SIGNS OF RECOVERY

Poverty Bay Herald, Volume LXIII, Issue 18920, 23 January 1936, Page 16

SIGNS OF RECOVERY

DOMINION'S PROGRESS

DEFINITE UPWARD TREND PROSPERITY AHEAD The opinion (hat New Zealand could look forward to substantial prosperity in the immediate future and for some yeava was expressed by Mi*. E. A. Callauan, managing director and chairman of directors of the Vacuum Oil Company in Australia and New Zealand, in an interview in Wellington. Mr. Callauan said that whilst his visit to New Zealand was primarily for the benefit of his wife and two sons, who had been enjoying the beauties and fishing attractions of the country, he had been impressed by the indications of prosperity in every direction. "Il is truly remarkable, the manner in which New Zealand has pointed the way to sound economic recovery to the rest of the world," said Mr. Callanan.

"During the past year there has been a definite upward trend in all of the important industries of the Dominion, and in this the oil companies have bed) particularly favored, the figures indicating that the total market consumption has reached a new high level for all time, showing an increase over the previous year of more than 10 per cent, in Ihe consumption of petroleum products. "From .every direction there i,s a definite indication that ibis upward trend will continue, and it is most pleasing to observe the very happy frame of mind at the present moment of the hanking and commercial lender? of this country. In addition to this, one can look ahead in. the immediate and distant future for substantial prosperity for some years to come. POSSIBILITY OF OIL IN NEW ZEALAND

Discussing the oil industry in particular, Mr. Callahan said that oil had, of course, been found in. many countries of the world, and because of its interesting geological history, it is not beyond the bounds of possibility that this Dominion may become a source of marketable oil supply. To explore this interesting possibility, his company had spent many thousands of pounds in extensive oil prospecting operations by four geologists, in the Poverty Bay district particularly, and various other parts of New Zealand. What the discovery of a marketable oil flow 'would mean to the people and trade of New Zealand must be obvious to everyone, and the results of the exploratory work will be watched with interest.

"At the same time," said Mr. Callanan, "and without raising any false hopes, it should be borne in mind that the yield of a well would have to be considerable, and of sufficient quantity to enable economic production to be carried out."

Speaking of tile ramifications of uis company, Mr. Callanan said that 41 years ago they had only three permanent employees in the company in the Dominion ; now they were a large family of over 400 New Zealanders, to say nothing of others whose employment was contingent on the company's operations. It was the company's policy to purchaseall available material and supplies in New Zealand. For instance, the manufacture of cases absorbed large quanti-

ties of New Zealand timber, and. together with the making of tins, gave employment to many people. Though the petrol-driven vehicle had been in actual use for 36 years, the Vacuum Oil Company had been trading in New Zealand for 41 years, five years before the advent of the motor-car.