SEARCH FOR OIL.

Taranaki Daily News, 19 September 1924, Page 4

SEARCH FOR OIL.

TARANAKI AND OREPUKI GOVERNMENT ENCOURAGEMENT. WORK IN TARATA DISTRICT. EXPERTS AND AMPLE MONEY. (By Wire—Parliamentary Reporter). Wellington, Last Night. According to a discussion in the House to-day oil is go’-ng to be the first importance to New Zealand in the near future and the Government is going to encourage both the Taranaki and Orepuki oil enterprises. The discussion arose upon the presentation of the report of the goldfields andmines committee On a petition for consideration respecting the proposed bonus for the production by New Zealand Coal and Off (Company of shale oil. The committee recommended that the petition should be recommended to the Government for favourable consideration, with a suggestion that in lieu of limiting the payment of a subsidy (at a rate of three pence per gallon) to £2OOO in any one year a subsidy not exceeding £3OOO be paid for the first three years, provided that the total bonus over a period of eight years shall not exceed £12,500. Mr. T. W. Rhodes, chairman of the committee, pointed out that the company still had 25 years of their 66 years’ lease to run. and they had approximately 1260 acres. The industry, if re-established, would give employment to a large number of men and lead to an introduction of about £lOO,OOO new capital. THOROUGH METHODS. The Hon. G. J. Anderson (Minister for Mines) said the day was past when that company could hold *uch valuable property for over 20 years without doing anything. The Government might extend the company’s protection <a little if it had not completed it negotiations by the exoiry of the present protection. He would, however, advise the Government that this could not go on as it had been going for the last 20 years. The company had protection and had not succeeded in getting the capital.

Another company was investigating prospects i n Taranaki, added the Minister, and as far as he had been able to gather from readings on the subject, for the first time in the history of oil in New Zealand it had been reported on by a man who was one of the world's outstanding authorities and his assistants now were carrying out a very minute survey of the country. There would be some legislation necessary in order to enable them to proceed and this would be brought before the House very shortly. If the company was successful it would be one of the finest things that had ever happened in New Zealand. It was no use criticising what had been done in the past. Those who had worked and spent their money deserved credit for what they did. Before any boring was done very minute geological surveys must be taken. The Government were not going to do as had been done in the past and hand over bonuses unlews there was good evidence that the company was going to proceed. In one or two cases, after tha bonuses had been paid out the industry had ceased. That kind of thing was not i 0 the interests of the country and wgf to be avoided. THE PREMIER’S VIW. Mr. Massey said the Orepuki negotiation! l that had taken place were the result of • visit he had paid to Hull. There he met the chairman of the company’s directors, who expressed himself as highly desirous that operations should be resumed at Qrel puki. In Taranaki a powerful conBM9 i had been formed and had got an emmani geologist to report on the field. Mr. Maa- ! sey was not as sanguine as he had been aft .one time about it. Thp Government had spent a lot of money in connection wito I the field.

Now, however, it had been taken in ; hand by people who had plenty of capital behind them and would give it a thorough, ly good trial, added Mr. Maaaey. He had heard that the country was so broken by volcanic action that it would be quits im-« possible to find oil in large quantities there. The capital in this company was partly British and partly New Zealand. They all knew how much oil was wanted in New Zealand and with so many oil burning ships it would continue to be iu ever-increasing demand.