Important Mining Inquiry.

Otago Witness, Issue 1765, 19 September 1885, Page 3 (Supplement)

Important Mining Inquiry.

At inquiry was concluded at the Courthouse, Lawrence, on Friday morning, by E. H. Carew, Esq (R.M. of Dunedin, and formerly R.M. and warden of that district) mon a petition presented to the Governor from a number of claimholders and workmen of the Blue Spur, complaining that the Blue Spur and Gabriel's Gully Sluicing Company's workings interfered with the proper working of the Blue Spur claims. Before entering upon the inquiry, Mr Carew remarked that lie owed an apology for not being present on Thursday, the. day appointed for the inquiry. He was delayed owing to the papers in connection with tlie case not coining to hand until Thursday afternoon, the Rotomahana, by which the papers came, having been delayed. — As he (Mr Carew) was warden at the time the application for the special claim was made, and being acquainted with all facts in connection with the grant of the special claim, he was asked to inquire into the' petition and report to the Governor. So far as he could see, the inquiry would bo to take evidence and thereby ascertain if the working of the Blue Spur claims had in any way -been obstructed.

Mr Finlayson (for the petitioners) said that he had n number of witnesses to prove that the Tailings Company had interfered with the proper working of the Blue Spur claims.

Mr Carew intimated that after hearing the evidence he would visit the growtal. Mr M'Coy appeared on behal/ of the Gabriels Tailings Company.

Allan M'lntosh, miner, Blue Spm* r on being sworn, said that he had resided at the- Blue Spur for the past 20 years. The Tailings Company had mined away part of the Great Extended Company's tailrace. About six weeks ago the Tailings Company brought an action against the Great Extended Company for allowing some water to flow into their paddock and obtained a judgment ; they also applied for an injunction to restrain them from working, but this was refused. The Great Extended Company had to suspend work, as there was no outlet for their tailings unless allowed to flow into or flumed across the Tailing Company's paddock, which was situated about the centre of the gully, and was 60ft or 70ft deep, three or four chains wide, and about six chains long. From the boundary of the Great Extended Company's claim to the Tailing Company's paddock was about 90 yards. The dehris from the Tailing Company's claim had been thrown up on either side of the gully, and also in the centre of it, thus impeding the flow of the water and tailings from the Blue Spur claims. A main tailrace (which adjoined the Great -Extended Company's claim) was gazetted.

Mr M'Coy asked that the grant of the main tailrace be produced.

Mr Finlayson contended that it was unnecessary, as the special grant to the Tailings Company showed there was a main tailrace.

Mr M'Coy questioned if there was a main tailrace. Such a thing was granted, but without jurisdiction, as in terms of " The Mines Act 1870/ 7 30 days' notice was required before granting the application ; whereas the application was made on October 31 and the hearing fixed for November 23.

Mr Carew said this would not make the main tailrace ultra vires. If Mr M'Coy could show that an objection to the main tailrace was put in within the 30 days, although the Warden had granted the application and refused to hear the objection, a mandamus could have been applied for.

Witness- resuming, said that the Great Extended Company's plant, which cost between £1500 and £1600 to. erect, was lying idle. To erect a flume to carry the tailings past the Tailings Company would cost about £300. They could get the water beyond their workings for about £200, but they would not be able to run any tailings. The tailraces of the Great Extended Company, the boxes of which were taken up about three years ago, were granted long before the Tailing Company's claim. — To Mr M'Coy: The Tailings Company were working rway the tailraces for about six months prior to getting notice about it. If the Great Extended Company raised their boxes 2ft higher they could not lift their tailings.

Gilbert Ralston, miner, Blue Spur, knew the two tailraces held by the Great Extended Company. The Tailings Company had mined away portions of these tailraces. If these races were intact the flow of water and tailings would not be interrupted so far as the Great Extended Company is concerned. The Tailings Company were mining away the mam tailrace. The Great Extended Company claimed to be one of the applicants for the main tailrace. At the time the application was made he was a shareholder in the company. His name appeared on the application. Cummings, who was legal manager at the time, was also an applicant. The Tailings Company, by throwing up tailing on each side of the gully, and filling up the ground where the water should flow, interrupted the workings of the Blue Spur claims. The fall for the water was considerably lessened. It was lessening before the Tailings Company began working, but not to the same extent. There was no outlet for water and tailings from the Great Extended Company in consequence of the Tailings Company's workings. The Great Extended Company had suffered great loss on account of the enforced stoppage of then: workings. The Extended Company would use about 700 inches of water. They used 500 inches when they were ground sluicing. Only about 400 inches would go through the boxes.

