MIDLAND RAILWAY ARBITRATION.

Press, Volume LII, Issue 9289, 14 December 1895, Page 5

MIDLAND RAILWAY ARBITRATION.

[Br Telegraph ] (FROM OUR SPECIAL CORRESPONDENT.) WELLINGTON, December 13. Mr Cooper handed in a return of the total amount received for land sales, amounting to £310,000, also a return of assets on nand, io mortgage and land not sold, £145,000, of which all the cash had been spent iv tbe construction works. The Hon. E. Blake said the calculation he had assumed was made by him with a view of getting from Mr Wilson his calculation on the matter. Sir P. Stout said he intended calling general evidence as to the nature and character of the country, without reference to special localities. The Hon. E. Blake said that was desirable, as the evidence he desired was such aa would enable him to judge as to whether the information at tbe disposal of the Crown from independent testimony wonld show a bona fide conflict of opiuiou, on which be could come to a conclusion. Sir Robert Stout said be would alio call witnesses who urged the Crown to make reserves. JohnSnodgrass, District Surveyor for the Westport district, examined by Mr Stringer —In 1891 I was instructed to inspect and report ou the land suitable for reservation. I have been thirty years on the Coast, fifteen of that time as District Surveyor, and I have an intimate Knowledge of the lands in ! dispute, having had to make mining surI vej-a on most of them. I laid off Block 1 as shown on the plan. My instructions were to select, lands suitable for mining, or lands conducive thereto, and timber lands required for miniug. 1 produce written instructions from the Government to that effect. In 1891, when I was laying Block 1 off, there were fifty or sixty diggers working on it. There is a prospecting tunnel being driveu by au association there, which reached gold, but not payable. I reported this block as a suitable reservation to make. It was open for selection from 1879. There was some land taken up, but only forty or fifty acres were cleared. There are a number of old water-races on the block. There was one case where a man found payable gold on freehold laud. There has been a deal of timber cut from these lands. What is left will be needed for goldtnining purposes. Tbe character of the Pakihia is wet. Towards the sea it is handier, and if it had been any good it would bave been taken up long ago, being near Westport, aud with the railway ruumng through it. I also laid off Block 2. Tbe whole of that is required for mining purposes. It is very poor land and, with the exception of a small portion near the coast, is worthless tor agriculture. The. portion of the block objected to is required for raining, because x believe it to be | auriferous, and it ia required for a dump for j tailings. Tbe same remarks apply to Block 3. Oo Block 4, Costello applied lor land on the Totara River. Gold was found on the | higher lands, and the tailings came down on j Coatello's firm and the Government hid to buy him out. I consider the whole block is | required for mining purposes. The land is of very poor quality. There is very little timber on it. Block 5, Charleston, is all required for mining. I included the portion objected to, because there are numerous water-races, and it is necessary for a drainage area. It is mostly a limestone range, with a little timber growing on it, which is required for mining. Coal is used in Charleston for fuel. Block 6, between Charleston and Brighton, has a number of mining claims not shown on the map. It is a high limestone range at the back, and the miners have dams and races there. There is timber on it, but it is inaccessible. It would be impossible for a sawmill to work there. ; There are neither roads nor a harbour. Cross-examined by Mr Jonea—Opposite Seal Rock there is mining, aud diggers have worked the sea beach all along the sea beach. I travelled across the country about three miles and found dams and races. Ido 'not think there are any men working behind Brighton. There were men working up Fox's river a long while ago, but not in 1891 I canoot mention any head-race from the Nile to Charleston in actual use in 1891. There is a race, but not in use. I recollect the Crown lands paid rates up till 1894. I don't know what the Crown paid. Sir R. Stout—The Act fixed the minimum for rating on Crown land. John Bird, Clerk of the Court and constable at Charleston, examined by Mr Stringer —I have seen the plans and know the reaervea. I have been five years iv the district as Mining Registrar. I know of all the water rights and licenses. There are 230 existing water-race licenses from the I Totara to the Fox. They represent 235 miles in length of races. This is independent of branch races. There are 160 tail races, 330 dams, and two reservoirs. There are j some ground sluicers also. This Charleston aiding includes Blocks 4 and 5, and half of 3 and 6. There are 188 agricultural leases at present. In 1891 there were more than that. . Cross-examined by Mr Cooper—The population has been decreasing ever since I went to Charleston. A number of the water licenses have not been renewed. I cannot say how many were in existence in 1891. I cannot say how many have been abandoned by the men, but the greater number are being used. Tbe Hon. E. Blake—Are they used or used up ? Witness—About half are being used. The same remarks apply to tail races. I iuclude in the 160 all that have not been surrendered. The greater part of them are ~ in use. A good many of the dams have fallen into decay. Ido not say the goldfield is practically a deserted one. The Hob. E. Blake, to Mr Cooper—You have brought your horse to the water, but he has refused to drink. Benjamin Sutherland, examined by Mr Gully—l am a mine manager. I was Inspector of- Nelson Creek Water-race, and have been mining for thirty-three years in every class. I have been for five years at Merrijigs, Reefton. lam satisfied 'that a great portion of the ground objected to is gold-bearing on Blocks 51 and 53. I have worked on 53, prospecting for reefs, and was in charge of the Golden Arch in Italian Creek. I have been all over Raglans, and other creeks about Boatmans, I have been through the portion objected to near there. It in required for alluvial working, and this' portion is a reefing country. I have' found quartz | there. Generally speaking, I consider the reservations have been properiy made. All the land suitable for agricultural purposes has long since been taken up. On blocks 59 | aud 61 alluvial mining was carried ou years ago. There are deep shingle terraces there. Rainy Creek was worked "for alluvial. Pumping machinery is required to work the I ground higher up the Inangahua. 1 think ! the Big River reef will be eventually found to be auriferous, aa t-peciineas have been louod on that side of the dividing I range. The position of Deep Creek on 'the plan is wrong. The Cumberland and Golden Lead batteries are also wroug. iln the Little Grey the area objected to v I golribearing. There baa been a small rash , near Adamstown recently. It is all a warh dirt country. The land is stony and hilly, | aud not suitable for agriculture. I have worked in the 801 l Hill district and about Lake Hochstetter. Good gold has been got, and all the block should be reserved. There ate workings at River View on the Ahaiira river. The timber is principally birch on all these blocks. In Reefton some of the claims cart their sawn timber twenty-six to tweuty-eight miles for mining timber. Several mines bave to procure it at considerable distances outside their own areas. In some cases all the mining timber is nsed up in a few months on the area. Timber is used of all sizes in the rough, from 2ft down to 6io in mines, and sawn timber for ; shafts ; that is in quartz mines. In alluvial mining large quantities of timber are also I used, and have to be renewed frequently. Cross-examined by Mr Jonea—l have opt been over the disputed ground on Boatman's since 1891. Ido not know anything about that portion of the map. Ido not know of anyone who has worked on Block 61. I have not been in any of the districts iv the Little Grey and Ahaura since 1879. The I sawn timber, which in carted twenty-six miles, is because it can be done cheaper than cutting it on the spot. I have worked on the old man bottom, and got gold in it. In Nelson creek, where the ground ia loose, gold m*y be got. Probably it got there | from superincumbent strata. I never found , the old moo-reef payable to work.

