THE GOLD FIELDS.

New Zealand Herald, Volume XLII, Issue 12878, 29 May 1905, Page 3

THE GOLD FIELDS.

WAIHI G.M. CO. SIIAREMARKKT RUMOURS. RECENT RETURNS FROM THE MINE. THE COMPANY'S ACTUAL POSITION. SELENIUM AND ITS EFFECTS. Sharks in (ho Waihi* Gold Mining Company have recently shown a. tendency to recede in price, and there have been various rumours in circulation to account for this. (.'tie rumour was to the effect that, the company intended amalgamating with the Waihi (hand Junction Gold Mining Company, a second that ealeite had been cut in the low levels of the mine, whilst a third reason given for the fall in prices of shares was iho reduced ret inns for the last three mouths or so. A lli'.nw.n reporter interviewed Mr. Charles Rhodes, attorney in New Zealand for the Waihi Gold Mining Company, with the view of ascertaining the truth or otherwise of these urmours. Mr. Rhodes stated that so far as the suggested amalgamation with the Grand .1 unci urn Company is concerned nothing whatever is known here about any such arrangement, nor is any belief held in it by the ottieia.'.s of the company. The statement regarding ralcilo in, he said, a canard.

Continuing, Mr. Rhodes referred to the question of the company's returns as follows : ---'" hi a paragraph published in the Ili'it.u.i) of May 26, under the heading of 'Waihi Gold Duty,' a letter from Mr. .Stafford to the Waihi Borough Council was quoted, which, though staling facts, is liable to produce a somewhat wrong impression. A falling oti in tho Waihi Gold Mining Company's returns for the tiret three months of this year was shown, as compared with those of the- prior nine months in 1904. It was not, however, made clear that the first two or three returns of each year are liable to be less than those for the end of each year, owing to the fact that a close cleanup is made each December for the annual statements and accounts, the amalgamating plates and zinc boxes being then stripped as far as possible. For the following two or three months a quantity of bullion is again absorbed by the amalgamating plates and cyanide solutions, which practically remains there until Use next, clean-up. Hence some of the falling off in returns referred to. in addition, of course, to the effect of the broken period due to the new year holidays, which Litter account for from £10. lo'i)12,000 of the shortage. So far, however, as any real falling off iu the company's animal output is concerned. 1 am free to state that the total for this year is designed to be another record, ami at the present time there is every reason (<■ belive tha,t this result will easily be achieved, the ore being absolutely in sight, and the mills in firstclass working condition.'" "In passing," continued Mr. Rhodes, "a reference to the question of selenium may also be in order. This metal has long been known to be present in Waihi ore. ]i finds its way, to a small extent, into the bullion produced. So also do zinc and some lead from the operation of the cyanide process 'these metals, particularly the latter, make the bullion brittle. For several years past most, producers of bullion by the cyanide process have suffered from heavy charges in .London when marketing their product. Transvaal companies have complained of this even louder than New Zealand comthis even louder than New Zealand companies. In * lie case of the Waihi Gold Mining Company, and in support of their refining charges, selenium was used by refiners in London almost as a bogey, because less was known about its general behaviour than is the ease with zinc and lead. . In self-pro-tection, therefore, the Waihi Company took steps to eliminate selenium altogether, the result being the export of bullion free from this and other objectionable impurities, and the marketing charges in London ate now greatly reduced. Shareholders and the interested public may. therefore, rest satisfied," continued Mr. Rhodes, "that selenium, though practically a new substance to many of them, now gives no trouble at Waihi. the treatment of it there being quite well understood."

