SOUTHLAND.

New Zealand Mail, Issue 951, 23 May 1890, Page 13

SOUTHLAND.

(PROM OUR OWN CORRESPONDENT.) It has now beeu ascertained that the goldfield at Coal Island, Preservation Inlet, is of limited extent. At one time there were upward of 90 men on the island, and of these only 25 were finding payable gold. The consequence is that a large number have returned, although the idea prevails, very general'y, that good gold ought (to bo got on the mainland, but as the ccuntry is very broken and covered with dense bush down to the water’s edge, it is exceedingly difficult to prospect. Notwithstanding these drawbacks, at least one party is reported to be at work testing any localities that are at all accessible. The Longwood Sluicing Company has recently extended its capital 1 , and the shareholdsrs are still sanguine that their expectations of rich returns will be realised. The Bushy Point Dredging Company, which has been formed to work an extended claim on the beach between the Bluff and the mouth of the Mataura river, has now been registered, and proposes to proceed vigorously to work whenever the necessary plant can be procured. For the last 25 years several parties of men have found profitable employment on this beach. There can be no question about the gold being there ; the only problem is how to save it to the best advantage. The Welman dredger is still at work at the Toi Toi, with satisfactory results ; and a new dredge will shortly be started at Lake Brunton, in the neighbourhood. The harbour dredge, which was leased from the New River Harbour Board to work at the Mataura mouth, has not turned out a success. With the exception of Sew Hoy’s, none of the other dredges which have been sent up to the Lake District have yet got started. In the Waikaia district some new 1 ground has been recently worked, with satisfactory results, and preparations are being made for more extensive operations. There is a lot of prospecting being done all refund, and it is quite possible that at any time a’ ? rich discovery may be made. ' \- So far as the tin mines' at Stewart Island are 'concerned, matters are again quiescent. A few weeks ago a little enthusiasm was manifested on the receipt from Tasmania of several strips of tin smelted from samples sent from Pegasus. One of our local auctioneers was wielding one of these strips in his box, and waxing eloquent on the brilliant future that was in store when this remote region was compelled to yield up its treasure. But as Brofessor Black has returned to his duties at the Otago University, the leading and guiding spirit'in the affair is wanting, and nothing presumably will be done for some months to come.

Threshing is now proceeding apace, and the general report is that the crop is turning out well. But the price for oats, which is our chief product, i 3 still below the pajing point. When it. takes about 30 bushels to meet expenses of growing, we must needs have heavy yields to live at all at cufrent rates. Nevertheless, it is wonderful how our farmers manage to get along; In talking to an old settler the other day, he remarked that if anyone had told him five-and-twenty years ago that he would yet sell his butter at Gd per lb, he would have said that it could not be produced at the money, and yet it is being done. The low prices, though, are causing our farmers to turn their attention more to the production of wool and mutton. There is just now quite a boom in sheep. Buytrs from far and near have been scouring the district, and the consequence is that exceptionally high prices are ruling. Cattle, on the other hand, are a drug in the market. We shall be compelled to fall back on freezing or preserving to absorb supplies. Our local freezing company, with its works at the Bluff, has lately been extending its premiser, and will probably take the matter in hand. These works have this week supplied the Nairnshire, the largest steamer that has ever loaded at the Bluff, with 9500 carcases of mutton.

The dairy factories are quietly pursuing the even lenor of their way. The bulk of the produce is this year being shipped toLonJon. An effort is being made to organise all the companies in Otago and Southland into one union. There is no doubt it would be to the general advantage to co-operate, but it will take some time before thi3 very desirable consummation can be reached.