WAIHI COMPANY

Evening Post, Volume CVII, Issue 127, 3 June 1929, Page 12

WAIHI COMPANY

Tljf, MINIKGVENTURE

] (From "The Post's" Representative.) • :/, LONDON, 3rd May. The directors of Waihi Gold Mining Co Ltd.:, report for the-year ended 31st December: that gross, profit amounts to £116,----.824, agamst £136,404 last year. During the yeav 228,749 tons w,ere. .treated, the gold and silver realising' £376,684. Sundry receipts, including interest, totalled £19,804. lower supplied by the New Zealand Government from the Hora Hora undertaking amounted to £10,625. These three items total £407,114.- Expenditure'in New Zealand and London amounted 'to £290,289 leaving gross profit as stated. An interim dividend of^ls per share free of income tax ■was paid on Ist' November, 'absorbing £49,590, and' a dividend of a similar amount irill be-paid on 10th May, making 2s per share free of income tax: Thus, despite the issue of new shares in November, 1927, the? total dividend is maintained at the increased rate. . ■■ ;■ Regarding the mine, the position is not so satisfactory. The directors speak of deterioration with increasing depth> and the lack of success which has attended work on the Martha lode, by means of diamond drilling and cross-cutting. There were .developed 138,637 • tons of new ore. The reserves at 31st December stood at 215,319 tons in general account, having an average assay value of 31s (against 295,386 tons, worth 335), and 193,510 tons in buspense account; of an" average assay value of;3ss Id.' The general account shows a reduction of 80,067 tons, and suspense 457 tons, or a total of 80,524 "tons. The diffi- . culty of dealing with the ore in suspense is referred:to in the report. This ore is: supporting shafts and levels. It is impossible to say, how much it will cost to extract, and the warning note is uttered that should the cost of winning any portion of this ore become too high, whatever its value may bs, treatment will be* impossible. With much regret the board ha« acquiesced with the views expressed by the company's executive in New Zealand that no further exploration of depth' be undertaken. Exploration will therefore be confined to the upper levels. In the Grand Junction area 25,493 tons were treated. Good ore was disclosed in the eastern area, but up to the present the western area has not disclosed any payable ore. . ■....'. .... .In conjunction with Tronoh'Mines, Ltd., the directors of Waihi Gold have contracted for the purchase of a tin dredging area of about 650 acres in the island of Puket, Siam. • Reference was made to this property last year. Waihi takes two-thirds and Tronoh one-third. Mr., J. H. Rich, a tm expert, the general .manager of Tronoh Mines, and- Mr; E. G. 'Banks, superintendent of the Waihi, have both reported favourably as to this proposition. This property was! only, obtained after difficult and protracted negotiations: ■ The total gold production from Waihi mine to date has amounted to £15,912,959, While the dividends, income tax, and corporation" profits taxes have' totalled £6,----504,420. ' The balance-sheet discloses an extremely strong position, with securities totalling .£384,906, while bullion in transit and ca«n at bankers and in hand amount to £65,662. • '.;■ i