11l reply to a" further question as to the cause of the present price of shares. Mr. Rhodes said tlio Litter rose to nearly £7 because, it was thought probable that the directors would at tho last annual meeting start to pay os dividends quarterly, and a bonus of 2s" per share, making 14s per year. As they did not decide upon this course th« shares have fallen towards £6 to keep them on a 10 per cent, basis. ANNUAL REPORT OF THE COMPANY. [FROM OUR OWN COIU'.ESI'O.VDENT.] London, April 20. The report, of the directors of the Waihi Cold, Mining Company is published to-day, and it is to be presented at the meeting which will be held in London on the Bth pro.v. it is noted that since th" last annual meeting of the company, four members of the Hoard have passed away, namly, Mr. T. Kussell, Mr. H. J. Bristow," Mr. J. Boustead, and Mr. dames Russell. Mr/ A. M. Mitchison, a director for over too years, had been appointed chairman. Immediately after the last general meeting, -Messrs. H. K. Buddington, J'. Berry Owen, and K. J. I'.rtitton, whose names" had been approved by the shareholders, were duly elected to the Hoard, these gentlemen, with .Mr. William Bristow, making up tin: normal, number of five, and tin: directors did not recommend an increase in this number at the present time. It was stated that during the year 259,978 tons (of 22401b dry weight) of ore. were treated, and the bullion produced realised £683,882. This amount, together with £'1264 for interest, made the total gross revenue received for (lie year £688,146. Expenditure in New Zealand and London, including development work at; the mine, amounted to £317,993, leaving a profit for the year of £370,15'!. as compared with £364,944 in 1903. 'ibis sum, added to the balance of £21,650 brought forward from the preceding year (after payment of bonus of 2s per share and carrying £20,000 to reserve), gave a total'ot' £391.304. Out of this the directors had written oil' £25,414_ spent in the conversion and alteration _ of I lie mills and election of concentration plant, rendered necessary by the. change in the character of the ore. The directors recommended a bonus of 2s per share, making a total distribution of 12s per share, "or 60 per cent., in respect of 1904, leaving to be carried forward £16.301. The cost of the new acid treatment plant and some small additions to the machinery, amounting together to £3103. with £6223 spent on the new pump, and £3638 in sinking and equipping shafts, had been charged to capital account. A. dividend (No. 48) of 2s 6tl per share was paid on March 3.1, absorbing £61,933. The directors proposed to pay a similar dividend of 2s 6d on June "I. 1905. at the same time that the bonus of 2s recommended would be payable. [Moth dividend and bonus were declared a few days ago.] During i In- year i lie tonnage of ore crushed was larger than in the previous year, but the yield per ton was less. _ The coarser crushing, which had enabled a larger tonnage to be put through I he milk. waa partiv responsible, for the reduced yield. but the falling oil was chiefly to the larger proportion of mineralised ore which was being met, with in (he lower levels. Finer enroling ami some increase of output would lie ■-•cured by the use of tube mills. Three of these were Hearing completion to deal with the product of the 90 stamps at. the VYaihi mill, and it was likely that their use might be extended for the same purpose to the other mills. Tn order to deal with the increase in the mineralised ore, the concentration plant at the Victoria mill (which up to the present had only been adapted to 30 stumps) would be extended, to treat the product of the remaining 170 stamps. At the beginning of last year the directors arranged for Mr. \V. R. Fckltmami. M.1.M.M., the metallurgical expert, to visit the mine and consult with the'officials of the, company and report on the mills and various processes. A most interesting ami suggestive report was obtained, and would be of

great service to the company. Mr. Feldtmann's high appreciation of the manner in which tho difficult problems of extraction had been dealt with, and of the ability of the staff, had been very gratifying to the board. The total gold returns for the past year, a's given above (£683,882) show an increase of nearly £20,000 upon the figures pub-' lished here so far, This difference is accounted for by the better prices realised for the bullion at* Home. WAIOTAHI G.M. CO. A visit was paid to the Waiolahi Gold Mining Company's mine on Saturday by Mr. 0. S. Kissling (secretary), who reports that it looks more like a. lasting property than ever. The next clean-up will take place on Thursday morning next, and the return will, he stales, be a'good one. The manager is getting on very rapidly with the crosscut, which is in about- 35ft. The country is «till tolerably hard, but it is expected' every day that it will get easier to work. The" sinking of the shaft is also well in hand. The two additional pans for the treatment of the tailings will be running about the end of this week. NEW SAXON G.M. CO. [FROM OUR OWN" CORKKSrONDKXT.] Thamks, Saturday. The drive at No. 4 level on the. No. 1 Cardigan reef in the New Saxon mine has been extended 20ft for the week, the country being better for progress. The reef continues to look promising, and carries nice mineral and silica, whilst, dabs and colours of gold are seen at each breaking down, and the general appearance of the roof appears to improve as the drive advances. The workings in the slopes at No. 2 level have been discontinued for the present, and the men removed to the drive at No. 4 level, so as to keep this going, as the manager is desirous of pushing it forward, so as to make a connection with the winze from No. 2 level, which will improve the ventilation. Work in the slopes can then be resumed if deemed advisable. The water in the shaft is still steadily going down at I lie rale of about 18in per week. MEW MAY QUEEN G.M. CO. [FROM OUR OWN' CORRESI'OXUKXX.] Thamks, .Saturday. At the New May Queen mine the water in the shaft is now down 70ft below No. 5 level, leaving only about I.oft of water in the bottom. Owing to the amount of silt lying in the bottom of the shaft, the water has not drained away as fast as was expected, but another day or two ought to see it all clear, when a start will be made to sink the shaft through to the drainage crosscut, a distance of about 21ft. This will then enable the company to drive a crosscut from the bottom to intersect, the May Queen reef, a distance of 170 ft. which ill open up an extensive block of ground on this reef below the block that was formerly worked by the old May Queen Company above No. 5 level, and will give about. ICOft of back-;. As the run of gold worked by the old company was about 1000 ft in length, and of a highly payable nature, it will be seen that this company has good prospects. OLD ALBURN 1A G.M. CO. [FROM OUR OWN CORKItSt'ONHKNT.] TtiAMKS, Saturday. The contractors for driving the Old Alburnia main level have driven 14ft for the week, the progress being somewhat slow, owing to the nature of the country. This, although a mild sandstone, is not favourable for good progress, in consequence of its close nature, and the absence of heads, making it bad for shooting. VANGUARD G.M. CO. [PROM OUR OWN' cokukspondest.] Thames. Saturday. The Vanguard Gold .Mining Company has now been floated, and a comprehensive scheme of operations has been laid down by the surveyor, Mr. 11. F. Adams, which it is intended to 'commence at once. on completion of registration. .Mr. T. Crawford has been appointed manager, and the plan of operations comprises the cleaning out of the Deep .Sinker shaft and the crosscut at the 450 ft level, which will enable the company to commence driving on the Vanguard reef, as that reef was cut in the crosscut. If is also intended to continue the crosscut northward to cat the Bird-in-Hand and May Queen reefs, which would be intersected with about 500 ft of driving. The scheme further includes the opening up of a level from the Karaka Creek, in which the Vanguard reef was cut some years ago, and from which it is expected payable ore will be obtained.

