Oil Resources to be Safeguarded

Sun (Auckland), Volume I, Issue 178, 18 October 1927, Page 16

Oil Resources to be Safeguarded

NO RAVAGING OF LANDS BILL TO CONTROL PROSPECTING (THE SUN'S Parliamentary Reporter.) WELLINGTON, Monday. Legislation based upon the experience of the oilfields of the world is how the Hon. G. J. Anderson, Minister of Mines, considers the Petroleum Bill. This Bill, which was introduced and read for the first time this evening, wais explained by the Minister as being a measure to do away with the difficulties hitherto experienced, in producing rights for prospecting on native and other endowments. It had been difficult in the past for mining companies to secure rights over certain lands, and this Bill would enable it to be accomplished through the Mines Department. If it is passed, prospecting for and the winning of petroleum will, after January 1, not be lawful unless carried out in pursuance of a prospecting warrant or a licence granted under the new legislation, a prohibition which is to apply equally to the owner of any land. Power is given to the Governor-General to declare by proclamation Crown, native, private, or other lands to be cpen.for petroleum prospecting or winning operations. MINISTER’S POWERS The issue of prospecting warrants is at the absolute discretion of the Minister. The warrants are to be granted only for lands declared open for operations by proclamation. They will invest the holder with exclusive rights to prospect for petroleum in the area. Applicants for warrants will be required to deposit with the Minister a sum not exceeding a maximum amount, to be fixed by regulation, or an approved bond for a like sum. The amount of any deposit made or recovered under any bond is to be applied by the Minister toward the restoration or protection of any bor.nss, wells, oils, or other property injuriously affected or endangered by the failure of the warrant or licence holder to comply with requirements. Mr. H. E. Holland. Leader of the Opposition, asked if the Bill provided for subsidies. Mr. Anderson: Our mining law provides for them now. There is nothing in the Bill about subsidies. Each case will be treated on its merits. Mr. T. W. Rhodes: Does it cover other than Crown lands? Mr. Anderson: It covers all the lands we can get.