OIL PROSPECTS

Poverty Bay Herald, Volume LXIII, Issue 19030, 2 June 1936, Page 6

OIL PROSPECTS

EAST COAST FIELD STATE AID POSSIBLE TARANAKI CO.’S EFFORTS OBSTACLES WELL DEFINED

“There is- a distinct possibility of an extensive scheme being launched with the object of testing the East Coast field, and perhaps other areas, in New Zeulaud where oil is believed to exist. 1 cannot give details of what may be in the mind of the Minister of Mines, the Hon. P. (3. Webb, but I have no doubt lie will take the first opportunity of visiting the district and acquainting himself with the general characteristics of Poverty P.av and the East Coast, with reference to the search for oil accumulations,’’ stated Mr. D. W. Coleman, M.P., in conversation with a pressman to-day. Pointing out that many oil geologists had toured both Australia and iNew Zealand looking for fields that w'Ould indicate some promise of oil, Mr. Coleman said that as far as he could ascertain, the most eminent oil geologists, were convinced that the East Coast of the North Island contained the most suitable geological formations for the accumulation of oil, and that much of the strain in the locality was very sihplar to that under which* oil has been discovered in other parts of the world. LARGE! SUM SPENT The district member pointed out that a great deal of money has been spent in the past by local and overseas capitalists, in the endeavour to locate oil accumulations, and that much valuable data had been collected. Geologists of wide experience were of opinion that New Zealand offered more hope than Australia for the establishment of oil wells, and indeed more than Great Britain, where BdTOOO.CCQ and more was to be spent in prospecting, according to recent advice. The importance of such development could hardly be over-estimated, in view of the great part oil was playing in commercial development in modern times. “An Australian company which has done good work in the Taranaki area is now interested in the East Coast- field,’’ Mr. Coleman continued, “and if their present negotiations prove successful, it is more than likely that in the. not far distant future some of the- most up-to-date drilling plant in the world will be operating in New Zealand.” In the past, it was difficult to penetrate to any great depth through New Zealand stratus' with the plant then available on account of the friable nature of the formations, but the Minister was advised by experts that similar difficulties had had to be met in Texas, and that they were 'reasonably confident that with the most modern plant now available, tile difficulty would be overcome in the exploitation of New Zealand fields. MOVING SPIRITS IN VENTURE! The district member added that Sir Colin Fraser, a New Zealand-born geological expert with a very high reputation, is one of the moving spirits in the venture, and he expressed the hope that if the project materialised, the company or companies concerned would be well rewarded for their outlay. Needless to say, any such venture would be welcomed by the Government, which, with others, would appreciate the great advantages which might- be expected to accrue from the discovery of oil sources in commercial quantities in any part of the Dominion. Should the venture in the East Coast field prove successful, Mr. Coleman commented ill conclusion; the exploitation of the field would be of untold benefit to Gisborne and the surrounding district.