DREDGING CLAIMS

New Zealand Herald, Volume LXXIII, Issue 22429, 27 May 1936, Page 15

DREDGING CLAIMS

CONSOLIDATING TITLES * MOLYNEUX RIVER VENTURE BILL TO PROTECT INTERESTS [BY TELEGRAPH —SPECIAL REPORTER] "WELLINGTON, Tuesday The Molvneux Gold Dredging Company (Claims Amalgamation) Bill designed to consolidate the titles on the " Molyneux River of the Molvneux Gold Dredging Company was introduced in the House of Representatives to-day " by the Minister of Mines, Hon. P. C. Webb, and after being read a second time pro forma was referred to the Goldfields and Mines Committee of the " House. ~j The Minister stated in an interview later that the company, which was an ~ English one with a nominal capital of £250,000, had been formed in London in February, 1934. Certain claims n on the Molyneux River, between Crom- , i( well and Alexandra, had been purchased for £84,000, and the company had lodged the sum of £12,000 with the '' Otago Central Power Board in connec- - tion with a contract for electric power. /•' "The company entered into a contract for the construction of a large ,7' dredge in England," continued the Minister, "and for several months the cf pontoon has been ready for launching near Clyde. As a result of the delay f/ in launching owing ,to the phenoinenally low river level, the company is not only suffering financial loss, but is in a position where some of its title" may be deemed to be abandoned by operation of the law, or may be liable to forfeiture under the provisions of the Mining Act, 1926. This is due to pf "; the fact that it has not commenced ; working its claims rf;

"The total cost of the dredge will be [ approximately £70,000, and it is considered that the company in proceeding with its construction with reasonable promptitude has complied with the spirit of the Mining Aot. *' The company now desired to consoli- d* date its titles, said Mr. Webb, and >s£ to secure an amalgamated dredging claim to comprise all its present interests. It was not possible under the Act to take that step on account of the probable liability to forfeiture and '»» abandonment. It was considered dp- ■:« sirable, in view of the large sums in- , Ti volved, and in the interests of British investors, that the Government should assist the company to achieve mation of its present titles. The object of the bill was to facilitate tli tion and protect the existing titles until amalgamation had been accomplished.