WAIHI EXTENDED G.M. CO. [by TF.LEORAX'II. —own rOR.HIv.SI'OKDKN'T.] Waihi, Saturday. Great interest is being centred in the Waihi Extended Gold Mining Company's operations, and the intersection of the reef at the low level will undoubtedly give a great impetus to local mining. Over 90ft have now been driven, and the face is advancing pretty close to the strike of the reef. Another week or two should bring important developments. WATHI WARDENS COURT. [BY TRLKCMAVir. —OWN rORHKSI'OVDKNJ'.] Waihi, Saturday. At the Warden's Court the following application.-* were granted by Mr. R. S. Bush, Warden:F. C. Hollidgc, residence site, Waikino; W. Earl, surrender absolutely of part section 137, Waihi, and application by F. Earl for 137 a; Mary Barber, removal of conditions front residence site, license 1119; J. W. Ryan, for six months' protection of Waihi Standard .special claim ; C. L. Clarke, certificate of abandonment of section 709, the present licensee being out of the colony ; W. S. Barker, for section' 28. Waihi South ; Annie Clay, residence site, Waikino; Jos. Thornes, lor six months" protection of Discovery special claim. Waihi Beach. J. W. Walker applied for the protection of Walker's group of chums, Waihi. Mr. .'Jackson, who appeared for the applicant, explained (ha! Mr. Walker had just left the colony tor Home, with the object of raising money in London for the development of the claims in question. .Albert Waugh, residence site ; Mary Kale Chandler, exchange of tide of business site in Mai-street; Waihi Bullion special claim, six months' protection (recommended) ; Waihi Extended, renewal of the reduction of 10 men; F. W. Barker, section 603; If. K. Meyer, six months' protection for tie' Wa.iiii Wealth special claim ; Waihi Gold Mining Company, (piairv at. Owliaroa: .las. (toard. section 13& V. Waihi South ; B. P. Lloyd, surrender of part section 138*.: E. .1. Fury, section 906; Oil in em i i Comity Council, quarry at Owharoa.; Alice (.'ate, 'section 99a, Waihi; Janet, Hume, surrender o fpa.it section 90; Kate Raul, surrender of part section 98; J. MeCattley. surrender of part section 126; Edith Green, section 126 a; Annie McLeav, surrender of section 40. Waikino: .1. IT. Whilford, protection for Daisy and Daisy Extended claims for six months. SOUTHERN MINING. [by T]:t.Kf;it.',[*;i. —rr.KSS association.] Dt'NKDiN, Sunday. Dredging returns: Sandy Point, 520z. lOdwt ' Majestic, 40oz : Chicago. 360/, 13dwt 6gr; Waikaka United. 350z 2dwfe;) Alpine 11.. 320/.2dwt ; First Chance, 32nz ; Rise and Shine 1., 3.1 oz 4d'.vt : Rising Sun. 30oz 18d\vt: Rise and Shine 11.. 28oz Bd\vt; Roval Waiiiiumu. 270/, 16dwt; Punt, 250z" 9dwt : Wsikaku United 11., 220z ISdwt: Waikaka Queen. lßoz lOdwt; Upper Waipori. 18oz sdwt; Waikaka Syndicate, lloz I3dwt: Wairniunu Queen, Ho/. 4dwt; MacClinrlti.il, lloz ldwt; Golden Red, lOoz 17dwt; Olrig, lOoz I2dwt. Rkki'ion, Saturday. Returns: Reeves' Proprietary No. 1. 20oz for 94 hours : No. 2, 12oz 4dwt for 130 hours. NEWTON RIVER HYDRAULIC SLUICING COMPANY. The above company, whose property (situated at Newton Flat, Ruber River) is locally owned, cleaned up on Friday last For a return of 440z I.6dwt of gold. ' This is for four weeks' sluicing.