Oil Stocks Again Hold The Stage In Sydney

Press, Volume C, Issue 29702, 21 December 1961, Page 19

Oil Stocks Again Hold The Stage In Sydney

(N-Z. Press Association-Copyright)

SYDNEY, Dec. 20. The Sydney Stock Exchange in its market review today said oil stocks again held the stage on the exchange this week. A.O.G. reported last Sunday that, in a preliminary production test of the Moonie No. 1 well, oil of 47 gravity (excellent quality) flowed at a daily rate of 1765 barrels. A.O.G. which had previously jumped from Ils 6d to

round 25s leapt further, and is now welling in the 38s 6d40s range. Other oil stocks have also been particularly strong, except Timor Oil. which was quoted “ex rights” to a one-for-10 par issue, and had come back from over 6s to 4s 4d. The market apparently has fears of an Indonesian attack on Portuguese Timor. The general investment market weakened up to last Friday, but has since made a good recovery. The share price index lost 0.60 points at 293.03 in the week to Tuesday, after a drop to 291.61 on Friday, December 15. Broken Hill Proprietary fell back from round 69s to 675. but came back to 695. C.S.R. Falls Back C.S.R. fell back to £54 ss, the lowest price since early 1959, but by Wednesday had recovered to £5B 10s. As expected. Fibre Containers received a counter offer from Rede Paper, but directors surprised by rejecting the offer and announcing a one-for-one bonus issue. Bowater Paper then withdrew its offer. Australian Fa per Manufacturers also surprised with a shock announcement of aone-for-four bonus issue. There is much spebulation as to the motives of A.P.M. directors, as the company’s earning rate hardly justified a normal bonus issue. 1.C.1.’s take-over bid to the English Courtaulds Companj’ had its effects on the local market. with Courtaulds (Australia) up several shillings and Taubmans, controlled by Pinchin and Johnson, a subsidiary of the English Courtaulds Company, unusually active.