ASBESTOS MINING

Nelson Evening Mail, Volume LXX, 23 May 1936, Page 7

ASBESTOS MINING

DEVELOPMENT WORK IN NELSON DISTRICT DEPOSITS AT TAKAKA GOVERNMENT ACCEPTS OFFER OF COMPANY For twenty years past the Mines Department has experienced a great deal of trouble in connection with mining privileges granted over the asbestos deposits in me Takaktt district. Although various areas have been held from time to time- by different persons and companies, no prospecting work of any great value has yet been undertaken.

"The main trouble in connection with the development of the area is access, and a large sum is necessary to construct a suitable road to the locality,” the Minister of Mines, the Hon. P. C. A ebb, told "The Standard” this-week. "Most of the individuals and companies that have held areas in the past have retained them merely for specufatiye purposes as they did not have sufficient capital properly to develop the deposits. Insufficient work has, as yet been done to enable the department to decide whether the deposits are likely to he capable of cpmmercial development.” As a matter of policy, therefore, it was considered that an attempt should he made to place the area in the hands of licensees who would have sufficient resources to test and exploit the field with expedition, and who would be called- upon to enter into a bond for a. substantial sum to ensure compliance with the requirements of thp Mining Act, 1926, the Minister continued. ' The first necessary step was to bring the whole area- within' the control of the Mines Department by exempting it from certain provisions of the Mining Act, 1926, and later by forfeiting a part of the area which was already held under Mineral Licence. These objectives were achieved late in 1935. The exemption was then revoked and the 3lin.es Department pegged out and was granted a mineral prospecting warrant over a total area of 1146 acres.' Applications were then - invited by public advertisement for the rights, to prospect aiid develop the area, subject to specially stringent conditions, including an enforceable bond, of £2000., _ “The onerous nature of the tions resulted in only one application being received,” said Mr Webb. “The Government decided to accept the com-, pany’ti offer, and the mineral prospecting warrant is on the point of - being. assigned by the Crown to the company concerned. . ' .... “The construction of a road to give access to the asbestos deposit, has, I understand, already been commenced.”