MINING NEWS.

Auckland Star, Volume LXX, Issue 265, 9 November 1939, Page 4

MINING NEWS.

MOUNT MORGAN, LIMITED. , DIVIDE XI ) PR OS PEC I\S. Sonn» ot* tli*' factors tlie pa.vliifiit nf an ordinary (iividend were uncertain, and cone>iM|iM'iitl.v no dWinite HtatcnK-nt was advisable at present, said t«h-e chairman, Mr. A. A. Itoyd, at tl:c cmnual of Mount Morgan. Ltd.. las-t wi-i'k. Troubles in tin' snn.*ltcr had ■th-e rcaliis'jvtion of ii'll .tin* production in Australia, and tin? an>ticipaN*d pr<»l?L had not been achieved. Though fhe smelter showed a reduction in the co-st of realising concentrates <*ompared with f>verneat> shipments, tin* plant did not reduce both production and oj>eratcost's as much as hail been ''\per|ed. I'lic original estimate! would he effcete<l with th-e plant running norniaily, jis at present. The cash position was nflWfed advi*rs« ly. to the extent of alw»ut £70,n(Hi. |»v the |»urcha»<e of emergency stores. These factors had contributed ti> the non-pa ymen t of ordinary dividends, hut the cost of mining and trent ment in the sulphide mill during the 1 ;is"t 1 was 'l/W a ton less than la«st yenr, and the oxide plant less. Of the material treated during the year only ]7t per cent had Imm-ii drawn from 'the published ore reserves. The mine wars not being over-devejope-d, since SO per cent of material treated oilier than from old dumps came from overburden. This material represented o4 per cent of the total overburden removed. During .lie year this overburden, from which nothing had Iwen promised, had yielded one ton of payable ore for every * two tons discarded. The profitable life of the mine hail thus Im'CU extended.

BROKEN HILL SOUTH. NEW OKI-; POSSIBILITIES. "The life of ihe Broke,, Hill South mine I can he taken as about ten years, not taking into account the possibility of discovering ore bodies, tin- existence of which i* unknown at present," said the chairman. Sir <N>lin Fraser. at the annual meeting in Melbourne ~n October L»7. Sir Colin Fraser said that tin 4 ore reserve, as developed at June :;o. was conservatively estimate! at J.tioo.ooo tons, which compared with ions last year. This estimate excluded ore disclosed by diamond drilling only, ore incompletely developed, and all ore below the 1 ISOft level. Oiamond drilling at Hroken Hill. New South Waliv. in the last fortnight had revealed ore of good grade that was unexpired. It war* not yet possible to form any definite opinion as to its size and import a nee. New lenses had l>een applied for on a strip of property on the eastern side of the mine, and exploration might be extended to that territory. The dins-tors iwlieved that 'Vdiares iti other companies." which stoiwl in the accounts at 11, were worth at leas»t more than that. The almost fantastic prices which were obtained during the last war for metals essential for munitions and o<ther defence purpose* w<»uld. fortunately, not be repeated, he continued.