MINING.

Press, Volume LXIX, Issue 20907, 14 July 1933, Page 13

MINING.

OTAGO DREDGING. BIG WORKS PROJECTED. New Zealand Mines, Ltd., a New Zealand development company, with its registered office' in Wellington, some 18 months ago, acquired control over approximately 800 acres in the Nevis Valley, situated near Cromwell, Central Otago. Satisfactory preliminary reports upon the areas have been obtained by the company from Mr R. Lee, A.0.5.M., A.M.N.Z. Soc. C.E., of Dunedin, and from Mr F. G. Payne, M.I. M.M., of Messrs F. W. Payne and Son, mining engineers, London. In the interim the company has been successful in acquiring an additional 400 acres as recommended by its engineers. Owing to the magnitude of the property and the results shown by preliminary test boring, Wellington Alluvial Gold, Ltd., interested itself in the acquiring of this property from New Zealand Mines, Ltd. At the later part of last year. Alluvial Gold, Ltd., sent out its engineer, Major A. J. Peterson, D.5.0., to inspect and report on the property, on behalf of the overseas company. Major Peterson spent some weeks upon the property, and reported upon it on his return. A further inspection and report, however, have also been made upon the property by Mr F. G. Payne, of the Arm of Messrs Payne and Son. As a result of this thorough preliminary investigation work, New Zealand Mines, Ltd., have now received definite advice that it is the intention of the overseas company. Alluvial Gold, Ltd., to commence an active and detailed boring plan upon the property as soon as the season permits. It is anticipated by Alluvial Gold, Ltd., that it will expend £ 10,000 in this direction alone. The company has made arrangements to send to New Zealand its own drilling plants and staff of experts for the purpose of carrying out this work. The data to be obtained from this detailed boring programme apart from values are for the purpose of enabling Alluvial Gold, Ltd., to design, for the properties, the most suitable type of modern dredge for efficient work upon the property. It is stated to be the intention of the company to install on the property up to three modern electric dredges each capable of digging 3,000,000 cubic yards per annum. The electric power is to be supplied from the company's station to be erected near Garston.

Each dredge, it is stated, will have a capacity exceeding that of the largest dredge operating in New Zealand to-day, and will rank in capacity with any dredge operating in any other part of the world. It is estimated that these dredges will have continuous work upon the areas for 10 years, and it is expected that this will form the greatest alluvial gold dredging work ever undertaken in New Zealand. Eritish capital entirely will be employed in this undertaking.

GOLCONDA BATTERY. The Golconda battery at the Thames was officially opened on Monday morning by the chairman of directors of the newly-formed Golconda Holdings, Limited. A party of nearly 40 men from Auckland, shareholders of the Golconda Mines, and the new company, war; present at the old Moanataiari battery and inspected the plant. The battery, which consists of 30 heads of stamps, has been reconditioned, and 10 heads were set in operation by the mine manager, Mr S. G. Baker, after the inspection had been made. The Golconda Mines have been doing developmental work since May, 1932, and ore was ready for crushing when the borough water-race broke in February last. On Monday water power was available for the crushing operations. DEVELOPMENT AT BENDIGO.

It is understood that a syndicate is being formed to prospect an area of about 110 acres at Bendigo, near Cromwell. The area, which is right in the heart of gold-bearing country, comprises a deep lead extending in an east and west direction for about one mile between the area now being bored on the flat and the Bendigo reefs on the hill. Several attempts were made by the early miners to tap the lead, but the striking of water prevented them from reaching bottom. It is expected, however, that a modern boring plant will easily overcome this difficulty.

GOLDEN PROGRESS REPORT. The following is the report of the manager of the Golden Progress Quartz Mining Company, Ltd. (Oturehua), for the period ended July 7:— East End—This drive is extended 45ft, a little more water making as the face advances. More graphitic faces are appearing, which usually denotes the proximity of a reef. West end —Extended to 80ft. A small auartz leader waß cut at this point, but showed no values after crushing and panning; the face is firmer country and wet, which is a favourable fpature Both ends are stopped at present, all hands being on the surface through the winch breaking down, and the workmen are engaged in pushing on with the excavation worK ■for bedding the new winding engine, and making room for the new ' ftt the side of the building. We hoSf to have the new engine in service to-day. We are also installing the vertical pump.

MONEY MARKET. MELBOURNE RATES. According to the Melbourne Chamber of Commerce, which issued monthly journal last week, the downward movement in rates of interest ha 3 Tot been checked by heavy demands on not Been <-* f the Commonthf»Hrio y aT of £6,500,000 and the Works conversion loan of Which was over-subscribed. still a shortage of A PP S" t 5m for loans to »/„ mortgage oyer secU rity. The stanS e ??Jate of interest on mortgage loans dard rate 01 in g h is stiU about 5 per bee « tk!w£to 4 per cent. Some private ? ve /s»rfi have accepted even less than cent on exceptionally good 4 per eeni. cheap mortgage security. due t0 g ene ral depresJnJF to less building activity, the 3 ion an^A° g X of interest on mortgage be attributed in part to the loansi rnurt m jnterest on bank overThe mSimum rate for local govsecurities is indicated by the S nt ß S Of works flotation at 4 per cent, at par-