MINING.

New Zealand Herald, Volume V, Issue 1312, 30 January 1868, Page 3

MINING.

(From Dickers Mining Record) The facility tvith which accurate statistical information is to be obtained of the Ballarat mines is greatly in favour of that gold-field, and must, granting all other things equal, tell immensely to its advantage when compared with others competing for outside capital. Literally, it takes all the benefit that it is possible for an extended market to confer. Other districts, whilst losing in every way in comparison

with this the metropolitan gold-field, have the additional disadvantage of turning their worst side to tho public. The T>est paying mines are in private hands, and therefore imperfectly known, and the districts, though neglecting publicity, thus lose the prestige that would otherwise attach to them. Even the best paying quartz mines are, as a rule, needing capital ; that is, the owners were unable or unwilling in the first instance to provide sufficient capital, and unable or unwilling afterwards to refrain from distributing as dividends the first profits which accrued. It is very exceptional indeed v.hen a manager is allowed an abundance of capital to enable him to open up a mine as it should be. If we take the majority of quartz mines which have been in existence any number of years, we find, almost invariably, that success has been delayed from want of either the courage or the means to invest at first, or the inability to resist tho temptation afterwards of declaring early dividends. In other words, were all the capital requisite to open up the ground in a thorough way forthcoming first of all, the dividends from quartz mines would not only become larger and give a better return on capital, year by year, but would have a steadiness also they do not now possess. Nearly every mine has therefore, unnecessarily, its unprofitable intervals, when permanent works arc being carried on, whilst profitable retumis have thereby to be stayed. Very few mines in the colony are what we should consider liberally opened up. Taken all round the number may be told off on the five fingers of a man's hand. The additional experience gained every year in quartz mining, goes to confirm the view we now take. Another disadvantage under which mining labours is, that what money is invested is expended in driblets; and when we think how scarce a thing good judgment really is, and by how large a number the capital lias to be distributed, it is a fair inference to suppose that very much of even the little money laid out is kid out without any judgment whatever. But, as we have already remarked, particulars of the commercial results of quartz mining investments are most difficult to obtain. If we confine ourselves to a consideration of those public companies which come fully under our notice, and that have been carried on with reasonable vigour, we see no reason to question that quartz miuiug of the right sort—we mean by that, undertaken with the caution and judgment usually brought; into play in ordinary commercial undertakings—trill, on the whole, prove an exceedingly profitable investment. The mischief is that we have so few men with capital who can afford to withdraw their money wholly from other pursuits, and invest it, for a sufficient length of time to get a return, Works are consequently hurried to a conclusion and before sufficient time or money have been expended to derelopo the lode, the principal shareholders have- ' grown too impatient to wait any longer, shares are> sold for just what they will bring, a winding-up; suit supervenes, and the nucleus of a profitable undertaking is for an ago perhaps entirely lost sight of. We have in our recollection scores of mines thus' mismanaged, from which profitable results have after a lapse of time been obtained. Thousands of pounds are invested in macMnery, to keep which employed after it is erected its owners have frequently not sufficient courage to invest as many units. Such/a proceeding is about as reasonable as if a shopkeeperwere to lay out a large sum of money in a place of business which could be of use to no one else, anj r when completed, to find that he had not the courage to stock it. Cases are continually arising with us where our arguments in favour of the paying nature

of quartz mining are met by mai'ked instances of present non-success ; but time, that great improver, more than frequently converts these practical arguments against us into remarkable instances in support of our own views. We remember one case in particular, where a squatter had been induced to invest largely in mining on his own undivided responsibility. He purchased two mines, one with and the other without machinery. In connection with the latter, lie erected a very expensive and complete plant; but after its erection he was chary of investing his money in opening up. After a very short experience, lie finally determined in, disgust to make the first and only loss, and sold at a very considerable sacrifice. In the hands of iiis successors tliis mine has given very good returns, and -what would bo considered good returns to a capitalist upon the capital which the person we speak of had himself invested. The second mine for a.' long time did little more than give him bank interest in addition to the working expenses, although this of itself is a great deal to accomplish, ■with the possibility at all times of striking sornetliing out of the ordinary to sweeten the \indertaking. Not many months since, however, a lucky turn of the wheel, or stroke of the pick, completely changed the aspect of affairs, and a very few months' work in mine No. 2 Trill give back every shilling invested in both undertakings. This is not by any means an isolated ease, although eases of such magnitude are necessarily rare. This instance of non-success, or, as it has turned out, impatience, was for ever being quoted to the confusion of all arguments in favour of the paying nature of quart*, mining. In a late issue we were enabled to show the practical results which have attended mining operations in the leading mines of Ballarat. Wβ here reproduce the figures we then gave, and show, in addition, the net value of those mines in the market at the present time. The gross amount of dividends paid, added to the market value of the mines, when compared with the capital expended, will ehow how well mining, carried on systematically, has paid on Ballarat, in spite of the drawbacks attending defective titles, &c. There is very little doubt, if it were possible to throw all the claims into one, and obtain a secure lease for the whole, that the market value of every individual interest would be thereby doubled. Value of Gold Subscribed

