TARANAKI OIL FIELDS

Poverty Bay Herald, Volume LXV, Issue 19824, 29 December 1938, Page 4

TARANAKI OIL FIELDS

REORGANISATION PLANS SUGGESTION BY DIRECTORS ROYALTY CO. IN VIEW The directors of Taranaki (N.Z.) Oil Fields No Liability state in their annual report that they feel shareholders would welcome a plan which would achieve an objective such as divesting the Taranaki company of the right to subscribe further capital for the activities of New Zealand Petroleum Company, Limited, and by vesting this right in a new no liability company, in which Taranaki shareholders would have opportunity to acquire shares pro rata to their Taranaki holdings. The possession of royalty rights only by the Taranaki company and its subsidiary and associated companies, would involve relatively small adminstrative expenditure. The directors are considering proposals along these lines, and hope to submit them to shareholders soon. “The taking of cores for geological examination in the Totangi well, which is being drilled by the New Zealand Petroleum Company, Limited, near Gisborne (New Zealand), together with the hardness of the sandstone, has prevented higher drilling speed in the 17in. diameter hole,’ the directors state. “A very thorough geological examination is being made by the New Zealand Petroleum Company of the structural areas and the surrounding country in the Gisborne district, while in the Taranaki province, on the western side of the island, geological examination is being aided by the application of geophysical methods of survey. “The development of geophysical methods in regard to the search for concealed rock structures, which may contain oil,” the directors add, “has made marked advance in the last 10 years. The search for oil in the Taranaki province, where the sedimentary rocks over relatively extepsive areas are concealed by superficial beds of volcanic ash, should be greatly facilitated by the application of these modern methods of survey.”