Page 4 Advertisements Column 4

Lyttelton Times, Volume CXXIII, Issue 15923, 8 May 1912, Page 4

A LIMITED NUMBER of ehav’os are now open fo** subscription. List will cloio definitely Oi» on BEFORE the 11th MAY, 1812. 1 British Empire Petroleum Company of New Zealand LIMITED - 1 TARANAKI (Incorporated under "Tho Companies Aot, 1308”) CAPITAL - - ££125,000 DIVIDED INTO 500,000 SHARES OF 5/- EACH of which (fully paid up) have baen allotted to the vendor of the property are % hald In reserve to secure further working capital If required are now offered to the public, subject to existing applications, fof over 100,000 shares 500,000 PAYABLE: 6d. per Share on application. 6d. per Share on allotment THE BALANCE in Calls not exceeding 3d. per Share, and at intervals of not less than three months should same be required ,: . Total Working Capital provided for - £85,000 DIRECTORS: \ BIR JAMES CARROLL, K.C.M.G., M.P., Wellington HON. J. A. MILLER, M.P., Wellington M, f. EOURXE, Wool Broker, Wellington fjQ T £' ,T he Articles of Association provilc that the Directors shall not be loss than threo nor moro than seven. Shareholders will, therefore, if they so desire, be able to elect four mere Directors. Bankers BANK OF NEW ZEALAND Sfficitors—FlNßL&Y, DALZIELL & CD., WelßngtOi Sscretary— GSOAR KEMBER, of the firm of HENRY KEMBEIf? & £ON, Lambton Qjay, Wellington v . Registered Office —BANK CHAMBERS, Lambton Quay, Wellington y y \ ' Auditors—BADH AM & BISS, Wellington PROSPECTUS OBJECTS.—The Company has been formed for the purpose (inter alia) of acquiring and washing the properties as Bet forth in the agreement between the Vendors and the Trustee of the Company, whereby the o 1 rights are secure 1 to the Company for the period of about forty-five years with other valuable rights and bene .ts coatiined in deed of grant which may be inspected at th j office of the Solicitors, or at the Registered Office of the Company. Please Note that whereas the boring grants of the Taranaki Oil Wells Limited (nowbefore the public with a Capital of /400,000) have oily from elx years to under twenty years to run, we have, as set forth above, some Forty-five Years. Included i.i our rights, ' and of the utmost importance, arc the rights to the following V first. To lease one acre round each bore at the rental of £1 per acre per annum, and at any time during the " currency of the first year’s leise to purchase the freehold of the siid acre. Second. To erect refineries, buildings, and construct all pipe lines, tramways, races, etc., free of all charges. y^j rd ji ie on ]y charges the Company have to bear is a royalty of five per cent, of the Petroleum won; piyablo ik Petroleum, not cash, the Company having the right to purchase same, thereby, giving the Compiuy the control of its whole output. SITUATION.—The properties (3) of the Company are situated in B'ock 9of the Paritutu Survey on the Frankley Road, New Plymouth, within about two miles of New Plymouth, and are bounded on the north, east, and west by pm ol the property of the Taranaki Oil Wells of New Zealand Limited (already referred to), and on the south, by the property of the Standard Oil Company of New Zealand Limited, who have at three differe.it depths encountered oil, see log and illustration published in J. D. Hendry’s Work — Oil Fields of New Zealand, it must therefore be apparent to anyone that the property is situated right in the midst of what is considered the provdn oil-bearing area. In confirmation of this statement, Dr. J. Mackintosh Bell, late Director of the Geological Survey Department of,the Dominion, and now of 621 Salisbury House. London, E.C., in his report states:—‘.'The unexplored Okey and German Hill Blocks lying southward of Mol urea, are on the lin; of some of the most persistent gaseous emanations in the district. 5n the absence of out-cropping strata and exudations of oil these occurrences may be regarded as the best surface indications of the existence of subterranean pools of Petroleum." Portion of the property of The British Empire Petroleum Company of New Zealand Limited is that of Edward Okey, and the balance of the area of the Company's properties all adjoins the above, making one complete and unbroken block of land. FUTURE OPERATIONS.—It is the intention of the Company, Ist—to erect an up-to-date drilling plant; and—to procure an experienced stiff of drillers; 3rd —to proceed diligently to bore, and if indications warrant, to erect further drilling -plants, and to proceed to thoroughly develop the property; 4th—if advisable, to erect a refinery capable of dealing with the products of the wells; 5th —to establish a sales department for the purpose of conducting business throughout the Commonwealth of Australia, the Dominion of New Zealand, and elsewhere. QUALITY OF THE OlL.—From all reports and analyses, both foreign and others, the quality of the oil that hss up to the present been produced on the field ranks with the highest that has yet been discovered in the world. INDUCEMENTS TO BECOME SHAREHOLDERS.