I Thomas Thompson, County Engineer, Buller, examined by Mr Stringer—Tbe County was asked by tho Government to state what lands should be reserved for mining. I recommended that the whole district should be reserved, as it was necessary to conserve what was not actually raining,land for the sake of timber and water. I know the reserves which were made, and I think they are all too small. North of Buller Be*oh was worked in the early days. There is a lead of gold further back, but it is in freehold land, and negotiations are in progress to purchase it for mining. The land ia very wet and full of roots. An acre was cleared for a|cemetery and cost £60. It is unfit for cultivation. In 1892, when the reserve was made, there were seventy miners working there. On the opposite side of the Buller, when making a survey towards C*p*» Foulwind, men found gold frequently. The bulk of the land is useless for settlement. At Addison's I think the gold runs through the portion objected to. The good land has all been taken up, the rest is barren. In the Charleston district all the land is required for either mining or works conducive to mining. From there to Brighton the land ia limestone bluffs of no value but for mining. vJold has been found in the limestone ranges. The oounty has constructed a road purposely for miners. Cross-examined by Mr Jones—l consider all the Buller county should be reserved for mining. Micuael Phillips, Clerk of the Grey County Council since 1890, examined by Mr Gully—l produce a letter from the County Chairman to the Minister of Lands, dated the 11th of September, 1889. The question of mining reserves came before the Council. The Government sent a tracing showing the lands proposed to be reserved and a letter of explanation. The Council arranged in 1889 that each councillor should hold a meeting of miners in his own riding to consider the question. The general conclusion arrived at at those meetings was that the whole Of the ranges should be reserved for miniug purposes. This would have absorbed more than the whole of the 750,000 acres for the Grey Valley alone. For that reason the Council agreed not to deal specifically with the reservations. The Government in all cases consulted the county before making reserves. A dispute arose regarding the taking of timber which was being cut in 1838 in the Nelson creek riding, and reaolutions were sent in to the County Council. I know the land personally. I consider all the reserves are required exoept a small strip along the Grey Valley road. Cross-examined by Mr Jones—l have had considerable experience in valuing land in the Grey Valley. The average per aore for the country was 15a, which included the hill tops, and this included the gold value. There was **. dispute with the Government as to the assessment, and the county was allowed to estimate gold in the valuation. My valuations have not been opposed. In Westlani the valuation on Crown lands averaged about 10s. I reoolleot a conversation with yourself as .to this case, and writing the evidence down. Oa a later occasion I told you I oould not appear for the Company.

