MORE COAL BUT BIGGER LOSS

Press, Volume CIV, Issue 30804, 16 July 1965, Page 3

MORE COAL BUT BIGGER LOSS

(Parliamentary Reporter) WELLINGTON, July 15. Although State coal mine production increased last year by more than 170,000 tons, the working loss on operations rose by nearly £50,000. The annual report of the Mines Department tabled in Parliament today shows production was 1,667,459 tons and operating loss was £602,428. The report attributes the larger sale of coal to increased consumption at the Meremere power station.

“More coal was also sold to the cement and carbonisation industries but there was a decline in coal purchased by railways, gasworks, freezing works and general industries. “Small coal,” says the statement, “is difficult to sell because of competition from oil.” Coal dumping in the South Island increased from 13,009 tons to 77,995 tons. On the Ohai field more than 69,000 tons was dumped compared with 57,000 in 1963. On the Buller field dumping rose from 512 tons to 23,169 tons, although that included coal raised from dumps. Dumping at Grey amounted to more than 26,684 tons compared with the dumping of 4810 tons of coal raised from dumps last year. In the North Island the amount dumped was only 887 tons compared with 41,869 tons, including coal raised from dumps, last year. The net amount of coal on dumps throughout New Zealand on December 31 amounted to nearly 500,000 tons. The statement shows the output from North Island mines during the year rose by more than 107,000 tons and the output in the South Island by about 27,000 tons. A report by Mr St. Kennedy on mining activities on the West Coast says requirements in the Coal Mines Act for detailed information of mine surveys have been in some instances taken too casually. “Financial mining losses have resulted.” Ore Treatment A plant to produce lead, zinc and copper sulphide concentrates will probably be built by South Pacific Mines, Ltd., to handle ore from the Tui mine at Te Aroha. The statement says the company considers sufficient ore is now in sight to embark on the construction of the treatment plant.

Less Gold New Zealand’s gold production decreased from more than 14,000 ounces to less than 9000 ounces last year. The value of the gold found last year was about £117.000 compared with more than £168,000 in 1963. Kapuui Oil More than 123.000 gallons of condensate from the Kapuni gas field were distilled by Egmont Oil Wells, Ltd., at New Plymouth last year. The statement says the company produced 142,240

gallons of crude oil from its four wells last year. This was an increase of 2540 gallons. Distillation of the condensate and the crude oil produced more than 79,000 gallons of motor spirit, about 72,000 gallons of residual oil, 63,890 gallons of diesel oil, about 29,000 gallons of power kerosene and 11,300 gallons of mineral turpentine. The crude oil production was valued at more than £ll,OOO. About five million cubic feet of gas was sold by the company.