PETROLEUM NEWS.

Taranaki Daily News, Volume LII, Issue 225, 28 October 1909, Page 3

PETROLEUM NEWS.

TAB Mi Alii (PETROLEUM CO.

ANNUAL REPORT,

The annual general meeting of share- - holders in the Taranaki Petroleum C". Ll be held in tlw Theatre Royal, New Plvmoutli, on Monday, 15th November, at'l p.m. following is the directors' r«P °'-Xour directors, in reporting on the operations of the Company for the past year, are pleased to be able to say that, notwithstanding the measure of success a 1 taiued l*as not been all that could be Jeered, yet never in the history of the company has there been greater cau.se for hopefulness. Xo. 2. Bore.—During the year this Bore has leeeived most attention, and until the recent developments at No. 3 W:is the centre of interest. A considerable quantity of oil has been obtain; d from the well. For some time past " special interest has been 6ho\vn in the •"operations here, consequent upon the test being made by Mr. D. Berry, in ivhich he sought under a penalty of £2 per day to win for a period of 24 working days, from this well, an average of 2U barrels per day, or a total of 480 barrels of crude petroleum (20,1(10 gallons). The test was completed on the 11th of October, resulting in 122 barrels (equal to 5,124 gallons being won. No S^Boro.—Operations were resumed at this bore in Hay last and, after determined efforts the obstruction at the bottom was removed. Drilling operations ■were diligently proceeded witli, and at a depth of 2,570 feet a strong vein of gae was pierced. The r,is gave oil in such large quantities as to render it difficult of control. In this salhe locality an oil seam was struck, which up' to date has yielded fcy flowing and sand-pumping, ninety barrels of oil; the full capacity of the iwell cannot be guaged until the deepwell pump has,been placed in positiou. Tbe discovery of oil at this depth amply confirms the opinion of those of your directors who advocated boring to the Jotct levels. Owing to the difficulty experienced in obtaining a suitable deepwell pump and outfit, and to the destruction of the derrick by fire on the night of the 6th September, some delay lias occurred in fully testing the well, but we trust to be in a position to give more definite information to the shareholders as to its capacity at the annual meeting. The re-ereetion of the derrick, As also the placing in position of the machinery and plant, was expeditiously accomplished, sand-pumping operations being resumed within three weeks of the flate of the fire.

Your directors are of the opinion that the energies of the company should be concentrated on Nos. 2 and 3 bores, with the view of demonstrating the presence of payable oil; the indications fully ■warrant these bores being continued to ttic deeper levels. In order, however, ro tetain boting rights acquired by the comparv it may be necessary commence operations in other localities; in s'lci eases the directors propose that boies Sie put down by contract. Owing-to the prospecting nature of the company's undertaking, no allowance for depreciations lias been made, as it cannot be adequately assessed. Mr. W. A. Simpson, the manager of the company, in terms of his extended agreement, has given notice ot lis resignation, which will take effect cn the lflth of December next. Your directors feel that the time has Bow arrived when the Government should be asked to give practical assistance to developing an industry, the sue ce.« of which would not only mean general prosperity to the district, but also to the D "minion, ami to this end they recommend the shareholders to appoint a deputation to wait upon the Government with a view of securing practical assistance.

The quantity of oil won during the year was 58,700 gallons (equal to 874 barrels).

The retiring directors are Messrs. P. N. Kingswell. of Auckland, and H. Okey, M.P., of Xew Plymouth (who are eligible and offer themselves for reelection). The lialanec-Rheet shows sales of oil ■totalling till 7s 4d. and a stock of oil valued at £385 3s 4d. The credit to working account is £5,559 7s Od.

We have had certain information placed at our disposal from which we learn that there is a solid probability of a large amount of British capital ( €500,000) coming to Xew Zealand for the purpose of thoroughly exploiting the oil fields of Taranaki. We are not in a position at the present moment to make public any details, but the matter lias' been laid before the Prime Minister, and we exgiect to see it mentioned i i Parliament before the session closes. — Eltham Argus. Dr. Bell spent a considerable time on Tuesday morning at t'leliore of the Oil and Freehold Company, Carrington Road, am 1 was greatly pleased with the recor.ls and specimens of the strata which were placed at his disposal, also the substantial character of the work done. Accompanied by the directors, he subsequently inspected the gas springs near Ratanui. In the afternoon and yesterday Dr. Heir again visited Motorua and resumed his investigations there.

We umbrstand that Dr Cell has stated that the surface indications in the neighbourhood of Xew Plymouth arc quite as good as {hose on many American oil fields.