OIL PRODUCTION

New Zealand Herald, Volume LXXIV, Issue 22850, 4 October 1937, Page 7

OIL PRODUCTION

TARANAKI ACTIVITY * formation of companies GOVERNMENT LEGISLATION [by TELECttAI'H —OWN CORRESPONDENT] NEW PLYMOUTH, Saturday Ever since the Government announced its intention of passing legislation in connection with the oil industry interest in Taranaki has been increasing, and at least three new companies are to be formed, one with headquarters at Stratford and two at New Plymouth. A big overseas organisation, it is stated, is prepared to spend £1,000,000 in the search for oil when safeguards are provided by legislation.

It is stated that independent reports >y geologists and geophysical experts, :hecked by technicians, have led con:lusively to the belief that there are valuable oilfields in New Zealand. Since killing operations have been carried nit by the Taranaki and Moturoa Oilields Companies much valuable information has been gained with regard to the Irilling that will have to take place in Sew Zealand. It is considered that kills will have to go to a depth of inything from 5000 ft. to 7000 ft. Owing to the extra cost of drilling companies pre reported to f«el indisposed to ope'rato in New Zealand without some legislation that will protect them after spending so much in new Jeep-well drilling. They want a large urea of drilling country in the vicinity of, any well they put down. It is understood that the Government is going to bring in legislation that will give companies some control or secui'ity in this direction. , "Anything done by jthe Government in the direction of oil discovery in New Zealand will bo welcomed," stated a man prominently connected with the oil industry. At present the Moturoa Oilfields, Limited, continue to produce crude oil which is being refined into benzino and by-products. One of the latest Now Plymouth projects involves the taking over of the plant at Omata used some years ago by Coal Oil, Limited.

PRICES OF METALS COPPER FIRMER. TIN EASIER LONDON, Oct. l Following are to-day's quotations on the London metal market, compared with those of September 30:— Oct. 1 Sept. 30 Per ton Per ton £ s (1 £ s (1 Copper, stan., spot 47 10 4'/ a 47 5 7|/a Copper, stan., 3 mos. 48 18 0 47 5 7/, Copper, electrolytic 54 <> 0 53 0 0 1o to 50 0 0 65 U 0 Copper, elect., wire bars . . . 50 0 0 55 0 0 Lead, soft, spot . . 19 4 4Va 10 4 4 l / a Lead, soft, forward 10 5 7V a 10 3 l'/ a Spelter, spot .. 10 5 7'/ a 19 1 3 Spelter, forward . 10 10 7Mi 10 L 10Vi Tin, stan., spot . 243 0 0 244 15,-0 Tin. stan., 3 mos. 241 15 0 243 2 0 Quotations for other metals, with last week's prices in parentheses, are: — Pig iron: Home trade. £5 Is (£5 Is). Antimony: British, £93 (£03); foreign, £74 (£72 10s). Molybdenite, £2 5s 6d (£2 5s 6d) a unit wolfram, £5 17s 6d (£0 2s Gd) a unit PRODUCTION OF COPPER RESTRICTION SCHEME OPERATES (Received October 3. 5.5 p.m.) British Wireless RUGBY, Oct. 2 It is announced that copper producing companies are operating under a restriction , scheme and havo agreed upon a programnv of production which will result in the output being reduced to a rate of 105 pel cent of the basic quotas by the end of November. WHEAT AT LIVERPOOL (Received October 3, 5.5 p.m.) LONDON, Oct. 2 Wheat. —Liverpool, futures: October, J)s 2£d a cental; December, 9s 1 l-16d; March, 8s lOJcl.