Mr Jones here quoted from Mr Phillips' statement, iv which he said there had been no mining except a narrow strip between Arnold and Twelve Mile, and that only limited. Areas further up the Grey Valley should be reserved for miaing purposes. Up to the Big Grey, the boundary of the county, no new ground had been found for twenty years.

Cross-examination continued—The statement is fairly correct, and expresses my opinions now. Sir James Hector, examined by Sir R. Stout—l have been over the Coast frequently since 1886. I believe there had been iv ancient times a river flowing into Blind Bay. I believe its first delivery was originally down the Grey Valley, and it delivered itself much further South. I do not think the Nelson and Westland diggings are so prospected as to preclude any more gold being found. I think mining Will continue for a long period yet. Moat of the torraces on the western side of the range carry gold. They are of complicated struoture, and represent different ages, and the quantity of gold depends a good deal on the concentration it has been subjected to. Originally all the gold came from the quartz matrix. The Reef ton district is smothered under very old gravels, which, overlie the coal measures, and there have been, enormous ' changes. The gold in those gravels points t° great antiquity. The geological changes, have been enormous, and there is nothing in any known part of the world analogous to it. Sometimes the gold has been dispersed, sometimes concentrated, but where it is difficult to Bay. I know many, terraces it would not be advisable to sell. .The bottom formation is usually a sandy one, traversed by gutters, and in these it is most probable to find wash with gold. These have been subsequently covered by other gravels, which have obliterated the old contour of the ground, and the discoveries are generally accidental. I know of places in the colony where these old river ohannels are made to pay with a very small return of gold per ton. They were originally worked in a very rough and ready way, but with modern appliances the ground left behind will yet be worked. If the principle adopted in selecting land up the Grey Valley has been to reserve river alluvium, I consider the reserves have been made correctly. Mr Cooper observed that he did not desire to cross-examine the witness. John Higgins, Engineer to the Grey County Council, examined by Mr Gully—l know the country from theTeremakau to the Big Grey. -I was consulted in 1889 and 1890 ai to mining reserves in the Grey country. I think the reservations were properly made, except the small portion near the Arnold referred to by a previous witnesß. I know the block between Lake Bruuner and the Arnold river. A question arose about' it and I visited ib with Mr Gordon, and saw gold workings going on at Kaitnata and Brown's Terrace. The Company had applied to purchase the whole block, and this reserve was made on my recommendation and Gordon's. There are gold workings outside the reserved area. There may be small blooks outside the raining areas fit for cultivation, but I do not think they could, be taken up without injury to mining. Herbert Cox, examined by Mr Gully—l have been in the locality twenty-six years as storekeeper at Notown, Nelson Creek, and Stillwater, and have been a gold buyer during the past five years. Since 1891 I have bought up to the present the following number of ounces of gold:—l69l, 1694, 1944, 1940, 1820, aud I am not the only j buyer. I think the whole of tbe area 1 objected to by the Company should be reserved. 1 believe that with plenty of water the ground will all pay for working. Gold is found in the tributaries as well as the main creeks/ The Arnold Flat has been prospected, but tbe water supply was limited and not much was done. There are men working now on the lands objected to right up on the range. Cross-examined by Mr Jones—Some of tbe ground I have not been over for five years. I only know from what others have told mc of where men are working. James Hargreaves, examined by Mr Gully —I am a mining agent and a J .P., resident at Ahaura, and know the couuti y frotn.Notown to Big River. The country about the Grey is composed of flats, terraces, end ranges of about 250 it iv height. The great necessity for gold mining generally is more water. I consider the whole-of Napoleon Hill was an old man formation, where good geld was got. I know of no geological or practical reason why all these reserves should not be m*de. There is a water race now being cut in the Blackwater district. There are twenty- } Wo,men working on the laud objected to in (that .locality. There is no possibility of ' mtking the bush laud profitable for agriculture. There are too many stones, and [too little soil. I believe all the water on the high levels will ultimately be required mining purposes. There have Lee i no workings of recent date ou the north bank of the Ahaura. Curtis reef has only recently j been discovered to be payable. It has yielded 3oz to 4-<z per too. This locality had been prospected for many years without results. Cross-examined by Mr Cooper— Th*j only land of any v*lus for agricultural purposes had been settled .ou in the »ariy days. Tnere have been no new lands ft r te i veers. I deny having stated to Mr Jonea tnat the lands between the Tweiv--mile aud Nelson Creek were not required for mining. R. H. J. Reeves, "xamlned by Mr Gully —I was for mauy years le-.ident in Reefton, Grey Valley aud" Hokitik*. I was for many years M.H.R. I have eximined the plans, and know the localities, and consider the

