NEW ZEALAND AS OIL PRODUCER

Taranaki Daily News, Volume LIV, Issue 114, 3 November 1911, Page 7

NEW ZEALAND AS OIL PRODUCER

j NOTICE IN ENGLAND. When the last mail left London preparations were being made for floating the Taranaki Oil Company, at all events thut is to be deduced from the fact that I an article commendatory of the New Plymout venture appeared in the Financial Times of September 19. The article ing the above heading is by a "specialroil correspondent," and is as under:— The time is not far distant when New Zealand will be a large producer of petroleum. For some years the Dominion has been exploited for oil by some three or four local companies, none of which, however, appears to have made much pro- ! greas, the non-success being attributable | to lack of experience and insufficiency of funds. These eompainies have, however, j done much good work and have proved i the existence of oil 011 large areas in the I North Island. An English company has also commenced drilling in the South Is- | land with very encouraging results. At j Mokau, in the North Island, so long ago as 1897 large quantities of bitumen were discovered on the s.ea beach, and it is on record that by removing the ironsand at I low water quantities of petroleum, with numerous jets of carburetted hydrogen I gas, bubbled up in many places. Whenever the shore is clear of this sand traces of oil can be seen by lifting up the boulders; I gas and oil indications also abound ; throughout the district as far south as j Mount Bgmont, extending inland some j eight to ten miles. It is reported that in the New Plymouth district a unmbcr of water wells put down had to be abandoned on account of the strong gas encountered; in | others the water eould not be used for 1 domestic purposes owing to its impreg- ] nation with petroleum. New Plymouth is situated at the foot of Mount Egmont, 011 the west coast, being distant some 250 miles by rail and 172 miles by sea from Wellington. Th' portion of oil-bearing area that has been tested up to the present time partly surrounds Mount Egmont, and stretches in a northerly direction to the sea. and it is expected that thus portion of the island will be the first | developed. Experts who have visited this district report that it is one of the biggest prospective fields in the world, with enormous .possibilities, oil indications being found in all directions and surface .conditions indicating that there is a wide 1 oil-bearing zone. Samples of the oil obtained in the district have been tested in this "country, and are reported to be of exceptional, quality, and to resemble in character arid purity Pennsylvanian petroleum. At MotuVoa three wells have been drill-: ed, all of which have got oil, one having given an average of nearly 40 barrels per day. These wells range from 2500 feet to 3000 feet deep, and with experienced drillers lwring is not considered difficult. The climate being good, work can be carried out continuously, which is a great advantage, enabling a well to be drilled in about three months. The New Zealand Government have shown their willingness to fostt'r the petroleum industry and have undertaken to dredge the harbor to enable the Very largest boats to berth; there is also excellent wharf accommodation, arid it is fully expected that the port oif Moturoa will be an important base for the shipment of petrol-' cum. I

The general 'lihiports of petroleum and residuals into-', the Dominion amount to about half a. millton pounds sterling per annum, and with Australia importing annually nearly 2(5 niill'ion gallons of kerosene alone—after allowing for the oil being produced'ili New South Walesthere is .i good rrta.rk-et already at hand. Then, again, tlle ; Admiralty are watching events very (•losefyy arid liave from time to time caused' investigations to he made as to the quantity of crude oil being produced. This Department had also instituted inquiries as : to the suitability of lloturoa as-an oil fuel base, and it is reported has promised that, m the event I of 11 good supply of petroleum being obtained the Xava'i authorities will take a good deal of their suppliis from New Zealand. lrr the/jieih' future, with rapid strides being made in the use of oil fuel for power purposes, there should be a constantly insn-asing demand, so that with the further developments of the Xeiv Zealand fields oil should always command a fair price, and at the smiie time make the colonial markets independent of foreign supplies. It is the opinion of those able to speak with authority management and ample funds for development the Xew Zealand oil-lields have a very great future.