QUEST FOR OIL

Dominion, Volume 23, Issue 221, 14 June 1930, Page 13

QUEST FOR OIL

New Gisborne Venture

DIRECTORS HOPEFUL By Telegraph.—l-ress Association. Gisborne, June 13. The management of Taranaki Oilfields announces its Intention to driU a new well in the Waitangi area, twenty-four miles north inland from Gisborne. Drilling at Mangaone, known as Gisborne No. 2, was abandoned on April 4 at 3910 feet owing to the impossibility of making further progress against adverse conditions, mainly due to caving ground. Meantime the directors have been considering various prospects, and have agreed to make a further attempt at Waitangi, where cretaceous sands He considerably nearer the surface than at Mangaone or Morere. The site of the new operations, adjacent to that of previous attempts, trace . their origin to strong seepages of oil accompanied by gas on Waitangi hilL Intermittent efforts in the past have been made to develop an oilfield there. Some shallow shafts and five or six wells have been sunk within an area of less than a square mile. One well was sunk in 1909 by the original Gisborne Oil Company, and reached 1478 feet, and for a short period yielded about six barrels of oil a day from 664 feet Financial troubles prevented further exploitation. Geological Examination.

Mr. Clapp, the eminent American geologist, selected Waitangi hill among the areas most deserving of a detailed geological investigation with a view to the development of commercial oilfields. The company’s geological surveys at first failed to satisfactorily interpret structural conditions. A further examination recently disclosed a position which is held to warrant drilling one and possibly two wells with excellent chances of commercial production. The management comments that previous efforts never reached sufficient depth to tap any important oil horizon. The results of firming at Waitangi will also indicate whether the Mangaone and Morere domes should be persevered with. A rotary plant recently acquired from the United States wifi be used in conjunction with internal combustion engines. The announcement closes with the comment that the directors believe the prospects of winning commercial oil were never brighter, and they had no hesitation in recommending a continuance.