A PROSPEROUS OUTLOOK

Taranaki Daily News, Volume LIV, Issue 122, 14 November 1911, Page 8

A PROSPEROUS OUTLOOK

MR. OKEY'S FAITH IN TARANAKI. THE "BILL ADAMS" OF THE OIL INDUSTRY. At the Theatre last night Mr. Okey said he could not close his address without referring to a few matters of local interest. Although business was none too brisk in this district at present, attributed to the drought' last autumn and the backward, spring affecting the supply of butter, which the district was so dependent upon for its prosperity, he did not think there was ever a brighter outlook for this district than at the present time. He was satisfied that the eyes of the outside world were upon this province, and there was every prospect of a tremendous inflow of foreign capital, which must materially affect the progress of the district during the next few years. I It was the duty of those who had the interests of the district at heart to see that this prosperity was built upon a sound foundation. To this end he would suggest that they should make the main feature of that foundation by, I assisting in the forward policy that was being carried on by our Harbor Board. There was no doubt but that within the next eighteen months we should have Home boats lying at our breakwater, bringing in imports and taking away our produce. There was no reason why this port should not supply all the needs of the country between Wanganui on the south and Kawhia on the I north. Tp do this, provision must be made for providing small craft for doing this trade. He knew it had been said that the, Northern Company was prepared to put on steamers to do this trade immediately it is here to do. .Was it wise that we should be dependent upon this company, which was owned, to A large extent, by the Auckland meretants, who must be our greatest competitors for the trade we wished to do at this port? This he wduld leave to the merchants to deal with.

OPENING THE ARTERIES. What he was concerned with was the opening up of the different arteries leading to the port by road and railway. The first of importance was the Strat-ford-Ongarue line. When he was first returned to Parliament £20.000 was voted for expenditure on the line, and £,12,000 spent. He had on several occasions, with the different members representing the district, urged upon the authorities the pushing on of this line, with the result that last year £IOO,OOO wap voted for the line, and £78,000 spent. The line was expected this summer to reach Whangamomona, and the Minister when discussing the Estimates In the House at the end of the session stated that it was his intention to push it, on from this end.

THE COAL DEPOSITS. During the session they had had in the lobby of the House, placed there by Hon. G. Kelly, a splendid sample of coal procured and sent down to him from along where the railway goes, about twelve to twenty miles from Whangamomona. It was impossible to estimate the benefit it would be to the different dairy factories and local consumers wflen the line was carried on to these eaal fields. He had urged this matter upon the Minister, and believed he was in full sympathy with the suggestion. The Minister had had to submit to the pressure that had been brought to bear by the Auckland people, and start the !ine at the Ongarue end, and he bad no doubt there would be a great time there turning the first sod before the coming election. During the session authority was obtained for shifting the course of this line from Ongarue to six miles nearer Taumarunui on the Main Trunk line. It was estimated this would lessen the distance to Stratford by several miles, and reduce the cost by about £OO,OOO.

THE OPUNAKE-STBATFORD LINE. The authorising of the OpunakcStratford line he had on many occasions urged upon the Government. He maintained that the first cost of a line should not be the first consideration in constructing a branch line. But the after convenience in working the line should be fully considered. This line would be used mostly in carrying produce to the port,, and stores and manures to the settlers. As there was no likelihood of having a deep-sea port at any other place than Moturoa, and as the terminus of the Stratford-Ongarue line will be at Stratford, he considered that that should be the terminus of this' line.

