PETROLEUM NEWS.

Taranaki Daily News, Volume LVI, Issue 218, 14 March 1914, Page 2

PETROLEUM NEWS.

POSITION OF THE COMPANIES. (Compiled by F. P. Corkill, chairman Taranaki Oil anil Freehold Co,, Ltd., for the information of shareholders in that eomnariv.) Taranaki (N.Z.) Oil V\ elis, Ltd.—This concern, which was formed to acquire and develon the undertaking oi the Taranaki Petroleum Company. Ltd., had very indifferent success in Us flotation, the English investor—from whom so much was expected ouh taking up some f 11,000, as against £I7;S,UI)O eontri buted in New Zealand. Acting upon expert advice the London Board went to considerable expense (some £IB,OOO to £40,000) in erecting a complete refinery capable of dealing with a Urge output of crude oil and converting it into many products of petroleum. Unfortunately this outlay has left them witli altogether j inadequate funds for prosecuting I boring in various directions where the Company holds rights, and the financial position has now become serious. Of the wells at iloturoa which they took over No, 1 needs to be cleaned and recased, and Nos. 2 and 3 continue in payable oil. No. 5, put down by the present company, has proved to be the best y«t drilled, and "No. 1 KoLary" has got into •il within the last few days and seems likely to be still more productive.. Two other wells, put down in the Bell Block district, to over 3,000 feet, have proved barren' though affordin" important data for other operations. Nearlv all ac cumulated crude oil has been treated aad the products are highly spoken of and in great demand. Our own venture continues shut down through exhaustion of funds. Ours is the only well in Taranaki outside of the Moturoai area which got anything more than indications, our flow being about four barrels per day. i Inglewood Oil Boring Company, Ltd., I { —This Company put down an unproductive well in theMoa district, dismantled its plant, and is now completing ne"o- - tiations with some Taranaki men who j propose to try another locality. . Bonithon Company.—The purchase of a rotary plant in America, and the engage- t I ment of highly paid drillers from the ; States have not met with the success deserved by this enterprising Welling-ton-Taranaki concern, and it is understood that a further essay is to be made nearer Moturoa. Standard Oil Company of New Zealand.—An Auckland undertakiwr whose methods seem to have been as ambitious as its name. It spent many thousands in putting down one well on Carrington Road, about six miles inland of ours. Collapse and liquidation ensued, and the assets are said to have been acquired by the International Company, registered in Ohriatchurch, -with a capital of £400,000. Taranaki Oil Lands Acquisition and Development Company, Ltd.—Floated in Marlborough, and known locally as the Blenheim. This company imported a very fine up-to-date British Tilant, and has the services of an Austrian superintend1' ent of considerable repute, who is assisted by skilled drillers and workmen from Galicia. Oil was struck about the

j JTeir Tear, and a yield of up to 50 barr rds pur clay was obtained, but the intrusion of water recently officially stated to have brought disaster. Deeper drilling 1b now going on, but it is known that considerable oil is bein« -won and stored, and it would anpear that the alleged ruination is more figurative than real. Phoenix Companv.—This js a Christchurch combination, onerating at Motu,roa, under similar conditions a3 to plant and management to the last mentioned. The boring is approaching the oil formation and good results are looked for. United Company.—Under this designation the two last mentioned companies and a third one in Christchurch, are putting down, on joint account, a well on the j north bank of the Waitara river, at Tikorangi, the plant and control being identical with those just referred to. This bore is down to 600 feet. Huiroa Bore. —Another southern combination is drilling in the Huiroa district, east of Stratford, with Knglish plant and Austrian management and labor. Several other companies, both local and of outside origin, have been formed or are projected, but so far none of them has actually commenced work. Water in wells.—About a month ago the managing director of the. Blenheim Company organised a deputation to the Minister of Mines on the subject of the flooding of their well by water, which he alleged came from the bores of the Taranaki Oil Wells, Ltd. This deputation was not a fairly representative one as none of the older companies were informed of it, whilst several of the gentleuen present are unknown in connection with this field. As the result of their statements (which were telegraphed all over the Dominion) the Government geologist, Mr. P. Morgan, came to New Plymouth and made as complete an investipation as circumstances and time permitted. He has since reported to the Minister that the aliened flooding has not been proved, but he recommends that, as is usual in all oilfields, regulations be framed to provide against it. The dancer of external water finding its wav into the petroleum measures ha 3 long been understood by people here associated with oil prospecting. Many "ears aso the eminent authors of The Technolojr- of Petroleum, Messrs Neuburger and Nnalhat. referred to this subject in the following terms (English translation. nublished in 1901): "Boring at the Sugar Loaves is rendered more difficult bv the presence, in contact with the petroliferous strata, of several water-bearing beds ..." The effect of the circulation of the statements of the denutation was to create a small panic among shareholders, which was wholly unwarranted and much to be denlored, but has now been fortunately allayed.