Commerce, Mining, & Finance

Evening Star, Issue 22209, 11 December 1935, Page 9

Commerce, Mining, & Finance

THE SEARCH FOR GOLD SANDHILLS COMPANY The directors’ report to he_ submitted L to the annual general meeting of the Sandhills Gold Mining Company Ltd. cn December 12 states:— “ On January 7 a disastrous flood was experienced on the Shotover River, which made a serious breach in the diversion weir at the mouth of the gorge at the upper end of the Sandhills. The directors requested Messrs Lloyd Mandeno and Robert Lee to visit the claim and to report on the position. This was done, and arrangements were made for Mr Mandeno to_ supervise the • reinstatement of the weir at an estimated cost of £I,OOO. ‘ . “ The company’s finances necessitated the raising of more money, to enable this work to be carried out, and it was decided to issue £1,500 of 10 per cent, debenture. stocks secured by a first charge on the company’s assets. This debenture stock has a term of three years. A number of the original shareholders and members of the Sandhills syndicate have agreed to transfer to all those to whom debenture stock was allotted a bonus of fully paid-up Is •hares in the proportion of £2O for every £lO value of debenture stock. Applications for £1,170 of debenture itodk were received and allotted. “ The reinstatement of the weir was duly completed by Mr Mandeno, and the weir will now allow of a rise of 18ft above low river level before any water will flow over the top. The directors believe that this will withstand a flood as high as any that has been experienced for very many years cn the Shotover River. “ In last year’s report mention was made of a slip on the mountainside above the Sandhills Creek dam, debris from which had been brought down during a flood, filling the dam and scouring 'but part of the wall of the dam. The debris has been removed from the dam and the wall repaired. The company has a good supply of water, which is - ample for all mining operations. “ Expenditure for the year in material, plant, development, and overhead amounted to £1,377 14s 9d. The cost of the actual mining operations is estimated at £3OO, and the gold won amounted to 360 z 7dwt, a loss on mining operations of £23 14s 4d. The gold tax paid on this gold won amounted to £23, or approximately the same sura •s the loss shown. “From the close of the year to the date of this report 51oz 14dwt 18gr of gold (estimated in value at £360) nave been won. “ On October 15 Mr A, E. Smith took over the management of the company’s claim. Mr Smith has had a lifelong experience of mining on the Shotover River, and the directors feel confident that in him the company has a thoroughly capable and competent manager. , “Mr P. T. Lynch, who was associated with the company from its inception until January of this year, found it necessary, for health reasons, to relinquish the management of the claims, and at the request of the directors handed over control to Mr Tom Lynch, his son. The directors desire to place , on record their appreciation of the excellent work done by both Mr P. T. Lynch and Mr Tom Lynch, the latter being still in the company’s ment,-WASH-UP ANNOUNCED, Messrs W. E. 0. Reid and Co., ■epretaries of the_ Sandhills Company, have been advised by the claim manager of a wash-up of 15oz 15dwt for about a fortnight’s work. WAJPAPA D HEDGING COMPANY ANNUAL REPORT. The report of the directors of the Waipapa Beach Gold Dredging Company Ltd., which will be presented at the , first annual general meeting of ' shareholders of the company, states:— “The final inspection of the company’s dredge was made on July 20, 1935, arid credit is due to the contractors (the Dunedin Engineering and Steel Company Ltd.) for their expeditious and conscientious handling of this contract. Up to August 8, 1935, was occupied in the opening-out operations and in dredging through the tailings of Messrs Wilson and Perry’s No. 2 sluicing paddock. Immediately the dredge began digging sand it started to earn payable returns, and for the five weeks ended September 12, 1935, 218 oz Bdwt of gold were won. As actual digging operations had been commenced in July, the profit and loss account is for the period of three months ended September 20, 1935. It is pleasing to note that, although this period bears three months’ expenses against these five weeks’ returns, sufficient gold was won in that time to show a handsome profit for the three months. It might here be noted that the expenses average £75 per week, including overhead. The following figures for the five weeks ended September 12, 1935, are of interest:—Total gold won, 218 oz Bdwt; total time dredge was working, 562| hours; total non-dredging time, 133 i hours; total yardage treated, 21,268 cubic yards—an average of 373 cubic yards per hour; average value, based on the realisation of this gold, Is 53d per cubic yard. While the dredge . was working on the return cub trouble was experienced with the Diesel engine, which broke down on September 17, 1935, and was not available until October 2, 1935, when dredging operations Were resumed. The stoppage was a serious matter for the company, but can in no way be attributed to neglect on the part of the company’s employees. The Diesel expert finally located the trouble in a defective oil connection, and the makers of the engine have been approached for compensation. . Unfortunately, a series of strong northerly winds blew up mounds of sand 10ft in height over the previously flat ground which it had been intended would comprise the return dredging cut. The dredge is not yet equipped for dealing with sandhills so much above the water level of the paddock, so this ground had to be left in the meantime. The dredge then worked downstream, largely through

