More Eager Search

For Oil

In Papua and New Guinea

r ERE_ has been a persistent rumour in Sydney that, how Britain is at war, and it is neccessary to con serve the Empire’s resources, the oil search interests in Papua may soon an nounce the discovery of a payable oil well.

Recent inquiries, both in Papua and Sydney, fail to show any basis for the re port. The oil interests are exceedingly hopeful and active; but they do not appear yet to have located a real oil-well.

“A definite step forward in the search for oil in Papua and New Guinea has now been recorded”, said the general manager of the Australasian Petroleum Company (Mr. C. Saunders) in mid-August, an nouncing that the regional district in which the first deep test well will be lo cated has been selected. .

“In this region, several possible struc tures have been shown up as a result of aerial photography. The importance of these structures cannot, of course, be de termined by aerial observation alone, and they are, therefore, now receiving exam ination on the ground from geological field parties”, he said. ‘‘To assist in choosing the most promis ing of these structures for the first test by the drill, a seismograph party has recently arrived in Papua, together with an ad viser with many years’ experience in con ducting seismic operations in Iran.

“The drilling equipment being supplied is the most modern of its kind, capable of dealing with the most difficult struc tural conditions and, if necessary, a depth of 10.000 ft. can be reached.

“The aerial survey programme that was inaugurated last December is still con tinuing. To date, over 13.000 square miles of territory have been photographed.”

The company was formed last year with a nominal capital of £1,000,000, and acquired the special permits and properties of Oil Search, Ltd., and Oriomo Oil, Ltd., in New Guinea and Papua respectively. Shareholders are the Vacuum Oil Co., Pty., Ltd. (which is* a wholly owned subsidiary of Standard Vacuum Oil Com pany of America), D’Arcy Exploration Co., London (which is a wholly-owned subsidiary of the Anglo-Iranian Oil Company), and Nominated Holdings, Pty., Ltd., of Sydney (which is a wholly-owned subsidiary of Oriomo Oil. Ltd., and Oil Search, Ltd., whose shares are listed on the local exchanges).

The Vacuum and D’Arcy companies subscribed cash for £ 135,000 shares each, while the third partner. Nominated Holdings, received £135,000 in paid-up shares as consideration for permits and properties. Vacuum has the right to in troduce one additional shareholding company.

Directors of Australasian Petroleum Co. are Messrs. Hugh Hamilton (chairman), Wesley A.

Ince, W. J. Byrne. M. T. Lloyd, W. A. Freeman, and E. F. Griffin.