N.Z. OILFIELDS, LTD.

Stratford Evening Post, Volume XXXVII, Issue 19, 23 September 1913, Page 8

N.Z. OILFIELDS, LTD.

rHB L'OSI'LI'LN t)!'' THE COMPANY [Per Pkess Association.] Gisburne, Scp:c;i.-jer 22. Interviewed with regard to the cable message from London concerning the N'e.v Zealand Oilfields Company, Ltd.. Mr \V. Lissant Clayton, a boa! director, explained that whilst the articles of association gave the local advisory hoard all requisite powers (subject to the veto of the London Board), reports and urgent rowpsciitncions from the Local board :n the majority of cases had been absolutelj ignored, and it ivas only recently that they had been given any liCivring a., all. Quite eignteon months ago the local board had gone so far as to threaten to circularise the English shareholders over the way matters were being conductec. Mr Clayton explained that the original concessionaire referred to in the cable was himself, and tlie whole of his remuneration had been paid in shares, which by a clause in the London Slock Exchange rides could not bo disposed of for 12 months after the flotation of the company. Furthermore, he had had to pay brokerage on the total subscribed capital of the company out of his consideration. The, original options were transferred by his attorney in London to Mr Fred George Clark, of London, who in turn transferred to G.M. Oilfields, Ltd. (otherwise Mr George McDonald), and a number of gentlemen associated with him, and M.T.M. Syndicate, who became the promoters of, and also the vendors to, the Now Zealand Oilfields, Ltd. On April 7 last the local board received a cablegram from the London directors stating that a powerful oil corporation intended to put £IOO,OOO into the company on certain terms and conditions as to reconstruction of the company. The conditions met with the entire approval of the local board, with the exception that it considered the transaction should not take the

form of a sale to a new company by the present company, as Lbo present shareholders would have- their shares classed as ''vendors' shares,'.' the rea*.iii For this being that the London Stock Exchange ride would have precluded the shareholders dealing with I heir shares for 12 months. The local hoard replied by cablegram on April 12 accepting the terms, with the stipulation mentioned, but received no confirmatory advice until the end of June, when il received a letter dated May 10, stating''thai ttie conditions specified did noti'appear to be any obstacle. - A week later the local hoard received a brief letter intimating that negotiations : Had'fallen through. The company had not written or cabled giving the local board any information as to the .trend of affairs until days after receiving |no reply from the local hoard. The company. Mr Clayton added, did not seem to be a; the end of its resources. A substantial amount Hos'to' its credit in the bank here, whilst, it is known that substantial offers were made quite recently for certain of the concessions, and as far as is known here, the liabilities of the company are comparatively small and unimportant.