the previous tailings, and only touching upon the fringe of these sandhills. Thirty-four and a-half ounces of gold were obtained between September 12 and October 12, 1935, while the dredge was working on this return out. Deeper ground and a bar of puggy clay material were then encountered, so the additional length of ladder which had been previously ordered was then installed. These alterations and the digging through the clay pug, which was not gold-bearing, took three weeks. The next return was obtained on November 2, when 15oz were won, and since then steady returns have been obtained. Since September 12, despite the various difficulties and stoppages, the dredge has won 182 oz 14dwt for the 11 weeks ended November 30, during which period the dredge has worked only 778 hours on gold-bearing material. The profit for the three months ended September 30 has been transferred to profit and Ipss appropriation account. In accordance with the company’s articles of association, the directors all retire from office, and are eligible for re-election. COLCONDA HOLDINGS LTD. A net profit of £787 compared with £1,507 in the previous year is shown in the second annual accounts of the Golconda Holdings Ltd., Auckland, for the period ended November 30. A final dividend of 5 per cent; is recommended, which, with two similar interim payments, makes 15 per cent, for the year. SYOHEY WOOL SALES MARKET FIRM Press Association-—By Telegraph—Copyright ' SYDNEY, December 10. ' At the wool sales 12,960 hales were offered and 11,655 sold, while 1,179 were disposed of privately. There was keen general competition from Japan, particularly, and the market ruled firm at the previous day’s rates for all descriptions. Greasy merino sold to 24d. NAPIER WOOL SALE CHEQUE TOTALS £312,000 The wool cheque for the first sale of the season last week will amount to £312,000, resulting from the sale of approximately 26,000 bales. In 1934 the December sale brought a quittance of between 13,000 and 14,000 bales and about £IIO,OOO in cash. The average price per hale last week was about £l2, against between £6 and £9 at last December’s sale. SHEEPSKIN SALE REPORT The Dunedin stock agents report as follows; There was a full bench of buyers at yesterday’s sale, when competition was keen, but at reduced limits. As compared with last sale, prices showed a drop of id to |d per lb. The following is the range of prices:— Second’ pelts to 3Jd, first pelts to 4|d, cross-bred quarter-wool to sid, crossbred half-wool to 6Jd, cross-bred fullwool to Bid, f. cross-bred quarter-wool to s|d, fine cross-bred half-wool to 7d, fine cross-bred full-wool to lOd, halfbred quarter-wool to 6Jd, half-bred halfwool to 73d, half-bred full-wool to 103 d, cross-bred hoggets to Bd, fine cross-bred ■hoggets to 9d, half-bred hoggets to 93d, cross-bred dead to 7d, fine cross-bred dead to Bid, half-bred dead to 9id, oross-bred hoggets dead to 7d, fine cross-bred hoggets dead to Bd, half-bred hoggets dead to BJd- ' AUCTION SALE Messrs R. S. M'Kenzie report having submitted to public auction allotment 1, plan 4,273, and being also part of sec : tion 2, block V., of the Lower Kaikorai district. The property was sold to a cash purchaser. * METAL MARKET Press Association—By Telegraph—Copyright LONDON, December. 9. The 'following are the official metal quotations : Copper: Standard, £35 16s 3d per ton ; forward, £36 6s lO^d. Electrolytic; Spot, £4O ss; forward, £4O 15s. Wire bars, £4O 15s. Lead: Spot, £l7 11s 3d; forward, £l7 11s 3d. Spelter: Spot, £ls 12s 6d; forward, £ls 18s 9d. Tin: Spot, £221 ss; forward, £2XO 12s 6d. Pig iron; Homo trade, £3 ,10s; export, £3 Is 6d Antimony; British, £76 10s; foreign, £33 ss. Molybdenite, £1 14s 6d per unit. Wolfram, £1 14s 6d. Silver: Standard. 283 d per oz; fine. 31 l-16d.

