Seventy Years' Supply Of Ore At Onekaka, Say British Experts

Northern Advocate, 6 September 1939, Page 4

Seventy Years' Supply Of Ore At Onekaka, Say British Experts

[Special to “Northern Advocate”'] WELLINGTON, This Day. npHE REPORT PRESENTED TO PARLIAMENT LAST JUNE BY H. A. BRASSERT AND CO., LTD., OF LONDON, STATES THAT THE AVAILABLE SOURCES OF RAW MATERIALS AT ONEKAKA ARE SUFFICIENT TO MEET THE NEEDS OF AN IRON AND STEEL INDUSTRY IN NEW ZEALAND FOR A PERIOD OF 70 YEARS, AND PROBABLY MORE.

The report, which is included in the first annual report of the Iron and Steel Department, presented to Parliament yesterday, envisages production on a scale based on New Zealand’s imports of steel. The report points out that steps should be taken in the preliminary lay-out of the steel works to allow for development.

Big- Profit Estimated

Dealing with the financing of the industry, it states that the net earnings, before provision has been made for capital charges or income tax, are estimated at £445,600, for a full year of operations.

It estimates that about 1500 men will be given direct employment at the steel works, and that an additional 300 to 350 men will be provided with work in the mines, with the result that seme £650,000 a year will be added to the wages fund of New Zealand.

Enterprise Commended

Brassert and Company say that it can be assured that the necessary raw materials are adequate to meet the demand of an iron and steel industry for 70 yeai’s or more. The location at Onekaka offers the most favourable position for the economic production of steel. The market demand and the local conditions are such as to justify the establishment of a steel industry on a sound, economic basis. The manufacture of steel in New Zealand will have a marked beneficial effect on the problem of unemployment. overseas finance and national defence.