GOLD AND COAL

Evening Post, Issue 12, 14 July 1936, Page 14

GOLD AND COAL

WORK ON WEST COAST

DREDGING PROJECT

(By Telegraph.—Press Association.)

BLENHEIM. July "13.

Alluding to gold mining, with special reference to the West Coast, the Minister of Mines (the Hon. P C. Webb) in an interview this afternoon, said that about a million of capital would be spent in the construction of four or five dredges, which would be the largest dredges operating, he thought, in any part of the world. They would be constructed within the next two years, and have fifteen years' work ahead of them. Electric power from Lake. Coleridge would be available in about eighteen months' time.

The capacity of the dredges would be considerably greater than that of the Rimu diedge. which was handling about three million cubic yards annually; The new dredges would deal with at least five million cubic yards a year. The ground jad "been thoroughly tested by scientific research methods, and he would be greatly surprised if they did not return handsome dividends. The estimated gold production from each of the dredges was between 15.000 and 20.000 ounces a year. Each dredge would employ between -60 and 70 mqn.

. Another-feature of the industry as far as the Government was concerned was that it was subsidising the company which was spending £10,000 in the Reefton district for the purpose of boring in order to test.the low-lying reefs ■'---The results' would be looked forward to with very great interest in all mining circles. ,

In connection with the development of* the large proved coal area adjacent to the James Mine at Runanga. the Minister said that 2.500.000 tons of excellent household .coal would be available. ;The cost was' estimated at £70,000. It was extremely gratifying to know the required amount was already in the Sta,te coffers as a result of accumulated profits from the exist? ing. State mines. The whole project would nbt. cost the Dominion a penny.