Oil Search In Papua

INVESTORS in oil companies have dis played the liveliest interest, during the past month, in the measures which have been introduced in the Legis lative Councils of Papua and New Guinea to amend the Petroleum Ordinances, and the law which provides that two-thirds of the capital of companies operating in the territories shall be held by British people.

The new ordinance had not passed the Executive Council in Papua when the last mail left. Its character has not been dis closed, but it is believed that it provides for some rearrangement of the existing concessions. There are reports—quite un confirmed —that provision also is being made to govern the introduction of oil search activities to the uncontrolled areas in Papua and New Guinea, when such areas are opened to European enterprise.

Much interest was taken in Papua in the arrival there on August 23 of two re presentatives of Anglo-Persian Oil, Mr.

C. A. Southwell and Dr. G. W. Gray. They left Port Moresby for Rabaul by airmail on August 24, and returned to Port Moresby on September 4.

As a result of a widespread belief that the oil search in the two territories is likely to enter upon a new and more im portant phase there have been sharp movements in the shares of Oriomo Oil and Oil Search, Limited. Oil Search shares on August 1 were quoted at sellers 7/4 on the Sydney Stock Exchange. On September 13 there were sales at 8/10.