Commercial news in brief

Press, Volume CXII, Issue 33092, 6 December 1972, Page 27

Commercial news in brief

W. Hall interim The directors of Walker and Hall, Ltd, Auckland goldsmiths, silversmiths and cutlers, said that earnings and sales for the half-year ended October 31 had increased, compared with the same period last year. An increased interim dividend of 4 per cent (last year 3 per cent) is proposed, payable on December 10 out of capital reserves and therefore taxfree in the hands of shareholders. Total dividend for the last full year was 8 per cent. Puketaha Well The Waikato No. 4 oil exploration well, drilled for Republic Petroleum Corporation (N.Z.), Ltd, at Puketaha, near Hamilton, has proved dry. Republic announced that the well reached 1963 feet in basement rock without encountering any shows. It has been plugged and abandoned. Drilling will begin at the Waikato No. 5 site between Horsham Downs and Kainui early next week. Cerebos moves Cerebos Foods (New Zealand), Ltd, a subsidiary of Rank Hovis McDougall (U.K.), one of the world’s largest food manufacturers, have recently completed the transfer of their entire manufacturing operation to new premises on an eight acre site in East Tarnaki Road, Otara, Auckland. The new factory and office complex covers an area of 45,000 square feet, and implement the latest floor lay-out plan for food processing. Magellan report The directors of Magellan Petroleum Australia, Ltd, said the company’s gross share of group expenditure on petroleum and mineral exploration for the quarter to October 31 was $115,889. Interest, income and subsidy receipts totalled $25,062 and $29,269 respectively, resulting in a net expenditure of $90,827. Preparations were proceeding to drill the Palm Valley No. 3 assessment well in the Palm Valley gas field in Central Australia, which is programmed to approximately 7300 feet. A seismic survey is also being planned for the Bass Strait petroleum concessions, they added. Fractions ignored Feltex New Zealand, Ltd, has decided to disregard fractions in its one-for-ten issue because there are so many shareholders involved that the task would be out of all proportion to the benefits they would receive. "The issue of one-for-ten in 1970 and the take-over of Reidrubber, Ltd, resulted in more than one-third of shareholders holding odd numbers of shares, a fact which was overlooked when our advice of November 28 was sent to you,” the company says. Renegotiable There are signs that the Japanese are prepared to consider renegotiating Coal and Allied Industries, Ltd’s contracts on better terms, the chairman (Mr W. HowardSmith) told the annual meeting. Sir Edward Warren, who led a mission from the N.'S.W. Combined Colliery Proprietors’ Association to Japan in October, would go to Japan soon to negotiate Coal and Allied’s contract, he said. The short-term outlook for exports to Europe did not appear very promising. Since completing a one million ton coal export contract to Britain in June, there had not been any further contracts offering, he added. Thiess bonus issue Thiess Holdings, Ltd, would make a one-for-five cash and bonus issue, the directors said. The cash issue will be at a premium of 100 c for each 50c share and will be made on the bonus increased capital. The directors said the funds raised by the cash issue would be used to finance the group’s expanding activities. The bonus and cash issues will lift paid-up capital from the present level of 6,243,460 to 8,990,582, and directors anticipate that the dividend rate on the increased capital would not be less than 12 per cent. The new shares will rank for dividend from January 1 next. An extra ordinary meeting has been called for January 25 to approve the cash and bonus issues.

Kanowana No. 1 The directors of Vamgas, N.L., say that the location for the final earning well in the Patchawarra Southwest farm-out area of South Australia has been selected. The well, designated Vamgas Et Al Kanowana No. 1, is programmed to drill to a depth of 10,500 feet. However, provision has been made to extend the total depth of 12,000 feet, should conditions warrant. Kanowana No. 1 will be about 10J miles south-west of the Tirrawarra oil field and 9 miles north north-west of the Gidgealpa gas field. It is anticipated that the well will spud about December 7.

Schofield says little The net profit of Schofield Holdings, Ltd. Holden and Vauxhall distributor, for the half-year to September 30 was maintained on a similar basis to that of last year, directors say in their interim report. Earnings rose 7.1 per cent to $294,554 last year. An interim dividend of 3c a share (3 per cent) is payable on January 30. The total last year was 35 per cent, equivalent to 7 per cent after the recent four-for-one bonus issue.—(P.A.)

Unit price rise The current unit price of Fund of New Zealand has increased to 114 c after the latest valuation of assets this week. The value of each unit in the property-investing mutual fund has increased in its first year from 100 c to 117 c, said Mr Peter Bullock, a director of Fund of New Zealand Services, Ltd. The fund has gross assets of more than sl.9m under management.

British recovery Britain’s gold and dollar reserves made a big recovery in November, and the stockpile is now at its highest level since April, the Government announced. In dollar terms, the reserves are now worth SUSSB9Sm, an increase of SUS36m since the previous tally was made at the end of October. The reserves include not only dollars and gold, but also some other currencies, and the International Monetary Fund’s special drawing rights (paper gold).