PETROLEUM.

Taranaki Daily News, Volume XLVII, Issue 8109, 14 May 1906, Page 2

PETROLEUM.

MEETING OF SHAREHOLDERS. . Thirty-three shareholders attended the meeting convened by Messrs W. L. Humphries, D. Berry, and Jones at the Town Hall on Saturday afternoon. On the motion of Mr W. Humphries and Mr Eraser, Mr D. Berry was voted to the chair. The chairman said a few of the shareholders had heard most disquieting reports of the directors' visit to ' Wellington, and of an attempt to take i the head-quarters of the company j there; and, after fully discussing the - matter, deoided to take upon themselves the onus of calling this meeting. ' As the shareholders were aware, the ' live directors were appointed when this | was only a prospecting eompany, and , he maintained that when oil was Btmck in payable quantities—as it undoubtedly had been—it was the manifestdutyof the directors before any i proposals were entertained, to at once call a meeting of shareholders and obtain an expression of opinion from them. As this was not done, the shareholders decided to call a meeting. Mr W. G. Malone moved, "That the directors of the company be requested: (1) to call an extraordinary general meeting of shareholders for the first possible day; (2) at such meeting to lay before the shareholders a statement of (a) what they have done in the mattor of the sale or working of the company's property or the flotation of any company or companies to take over the company's property; (b) what they propose to do in the samo matters, or any of them ; and (3) in the meanwhile, to stay all proceedings or negotiations in respect of the sale of such property or the flotation of any such company or companies." Speaking to the motion, Mr Malone said he considered the meeting had been properly called. It was called without any intention of blaming or up. braiding the directors; nor had they come prepared to say the directors had done wrong The directors would doubtless be pleased to take into their confidence the shareholders they represented, for in the multitude of counsellors lay wisdom. This company was really a patriotic concern. The monibd peftple, or tho money-making people in similar ventures, would have nothing to do with it, so the " smaller p ople " resolved to get one more trial of the oilfield—not for their own pockets as shareholders, but for the benefit of ' New Plymouth and Taranaki Had - they been investors for the sake of immediate profit from tho sale of their shares, thoy would have sold, got all ■ they could, and "hang Taranaki!" 1 He gave unstinted prai.ie to the directors for their toil, troublo, and , labor, and for toiling on after a good many shareholders had apparently ' boen convinced the well was not worth | exploiting further. He believed payable oil had been struck, for Mr Fair j (the manager) was a gentleman of high attainments and in whom he had every \ confidence, This being so, there would . be no trouble about finding the money [ required. There were two courses [ open. One was to sell the whole con- , cern to outsiders, and tako either cash ,or paid-up shares in payment—now, it | was reported that the directors had, , without consulting the shareholders, \ though doubtless without any intention \ of oyor-riding them, deoided to form an i outside company, selling the promoters' , interests for fully paid-up shares. The \ shareholders wished to know more of the details. " Either we have a payable well, or we haven't, and if we have it, . then I venture to suggest there is no ; need to go outside of Taranaki . to get money." (Hear, hear.) If there was any doubt, the com- . pany would, if composed of the . money making fraternity, sell out for . ready cash, and be classed as swindlers , if the oil well did not turn out a suc- , cess. That would be nothing more [ than roguery. But the term could [ not apply, even in the event of failure, i if the promoters took the purchase money in paid-up shares. There was , no necessity, he repeated, to go outi, side New Plymouth. All could see i how necessary it was to keep the entire , control in New Plymouth—for the , benefit of Taranaki as a whole. It ; had been said there was not enough . brain power or business ability in [ Taranaki to_ run a show like "this. ( There was just as good brain power here as at Wellington, or in any part of New Zealand, and he did not know . that Wellington people had any great '■ experience in petroleum boring. He ■ again urged the necessity for the s directors to give the shareholders the ■ information asked, and not to " put the • eart before the horse " by making ar- • rangements which might prove unac- ' ceptable to the shareholders. I Mr J. Jones seconded the motion, • which was carried unanimously. Mr M. Eraser moved," That in I order to facilitate the business of the • meeting which the directors are rei quested to call, a statement of what they have dono, and propose to do, be furnished to the shareholders for their '' consideration, prior to the meeting." ' It was not easy, he said, to come to a 1 wise and clear decision at a moment's ' notice, and he considered it quite right | to give the shareholders a fair opportunity «f considering the directors' report. It was patent that a feeling existed among the smaller shareholders ■ that they had been ignored. They had held to their shares even when big ■ tempting offers came from outside, ! thus showing their faith in tho venture ' and their desire to keep the. control in • the district. The directors' course of | action in reference to the flotation might be quite right, and when their reasons were advanced it was possible the shareholders would fall in with the idea, but it would have been nicer for the directors to have called the shareholders together.

The motion, seconded by Mr E. Whittle, was carried without dissent, and the meeting closed, the chairman undertaking to forward the resolutions to the directors •