WESTPORT COAL COMPANY.

Evening Star, Issue 10851, 8 February 1899, Page 2

WESTPORT COAL COMPANY.

The seventeenth annual meeting of the shareholders of the > Westport Coal Company, Limited, was held in the company's offices, Vogel street, this afternoon. There were about thirty chareholders present, and the chairman of directors (the Hon. H. J. Miller) presided< ttfiPORT AND BALANCE fiftEffifi

The Chairman said: gentlemen,—With your permission, we will take the report as readi Before proceeding to move the adoption ; of the report and balance-sheet, I am sure that shareholders will permit me to express the great regret which we all feel for the loss sustained by this company through the death of cue Hon* Downie Stewart. It is not the time cr the place to dwell upv-* his social, professional, or political qualities. I desire to speak of him as a director of this pompany. Last year he went round with us to westport, and made himself acquainted with the working of the mines and the business of the company generally. He took an increased interest in the business, and his clear vision and power of application enabled him to be a valuable member of the Board; so that, froni personal considerations, his loss has been a vei?y severe one, and not easy to replace. Referring to the annual accounts, the debenture and other liabilities amount to £92,717, which is £2,917 more than last year. On the other side, the works and leases account has been redueed by £2,615: Sundry debtors are just the same as last year; stocks a little heavier. The amounts owing to us are all quite good, and most of them have since been paid. The output of coal for the year was 280,128 tons, an increase of 37,000 tons over last year's output, and the profit amounts to £17,257 9s 7d, which will enable lis to pay 7 per cent, dividend and to Stftrt a reserve fund with" £2,500. This reserve is small; but we hope to increase it in future years; It is very necessary that we shovud put something by for contingencies, and to equalise dividends in case of reverses. Good progress has been made in developing the Granity Creek mine during the past year, and by the end of the present year we expect to work f.e coal in the main part of the lease. I congratulate shareholders on the Completion 6f this property, which has now replaced the Greymouth mine, on which we lost so heavily. Our export trade has not increased, owing. to the disturbance in the freight market during the American-Spanish war, but now that freights are returning to the normal rate I am pleased to say this trade is again improving. The supplies to the Admiralty have increased by 2,000 or 3,000 tons, and wc have reason to believe the quantity will be romewhat increased in the future. Nearly the whole cf our output, however, has been disposed of locally, and we find by having our own agents in all the principal ports that we can largely increase our Sales. The mines have been kept in a very efficient state, and the plant and machinery are in thoroughly good order. Good progress has been made with the harbor woiks; the new wharf iS now used for loading sailing vessels, and will be available for .steamers by the end of the year. There is a slight increase in the depth of water in the river and on the bar. The harbor revenue shows a surplus cf nearly £12,000 for 1898, Which will be available for new works and the touch-needed rolling stock. Our trade will expand faster than .the appliances of the railway and port can readily rfleeti During the past year the Government have built fifty fl6w Waggons, capable of carrying from FeVen to eight tens. It is intended tnat all the waggons in the future should be of . this size. By this means the carrying capacity of pur incline will be increased by about 100 tons per died. Hitherto the limit of output has been the capacity of the incline, so that we shall now be in a position to meet a larger demand. With this view, the incline was altered during the Christmas holidays so as to suit the new Waggons. I beg to move the adoption of the report and balance-sheet. Mr W. L. Simpson seconded the motion. As shareholders they had fair reason to be satisfied. The affairs showed a decided improvement on last year. As the chairman had ointed out, the amount set down against works, : leases, and plants had considerably decreased, and over and above that they had what di 4 not appear !in jast year's balance - sheet—namely, a large balance at their bankers. The increased output was very satisfactory, but shareholders would have liked much to have seen a much larger profit accruing from that. The chairman had explained that from the unfortunate reason as regards freights the export trade had not come up to expectations, and that the increase had been entirely local. 'a-is was satisfactory, but at the same time it showed that they were selling at a very small margin of profit. It might be judicious to do that and collar the market, for they | still had considerable competition by inferior coils. It was from the export trade that they expected to get the.largest profits, and it was hoped that that trade would increase.

The Chairman pointed out that the company had not yet got out of the keen competition with the Newcastle eoal. In some parts of the colony that coal was still preferred to the Westport in consequence of its price,, and although he quite agreed with what Mr Simpson said as to the small margin of profits, at the same time he thought, when they considered what they had to compete with and what their condition was when they started, so far as Newcastle coal was concerned, they might think' themselves extremely fortunate in reaching the point they had. He did not mean to say there web no room for improvement,- and he would be extremely glad to see a larger margin of profits. That was a matter governed, to a certain extent, by circumstances, and the competition would doubtless be keener this year. " There would be many vessels coming here for grain, and they would most likely bring cargoes of Newcastle coal. To the outsider, might appear a small margin of profit, but, as one very much interested in the company, he was by no means dissatisfied, and he did not know that he would not almost bargain to keep it as it is, provided it did not get any worse.. A Shareholder: If this weather continues the consumption should increase.—(Laughter.) The motion for the adoption of the report and balance-sheet was then put and carried unanimously. ELECTIONS. On the motion of Mr J. Mill, seconded by Mr John Wright, the retiring directors - Messrs P. C. Neill and Bendix Hallenstein—were unanimously re-elected. The retiring auditors—Messrs Walter Hislop and Thomas Callender —were re-elected. COMPLIMENTARY. On the motion of Mr J. F. Herbert, who advocated the donation bv the company of prizes to the miners for cottage gardens at Granity Creek, a vote of thanks was accorded to the directors, general and mine managers, and the staff. The Chairman replied on behalf of the company, and Mr Hallenstein thanked the shareholders for having elected him as a director. This concluded the business.