Poverty Bay Herald

Poverty Bay Herald, Volume XV, Issue 5100, 22 February 1888, Page 2

Poverty Bay Herald

PUBLISHED EVERY EVENING

GISBORNE, WEDNESDAY, FEBRUARY 22, ISS3. THE OIL SPRINGS. In yoßterday's issue we published a more extended notice of Mr Gordon's report. The report is more favorable than tha first summary to hand led ub fco expect. The Inspector of Mines does not profess to have had any practical experience in oil production, but he has evidently given considerable time to the study of the subject, and sought information from thoso engaged in the industry. He is, of course, thoroughly impartial in the matter. Asa servant of the Government despatched on a special mission, his simple duty was to furnish a faithful account of his observations and conclusions. With such a report before them it is surprising that tho Government has not condescended to take more notice of this scource of future national wealth. The very salvation of the colony depends upon the growth and increa 1 o in tho number of its industries. Ministers are engaged in the necessary work of retrenchment, knocking a f^;w thousands off in the expenditure in most branches of the public service, but at the utmost, the result of their labors will not be equivalent to the advantage which would accrue from the establishment of tho oil indiisiry. As stated in a previous issue, the value of the keroseno used in the Austv^ian c h>nies for lighting purposes is about £000,000, with a i ;•. ; idly expanding consumption. Test^ nv.. io in America of petroleum from the Gisborne district prove it to be of unuauV'y goodquality, the floshh'-.sf test being r.« high as 190 degree-;. Oil of that standard is practif ally unexplodablo, and would certainly command a higher price than the beat at present imported. A great many people do not now use keroaono on account of i(s supposed dangerous qualities, and the explosion of a lamp now and again confirms their feara. Place a noncombustible oil in the market, their fears will bo removed, and through this cause alone there will almost at once bo a largely increased demand. The Government have the opinion of Mr Gordon that there are vast stores of oil boneath the surface of this district ; that one company has penetrated a depth of 1300 fi?et, and has brought the oil to the surface. He estimates that the output of the well would bo about 4000 gallons a day. Mr Rapp, who has had extensive experience in tho oil regions of the United States, is of opinion that a yield of 8000 gallons a dav may be expected. Calculations of this kind must bo in the naSure of gueßS work, but there is nothing extravagant in the higher estimate. There are oil wells in other parts of the world each yielding 200,000 gallons per diem. Accepting the the lower estimate of 4000 gallons as the yield, at one shilling per gallon, the value would bo £200 a day, or £73,000 a year from a single well. The area of oil bearing country has not been dofinitbly ascertained, and probably will not bo defined with exactness for many years to come.but sufficient data i 3 already available to prove that there i 3 enoagh oil bearing country to furnish n payablo supply to thousands of wells. In other words, the output will only bo limited by the consumption. The quality of the oil is a very important consideration. If tho bulk of the petroleum from the Gisborne district bears out the analysis of Mr Macpher3on,the Californian expert, then the oil from tlm district wili obtain the monopoly of tho Australian market. The contingency of American competition, of course, will largely influence the price in the Melbourne and Sydney market. Tiie import duty in Now Zealand of sixpence per gallon will completely shut out the imported article. Now that over £20,000 hus been expended by a single company in bringing tho oil to the surface, the Government would go to the trouble of getting the oil analysed. Judged by their action, or rather want of action, it appoars that Ministers were actuated by curiosity :n despatching thu Inspector of Mm a to ivpor'c on 'he pe' 'ileutn regions, 'i heir curiosity muht ex and to ascertaining the quality of the ai ic!e which hag co fc a »reat deal of money to bring to tho sn face In a general way, ivJr Gordon's rep : t will benefit tho diSvi-iV. An analysis, undertaken by a Gjvi nmonfc scieni si", if it turned out favorable, would a\s > promote the development of the industry. Tho cost would be a trifle, if anything at all. So much has this district been neglected by the authorities, that the settlers regarded tho coming of Mr Gordon at the instance of the Government as a favor of unusual importance, and one they hardly hoped to expect. That is undoubtedly a most unsatisfactory position for five or six thousand people to occupy in a colony where the Government are so intimately connected with the life of the community. The fact is, thatthe district is merely treated as a revenue producer. The settlers are put under monetary obligations to the State, and the latter recognises no duty in return. At the close of last session there wa3 a strong hope that an end had come to the period of neglect. Ministers promised that if expenditure wero warranted by the future prospects of the industry it would be undertaken in improving tho road to the Oil Springs. The Minister of Lands also intimated that he would probably visit the district during tho recess. There is no sign yet of either Minister or expenditure. Last winter the road to the Oil Springs was in a state almost unfit for traffic of any description, and it is apprehended that there will be litfcle improvement during the ensuing winter, unless the Government render material assistance to the County Council in carrying out the j work. The latter body is doing all in its power to improve the condition of tho road, or else ifc would certainly be impassable during the approaching winter. In a few months there will be a vaitly increaßed traffic between Gisborne and the petroleum regions, and the cevolopment of the industiy must largely depend upon the facilities afforded for conveying plant to the ground. The Government, if they really intend to help the local body in rendering tho road fit for traffic, should give aaistance at tha earliest possible moment. Even now a large expenditure on public worka is being undertaken in other parts of the county. Apart from the £i-eat colonial benefit to be derived from the eB of the oil indus'ry, surely (he settlers of the district are entitled t) some share of public works expenditure.