FOREIGN EXCHANGE

OK NEW ZEALAND CURRENCY BASIS The Bank of New South Wales, Dunedin, quoted the following rates for purchase and sales of foreign exchange (alb rates subject to alteration without notice) :

DOLLAR RATES. The Associated Banks (other than the Bank of New South Wales) quoted the following dollar rates to-day on a New Zealand currency basis. They are subject to alteration without notice: — U.S.A. CANADA. (Per £1 N.Z.) (Per £1 N.Z.) SELLING— T.T. (dol) 3.95* 3.99 s O.D. (dol) 3.95| 3.99* BUYING— O.D. (dol) ... 4.00| 4.04* DOLLAR AND FRANC Press Association —By Telegraph—Copyright LONDON, December 10. (Received December 11, at -noon.) The dollar is quoted at 4.93 and the franc at 74J. DIVIDENDS DUE Kauri Timber —5 per cent Dec. Henry Jones Co-operative—Final, Is 3d a share N.Z. Loan and Mercantile Agency Co.—Cum pref. (for year ended June 30, 1932), 5 per cent., less English income tax Dec. 12 North Broken Hill—2s 6d a share and bonus Is a share Dec. 12 Waitaki Farmers’ Freezing—s per cent Dee. 13 N.Z. Breweries—lnterim, 3* per cent. Deo. 14 Mount Lyell—Final, 2J per cent. p.a., 6d a share Dec. 16 Okarito Gold Dredging—lo per cent., 6d a share ... Dec. 17 Lampson Paragon Ltd., Sydney—B per cent Dec. 17 Qoldsbrough, Mort—lnterim, 4 par cent, p.a Deo. 18 Tooth’s Brewery—lo per cent. p.a. and bonus 2* p.c Broken Hill South—ls 6d a share and bonus Is a share Dec. 19 Placer Development—-Interim, 50 cents (Can.) a share Dec. 20 Bulolo Gold—lnterim, Idol 40 cents (Can.) a share .1 Dec. 20 Hume Steel —Interim cum pref., at 7* per cent, per annum Dee. 23 Mossy Creek —Id per share Doc. 28 British Tobacco—lnterim 1* p.c. Deo. 31 Morris, Hedstrom—lnterim, ord., . 2i per cent. ... Dec. 31 Claude Neon Ltd., Sydney—ls per cent,, payable as to 7* per cent, (and payable as to 7* per cent., January 1) Jan. 1 Sulphide Corporation Ltd., London —2s per share pref., 4* ord. sterling, less income tax Jan. 15 PRICE OF GOLD Press Association—By Telegraph—Copyright LONDON, December 10. (Received December 11, at noon.) The price of gold ia quoted at £7 Is per oz.

THE SHARE MARKET DUNEDIN STUCK EXCHANGE While there were no buying orders fee bank shares, this morning, the market remained firm, as was the case in regard to other investment shares. Sales were reported in Bank of New Zealands from 47s 9d to 48s Id, and the lowest selling quote was 48s 6d. National Insurances moved up Id to buyers at I9s 4d, and sellers eased 2d to 19s Bd. Holders of other insurance issues revealed no inclination to reduce their selling limits. Business in meat shares has been dull for some time, though most shares remain firm. . . Not much interest was manifested m financial and pastoral shares, and the market for coal shares experienced little change. Interest in Broken Hill Propnetarys was fully maintained, and transactions were recorded in . both the ordinary and new issues at unchanged prices. New Zealand Drugs continued in strong demand, and Wilson’s Cements had unsupplied buyers after sales at 435. New Zealand Breweries displayed a tendency to harden, a better buyer by Is attracting a seller 2s away. Investors maintained a keen interest in Australian mining shares, and several issues showed slight improvements. The market for gold mining scrip continued dull. There was a fair inquiry for Government Loans on a market which appeared firm. ' SALES. Reported.—Bank of New Zealand, £2 7s 9d, £2 Bs, £2 8s Id (late yesterday); Broken Hill Prop., £2 17s 6d; Wilson’s Cement. £2 3s (two); Electrolytic Zinc (ord.), £1 14s lOld. After Call.—Broken Hill Proprietary (new issue), £1 8s 3d. Quotations as under:—

