OIL PROJECT IN NEW GUINEA

Press, Volume XCI, Issue 27583, 14 February 1955, Page 11

OIL PROJECT IN NEW GUINEA

Enormous Investment With Little Success

(Rec. 9 p.m.) NEW YORK, Feb. 12. A Dutch-operated company was making a determined effort to draw oil from the swampy jungle of western New Guinea, a correspondent of the “New York Times” reported today from Sorong, Netherlands New Guinea. But results, so far, had been disappointing, he said. In the process, dense tropical forests had been pushed back and towns had been created in the clearings. Ports had been built Helicopters and aeroplanes had been put into service. Sixty miles of road over rough country had been constructed at a cost of about 56,000 dollars a mile. Forty-five miles of pipeline had been laid through a swamp, with men labouring hip-deep in mud in the tropical heat.

The correspondent said that economically the investment had been enormous—more than 56,000,000 dollars until four years ago. The company which was exploiting the area—it comprised 60 per cent. American and 40 per cent. Dutch interests—now declined to tell how much money was being put into the project.