To Mr M'Coy : We never considered the tailraces abandoned. We always intended to use them. They have been used within the last three or four years. Hales and Hinde's tailrace has been used within three years for running water from the machine. Our legal manager gave notice to the Tailings Company some months ago to desist mining away our tailraces. As we considered their grant subject to our rights, we did not think it necessary to take any further action. We did not wish to interfere with the working of the Tailings Company. We could not run tailings on the west side of the gully. It would cost about £300 to carry fluming past the Tailings Company's workings. To Mr Findlayson : The Tailings Company did not cease to mine away the tailraces when they received notice to desist ; they were mining them away still. John Morrison, legal manager of the Great

Extended Company, said that he gave the legal manager of the Tailings Company notice in December last to desist mining away the tailraces ; "but they directed their operations more pointedly at the tailraces after receiving the notice, and had continued to do so ever since. If the Great Extended Company had their tailraces intact they would be able to go on with their workings ; but the Tailings Company, by mining away these races, had been completely prevented their working. There was no possible permanent outlet without considerable expense, which he did not think they were entitled to bear through the action of the Tailings Company. The workings of the Tailings Company made it impossible for the Great Extended Company to discharge water and tailings except into the Tailings Company's boxes. Their boxes were set on the line of Hales and Hinde's tailrace. It was very doubtful if the pressure of water available would lift the stuff to the boxes. It might be found necessary to lower them. Witness explained that what he stated in the previous case was that at trifling expense boxes could be placed so as to allow the water to flow into the Tailings Company's paddock and down their tailrace. He did not state that provision could be made for tailings at trifling cost. Were they to run tailings down the western side of the gully they would obstruct the working of the Nelson Company, and interfere with numerous residence areas. The Tailings Company had piled tailings over the road — more theve than anywhere else. The Great Extended Company dare not work, as by so doing they would damage soup.body. The opportunities for stacking tailings were even worse on the east side.^ They could not work for one week without interfering with other races. Samuel Johnston, manager of the Perseverance Company* said the Tailings Company had • obstructed the flow of water and tailings from their working, and from all the Blue Spnr claims. They did so by stacking tailings on both sides of the gully, and by taking out a large paddock in the centre of the gully. The Per.

severance Company had to> build* a wall to enable them to get rid of their takings. William Johnston, manager' of the Nelson Company, said that the TaiKbgs Company did interfere to a certain extent vriflh the workings of the Blue Spur claims. The Tailings Company had lodged an objection to an application for an extension of .their tailrace by the Nelson Company, and had broken away another race in sereral places. James Campbell, manager of the OSago Company, saying that the Tailings Company was i»terfeving with the working of the Biue Spur claim* by lifting and depositing stuff so 1 as to raise the' gully. Stuff was shot on the east" side,which, in time of flood, dammed back stu^P that would otherwise be carried away, and so raised that part of the gully more than the working of the Blue Spur claims would do. William Peters,, blacksmith for the Tailings Company, said that he had been at the Blue Spur for 13 or 14 years. Hales and Hinde continued to use the tail-race- after they left off sluicing. The underground workings destroyed part of tlie race, so that pipes had to'be used to carry the water from the turbine. The tailrace was now from Bft to 10ft higher than the old tailrace. If bhe Great Extended Company extended their flunking they could go right down the gully without interfering with the- Tailings Company. Its might 1 interfere with tne working of the Nelson Company, but he did not see that it would. His opinion was that the tailings in the gully were decreaeing. The Tailings Company cut up all the clay and dirt in the bed of the gully, which went away as mudi and reduced the tailings rather than increased tftem. He could not see how the working of' the Tailings Company could in the least impede 1 the working of the other companies' claims. The sluicing companies contributed largely- to the increase of tailings. This was all the evidence.

Mr Carew, in company with Mr Revell and Messrs Arbuekle and Peters (for the Tailings Company^ and Messrs Mbrrison and S. Johnston (for tne Great Extended Company), visited the ground in person. — Tuapeka .Times.