GAS MANUFACTURE

New Zealand Herald, Volume LXXIV, Issue 22647, 8 February 1937, Page 5

GAS MANUFACTURE

CHRISTCHURCH COMPANY

NEW CONDITIONS FELT EFFECT OF LEGISLATION The effects of shorter hours, increased wages and higher costs upon gas company earnings wcro discussed at the annual meeting of shareholders of the Christchurcli Gas, Coal, and Coke Company, Limited, by the chairman of directors, Mr. Frank li. Graham. Revenue from the sale of gas, coke, tar and residuals had increased by £20713, said Mr. Graham, but the.cost of materials for the manufacture of gas and renewal of plant had been greater by £632. In this latter item tho company had not felt the full effect of the rise in price of coal, necessitated by the incrcaso in tho wages of coal miners by tho introduction of shorter hours.

Adjustment of Wages Tho item wages and salaries Avas leSs by £9BO, but there, again, tho company had not felt tho full effect of the 40-hour week.. This item must show an iueroaso in the 1937 figures, as the company's business was one that gavo service to its customers every minute of tho yearj but this matter had been very excellently handled by tho secretary and engineer, and the increased cost of wages would not be so great as was anticipated at the outset.

Income tax, etc., had risen by £4233, the increaso in tho rates of income and land tax having increased these payments very considerably. "It may surprise you," continued Mr. Graham, "when I tell you that the amount we pay in taxation i« equal to 6 per cent on our paid-up capital, or 51 per cent of our gross profit."

Sales ol Cookers Increase Tlio sales of gas, coke, tar, and ammonia continued to be good, said the chairman,, and the output of gas was an increase of 0.17 per cent on 1935. Ho had thought that saturation point in tlio sale of gas cookers was nearly reached some time ago, but the sales in this department still continued to bo very good, and it was to the sale of gas to these cookers that the company looked for its profit rather than to the sale of the appliance itself. Mr. Graham said that the net profit transferred to the appropriation account was less by £782 this year. Income and land tax should bo less this year by reason of the reduced taxable balance, and there were several items, such as renewals for retort settings; which should bo non-recurring this year. The increased spending power of the public indicated increased business for the company. Turning to the balance-sheet, Mr. Graham said the paid-up capital was increased by £740, the amount of employees' shares becoming fullv paid and allotted during the year. These were the last of tlio shares issued to employees under this scheme, which, he thought, had worked admirably.

TARANAKI OILFIELDS OVERSEA NEGOTIATIONS SATISFACTORY PROGRESS The board of directors of Taranaki (N.Z.) Oil Fields, N.L., Melbourne, announces that the negotiations with important oversea oil interests for the drilling of the company's concessions on the east coast of the North Island, as referred to in the last annual report, and by the chairman, the lit. Hon. W. A. Watt, in his address to shareholders, are proceeding satisfactorily. The company's managing director, Sir Colin Fraser, is leaving for New Zealand by the Awatea on Friday, February 12, in connection with the negotiations, and it is hoped that a statement to shareholders can be made in the near future. At the annual meeting in November Mr. Watt said particulars of the company's concessions and all available geological and drilling data had been submitted to the oversea concerns interested. The negotiations, he said, promised to result in a satisfactory arrangement being made which would mean that the financial and technical resources and experience of a large successful oversea organisation would be directed toward the testing and drilling of the company's most promising structural areas in the Hawkc's Bay-Gisborne district. Since drilling near Gisborne was suspended toward the end of 1931 Taranaki Oil Fields has undertaken no active field work, activities being limited to the care of plant for the preservation of oil rights over properties regarded as of prospective interest.

PRICES OF METALS COPPER STILL RISING SHARP DROP IN TIN LONDON, Feb. 5 Following are to-day's quotations on the London metal market, compared with those of February 4:— Feb. 5 ■ Feb. 4 Per ton Per ton £Bd £ s d Copper, stnn., spot 54 10 lO'/a 54 7 6 Copper, stall., 3 months . . 54 18 l/ 3 54 10 7'/ a Copper, electrolytic (30 O O 59 10 0 to to 00 6 0 GO 5 0 Copper, clec., wire bars . • • • 00 5 0 GO 5 0 Lead, soft, spot 27 0 0 27 0 3 Leuri. soft, forward -7 0 0 '27 5 0 Spelter, spot . . 22 7 0 22 3 9 Spelter, forward . . 22 15 0 22 11 3 Tin, stnn., spot .. 220 7 6 221) 12 0 Till, stun., 3 mos. 227 7 0 230 .10 0 Quotations for other metals, with last week's prices in parentheses, are: —Pig iron: Home trade, £4 Is (£4 Is); export, not quoted (not quoted). Antimony : British, £77 10s (£77 10s); foreign, £57 (£55). Molybdenite, £1 18s 6d (£1 18s 6d) a unit. Wolram, £1 15s 3d (£1 14s 6d) a unit.

GOLD AND SILVER QUOTATIONS IN LONDON (Received February 7, 5.5 p.m.) LONDON, Feb. (5 Fine gold is quoted to-day at £7 2s 1-Jd an oss., compared with £7 2s 2jd yesterday, and £7 2s on Thursday. Silver was quoted yesterday at 20 1-lGd an oz. spot, and 20d forward, compared with 19 15-lGd both positions on Thursday. The quotation for silver at per line o/u yesterday was 21-Jd, compared with 21Jcl on Thursday.

LONDON HIDE MARKET (Received February 7, 5.5 p.m.) LONDON, Fob. 6 Following are to-day's quotations at the London hides sales: —Meat works, drv salted: Queensland, 35-451b., 7id; 30-401 b., 7Jd; 25-351b„ 7j|d; 20-301 b,, 7jid. Now South Wales, 73d, 7jjd, 7Jd and 7id. Wot salted: Queensland, 5060tb., 5Jd 40-501 b,, s}d. New South Wales, 5Jd and s«d; Victorian abattoirs, sid and Cid.