OIL LAND DEAL

Gisborne Times, Volume LXIII, Issue 10140, 28 October 1925, Page 8

OIL LAND DEAL

TARANAKI OIL FIELDS EXTEND OPERATIONS. BUYS GISBORNE PROPRIETARY ’SIN TER E STS.

The Taranaki Oil Fields Ltd., has extended operations to Poverty Bay and has acquired the interests m the Gisborne Oil Proprietary winch has secured options over large _ potential bearing lands in this district. It is understood that* the price ■ paid by the Taranaki concern for tho 4l).ojiU shares in the'. Gisborne Oil Propwetary amounts to £.7000 iu cash and 49,500 fully paid up shares. The circular issued to sliareholders by the Taranaki Oil Fields Ltd., states that the land in Poverty Bay has been acquired on the advice of Mr E. G. Claim, the American oil geologist, who had been engaged on a geological survey of the interests of the Gisborne' Oil Proprietary. It is stated that in order lo raise funds for the geological and drilling programme recommended by Mi Clapp the nominal capital of the •Taranaki Oil FiTls. Ltd., has been increased to £300,000, bv the creation of 300.000 shares of £T each and an issue will forthwith be made which will provide about £104,/50. ibis issue will be first offered at par to the registered holders of the existing 3(19,500. issued shares in the capital of the icompnny.-on the has s or one sbaro ‘ for each two shares be.d. “The length and general character of this report”, continues the circular, “'are such as to preclude its publieation at the present juncture, but it is tlie intention of tlie board ot the Gisliorne Company to make it available at a later date, as, in the opiuion of the directors, it is sv most valuable work and by far the most important contribution yet made to the literature dealing with the prospects of finding a commercial oil field in Australasia.. The directors consider the report to be highly favorable, and quo that clearly justifies ‘the expectation that oil in commercial qualities will be found in certain localities in the newly-acquired area, Mr Clapp’s report eurjihasises': the fact that geological conditions, including the disposition .and character of - the strata, arcs such as to call for very (Rta'lcd geological surveying and aho for drilling with suitable supervision. The field; is thus one which can be tested and developed on sound ''inos or.ly bv a. company eommnna ng adequate capital and an efficient business* and technical organisation, i-o 'results could have been expected from the few petty efforts made to find cd in the jiasfc in this d strict 1 .