority given to us to announce the important concession made by the promoters : we allude to the terms on Which they are prepared to hand over the lease. The offer made to the meeting was that so soon as the oil is struck the promoters are to have 1000 shares and 15 per cent, royalty ; 100 acres, of which the spring should form the centre, would be laid off and handed over to the Company for the term of 21 years, the promoters retaining the residue of the block —623-1 acres. In obedience to a general opinion that such an awkward stipulation would be the means of preventing outside capital from joining in the enterprise, and possibly cause the failure of the whole scheme, they have decided to assign their interest in the lease of the whole block, the Company, of course, accepting their responsibilities as to rent, &c. This, however, is, so far, accompanied by a condition that their shares are to be increased to 1,500, the royalty of 15 per cent, notwithstanding. This appeared to be the only stumbling block ; and as it will be removed by submitting the altered terms to the meeting on Wednesday, we invite the shareholders to aia attentive consideration of them.

We cannot conclude without suggesting to the promoters the advisability of preparing a. statement to lay before intending shareholders. A business account shewing the original outlay for boring ; the cost of working at per day, or at per 100 feet until oil is obtained; together with a detailed estimate of the cost of plant, machinery, buildings, &c., the cost of production at per 1,000 barrels of oil; the cost of transit to shipping port; the price it is likely to fetch in the market, and the profits accruing to the company, would operate largely in favorably determining many who naturally look for the elucidation of such matters at the hands of those whose business it is to understand them.