FAT lAMB EXPORT COMPETITION It is expected the entries for the fat lamb export competition, to be held at Burnside on Saturday next, will be almost double those of last year. Mr M. Hannan, supervising grader for the New Zealand Meat Board, will be in attendance to pick the best 45 lambs required for shipment to London. He will also give a demonstration on the quality and points of the different exhibits. COMMONWEALTH LOAN Press Association—By Telegraph—Copyright CANBERRA, December 10. The Federal Treasurer (Mr R. G. Casey) announced that the Commonwealth loan, which was closed yester.day, was oversubscribed by £3oo'ooo. ,

BUTTER AND CHEESE

The South Island Dairy -Association has received the following market report from the New Zealand Produce Association, London:—Butter; Steadier since decline; 86s to 87s; Danish, 1265.. Cheese: Steady, white, 51s 6d; coloured, 54s 6d. FRENCH DEFENCE LOAN Press Aisociati-m—By Telegraph—Copyright LONDON, December 10. The Paris correspondent of ‘ The Times ’ says the Government is issuing a £26,000,000 defence loan, ’ '

Buying. Selling. London— £100 stg. n.z. ... T.T. £124 £124 10/ O.D. £123 10/ £124 8/9 Australia— £A to £100 N.Z T.T. £101 £100 10/ Fiji— £P to £100 N.Z T.T. £90 7/6 £89 New York— Dollars to £1 N.Z . . T.T. 3.98J 3.95 O.D. 4.00 3.954 Montreal— Dollars to £1 N.Z .. T.T. 4.025 3.99| O.D. 4.04j 3.99J France— Francs to £1 N.Z . .. T.T.' 60.69 59.39 O.D.' 60.99 59.44 Noumea — Francs to £1 N.Z . T.T. 61.64 58.64 O.D. 62.04 58.69 Papeete— ' Francs to £1 N.Z .. T.T. 61.64 58.84 O.D. 62.04 58.69 Belgium— Be! gas to £1 N.Z. .. T.T. — 25.211 O.D. — 23.226 Germany— Keiohmarks to £1 N.Z .. T.T. — 9.646 O.D. - „ 9.651 Switzerland— Francs to £1 N.Z .. T.T. 12.451 12.051 O.D. 12.526 12.061 Holland — , Florins to £1 N.Z .. T.T. 5.988 5.738 O.D. 6.038 5.742 Java— Florins to £1 N.Z. ... ... .. T.T. 5.943 5.718 O.D. 5.993 5.722 Japan— N.Z. pence to 1 yen ... T.T. — 17 21-32 O.D. - 17 41-64 Shanghai— N.Z. pence to 1 dollar , T.T. 17 11-32 18 21-32 O.D. 17 7-32 18 41-64 India and Ceylon— . N.Z. pence to 1 rupee T.T. 22i 22 23-32 O.D. 22i 22 21-32 Hongkong— • * * N.Z. pence to 1 dollar T.T. 19 11-16 20 15-16 O.D. 19 9-16 20 29-32 Singapore — N.Z. pence to 1 dollar ... ... T.T. 34 11-32 35 9-32 O.D. 34 7-32 35 7-32 Sweden— Kroner to £1 N.Z .. T.T. 15.790 15.460 O.D. 15.830 15.470 Norway— Kroner to £1 N.Z .. T.T. 16.200 15.870 O.D. 16.240 15.880 Denmark— Kroner to £1 N.Z .. T.T. 18.208 17.878 O.D. 18.248 17.888 Austria— Schillings to £1 N.Z . T.T. — 20.63 O.D. — 20.65 Czechoslovakia— Crowns to £1 N.Z . T.T. — 95.01 O.D. - 95.06

