OIL PRODUCTION.

Taranaki Daily News, 30 August 1919, Page 4

OIL PRODUCTION.

v NECESSITY FOR GOVKHVMKXT. I]l"U>. ANGLO-PERSIAN COMPANYS OMi'R

(Special to Daily Now?) • Wellington, Lm XigtiL. In their report to Purlsit'uenf Uiis evening, the Industries Comni'tler hUiuj Motor spirits und jiiiner.il and oth.T oils for the purposes of motive-power .il'e coming into iihuusi general un- in v,.nnection with our industries, ovej hfj million gallons, valued m i'l,2i*ty)Ui, having been imported in I!MS. The unsatisfactory position in iciHiid to t!"' matter is that the snreos of supply in 'far distant countries, and the.'coin-l( panics controlling the oil are in the uofition of unavailable dietaior* a.i lo tilt price to be charged. Nev. has several promising sumves' fnjm which oil can be obtained, the principal ones being pcirolemu wimb, sluth) deposit*, and kauri swamp peat. Tj|| Committee express connnenda*. on of tM Government's action in assisting ft TorJaJ naki company in boring, am! urge thalT encouragement by way of financial *f. sistance be given for the thorough itt\- ■ ing of the Dominion's oil possibilities. . It was stated to the Committee that the Anglo-Persian Oil Company hid offered to form a syndicate having » canital of, say, £500,000 (the New Zea« land Government to take one half interest) to produce, refine, and market oil and oil-products on a large scale. ,' It was pointed out that the company have in their employ expert oil geolo* gists, whose knowledge and experience would be available for testing me Dominion's oil prospects, if this syndicate was formed. In view of the evi- | dence, the Committee urge that the GovI eminent seriously consider entering into an arrangement with this company on the Hues suggested. With regard to shale oil, the committee recommend that ! encouragement on stated lines be given | to the industry. Respecting kauri swamp peat oil, Dr. I McLaurin, Director of the Dominion laboratory, expressed the opinion that should the Government decid* to assist this industry, a preliminary purvey of the more important swamps should be made, and a comprehensive series at samples taken for analysis. The Committee concur in this suggestion, and, in view of the importance of the matter, urge that no tine be lost in carrying out the work. If the result be satisfactory a company who claim ' that they have proved the oil value' of the peat should receive Government assistance by way of borrowed money to allow of the erection of plant, etc.

VALUABLE OIL WORKS. AT NORTHERN WAIROA. Dargaville, Aug. 28. The new oil works erected for the Parenga Gumfield Company, at Red Hill, Northern Wairoa, had a trial run today and worked very smoothly, giving the engineers complete satisfaction, The official opening will take place later. The works cost £IO,OOO and are capable of turning out 4500 gallon* of oil per week. The oil is distilled from a .kauri gum swamp and comprises motor oil, turpentine, paint and Ttrnish oils. Seventy-five gallons Is obtained per ton of the material treated, and there U every possibility of the industry developing into one of the most valuable resources of the Dominion. The supply of raw material is praotigally inexhaustible, and Mr. Alderton, managing director, ventures the opinion that ttw Government owns enough material if converted into oil to pay off the whole of a war debt of one hundred million pounds. The Fukau from which the oil is extracted assays £0 7s fid per ton, and the cost of distillation, refining, and other charges amounts to £2 per ton.