IRON INDUSTRY

New Zealand Herald, Volume LXXVI, Issue 23378, 21 June 1939, Page 14

IRON INDUSTRY

ONEKAKA ORE SURVEY REPORT EXPECTED SOON CONCLUSIONS OF EXPERTS GUIDE FOR GOVERNMENT [BY TKLEGHAPII- —SPECIAL REPORTER] WELLINGTON, Tuesday It is likely that within a very short time, possibly before the opening of Parliament next week, the Government will be in possession of the report from the experts of H. A. Brassert and Company, Limited, on which it will have to make its decision whether or not it will proceed with the development of an iron industry in New Zealand. Investigations are still proceeding, but have reached a stage at which it will be possiblo to say whether the body and quality of tbe ore at Onekaka justifies the expenditure of public money on tbe exploitation of the deposits. Members of the Government have from the time the project was mooted said that they would not proceed until a most thorough examination had made it certain that the iron industry could be profitably established. Recent announcements by the Minister of Industries and Commerce, the Hon. D. G. Sullivan, hs.vo indicated that results so far have been disappointing. It is likely that the final decision in the light of the present scientific knowledge of iron extraction will be possible very shortly. Initial High Estimate For many years geologists of standing, Professor James Park and other experts, have published extremely optimistic reports on the amount and quality of the iron ore at Onekaka and close to it. Professor Park's estimate was that there were 60,000,000 tons available with a content of 54 por cent of ore. Other experts placed the amount at higher than this assessment and many attempts were made by private organisations to exploit Onekaka ore.

So good wero these reports that the State was induced to make plans for a thorough examination of the prospects and to agree to set aside £5,000,000 which, if necessary, would be spent on the development of the area. The Government has had careful borings and analyses made. Up to the present these scientific examinations have not been particularly encouraging and have certainly not justified the optimism of the earlier geologists and investigators. Some parts of the fieild have been proved to bo extraordinarily rich, but others have been ve.ry disappointing; indeed, the ore bodv has been round to be irregular in both size and quality. Government's Hopes The Government has been anxious all along to obtain an accurate assessment or tixe potentialities of the field and has made it clear that unless the prospects wero absolutely favourable no large industrial development would be undertaken. Mr. Sullivan has said on a number of occasions that there was no intention of squandering money on Onekaka and that no expense other than the expense of prospecting thoroughly would be undertaken in the meantime. Recently the Minister, in cautious announcements, made it clear that the results wero not fully up to expectations. Member,of the Government, .have been anxious for the success of the project because they felt that if a substantial body of good ore could _ be E roved at Onekaka the country might ave benefited considerably. Building and other projects in the Dominion are already being held up by u shortage of steel and iron.