TO MINE SHEELITE.

Dominion, Volume 5, Issue 1286, 15 November 1911, Page 10

TO MINE SHEELITE.

raoposAL to ram company. A proposal i.s shortly to bo placed boforo Wellington Investors, to acquire the property of the Mount lliglilay fiold and Sheelitn Mining Company, near Hyde, Central Otago. A preliminary mcotlnr was hold in Messrs. fiualter. Dykes, and Company's rooms yesterday alteinoon, with the object of interesting businosa men In Iho scheme. Thero were present: Messrs. T. W. llislop, A. T. llendnll, I). Cuddle, .1. Handel, A. D. Kennedy, and J. Dykes.

The main output of the mine Is ehuelite. a rare mineral . practically unknown in commerce in New Zealand. It was first discovered in 1781 by a man named Sited, who also wan tlie first, to discover that it contained Tungstic acid, which is used nowadays in the manufacture of Tungsten steel. This steel Is used for high-speed tools, for armour plates, and for gun metal. A new uec has been more recently discovered for Tungstie acid In the manufacture of electric filament mantlce. Sheolite has been mined in European countries, especially Spain and Portugal, but owing to the unsettled Btato of those countries in recent years, and to tho fact that'tho mineral can now he obtained only in lower levels, the supply is decreasing rather than increasing. Maw uses are boing four.d for the mineral, and the demand is now moro than the supply con eatisfy. The ore from the Mount ITighlay mino varies from yellow to bluish gray In colour, and it contaimi sheolite, free gold In streaks of quartz, and iron pyrites. The oro is crushed and the sheolite saved in an unrefined form, ;ind the gold must be saved from the tailings by the cyanide process. The reason for floating the company is to obtain more capital with which to refine the sheelitc. and save the cold more effectively. At preecnt the return if. not so large by a great deal ns it would otherwise be. In the refined form, which for commerce must contnin 70 per cent, of Tnngstic acid, but which ran never contain more than CO per cent, of it, it is a yellowish, whitish, or brownish powder, very heavy. It is worth to-day £112 10*. per ton, but tho price has boon as high a,s £136 per ton. Tho accredited agent of the old company, Mr. V. 11. Fink, is a mining engineer, of Duncdin, and ho comes armed with certificates nnd statements of actual returns from the mine. The area of tho claim 1b 137 acres, and this with all. plant, mining rights, witter rights. ?.nd other privileges, it is proposed to sell to n, private company with a. capital of £30.f00. subscribed in £1 shares.' Of the capital £20,0)0 is to be raid to the vendors—£lo,ooo in fully paid-up shares and £10,00) In cash, the latter payable .ns follows:—£2soo on allotment, £2cCO three months later, and £100). ovcrv calendar month until the £10,000 shall been paid. The balance of the shares will be offered at par—ss. on application. ss. nn allotment, and the balance in 2s. 6d. calls nt intervals of not less than one month. For a period of three yeal'S from flotation the vendors agree that the 15.PC0 shares shall carry a preferential dividend of 10 per cent.