SEARCH FOR OIL

New Zealand Herald, Volume LXXV, Issue 23177, 25 October 1938, Page 5

SEARCH FOR OIL

NEW GUINEA FIELD BIG INTERESTS UNITE I ! Further details of the £1,000,000 company which has been formed in Australia to carry on the search for oil in New Guinea and Papua have reached the Dominion hv mail from Sydney. The Standard-Vacuum Oil Company of New York and the Anglo-Iranian Oil Company of London are associated in the new venture. These firms have acquired oil search permits from Oil Search, Limited, and Oriomo Oil, Limited, both of which are Australian companies. For this purpose, Australasian Petroleum Company, Proprietary, Limited, has been formed. Shareholders of Australasian Petroleum Company, Proprietary, Limited, are Vacuum Oil Company Proprietary, Limited (a subsidiary of StandardVacuum Oil Company, of New York), D'Arey Exploration Company, Limited (a subsidiary of Anglo-Iranian Oil Company, Limited), and Nominated Holdings Proprietary, Limited (a subsidiary of Oil Search, Limited, and Oriomo Oil, Limited).

Vacuum Oil Company has the right to introduce an additional shareholding company.

The Standard and Anglq-lranian companies will each subscribe £135,000 in ("ash. Vendors will receive 135,000 fullvpaid shares for permits, together with abuut £-15,000 expended to date. The general manager for New South Wales of the Vacuum Oil Company Proprietary, Limited, Mr. H. Aarons, stated that the new company represents the linking of prominent Australian, British and American oil interests. The directors of Oil Search, Limited, stated that the association of Stand-ard-Vacuum of New York and AngloIranian of London, through their subsidiaries, is in itself a guarantee that a large-scale exploration and development programme will be undertaken.

They add that Oriomo Oil, Limited, lias no interest in the new company except as a shareholder in Oil Search. Limited, in which it holds 100,796 fully paid shares.

TIN PRODUCTION LOWER THAN LAST YEAR CONSUMPTION ALSO FALLS World tin production in July amounted to 11,600 tons, making h total of 94,300 tons for the first seven months of this year, compared with 110,500 tons for the corresponding period of 1937. Production of the signatory countries in the same period was 77,225 tons, compared with 95.054 tons, being 82.-1 per cent of total mine production, against BG. 1 per cent for seven months of 1937. Apparent tin consumption in July amounted to 10,400 tons, against 11.100 tons in the preceding month and 14.000 tons in July, 1937. Consumption in the first seven months of this year at 91.000 tons was 19 per cent below the figure for the first seven months of 1937. The most severe decreases occurred in the United States, and in the United Kingdom, where tin consumption fell by 40J per cent and nearly 34 per cent respectively. Tin consumption of all other countries in the aggregate increased bv 9 per cent. Large percentage increases are shown by Poland, where consumption increased by <3O per cent, by Italy, 58 per cent, and by British India, 52 per cent. World tinplate production in July amounted to 209,000 tons, against 378,000 tons in July, 1937. Tinplato production in the first seven months of 19,'?8 was 1.629,000 tons, showing a decrease of 38 per cent as compared with the total of 2,628.000 tons in tho first seven months of 1937.

HALFPENNY DIVIDEND ECHO OF FAMOUS CRASH An echo of the famous reinsurance crash of 19'22 was contained in the announcement in the London Gazette on October 4 of a supplemental dividend of id in the pound in the affairs of the City Equitable Fire Insurance Company. The company failed in February, 1022, and subsequently Gerard Lee Uevan, who was chairman of the company, was sentenced to seven year/ penal servitude after being found guilty on lo of 16 charges of issuing false balance-sheets, a false prospectus, and of fraudulent conversion. The crash involved other insurance companies which were associated with the City Equitable, and also caused the failure of Ellis and Company, a firm of stockbrokers of which Be van was a partner. Gerard Lee Uevan was released from prison in ]!)28 and died in Havana in April, 19#j.

SALES OF MARGARINE RATIO TO BUTTER PRICES Up to 19.14 increasing butter consumption was accompanied by a-decline in the consumption of margarine, but since that year margarine consumption has tended to increase as the consumption of butter declined, according to the annual report on dairy supplies issued by the Imperial Economic Committee. .Margarine finds its opportunity for expansion in almost exact ratio to the rise in butter prices. Experts incline more and more to the view that stabilisation of butter prices at the true economic level must precede any really big drive for increased consumption on nutritional grounds. The actual ratios of butter sales to those of margarine in the voars referred to were: —1930, 8 to 5; 'I9;U, 10 to 5; 1037, 14 to 5. The output of margarine in the United Kingdom declined during August, but the average deliveries (luring the four weeks ended August 27 were l.'i per cent above the average in the four weeks to August 28, 1937. MINING NEWS MOUNT MORGAN PRODUCTION Mount Morgan, Limited, Queensland, has notified the Stock Exchange Association of New Zealand of the following production report for the four weeks ended October 19:—Ore mined, ">9,1 lo tons; ore treated, sulphide .'{2.000 tons, oxide 26,200 tons; estimated production, gold 52700z., copper 180 tons, including nine tons of copper precipitation. YIELDS OF COMPANIES Mossy Creek (West Coast).—4ooz. 19dwt. from 16,800 yards in 260 hours. Ncmona (West Coast). —30oz. from 11..'100 yards in 10(5 hours. Worksop Extended (West Coast).— 40oz. from 8000 yards in 112 hours. .New River (West Coast). —520z. from <5.">00 yards in 117 hours. White's Electric (West Coast). — 4-")oz, from 6-*ioO yards iu 120 hours. Mataki Junction (Murchison >.— Week ended October 20: 80oz. from 19,000 yards in 132 hours.