GOLD MINING.

Evening Star, Issue 21935, 23 January 1935, Page 9

GOLD MINING.

TO THE EDITOR. Sir, —To wriic of prosperity in days of vyorld depression seems a little paradoxical, yet it is only the _ other day that a Sputh African politician visiting the dominion is reported as having said: “ South Africa from an economic point of view is prosperous as a whole.” The gold premium has meant an increase of £35,000,000 a year to South Africa. The Government has not yet been slow to recognise the great benefit to the country, and has offered every encouragement to the industry, and as a result of the greater prosperity has more money to assist unemployment and the farming community. Another South African parliamentarian in the person of Mr Morris Alex-

ander, K.C., was recently reported in Auckland as saying: “ Like other countries, South Africa is suffering from low prices for primary commodities, but with our racial troubles eliminated, our constitutional difficulties settled, and the prospect of a strong Government in power for a long time, there is no reason why South Africa should not become extremely prosperous.” Gold mining in South Africa has, as a result of improved air-conditioning, received a new lease of life, and mining at great depth is now possible as a result of a successful attack on “ heat, ventilation, and humidity.” Tho world’s largest air-conditioning plant has recently been installed at the Robinson Deep Mine, and the main reef series at a depth of 10,000 ft and over is being successfully worked. Australia, too, has benefited in no small way by the resuscitation of the mining industry, and every assistance is being given by the different State Governments to the prospector. The enhanced price of gold has resulted iu the reopening of many abandoned fields, and old tailings are being re-* worked, while many deposits which in former years were abandoned because of low-grade values are now being profitably worked. Operation of low-grade mines in Canada is growing apace, particularly in Ontario, while new ore bodies aro being opened up in British Columbia, and in Nova Scotia, Minerals Ltd., a subsidiary of Consolidated Goldfields of South Africa Ltd., and numerous other companies are all conducting a search for largo deposits of ore, in contrast to the small, high-grade reefs formerly mined. America has shown greater initiative in its encouragement of the industry, and recent legislation at Washington and Sacramento has removed obstacles that have hitherto prevented operation. In a recent article entitled ‘ Hydraulic Mining Again Interesting to Capital,’ James D. Stewart, a Californian consulting engineer, writes; “Economic stress has done much to bring tolerance for tho hydraulic miner’s problems. His battles in the legislative halls have been bitter, with no quarter given or taken by either side. The last legislature witnessed a change. . . . When the Placer Mining District Act came to the floor of the Senate every Senator was in his seat, and not a vote was cast against it. In the Assembly only ten votes, out of a membership of eighty, were against it. At Marysville, headquarters for half a century of the forces opposing hydraulic mining, the civic bodies passed resolutions favouring the building of a dam on tho Yuba River so that hydraulic mining might be carried on behind it. This is a most assuring thing for the capitalist to contemplate when he now puts his money to work in hydraulic mining operations. To the hydraulic miners who have had respect for tho rights of their brothers in the valley, it is most gratifying that they have joined hands in this great enterprise "instead of attempting to beat

each other down by force as in the past. Government-built dams, behind which the miner may operate his mine by paying a storage charge per yard; districtbuilt dams, in which the Government aids by taking the bonds; tho increased price of gold; the reclassification of hydraulic mining for compensation insurance at a lower rate; Government loans to mine owners; Governmentbuilt roads . . . improved machinery and methods of operation—all form a silver lining to the half-century cloud that formerly cast its shadows over this industry. For the first time the mineowner and operator believes that his Government, both State and Federal, is in earnest. For the first time in half a century the valley-dweller believes that the hydraulic miner is acting in good faith, inasmuch as the Placer Mining District Law is a protection to him. . . Six years have wrought great changes. The hydraulic miner and valley farmer are at peace. The way has been paved for the resumption of industry. Hydraulic mining in California in the past has been .the way to dividends, which were in a great measure used for the development of not only more hydraulic mines, but all other forms of gold mining. The past history of the industry augurs well for the future.” . Jt has often been said that New Zealand leads the world in experimental legislation. What a golden opportunity then has been lost by the present Government in its failure to encourage the mining industry! Though it has frequently been stated that mining is one of the most hazardous industries in which the Government could undertake to make loans, the Reconstruction Finance Corporation (U.S.A.) is earnestly desirous of making direct loans “ to recognised and established corporations, individuals, and partnerships engaged in the business of mining, milling, or smelting of ore.” From various parts of the world come reports of greater activity in gold mining, and in almost every instance the revival is being .encouraged by a sympathetic Government. The highly auriferous areas of our own country surely present an opportunity for greater development which will lead to greater prosperity. The recent Mining Amendment Act, into the passing of which Parliament appears to have been stampeded by representations from agricultural interests, is abundant evidence that very few of our parliamentarians have any conception of the potentialities of the mining industry. The agricultural bias has clouded their yision, and so the greatest of our primary industries, because the product of it is at such an enhanced value, is sacrificed on the altar of agrarian greed. Tho time is surely ripe when mining interests must get together and organise some official representation. There is no reason why mining and farming should conflict, for to-day more than one farmer has been enabled to remain on his farm by a little successful gold mining or prospecting. There surely can be no reason why fanner and miner may not, as in the States, join hands instead of attempting to beat each other down. I am ,etc., Ohseuvek. January 22.