The call of £1 per share made by the New Zealand Shipping Company will result in £11,000 brinp extracted from the peckets of Wellington shareholders. One gentleman intends to dispute ILo legality of the call,J

A telegram which reached tts as we were going to press states that the Gisborne team were first in the hose and hydrant and second in the ladder competition. Our Napier correspondent teleg ;aphs thia morning : — The hot dry weather has broken and wo have been suffering from cold and rain during tho last two days. At the R.M. Courc this morning, Mr E. K. Brown on the Bench, a first offouder was fined si, in default 2-L hours, for drunkenness, A leap year ball was hold in Porter's Hall last night, and a very pleasant evening vvaa spent. A member of tue Committee informs us that Miss Green was the bolle of the ball. Mr Adair announces in the present issue a great annual summer salo, at which his large stock of drapery will be disposed of at remarkably low prices. During his late visit to Auckland, Mr Adair bought largely at Shera and Co. 'a clearing sale. The Rev. Mr Fox delivered a very interesting lecture on the " West Indies " to the members of the Wealeyan Mutual Improvement Society on Monday last. The rough weather prevonted a large attendance. Tho natives residing between Mohaka and Mahia have subscribed £36 towards the cost of erecting a memorial chapel to the late Bishop Williams, in connection with the proCathedral of St John's, in Napier. The Borough Councillors sat last night from 7.30 till midnight, and, had not Cr Toyce'a discussion on the Salvation Army been shunted, the meeting would be going on still. A3 it is, the Army question cgmes up again next week. At a meeting at Wellington of the Northern Land, Loan, and Building Society the other day tho Chairman stated that a property on which too much money had been advanced had been destroyed by fire, which he said was a fortunate circumstance for the Company, which held the rnsurance policy. The place had been over-insured. A meeting of the Committee of the Industrial and Art Exhibition, to be held in aid of the funds of the Gisborne Public Library, was held on Monday evening last, a large number of those who are promoting the undertaking being present. The joint Secretaries reported that over fifty intending exhibitors had signified their intention of forwarding various articles for exhibition. The Committee wish to intimate to all those who have notified their intention of exhibiting that their articles will be accepted, and those who have not already notified such intention ace requested to do so as early as possible. The Committee also wish ie to bo known that objects of manufacture, as well as of art and curios, will be gladly received, and it is essen'ial that the Committee have notice of all exhibits at an early date in order that a proper catalogue may be compiled. The bankruptcy of Sir Henry Parkes is g iven by Vanity Fair as a reason for looking askance at colonial loans. It says ; — While sympathising with the misfortunes of this worthy statesman, we cannot help remarking that, if the Premier of a colony has come to private financial grief over his unfortunate investments in securities similar to that upon which tha Government credit of the colony is based, it is a disquieting lookout to those who hold such Government bonds. If the administrators of a colony are led into such errors on their own account, it is almost certain that they will be led into equal errors on administrative account. This unfortunate circumstance, we think, is worth most serious attention by those interested in colonial Government securities.