reserves have been properly made. I know all the country north of the Teremokau. I cannot say much about Maruia. The Doughboy distriot is auriferous. I was a member of the House in 1890. I know Boatman's block. I consider that to be properly reserved, by my own experience. I was interested in a Company to bring in a tail race to Dae North creek. We got good prospects there. In 1890 there was a considerable scare among the diggers, who sent a petition to Parliament through mc. Cross-examined by Mr Cooper—l cannot say I know there is auriferous ground all along, but oannot say whether the reserves are too large or not. F. J. Gleeson, examined by Mr Gully— I am a builder and contractor in Greymouth, and have had experience in gold mining there. I was working near the Arnold three years ago. I have prospected Sawyers' creek, which I consider auriferous land. I have worked ou it frequently during the too years. Cross-examined by Mr Cooper—There it a demand for land near the Arnold. I havt not examined the land generally there for gold. Dennis Ryall, examined by Mr Gully-1 am a member of the Grey County Council, Barry town district. I know the bio ok oa shown on the map as reserved for gold mining. I bave been in the locality for thirty years. The blocks ore of no use ex* cept for mining. There are signs of quarts reefs on the ranges. The country lie very rough, being spurs, preoipices and mountains. I believe good reefs will be found and worked on the west side of the Paparoa range. I think it necessary to reserve the flat country, aa it has yielded gold as far as it has been worked, but better machinery is required to work the deep ground. I have cleared land at Canoe Creek which cost mc £60 per aore to clear, but it is not now worth £2. This witness was not cross-examined. Thomas G. Davison, of Barrytcwn, miner, examined by Mr Gully, corroborated the previous witness. Cross-examined by Mr Jones—l pointed out to you where the wash dirt ended. The rest of the land was useless for mining. From Barrytown to Canoe Creek theren very little work going on. James Robertson, examined by Mr Qullj —I am a miner of Notown since 1866. 1 consider the country between Notown and Red Jaok's should all be reserved for gold* mining. I consider that in the future all the Arnold Flat will be worked. There was a lead of gold which orossed the range along Candlelight and Livingstone, and 1 worked a claim of ninety-five acres from 1891 to 1893. The land ia very poor and th* timber stunted. The land on Red Jack* Flat has no value for agriculture. Jeremiah McCarthy, examined by Mr Stringer—l am an hotebkeeper at Notown. I have been there for twenty-nine years. J consider the reserves properly made. 1 think the terraces are auriferous, and the only reason they have not been worked is foi want of water. There were two, meetings of miners >at Notown and Red Jaok's. All the miners considered the whole of the Red Jack's riding should be reserved. A new terrace has been opened in Sunday oreek within the past eighteen months. There are three olaims paying £6 10a per week per man. Cross-examined by Mr Cooper—These claims are not in the portion objected to. I think the whole of the land should be reserved for mining. Mr Cooper—Very well, it is no good going into details.

John Flynn, examined by Mr Stringer—l am a miner of Red Jack's, of twenty-eight yeats' experience. The witness corroborated the previous witness. Crosß-examined by Mr Jones — Don't know what it would cost to bring water into the terraces. It is cheaper to pay to cart timber from the mill than to out it in the bush. Fratik Pitt, miner, Red Jack's, examined by Mr Stringer—l have been interested in mining for thirty years. The witness oorro> borated the former witness, and in reply to Mr Cooper said he would like to see the whole of the Coast reserved. Mr Gully said his witnesses were on their way from the coast in batches, and would be classified when they came. He expected them up on Monday, and would probably get through them by Thursday. If he had all his witnesses here he would pick out one or two of the blooks and endeavour* to shorten the evidence by allowing the issur to rest on them. It was then decided to take the Morula evidence to-morrow and then adjourn till Monday. Sir Robert Stout called attention to an error in the printed. evidence. As a rule the reporting had been very well done, however. The Court adjourned at 5.10 p.m. ' Re Mr Hutchison's retirement from the case, it seems that on the previous evening the Premier produced certain departmental fileß, which he was to put in as evidence. From these he desired to select* those he considered relevant to the case, taking oat others which he did not consider relevant to the case, and which have private Minis* terial memoranda on. One of the counsel for the Company was, it was understood, agreeable to this course, but Mr Hutohison was not, and desired the whole of the files to be put in. After further conversation, the Premier said he would do this. 3 The incident caused some little friction, whioh was increased by Mr Hutchison's reply to Mr Blake, reported by us yesterday, that in spite of the Premier's evidence he proposed to persist in the plea of mala fides.. During the luncheon adjournment which followed, Mr Hutohison decided to withdraw from the cose.