NEW ZEALAND GOLD

Grey River Argus, 4 May 1931, Page 6

NEW ZEALAND GOLD

SHIPMENT TO MELBOURNE MINT. A number of New Zealand gold min ling companies are shipping their gold [direct to the Melbourne mint, and for Isometime have been receiving a value ranging from £4 13s to £4 15s per ounce, according to the prevailing tele [graphic transfer soiling rate, Australia on London. In a recent issue of the Sydney “Bulletin,” a series of questions was asked on the subject, as follows:— (L) If a New Zealand gold-producer de. cides to ship his output to the Royal Mint, Melbourne, instead of sending ■it to London, approximately how much would he gain per ounce? (2) In for 'warding gold to the Royal Mint, Melbourne, what i** the correct procedure to adopt as regards packing, safe keeping. and notification of dispatch? (3) What would be the cost of freight and insurance be? (4) How long after re-

cei« ♦. of gold in Melbourne would he receive payment? (5) How much gold has been shipped from New Zealand to Melbourne? (6) Any other helpful information ?

The replies were:— (1) The advantage will depend on 11he exchange quotation for transfer from Melbourne to New Zealand of the 'amount of the Mint cheque . The exchange selling rate, Melbourne on New Zealand for purely business tranactions, N at £5 per £]oo. For other transactions th? exchange rate is quoted as high as £llB 12s 6«1. Consignments of gold are reaching Melbourne from 'New Zealand, and the advantage to the producer in New Zealand is about 5 per cent. (5s per oz). This is obtained when the rate charged for remitting funds from Melbourne to New Zealand L 14J per cent. No forward quotations are obtainable for exchange. Deputy Master of Mint, Melbourne, will be pleased to supply further information on this subject by correspondence. (2) Gold should be forwarded securely packed in boxes or sewn up in strong canvas. If mav be consigned by boat Or through post. Up to 11 lb in weight is accepted by post. Parcels up to lOOoz in weight reach the Mint bv post dailv.

Gold thus transmitted should bo covered by a policy with some insurance company. Gold forwarded through the post is usually sewn up in a strong louble canvas wrapper, and should bo registered. Mint should be advertised by a seperate letter stating amount of gold forwarded and also how payment is desired —whether by a cheque, bank (draft or by payment into a particular (bank for transfer to New Zealand. (3) Freight charges for gold bullion or alluI vial, shipped from New Zealand ports (to Melbourne is 3d per ounce by boat. 1 By post th? charge would be 2d per Jounce plus registration fee. (4) payIment is usually made about 10 days after gold arrives at Mint. Payment pan be obtained three days after lodg•ment by payment of interest at 7 per • cent, per annum for each day of early ,accommodation. (5) 42,9190 z gross of 'gold was sent to Melbourne Mint from j New Zealand last year. It is expected [this amount will b? considerably exceeded this year, owing to the prevailing premium on gold now in force in (Australia. (6) The rate of premium ’now payable on gold in Australia is (fixed by the Commonwealth Bank at 'the ruling telegraphic transfer selling ■ rate. Australia on London, less the estimated costs of remitting gold to Lonidon ar present about 25s per cent. Tn (accordance with this arrangement the price paid by the Mint works out as follows:— £ s. d. loz sovereign (or standard) gold of 22-24 carat fineness—normal Mint price 2 17 JO4 Present premium at £29 5s per cent ] i gj Total pi ice per ounce of 22 1 carat fineness 5 0 7 Gohl of higher or lower fineness is paid for at proportional rates according to assay.