COAL, OIL (N.Z.) LIMITED

Taranaki Daily News, 25 September 1930, Page 2

COAL, OIL (N.Z.) LIMITED

OPERATIONS IN NEW ZEALAND. REPORT TO SHAREHOLDERS. The fact that operations at the Omata No. I bore have yielded results in accordance with the predictions of the survryurs is disclosed in the second anlira report of Coal, Oil (N.Z.), Limited, which will be presented at the animal meeting in Sydney on Monday. The report, which covers the period from October I, 1928, to June 30, 19-10, states that. it. has been deemed advisable t>> concentrate on the discovery of payable oil and defer any exploitation of the compim s eoal areas, and tins course is being pursued. The directors have benefited by other companies costly experience ol obsolete methods of exploration, and engaged an expert geolomst, Dr. Leon Bossaid, of Zmich University. Dr. Bossard prepared the way for the geographical operations of the Elbof group, and as a result of then combined efforts boring rights were acquired over areas presenting good “'dome’’ formations and possibilities ot payable deposits. Development ' however, been confined to the Omata district, where boring was commenced in April in an al ; a which had already yielded over a million and a-half gallons of high-grade oil to other operators. Modern drilling plant capable ot reaching a depth of over 7000 feet was purchased. in the United States and. three expert drillers were engaged, in the Eiime country. Delay has been occasioned through the policy of using only high-grade and suitable tools, which are not readily obtainable in New^ Zealand. Drilling was carried, to a depth of 300 feet with a bore of inches, and on September 17 the bore had. reached 2110 feet with a bore of 14 inches. , , The actual subterranean structures encountered have closely coincided with those predicted in the surveys,’ includin’’' various showings of oil and gas. It°is expected, to strike payable oil first between 2200 and 3000 feet, with further horizons down to 5000 feet, where the mofet abundant supplies are expected to be found. The company’s oil and coal properties appear in the balance-sheet at £141,000, the original cost without development, which has cost £74,913. At the close of the financial year 263,479 shares had. been issued, the unpaid amounts on these being £21,352. Since the end of June a further 15,i49 shares have been issued. Three vacancies occur on the directorate owing to the retirement in accordance with the articles of Messrs. E A. Goldsmid, W. H. Taylour and J. Mainka. These three offer themselves for re-election, and other candidates are Dr. N. Pern and Mr. R. R. Ramsay.