Golden Point Group. Raised. Capital. £, a. d. £ b. i Cosmopolitan 170,457 4 3 5,936 0 0 Koh-i-noor 408,810 7 6 10.000 0 0 United ExtendedBand of Hope 696995 9 9 32,000 0 & Great Eedan Extended .. 438,225 11 8 9,880 0 0£1,614,48S 13 2 £57,86G 0 0 Aggregate Golden Point Group. Dividends. Market Value. Cosmopolitan 128,944 5 0 NiL Koh-i-noor 249,260 0 0 24,800 0 0 TTnited Extended Band of Hope 361,600 0 0 240 000 0 0 Great Radan Extended .. 339,230 0 0 7,200 O O £1,079,054 5 0 £272,000 0 0 Value of Gold Subscribed Western Township Group. Raised. Capital United Sir William Don .. 200,995 19 8 2,000 0 0> Newington Freehold .. .. 98,737 O 4 0,500 O 0Ballarat Freehold .. .. 57,505 11 6 13.163 10 0 Western Freehold .. .. 57,975 19 8 6,000 0 O Inkermann and Durham .. 13.102 14 9 22,750 0 0> Southern Freehold .. .. 38.900 1 0 4,500 0 0 New BaUarat Freehold .. 4,748 14 0 11,250 0 0 Cricket Keserve — (just started) £472,020 0 11 £66,163 10 0> Aggregate Subscribe* Western Township Group. Dividends. Capital. United Sir William Don .. 130,600 0 O 30,000 0 • Newington Freehold 45,000 0 O 28.000 O O Ballarat Frtehold .. .. 16.500 0 0 24,000 0 0 Western Freehold .. .. 25,500 0 0 18,750 0 o> Inkermann and Durham .. NiL not quoted. South Freehold 10,500 0 0 mergedinParlc and Co. New BaUarat Freehold .. Nil. 6,300 0 0 Cricket Reserve — — £228.000 0 0 £107.050 0 0 Value of Gold Subscribed Sebastapol Group Kalsed. Capital - St. George United .. .. 120,585 13 3 1G.50O 0 0 Defiance *87.O0O 0 0 5.563 0 0 Nelson and Wellington .. 228585 2 11 18,658 9 X United Working Miners .. 81,036 18 2 30.019 0 0Albion 259,034 0 10 18,000 0 0 Prince of Wales 312,876 8 6 18.79516 8 Bonahaw 102,938 10 6 56,0S2 10 o> Alston and Weardale .. .. 40,354 110 49.000 0' 0> Great Gulf 64 572 3 7 20,000 0 0 Scottish and Cornish .. .. 99.917 5 5 21.871 0 0 £1,427 000 5 0 £253,990 9 2 • Approximate. Aggregate Sebaatapol Group Dividends. Market value, fit. George United .. .. 32.250 0 0 22,500 0 0 Defiance *70,000 0 0 NiL Nelson and Wellington .. 107.357 9 9 10,443 15 0 United Working Miners .. 31,200 0 0 64 80O 0 O • lbion 90,921 16 0 116,048 0 » Prince of Wales 131,567 1 0 148,070 10 0Bonshaw 27,744 0 0 97.440 0 ft Alston and Weardale .. .. 10.621 6 9 ML GreatGulf 16,603 16 0 I9,ooo o 0 Scottish and Cornish .. .. 8.544 0 0 28,224 0 B £592.809 8 6 £606,524 5 0♦Approximate. Value of Gold Subscribed Buninyong Group. Kaised ,.S?n e KSS^r^' 887 :■.•&%%% ig I I £428,001 14 8 £27,000 0 0 Bnnm y o^G T p. J^ o Naton^ 8 s^ eeb ? ld ' 8 fr ::wS«" "°t quoted. £162,259 15 10 £20,000 0 ft ToUlfor TwentyfourAllnvialC° m^ e3 j ft Talne of gold raised j$0 019 19 » Subscribed capital .. „" ,,••„ ,y *™ uiBi » * Aggregate dividends 2 002,159 8 4 J wm 13 4 Present market voltte W»,o(» a vj