POWER CUT OFF

New Zealand Herald, Volume LXX, Issue 21616, 7 October 1933, Page 12

POWER CUT OFF

GOLDMINING PROJECT DISPUTE OVER LINE RENTAL DEVELOPMENT AT THAMES [BY TELEGRAPH —OWN CORRESPONDENT] TIIAMES, Friday Supplies of electric power to tho mining company Kuranui Golden Hills, Limited, were cut off this evening as a result of a disputo between the company and tho Thames Valley KloctriePower Board over the rental for the power line supplying tho company.* Although it had been stated that such a step would leave no alternative to tho disconnecting of tho borough supply as well, the borough sources havo not been affected by the action taken. The power board has been urgently demanding tho sum of £IOO from tho company for electricity used in connection with its low-grade mining operations. The board originally intended to cut off the power on Wednesday, but decided to defer action ponding a conference to-day. Tho company had written to the board stating it was impossible to pay the full sum at prosent, but making a provisional offer. If th 3 power were disconnected the works would havo to close down. The company is not a direct consumer, being supplied by the Thames Borough which draws its power from the board's main. To-day advice was received that the power would be cut off at 5 p.m., and Mr. Aitken, tho managing director of the company, interviewed the power board representatives, but apparently without success. He applied to the borough commissioner, Mr. C. L. Grange, for some arrangement to avoid the threatened action, but the power has been cut off. The Thames Prospecting Association yesterday decided to accept an offer from tho company to crush and treat ore from the Waiotahi area at a cost of 2s a ton, subject to certain conditions, provided the Unemployment Board would assist in providing the labour and finance. Tho Mines Department replied to the association's request for permission to invest £IOO in the company, stating it had no objection to tho association making a grant or a loan of £IOO out of the funds for testing low grado ore. The matter was held o\er until the dispute between the company and tho power board was settled. The chairman emphasised that it was of the utmost importance to Thames to keep tho Kuranui Golden Hills scheme afloat.