London Exchange Team May Look At New Zealand Too

Press, Volume CIX, Issue 32219, 11 February 1970, Page 17

London Exchange Team May Look At New Zealand Too

(N.Z. Press Association —Copyright!

LONDON, February 10.

Increasing interest in New Zealand petroleum and mineral exploration has given rise to speculation that an investigating team from the London Stock Exchange may visit New Zealand.

Plans are now being made for a team from the London exchange to visit Australia at the invitation o Sir Cecil Looker, chairman o the Australian Federation of Stock Exchanges, who believes British investors have misunderstood features of the present mining boom.

The team will include members of the London exchange executive as well as representatives of its quotations, services and settlements committees.

The objective of their visit to Australia will be to gain first-hand information about its many mineral prospecting firms, about local stock market regulations and about the difficulties being faced in the handling of share transacactions.

Criticism had been voiced about delays in the transfer of share certificates from sellers to buyers of Australian mineral shares. The proceedings have sometimes taken more than three months.

Imprest In N.Z. A spokesman for the London exchange said there had been no formal consideration of the possibility of the team going on to New Zealand from Australia. Any invitation for the team to travel across the Tasman would no doubt be considered, however, as a greater interest in New Zealand shares had been evident recently. It is clear that no concern exists in “the City" about the ability of New Zealand brokers to deal with current London demand for New Zealand stocks.

But little is known about the mineral exploration now being carried out in both the North and South Islands. Interest centres largely on the activities of the Shell. BP, Todd oil exploration consortium off the Taranaki coast and the approaching drilling programme of Tasman Petroleum. in which Oil (New Zealand), Ltd. and Beqph Petroleum have major interests.

Help To Brokers It is considered by some financial commentators in London that a visit by the team to New Zealand would at this point be mutually advantageous to both London and New Zealand brokers It could enable the London team to gain an up-to-date picture of developments in New Zealand and assist New Zealand brokers to prepare

for the potential . heavier United Kingdom investment which is likely to follow mineral finds of significance. A by-product of worth-while proportions would almost certainly be greater publicity about investment prospects in New Zealand. The investigating team’s activities will draw much attention from the financial Press here.