PETROLEUM.

Taranaki Daily News, Volume LV, Issue 207, 21 January 1913, Page 6

PETROLEUM.

TAI AXAKI (X.Z.) OIL WELLS, LTD. I T!'i> following progress report has been issr 1 to shareholders 1»y the local director- : | ( eiieral.—T!h> general expression of • a |>reeiatio]i on the part of shareholders j at the issue of a previous report with tin* seeoud call notice has brought many li tters of thanks to the oliice, especially from shareholders who reside at a distance, hence our decision to issue progress report No. 2. Since our last report, dated October 4. 101-2, the development of your field lias been carefully carried out. Everything possible has been done to forward drilling operations, while the erection of the refinery for treating the oil won is being pushed rapidly forward, and we anticipate commencing refining in May, when the Premier and Minister of Mines will be invited to be present. Calls.—lt is most gratifying to the .management to report that calls have been promptly met. This shows the confidence that shareholders have in the future of the industry. Share certificates. —Share certificates 'are now available.and will be forwarded ,as desired. Many shareholders will pro- , bably not require theirs until the final .call lias been paid, and the certificates .can then be issued complete. Those shareholders who desire.their certificates i immediately, by communicating with the i office will receive attention in priority ■of applications received. : Insurance.—The difficulty of. effecting

' insurance oil the company's property has i now been overcome by a strong company I taking the risk previously carried by • vour company. ;•* Wells.—Since October last, drilling operations in three new wells have been ■started. Two of these wells are situated in the Bell Block district,: and one on i the Moturoa options, adjacent to the present producing wells. Canadian rig and i tools are being utilised tor drilling the ■ two former wells, and a "Parker" rotary •is drilling on the Moturoa property. , Altogether some 1200 feet has been i drilled since October, which is highly 'creditable, considering the nature of the 'strata encountered and' the' difficulties ito be surmounted in preparing sites, 'transporting tools, plant, etc.

MANAGERS' BEPQRTS.. | | The following are' tlie managers' re•ports concerning their departments: — < j Moturoa Well No. 2—This well first I Istarted to flow on January 5, 1910, since iwhen the well has continued to flow jwithout mechanical means,, other than [periodically cleaning out the rising mud jcore, which, owing to the strong gas jpiessure, forms inside the , casing. _ j r The management are seriously consid- i pring the advisability iof carrying the 1 casing of this wiell. deeper, when it is J ; hoped that the production of oil and gas i Will be considerably augmented,' | Moturoa No. 3.—The -depth-of this well Is 4030 feet. At 3870 ft the strongest gas issue encountered in, your field when drilling was met with. This pressure is kill maintained, and there is practically no difference in the rate of flow, which Las averaged from 40 to 50, .barrels per week for the past two.years. With the Exception of periodically cleaning <?ut the solidified crude wax which collects in the casing, nothing has'to be. done to this Veil. ' .. ' '. j Moturoa No. s.*—This Wejfif .down 2465 feet, and its production averages. about f 1,00 to 110 barrels, weekly; 'lt is 'one of the shallowest ■ producing - wells m your field, and the -management '.decided to deepen it with a. view'to'augmenting the jiroduction. A derrick and rig have l}een re-erected, and deepening operations dre now being undertaken. - - i Bell Block No. . L—The " depth of this well is 790 feet, in eight-inch casipg. . In drilling the first 450 feet considerable J difficulty was experienced in penetrating J tjlie hard beds of conglomerate, sand and ! boulders. The present, formation is, I however, more favorable, and good pro- j gress is now being made. : Bell Block No. 2.—This bore- is down j tjo a depth of 390 feet, , The strata in : the first 90 feet consisted of sand and I i boulder conglomerates,. Sipce then a papa ] formation has been encountered. - j ! Great interest is attached to the de- , yelopment of these two bores,, and accurate drilling logs are being compiled* as yell as samples of the .various .stratas ijncountered kept for future reference, I Rotary Drill No; I.—The site .'for. tlie" Rotary drill was selected with a view to penetrating the prolific, oil sands at approximately the same depth'as,,the present producing wells' at. Moturoa, "but Sufficiently. removed from. Nos. .3 and, 5 so as not to interfere with .their.flow, ! This plant started active operations pn December 18, and has now reached a jlcptli of 80 feet. As in,' other wells in this vicinity the same boulder ■ forma- | ition is being encountered,' and; 'for.' this | ireason, together with the the progress up to the present- lias - been gomewhat retarded. • - | Refinery. —Since our last report, the jerection of the refinery-has been pushed ]forward rapidly. Some' 400, f yards: of iconcretc foundation work and'balls'have ibeen finished, over 170,000.; bricks ' laid, land about 42,000 rivets driven. A considerable quantity of iron . work and jmachinery has also been erected'.

The final shipment -df Messrs A. P. ■ Craig's plant has now arrived in the .'Dominion, and there only remains- the j tinning plant to come l to .hand. The i order for this plant lias been placedi'aiid :will arrive shortly. i