INGLEWOOD OIL AND PROSPECTING CO.

Taranaki Daily News, Volume XLVII, Issue 81874, 26 October 1906, Page 3

INGLEWOOD OIL AND PROSPECTING CO.

SHAREHOLDERS' MEETING.

The first statutory meeting of 'he shareholders in the Inglewood Ohand Prospecting Company was held m the Town Hall, New Plymouth, 011 Thursday afternoon. There were fifty-seven shareholders representing more than a fifth of the share capital of the company. Owing to Mr L. W. Alexander, the >'e-puty-chairman, being indisposed, Mr Ahier was voted to the chair. D IRECTORS' REPORT. The directors' formal report stated that the total number «f shares allottej by the company was 47S shares of .£lO each, and of these three shares had been allotted as fully paid-up otherwise than in cash. The total amoupt of cash received in respect oi these 475 shares was £2375, and the brokers' commission amounted £217 10/. The ascertained preliminary expenses were: Law costs 8/5, advertising and printing j£Bo 0/11» accident insurance premium ,£1 5;, and the additional preliminary expenses were estimated at ,660. A further report stated that tho capital had been over subscribed, the greatest portion coming from this district, New Plymouth contributing largely. After consideration the directors thought an increase of capital \Vould be of advantage, the present

ci\pital having hardly sufficient margii,■* should the company have to sink deep « than was at first contemplated, or, si>«ld a second bore be started upon, attain success. They therefore that only 100 shares be placed on" the market at present, and the balance held as a reserve for the benefit of i''bc company. They had secured borii rights over 300 C.acres and several ot er properties had been 1 offered. The necessary information had been <° en^ le th , e in " coming directors to PP ec * w !' , T erations. The dii WW S ' wnkrd lie various settlers in ti-M 5 I n f>' e,voo< J t ' ls " trict for valuable assi a so specially thanked Mr . • Alexander, the deputy-ehairma ' l<! <rgy and time he had de\ ' oted *° r {V 5 interest of the company, Mr *'• W. Brown for valuable assist ancc ren " dered in many ways. Mr L. W. Alexander suggested Wat the report should include the name-" 1 oi Messrs W. E. I'ercival, k.obert Stevens, and F. H. Brown, of liiK' c " wood, who had assisted him enormously, especially in the matter ot obtaining boring options. These ge,itlemen fiad been able to assure the settlers that this was a genuine bona fide little boring company, operating in the country where tlio indications of oil were most favorable. The farmers and settlers had met the company splendidly as as they recognised the company was a bona fide boring one, and not holding the territory merely for speculative puiposes. . A The meeting agreed to this amendment* , , r Mr J. Thomas (Ngaire) asked if the provisions of the Mining Act, 1874, applied to this company. li e understood that by that Act the Government had reserved to itself all mineral rights. The solicitor (Mr J- £-• Wilson) stated the company could go right, ahead with boring operations. Mr W. E. Spencer, in moving the adoption of the report* aVked if it would be possible to put down two bores with the present capital. Mr Alexander explained that there was now enough capital to sink two bores if all were plain sailing, but there would be no margin fur contingencies. It would be a mistake to start tha company and find that tin y were a couple of hundred pounds short of funds to complete two bores. Mr Wilson considered it a fatal mistake to start the company with such limited capital, it ought to be 000.

ELECTION OF DIRECTORS. Mr Wilson moved., and Mr Alexander seconded, that number ut directors be mint*. Mr Roy moved, and Mr Paton seconded. as an amendment, that seven be appointed, Mr Roy remarking that nine was an unwieldy number, necessitating a- large quorum. Seven would do as much work as nine. Mr Alexander pointed out Uia(t it was desired to have two or three of the dii rectors reading in lngkuvood. IL | would not bu necessary for them to attend all meeting*, merely the important ones but they would b« invaluable locally. For thai reason it would be ne to appoint at least nine flirecK )r*. The meu ting decided in favor of /nine directors. The folio wing gentlemen were nominated at i directors: —Messrs 11. Trimble, L . \V. Alexander, A. D. Gray, C. T. Furlong, junr., A. E. Watt;ins, L. Steck', Geo. Ramsun, W. F. MeAllum, Henry Brown, W. E. Peixival, A. C. 1-ookes. Messrs J- K. Roy and W. E. Spencer acted «H scrutineers, announcing tho result as follow'^: —Messrs L. \V. Alexander ir<S, Henry Brown 116, T. 1 Furlong 110, C. Ahier 110, A. D. Gray io'j, G. Ramson 100, W. E. Percival 97. A. E. Watkins gt,_ \V. F. Me/\]lum 79. Messrs T. O. Kelsey. Hugh Bailv. and S. Ronnell were nominated as auditor's, and Mr Baily declared elected. A motion to fix the auditor's remuneration ill 10 guinm* was defeatid by an amendment th:st five guineas only l>e paid. 1 INCREASE OF CAPITAL.

The chairman moved that the capital of the company be increased to the amount of /Jio.ooo by tho creation of additional capital of the. amount of £SOOO. divided into sdo shares of ,£io each, such share- to lie issued as ordinary shares ranking as t" divi dend and as to distribution of capital on a winding-up basis pari passu with the ordinary shares in the existing capital of the company. Mr I). McAHum seconded, believing it wi-e to put down at three boie4. He had found the .shareliolders all round the mountain favored this.

Mr \Vils.,'V- moved as an amendment that the capital lie increased by .£IO,OOO, making S ,£15.000. lie thought was a very small saEital ta start burint witbi ffibes

each bore- would cost about ,65000. Mr Fookes seconded., The chairman said he could see ro reason fur inerea ing the capital unduly. If when was expended, nil had not b(!en struck the shareholders could be called together. Again, too much capital often led to extravagance (applause), and anolher £IOOO would be ample for the present. They should not be guided by other companies. They wanted to run this company "on their own." Mr J. K. Wilson reminded the meeting that iliis was not a working company, but a prospecting company, and even ,£15.000' would not be much use to a working company. When iil was j-truek, the capital would have to be enlarged anyhow. Mr D. [ilcAllum : If we don't slriko oil we won't call up any more capital. Mr Alexander thought it could be put better. If the indications were good, then the directors would, if ncce--sary, make a fresh issue of shares. The indications might be good enough, when this capital was expended,. to warrant further pro■P'oting, but might not warrant the company in going on the open market for capital. Mr Blylh agreed with the chairman that too much capital would probably mean extravagant working. The chairman explained that the capital ws over-subscribed, and the provisional directors had been compelled to throw out' many tions, bes'des, in many cases, allotting le-s shares than were applied for An issue of one hundred shares might rake in these unfortunates, and they could hold the remaining four hundred for future developments. "I know by sad experience," he said, "that too much capital has been the ruin of many companies." Mr Blyth remarked that the more people to participate the smaller the slices of a good cake. The amendment put and lost, only the mover and seconder supporting it, and the directors' proposals carried were adopted.