COROMANDEL.

Auckland Star, Volume XXVIII, Issue 259, 28 October 1897, Page 2

COROMANDEL.

THE KARAKA BLOCK.

This block of auriferous ground comprises a total area of over 700 acres and is situated on the western side of the Tokatea range immediately behind the township of Coromandel. The Success mine, a prominent English company, is located on part of this block, and during the many years that it has been worked by tributers, etc., before the present Company took it over, has yielded a large amount of gold. The remainder, and by far the larger portion of the block, was, however, regarded as native land not open for mining. Repeated applications were made to Government at different times to secure control of the land and so extend mining privileges to the public to take up the ground and develop the same, but it was not until early in 1895 that negotiations were entered into between the native owners and the Mines Department. On October 3rd, 1895, the Mining Registrar here received a wire intimating that the Karaka block had been opened, and that applications for claims would be received. Immediately there ensued a great rush, and the office was soon besieged with applicants who wished to lodge applications. It transpired, however, that as a matter of fact the block had legally been open for 26 years, although the authorities were 1 not actually aware of the fact. This fact, consequently, gave those persons whose applications had formerly been refused some admitted standing, and a special sitting of the ■ Warden's Court was decided upon in order to determine priority, etc. By this means a large number of the applications were thrown out. The fortunate applicants were Major Swindley and Mr E. C. Beale, who represented syndicates which in due course became the licensees of the Poneke No. 1, 2 and 3, Gordon, Alameda, Standard, Exchequer andCadman's Gully special claims, the Avhole being consolidated in one common interest. Arrangements were immediately made for the vigorous prospecting of the ground in a systematic manner, and Mr Arthur Prescott was appointed to conduct operations. Prospecting by men of recognised merit in this particular line has been steadily carried on for over a year now, and gold has been discovered in a number of places. These leaders, however, for the most part have been small, and it was not until about a week ago that in following up a trail of gold a large body of stone was struck. The discovery was made on the Poneke No. 2 claim on the crown of a spur junctioning with the main range. Gold has since been traced along the line of reef for a distance of over seven chains. The reef itself h .■>•■> bc-i-n wposed for several feet, and proves to in .; large

lode, evidently a branch of the big Tokatea reef. The footwall portion over two feet in thickness is the richest portion carrying the gold well distributed throughout, but the rest of the lode gives prospects by pounding. The initial breakdown took place last Thursday, with the result that 1071b of picked stone were obtained. It is estimated that this stone will yield at the ! rate of to the pound, and the gold appears of good quality. In addition about half a ton of general ore was paddocked. A face is now being excavated preparatory to further development, and it is expected another breaking down will take place this week. A crosscut will be started at a' point about 30 feet below the present surface ; face, and a couple of weeks' driving should ; intersect the reef. The present find is undoubtedly a most important one, and has the appearance of being of a permanent character. The gold carries right through j the ore, and for this reason alone it may be considered as likely to extend in depth. The find itself, pertaining as it does to the BUi'face and in a hitherto untried locality, ; is certainly one of the most important that has ever taken place here, and it has occasioned great excitement locally. Every facility exists for economical mining, as between 400 and 500 feet of backs can be obtained with easy drivage. Capital will now be required to commence and cany out a systematic scheme of operations, and we '■ are assured this will not be long in forthcoming, as arrangements have already! been entered into for the flotation of the property on the London market. Captain Argall is engaged on the matter and a de- j posit of £500 was paid for an option some | time back. Since writing the above; a second breaking down the reef has taken ; place with results as satisfactory as ever. ! Stone shows gold freely throughout and an important feature is that the reef is making \ very strong downwards. It has been intersected also about 4 chains .above the open face and the stone here also carries visible gold. The value and extent of the find has now been demonstrated and has even exceeded expectation. TOKATEA CONSOLS. The mine manager reports on October 16th:—In the rise from the low level east the footwall portion of Kennedy's leader is from 4to C inches wide. No gold has been seen in the stone here, but dish prospects are got occasionally. The leader on the hanging- wall portion south is from G to 8 inches wide, and a little gold is got In the dish by washing. At the intermediate level in the cross lode stopes, east side, the leader prospects fairly well. We have 12 tons of this ore on hand. As the stone is heavily mineralised and contains a lot of arsenic, it will take a few days to burn and then it will be ready for the mill. The winze on the surface leader, east side, is now down 39 feet. We have got no i^old this last 15 feet, and have discontinued sinking, and are now preparing to drive where we last got gold, about 24 feet down. We got gold right down to this point.

COROMANDEL FREEHOLD PROPRIETARY.

No. 2 level, Blackmore's section, has been extended another 11 feet. The reef is a fine compact body of ore fully 3 feet thick. From previous tests this reef has carried payable ore for 130 feet. No 2 level is still being pushed ahead. The Home Rule and Blaekmore reefs should be cut in this level, also a junction of the two reefs. This reef when last tested was also payable and is a large quartz formation* with well-defined walls. Developments on the Little Nell reef have been confined to opening the lower levels. Marwick's reef has been cut in the recently started level. This is also a large body of ore giving good prospects. Driving at this level will now be proceeded with to roach the junction with Simpson's reef, where good ore is now coming- to hand. The other level is in 20 feet, and the first leader should be cut next week. All these leaders are considered highly payable. This level will be continued 200 feet, but Simpson's reef should be cut in 170 feet. If the ore is as good as in the level above it should prove highly payable. In this part of tho property the general formation of the country is different to that in the eastern end. Tho gold bearing rock is in Talcose slate, and at the lower levels is filled with crystals of iron pyrites. The manager believes some very valuable ore will be met with in the Talcose state formation. This opinion is supported by the fact that tho richest ores are found In this class of country in Australia, portions of America, and the West Coast. The ore already recovered in this part of the mine has been of a very good quality, and present prospects are exceedingly good.

THAMES