—We have taken into consideration the fact that the principal consumers of the manufactured products of Petroleum are not confined to the wealthy class, therefore we have decided to make the share value and the application and allotment money thereon, within the reach,of all classes, the calls being limited to 3d., and at periods of not loss than threo months ; it would take a period extending over four years, before the capital of the Company could be called up. It is not anticipated, however, that any calls for at least eighteen months will be made, and then only should the Company be unfortunate enough not to strike oil within that time (a very remote possibility). With One Well only down, and producing say only 100 barrels per day of 24 hours (and please note the property is capable of accommodating from 800 to 1000 wells) the value of the product of one well only taking the value of the oil at 4d. per gallon, the price at which the Taranaki Petroleum Company Limited, have sold their output to the Taranaki Oil Wells of New Zealand Limited, returns the handsome sum cf approximately £26,000 per well por annum. This shows a profit of 15 per cent, par annum, on the share capital value—after making provision for all working expenses, and, as the Company should be down to tho oil strata in about twelva months from start of boring, the paid-up capital at that date could not exceed Is. 9d. per share, it will therefore be readily seen what enormous profits are capable of being returned to the shareholders on their investment. Please note the above calculation is based upon the product of one wall only. As showing the confidence the vendors have In the future prosperity of the Company, thoy aro subscribing for thirty thousand (30,000) Contributing Shares on the same terms and .conditions as offered to tho public. .. , MARKETS.—The demand for Petroleum and the manufactured products is such that no matter what the output, the demand will be greater than the supply for a great many years to come. Petroleum in New Zealand, on account of its isolated position from the principal producing fields of the world, makes the product of much greater value hare than elsewhere. As the public are well aware, the Union Steam Ship Company are now building their latest and largest steamers to burn oil fuel; while the Oceanic Steam Ship Company are converting the “ Sonoma ” and “ Ventura " —tho ‘‘Sierra,’’ the sister ship to the above, has already been running on oil fuel for the last two years; the above steamers are well known in New Zealand. The Australian Navy is built to consume oil fuel. It is estimated that the markets o e Australia and New Zealand for the manufactured and crude product will exceed £5,000,000 starling par annual, as soon as the product can be produced in quantities to warrant the conversion from coal to oil fuel, Tho Articles of Association state— , 1. The Directors may proceed to allotment on a minimum subscription of 100,000 shares. 2. The number of Directors until altered herein as provided shall be not less than three, or more than seven, l 3- Tim names of the first Directors shall be— SIR JAMES CARROLL, K.C.M.G., THE HON. JOHN ANDREW MILLAR, MICHAEL FRANCIS BOURKE, AH subscribers hereto, and they shall hold office until the first Annual General Meeting in the year 1912. 4. No person shall be eligible for a Director unless he is a member of the Company, holding not less than r,004 shares. • 5. The Directors shall be paid out or the funds of the Company, by way of remuneration lor their services, such sum or sums, not being less than £too each, as the Company may from time .to time fix at a general meeting, and such, remuneration shall be divided amongst them in such proportions and manner as the Directors may determine. 6. Upon any offer of shares to the public for subscription, the Company may pay a commission of not more than S per cent, on the nominal amount of the shares in pursuance of the powers in that behalf expressly conferred by " The Companies Act, 1908." ' The name and address of the vendor to the Company is L. E. Hadley, of Auckland, the consideration being /7,50 a in cash, debentures for £7,50a payable within two years, bearing interest at'the rate of £6 per cent, per annum, and 100,000 fully paid-up shares in the Company. The following are the particulars of the only material contracts to which the Compony is a party, and copies thereof may be inspected at the registered office of the Company : (1) Agreement, dated the 18th day of April. 1912. betweea L. E. Hadley ( 0 f the one part) and Andrew Hanna, Auckland, Solicitor (as trustee) for and on behalf of the Company (of the other part) ; ( 2 ) Agreement, dated the 22nd day of April, 1912, between the Company (of the first part, the said Andrew Hanna (of the second part), and the said L. E. Hadley (of the third part). No amount has been paid, or is intended to be paid to any promoter other than the said L. E. Hadley. The estimated amount of preliminary expenses ts £I,OOO. APPLICATIONS FOR SHARES will bo recaivod by tho Secretary at tho Registered Ciffoe of tho Company, Bank Chambers, Lambton Quay Wellington, or through tho principal Sharebrokers throughout tho Dominion, up to and Inclusive of the 1 1 th day of May, 1912-Note.-No application will be received for less than one hundred shares. As it is confidently anticipated that the shares will be largely over-subscribed, early application is necessary. A COPY OF THIS PROSPECTUS HAS BEEN FILED WITH THE REGISTRAR OF COMPANIES, AT WELLINGTON. this 25th day of April* 19** .... • _ . 100,050 100,000 300,000