BRIDGTXG OF THE MOKAU. The bridging of the Mokau was another matter that was in the interests of this district, The'country on the ; northern side of the river was being i vastly improved, and was carrying large flocks and herds, the increase of which should come this way to the Waitara Freezing Works and eventually to i Moturoa. On account of the difficulty at this river a considerable amount of this trade was finding its way northward. When discussing the Estimates late in the session, in reply to a question from Mr. Jennings, the member representing that district, Hon. R. McKenzic stated that it was his intention to erect a steam ferry at the Mokau that would carry 1000 sheep or 150 head of cattle. Mr. Okey had pointed out that this would not meet with the wishes of t!ie settlors, as it would be a continuous expense to them, that it would he better for him to face the expenditure on a bridge, which was estimated would cost £20,000, than to expend money on a temporary concern. After being further urged by Mr. Jennings, the Minister promised to subsidise the funds for the erection of a bridge, £ for £, up to £IO,OOO. As the land on the northern side of the river had been brought under the "Counties Act lately, he trusted one ,of their first considerations would be the erection of this bridge. PETROLEUM INDUSTRY. Another matter he had tried to push —and he was pleased to say successfully—was the petroleum industry. For forty years the people of Taranaki had been endeavoring to.. develop this in-*| dustry. Thousands of pounds of the, people's money had been spent in that direction. They appeared to, be able ,to I jet so far, and no further. Their only

chance appeared to be to get the Government to take it over, or to get English capital into the industry. Having been a director of the chief company for some time, and knowing that the time had arrived when a filip was required, he decided to bring the matter before the Government and the outside public. His first move was to get the Minister of Mines to have a geological survey made of the district from an oil point of view. This matter had been brought before him by Mr. Watkins, of Watkins and Fox, who had done more for the oil industry in New Zealand than any one I other person. After several attempts in bringing the matter before the Minister, Dr. Belf was sent into the district to make a survey and to th« j prospects of the , industry. 'TTiese r J ports had been sent to interested oW people in London, with the result that considerable interest was taken in the industry. He got the Government, at their own expense, to send twenty barrels of crude oil Home to the naval authorities, so as to bring the matter before them from an oil fuel point of view. The result of {his had been that considerable interest had been taken in the field by the naval authorities. The Government had for some tinxe been offering a bonus of £SOO for a certain amount of refined oil. He had pointed I out to the Minister that when a company had arrived at the stage of having that quantity of refined oil they were t usually over their financial difficulties. Besides, he might be paying the bonus to a company that was formed for the purpose of purchasing the oil from the prospecting company, that had not spent auy money in proi-pecting. He also pointed out that there was' only about 30 per cent, of kerosene in the oil, and there was a large percentage of benzine, lubricating oil, wax and pitch, which is more valuable than kerosene, and to encourage the prospector the bonus should be paid on the crude oil. This view was also urged by Mr. Berry and the chairman of the company, Mr. C. Carter,, when they were in Wellington on oil business. The result was that tne bonus had been amended by offering a sum of £IO,OOO, the first £2500 to he paid on the production of 2*50,000 gallons of crude oil, the second instalment of £2500 on the production of 500,000 gallons of crude oil, the third instalment to be paid on the production of 750,000 gallons of crude oil, the fourth £2500 to ke paid on 250,000 gallons of refined oil. As they all know, the Taranaki Company had won and received the first bonus of £2500. This session be had urged the Government to allow all machinery used for oil boring and refining to come in duty free. The Prime Minister, in his Financial Statement, had promised to amend the Customs tariff to allow this to be done, or to place a sum on the Estimates to refund any duty paid. Mr. Okey ws urging upon the Government to pay a subsidy of £ for £ on the cost of'boring below 2000 feet. Up to the present this had not been • granted. They must admit the Govern- { ment was assisting the industry, as 1 they should do, and he was pleased that he had been useful in bringing the matter before them. For a time he was "the , only voice crying in the wilderness." The feeling of the members of the House now was to assist the industry in every possible way, as it is looked upon as a Dominion industry. He felt sanguine that it would be money well spent. He had only to quote a statement made by Mr. J.,C Henry, when he was in New Zealand, that he anticipated that within a. few years the value of oil produced in New Zealand would exceed that of'gold. Be was pleased to have been able to give this industry a push at the right moment, and hoped in the near future te receive some of the benefits this district was sure to derive from it.