Buyers. Seller*. / £ s, d. £ 8. d. BANKINGNew South Wales ... — 33 0 0 New Zealand —. 2 8 6 Commercial — 0 18 0 National of New Zealand — 0 10 0 Reserve — 0 u 0 Union of Australia Ltd. .... ... — 0 INSURANCENational ... 0 19 4 0 18 8 New Zealand — 3 6 9 Standard ... — 5 1U o SHIPPING— P. and 0. Deferred Stock1 i 0 MEAT PRESERVING— N.Z. Refrigerating 9 (paid) 1 i 1 2 6 N.Z. Refrigerating (cont.) 0 10 7 0 10 1U Southland Frozen (paid) — 317 6 Waitaki Farmers’ Freezing ... ...' ... 3 IS 0 LOAN AND AGENCYMortgage Corporation — 0 5 6 N.Z, Guarantee Cor0 poration 0 5 — Trustees, Executors, and Agency 3 3 0 — Wright, Stephenson (pref-) 0 19 0 — COALKaitangata 1 1 6 — Westport — 1 2 6 Westport-Stockton 8 (pref.) ... ... ... 0 2 WOOLLEN COMPANIES— Bruce (ord.) — 0 14 0 Mosgiel 10 0 0 10 5 p klSCELLAIJEOUSBroken Hill Proprietary 2 17 3 2 17 9 Broken Hill Proprietary (new) ... ... 1 8 0 1 8 4 D.I.C. (prof.) — 1 4 3 Dominion Fertiliser ... 1 3 5 1 4 0 Dominion Fertiliser Debs. 108 0 0 — Dunedin Stock Exchange Proprietary 1 18 0 2 0 0 National Electric 0 12 0 0 13 3 N.Z. Drug Co 3 19 6 — N.Z. Paper Mills ... 1 7 0 1 9 6 ‘ Otago Daily Times ’ ■ 2 11 6 Regent Theatre ... — 0 18 3 Wilson’s (N.Z.) Cement ... 2 2 6 — BREWERIES— New Zealand 2 13 0 2 14 0 AUSTRALIAN MINING — Broken Hill South (£1) , 6 5 0 Electro. Zinc (pref.) £1 1 18 6 1 19 0 Electro. Zinc (ord.) £1 , ... 1 14 6 115 6 Mount Lyell (£1) ... 1 0 6 1 1 3 Mount Morgan (5s) 1 15 8 — GOLD MINING— Alexander (£1) ... ... 0 13 6 Bendigo Goldlight (Is) 0 0 34 Big River (Is) Gillespie’s (Is) 0 1 9 0 0 1 11 1 li Goldfields Dredging (Is) ' • 0 0 3 King Solomon (Is) 0 3 3 — Lawson’s Flat (Is) ... — 0 0 6 Nokomai (5s) 0 1 9 0 2 6 Okarito (5s) — 0 6 0 Paddy’s Point (5s) 0 2 9 Sandhills (Is) 0 0 6 Skippers (is) 0 0 24 Waliiapa Beach (Is) 0 1 7 — Waitahu (5s) 2 7 0 3 0N.Z. GOVERNMENT LOANS(Bonds quoted are £100 : Bonds.), 3jr p.c. Stock, Nov., 1938-52 102 0 0 — 34 p.c. Stock, March, 1939-43 102 0 0 103 0 0 34 p.c. Stock, Sept., 1939-43 102 0 0 103 0 0 ’ 31 p.c. Stock, May, 1939-52 102 5 0 — 4 p.c. Bonds, 1937-40 102 0 0 \ — 4 p.c. Stock, 1937-40 102 0 0 _ 4 p.c. Bonds. 1943-46 104 10 0 — 4 p.c. 1943-45 104 10 0 — 4 p.c. Bonds, 1946-49 104 15 0 — 4 p.c. Stock, 1946-49 104 15 0 — UNLISTED STOCKS— Woolworths (Sydney) 5 17 0 5 18 3 Were’s Trust 0 5 1 Otago Farmers’ Co.-op, 0 2 9