MINING

Press, Volume LXX, Issue 21146, 23 April 1934, Page 13

MINING

j ACTIVITY IN WAIHIS | A MYSTERIOUS SPURT IFROiI OCR OWN COURS3I OMDE:,"I i LONDON, March 20. Yesterday Waihi shares recorded a rise of 3s 9d, a movement which the "Financial Times" refers to as a mysterious spurt. Actually, the outstanding movement in the whole of the miscellaneous departments was provided i v the 5s shares of the Waihi Gold, which followed up their recent improvement with a nse of 3s 9d to 30s. A little enquiry found no shares available in the market. The usual half-yearly dividend is due for declaration within about a month; but this would scarcely explain the recent buying of the shares. The £212,500 from the New Zealand Government in respect of the company's hydro-elecuic installation is payable at the end of November. Blackwaters fell back Cd to 27» 6d. Consolidated of New Zealand remained at 14s 6d. A substantial turnover in Molyneux Gold Dredging shares left the price 2d higher at 2s 2d. I The "mystery" of tiic spurt in Waihi shares is explained by the announcement on Friday that a dividend of Is a share had been declared, this, with the interim dividend of a similar amount, making 40 per cent, for the yefir. 1

MOLYNEUX DREDGING COMPANY

I SUCCESSFUL SHAKE ISSUE iriion' jt'it ov/:; CDrjuisroxDESi.) LONDON. March 23. Gold to-day is popular, but it was not for that reason aloru that the shares in the Molyneux Gold Dredging Co., Ltd., were all taken up in nine minutes after the lists were opened. New Zealand is also in good repute en the money market, and tnere is a decided interest in Dominion propositions. Shares were taken up very largely in small lots, no doubt the "2s fully-paid-up" being attractive. Moreover, investors are always interested in a new issue and like to get in at par. The speculative tendency in regard to gold, however, is seen in the fact that on the day after issue the price of (he stock had gone up to 2s 2d, and yesterday it was quoted at 2s Bd. There are other mining shares on the market which have soared to absurd heights, and these kr.ve less justification for the increased value than the New Zealand stock. The promoters are naturally not anxious for anything in the form of a ramp, though naturally they were well salirfied with the result of the issue. The biggest block taken up was 10.000. valued at £IOOO. Behind the new company is the Athenaeum Trust. Ltd.. a financial company with a limited amount of capital, and their intention is to lloat other gold mining companies in New Zealand.

Boriu,? to Commence

So far as the Molyneux is concerned the directors are arranging for boring outfits to be put on th? ground other than the river area at once. The spade work for starting operations was begun months before Ihe shares were issued, and within the next fortnignt the contract for the dredge will probably be placed.

As everything depends upon the dredge, the directors propose to obtain tne very best than can be made. The estimated cost is £70.000, but that figure is not a limit if efficiency demands it. The directors fully realise that if the dredge fails the whole scheme fails.

TALISMAN DUBBO ORE The ore treated from the Talisman Dubbo mine from January 16 to March 4 was 411.39 tons, which yielded ' £4488 lis 3d actual realisatk-n, or £l') 13; a ton. ; .MAORI LTI.I.Y DREDGE The contractor for the Maori Gully Company's dredge and electrical transmission line reports that the machinery has been ordered by cable from Hadfield's (England), and a reply was received on Friday from the (inn stating that the work was in hand. The site for the dredge had been selected, and the older for the timber for the pontoons placed. The material required locally had also been ordered, and a sub-contract let lor clearing the course of the transmission line from Stillwater to the site of the dredge. C'LUTHA DREDGING AREAS A marked increase of interest has been rhovvn in the last two months by ; English and Australian companies in dredging claims in Central Otago and ] th'.' West Coast. An area of 800 acres' on tlie Clutha river, in the vicinity j of Lowburn. has been taken over j by a company from the local vendors. ' New Zealand Mining Investments. \ Ltd., raid boring plants are to be; placed on the area wkliin the next | few weeks. Part of the area was ex- ' tcnnively bored by an oversea:; company some years ;>go, and showed i payable results with gold at £4 an | ounce. Dii'Ticultics in the matter of j water rights for the purpose of i generating electrical power caused the | company to abandon the enterprise. ! The previous boring showed the wash j to average from 50 to 00ft in depth. ' and the quantity of dredgeable ground is estimated at approximately 50,000,000 cubic yards.

UPPER SHOTOVER REPORT Tho directors of the Upper Shotover Gold Mining and Hydro-electric Company, Ltd., in their annual report, which will be presented at the annual meeting cf shareholders at Gore lu-xt Friday, stats: — As soon as possible alter the company has gone to allotment a contract was let for the construction of the lunnel required to dry the bed of the Polnoon stream. The contractors, however, encountered difficulties, and did not make good progress, and abandoned the work. A contract was then let to Mr G. B. Thomson. In January the work was finished. The diversion of the Polnoon was a complete success, and the tunnel will carry all the water in the stream except when in flood. At the outlet from the tunnel electric power to the extent of 1200 h.p. can be generated at a minimum of cost, and will be available for working this and any other claims in the vicinity if required The directors appointed Mr

Thomson to the position of manager, and a start was nu.rie with the work of prospecting the river bed. Owing to the nature of tho proposition, it v.-a> iinoossiblc to test the ground before. It w;'.s that the bed of the stream included a succession of deep holes tilled with gravel and boulders, and, pending the obtaining of the necessary plant, the task of dewatering them presented some difficulties. The work clone to date is only in tne nature of prospecting, and at this date no conclusive results have been obtained. During February 55 ounces of gold were won, one or two very rich peckets bsing discovered. In March a further 14 ounces were secured. As working expenses consist principally of th" wages of th? manager and five men. the proceeds of ths sale of this gold will carry the ccmoanv on for some little time. Tho directors regret that they are unable to give the shareholders anymore definite information in the meantinv". The working account shows thafcxpendilure for the period from December 3. 1932 (when the company v-ent to allotment) to February 2(!. )F;34 exceeded the revenue by £-iO7 10s lid. This balance has been transferred to preliminary open/ions account as most of the expense incurred to that date had been of a capital nature, relating to the construction of the tunnel and the tunnel intake, the protection of flic com-; pany's holdings, the provision of a; road, and so on. !

BELL HOOPER RETURN" , The return for the week ending : April 20 was -100/, fidwt 20gr. i