GOLD IN FIJI

New Zealand Herald, Volume LXXII, Issue 22192, 20 August 1935, Page 11

GOLD IN FIJI

TAVUA FIELD DISCOVERS MEN WHO LEASED AREA EARLY FORESIGHT REWARDED RAPIDLY RISING SHARES The discovery of gold in Fiji has brought wealth to Mr. D. B. Costello, of Suva, who with three brothers had sufficient foresight three years ago to peg out an area of unfertile land in the Tavua district, now an important goldfield. Mr. Costello arrived at Auckland by the Niagara from Suva yesterday on a short visit to the Dominion. Mr. Costello, who visited Auckland about four months ago, said he originally went to Fiji 23 years ago,' when he began work with his brother, Mr. P. Costello, who was the proprietor of a hotel at Lautoka. "For five years I was in charge of a branch store of Burns, Philp and Company, this particular business being taken over later by A. B. Donald, Limited, of Auckland. Sincci 1920 I have been h°tel-keeping, and for the past 10 years I have been proprietor of the Pier Hotel at Suva. "In 1932," Mr. Costello continued,* "my brother, Mr. P. Costello, 'grub staked,' or financed, a prospector by the name of William Borthwick, who was formerly a contractor, hut was out of work owing to the depression in Suva. Borthwick tried for 50 miles in various places along the northern coast of the island and eventually got a colour in the Tavua River. He followed this up for fivo miles until he got the gold. The old. Man —he is now aged 75 —was confident that he would find a field that would be a second to Waihi. The formation.and ore wertf similar.

"At this stage the four CostellOj brothers joined up and we pegged out an area of 486 acres and made an application to the Government for a lease. My brother Pat then wrote to the Waihi Company and sent along samples of ore. It was some six weeks before the letter was acknowledged. A reply was sent later that they had not had time to assay the ore. "As a man seldom finds a goldmine in a lifotime, time was becoming very precious so we immediately got in touch with Mr. E. G. Theodore, late Commonwealth Treasurer," said Mr. Costello. "He became very interested and i lost no time in sending Dr. LoftusHills, of Sydney, to report on the field. Ho gave a very encouraging report, and as a result Mr. Theodore ana three others formed a syndicate to develop the field. Large Capital Provided "These four men spent £IOO,OOO ia first developing what is now known as the Emperon mine,, It has now been formed into a company of 2,000,000 10a shares, each of which is valued at 25h to-day. " _ "The Koroere mine is now in a very interesting stage and they are expecting; to strike the lode at any time. Ifcl is definite that the Emperor lode wiUi go into it. Both mines adjoin. The Koroere mine has a capital of 300,000 10s shares, which are now at a premium of £1 4s. "The Loloma mine, which adjoing, the Emperor and Koroere, has opened with a capital of 300,000 10s shares, for which buyers are offering about £4 a share. This has been increased bv £150,000 made up of ss. shares paid to Is 6d. In England to-day they are paying £1 each for. them." £IOOO In Few Days Mr. Costello said that these three [ mines, in each of which ho was interested, were all definitely proved and would no doubt constitute the major field. "I am £IOOO richer to-day than when 1 left Suva, a few days ago as a result of the rise in the shares of these mines," he said. "Of the 456 acres originally pegged out we still hold a block of 30 acres, which is now being developed by Aloha Central. Using pick and dish six men obtained 300oz. of gold from this area over a period of two months. The earth laid aside by them is now being treated with machinery and it is estimated that the yield from the 300 tons will be about 2joz. of gold a ton. This is after the original washing. New Circular Itoad "The Tavua goldfield is 130 miles from Suva and can be reached by a good road in five hours," said Mr. Costello. "As a result of this new industry in Fiji the prospects are bright and • the Government is. building a circular road, which is now 250 miles long. A length of SO miles remains to be completed. This should be done toward the end of the year "The miners on the field consist of Europeans and natives, the total population being about 1000. Other Europeans. are arriving by each ship. The Emperor mine is actually the only one in operation. It has a small plant and is producing about 600oz. a month.. Larger machinery is about to be installed. Machinery for the other mines has been ordered from England. On the field life could not be better. They get fresh meat, bread, butter, vegetables and ice daily "