N.Z. Petroleum seeks funds

Press, 16 August 1978, Page 27

N.Z. Petroleum seeks funds

PA Wellington New Zealand Petroleum Company, Ltd, has been unable to attract partners to finance oil exploration programmes, because of continuing uncertainty surrounding Government policy on exploration, according to its I annual report. I Th.e chairman (Mr C. C. Shepherd) said that the company had continued to negotiate with the Government, and was now awaiting further details of taxation proposals, and clarification of suggested incentives. “These have been discussed in depth, and it would seem that the Government, as a result of the in» vestigation into oil practices in other countries, is now prepared to ease many of its previous requirements. “Until they are finalised, we are unable to communicate with our prospective overseas partners, but the directors are hopeful that the proposals would be acceptable to overseas participants.

"The company retains an interest in the Westland li-

cence area and has no intention at present of expanding its interest into any other area,” said Mr Shepherd. The balance of the exploration account at February 28 was $60,143 after charging net operating costs of $6312 for the year, transferring costs recovered in relinquished areas of $6540 to profit and loss account, and crediting a profit of $7337, on assets sold during the year. Net profit for the year was $11,709, after charging administration and general expenses for the Wellington and Dallas, Texas, offices, and writing-back exploration costs recovered in relinquished licence areas. Income included $31,057 in interest, cctmpared with $29,689 in 1977. ■

Accumulated losses at balance date total $2,492,705 ($2,504,414). Shareholders’ funds total $161,538, compared with $149,829 the year before. Paid up capital remains at $1,828,212. The annual meeting will ‘be held on August 30.