MINING RECOVERY

New Zealand Herald, Volume LXXII, Issue 22259, 6 November 1935, Page 14

MINING RECOVERY

PROMISING OUTLOOK REVIEW BY MR. FORBES INCREASED COAL YIELD VALUE OF GOLD INDUSTRY [jjY TFXECRAPH—OWN CORRESPONDENT] CULVERDEN, Tuesday Discussing the hotter outlook for New Zealand's mining industries, the Prime Minister, Mr. Forbes, in the course of a speech to over 200 electors in the Culverden Hall to-night drew attention to the substantial recovery of the coalmining industry. The increase in production last year was 13 per cent, the the output having exceeded 2,000,000 tons, or only 19 per cent below the peak production in 1930, when the coal yield was 2,542,092 tons. The Minister explained in detail that New Zealand's percentage coal increase was greater than that of Britain, France, Germany, Czecho-Slovakia, Belgium, United States and New South Wales. Of all the principal coal-produc-ing countries of the world, Canada's percentage increase of 15.9 alone exceeded that of New Zealand. Greater Use of Local Coa!

Tho policy of the Government had been to utilise New Zealand coal wheree%'er possible. The Railways Department was now a 100 per cent user of the local product and every effort was made by the Mines Department to induce gas companies and steam users to adopt as far as possible a similar practice, said Mr. Forbes. It was pleasing to record that all coalmine owners in the country had just granted their employees a 5 per cent increase in wages.

The State coalmines were-'in a very sound financial position and a considerable increase in the sales of State coal had taken place during the past six months. Finally it was very gratifying to record that the coalmining industry, generally, had during the four years been particularly free from industrial troubles. ' 1 The Prime Minister also referred to the improvement in goldminlng and the prospects for the industry, stating that the actual output of gold during the past five years had increased by 33 per cent, while the value increased by 132 per cent. Development of Claims The latest figures showed that the number of quartz claims had increased from 26 in 1930 to 73 last year, while alluvial claims increased from 306 to 4357, the greater number including over 3000 prospectors subsidised by the Unemployment Board. The number of operating dredges had increased from three to 12 arid it was anticipated that by the end of this year there would be at least 18 and possibly 19 dredges in operation with the prospect of an increase to 30"within the next two years. " Overseas interests have confidence in the administration of the Mines Department and during the next two years much new capital is likely to be introduced into the country," said Mr. Forbes. " Altogether the prospects of •the goldmining industry are very bright, particularly on the west coast of the South Island and the developments immediately in view are bound to help appreciably in solving the unemployment problem. The Unemployment Board recognises the great potential value of the industry as a field for the absorption of unemployed workers and is prepared to give grants and make advances to individuals and companies whose propositions can earn the endorsement of the Mines Department." The Prime Minister emphasised the opinion that the future of the goldmining in New Zealand depended on the use of modern methods and equipinent, which could only be furnished by strong companies with ample financial resources. He also reiterated the Government's policy to promote industrial in many directions.