'You will have noticed in the he auditors' report that. they "We consider that, after allowing} for the reserve against same, sundry assets are stated in the! balance sheet at figures in excess of their realizable value." of coitrse impossible for me to say' whether this opinion will prove! to be correct as fo-much depends on the prices that the Asiatic Petroleum Company are able to sweure for us for the drilling tools and machinery that we are delivering at San Pedro, and the first consignment to them has not} yet arrived. Even if the result. jot, satisfactory, however,' I wish to point out that we have valuable} planting and timber concessions not mentioned in the accounts which should more than offset any difference that there may be. We have about 98,000. acres of good land, part of which we intend to resetvo for our timber business, and the balance we are willing to ell when a favourable: opportunity occurs. You will remember that we had an offer last year for part of this land but your directors decided that the price was too low.- The prospective buyers were the, Deli-Railway Company, and it is still possible that we may be able to come to business with them although they are out of the market for the present. It is not good time to attempt to sell Tand suitable for rubber planting shall have to. wait until the market improves for the raw material, but it is my opinion that, Wo shall' have our chance sooner or later.
There Has been no drilling done on our Darat oil field and the Bataafscho Petroleum Maatchaphave not mentioned to us that} they intend to do any in the near future but T believe they will still make an attempt to increase the output when circumstances are favourable for them to do so. The average daily production for the year under review was 21 tons as against 22 tons the year before.
Text read from the printed page and cleaned; old type leaves the occasional error.