WEST COAST COALFIELDS.

Otago Daily Times, Issue 8587, 31 August 1889, Page 2 (Supplement)

WEST COAST COALFIELDS.

(Fbom Oim Special Cokeespondent.)

Wellington, August 30.

The following important report by the Westland Coalfields Committee was presented today :—

The committee have taken a large amount of evidence, and dealt with the questions referred to them by making in the first place separate reference to the three principal coalfields on the West Coast of the Middle Island—namely, Greymouth, Westport, and Collingwood.

1. Greymouth.—Referring to the Greymouth field, there ate at present in operation the threo following mines, containing in all 3180 acres, served by the Government railway, and worked by the Grey Valley Coal Company :—(1) Wallsend, 853 acres, under lease to the Westport Coal Company (Limited); (2) Brunner mine, 1280 acres, under lease to the Grey Volley Coal Com- j pany(Limited); (3)Coalpitheathmine,777acres; and the Cobden, 240 acres, both under lease to j the Westport Coal CompaDy (Limited). With respect to the Wallsend mine, the shafts and plant are upon an area of 150 acres, purchased some years ago by the Westport Coal Company, j The rent of the leasehold which surrounds the freehold on three sides is £32 per annum. Tho royalty reserved when the lease was granted in 1875 ceased when the railway from Greymouth.! to Wallsend was completed. It is in evidence i that the output from this mine has lately been from seams extending under the Grey river in the direction of the Coslpitheath on the north side of tho river. The evidence of the Inspector j of Mines indicated that up to 1888, upwards of 20,000 tons have been, in his opinion, hewn from scams outside tho company's boundaries. The present lease of the Wallsend expires on the Ist AugMt 1894; negotiations for renewal j were entered upon last year, but have not been completed. The committee recommend that no further step 3be taken in the matter except in j accordance with thegeneral recommendations at the conclusion of this report. With respect to the Brunner mine the output was practically suspended during the first half of the present year. Operations have been recently directed to working the pillars or supports of the roof of the mine. The committee desire to direct special attention to the evidence of Sir James Hector on the subject: "I have always looked with suspicion on tbe working of that mine. It will require very great care in dealiug with any of the •supports to the roof. To take an extreme case, it resembles a ship shored up and ready for launching. As there is a great weight and strain from the hilltop, if a slip occurred, the Grey river might be suddenly dammed back, but afterwards would force its way through and do serious damage. This mine requires to be very carefully watched, for unless fee abandoned workings are regularly inspected, which is not a very easy or safe thing to do, no one would know what is going- on. The tendency of this bearing down motion would be to crush the pillars. The floor, I do not think would give way, but the roof would go by fracture. It is a hard, gritty sandstone, and if it goes at all it will go by fracture and not by settling, as in the case of a shale roof. But the peculiar danger is in the sheer oblique and pushing forward motion." The Coalpithcath mine calls for no particular notice, the output being maintained to the north of Greymouth in the neighbourhood of Coal Creek and Point Elizabeth. There are three leases—(l) Cobden Railway and Coal Company, 4685 acres; (2) Point Elizabeth Coal Company, 2783 acres; (3) Masters and Co., 1280 acres. The two former companies have proved the existence of seani3 of coal in their leaseholds, and have applied to the Government for the necessary permission to construct lines connecting with the port of Greymouth. The length of railway proposed to be constructed by tho Cobden Company is 4 miles 70 chains, and that by tho Point Elizabeth Company 7 miles 10 chains. There is mother coal mino situated on the western side of the Grey river at BlackHall Creek, the distance from Brunnerton being 11J niibs. Tho Midland Railway Company have constructed their line from the Government railway terminus at Brunnerton to Nelson Creek, a distance of eight and a-half miles, within three miles of the Blackball mine. The expenditure on tho harbour works at Greymouth has already yielded satisfactory results, particularly rs to the depth of water on the bar. The erection and working of hydraulic cranes have vastly improved the shipping facilities for coal at this port.

VYestport.—lncluded in this field are the following leases:—(l) The Coalbrookdale (including tho Kawatiri), 2479 acres, leaser) to thu Westport Coal Company (Limited); (2) Gravity Creek, 2951 acres, leased to the Westport Coal Company (total to this company, 5130 acres); (3) Ngak.iwau, 3118 acres, leased to the Ngakawau Coal Company, on Australian proprietary ; (4) Bayfield's lease, 320 acres, leased to A. D. Bajfield; (5) Mohikinui (twoieases), 800 acres leased to the Mohibiiiui Coal Company. Applications for coal leases have also been granted, but the leases are not yet issued to— (1) Ballan and others, 1920 acres; (2) Haselden and others, for the Buller Coal Miaing Company, 2560 acres; (3) Mohikinui Coal Company, 1400 acres (including existing Icasa of 6-10 acres about to bo surrendered); Bayfield and others, for tbe new Cardiff Coal Company, 1800 acr.s; (5) Moyuchan, 3000 acres,. No. 3, 4, and 5, aud bifuated in the Mohikiuui district.

The Westport or Buller coalfield i.-i on a plateau sloping towards the north, and in the neighbourhood of Westport it is about 2500 ft above

the sea level. Tho Government railway is constructed from Westport to Ngukawau, a distance of 19 miles, access bi-ing obtained from the plateau to tho railway by two valleys—one at Waimangaroa, and the other at Gravity Creek, 18 miles from Westport. At Waimangaroa cool leases were originally held by the Koranui Coul Company, the Wellington Coal Company, and the Westport Colliery Company. These propetties have now become vested iv the Westport Coal Company, which commands the frontages at Wairuangarca. At Gravity Creek tho frontage is also held by the Westport Coal Company, but no output of coal has yet taken place. Two miles to the north of Gravity Creek, at the terminus of the railway of the Ngakawau river, tho Ngakawau Coal Company is now working deposits of crushed or slip coal at tho railway level for the purpose of making coke. The great demand for coke at Port Pirie, South Australia, for use at the Barrier Silver Hine3 has led to the working of this and similar coal at Waimangaron, and steps are being taken for the erection of coke ovens and smelting works at these places, and yonr committeo consider that tho importance of this enterprise deserves encouragement. The facilities at Westport are considered favourable as coal, iron, and limestone are obtainable in the locality. Tho two latter, though not on the railway line, will be made more accessible if the line is extended to Mohikinui. The Ngakawan Coal Compauy's leasehold extends along tho Ngakawau river to the back of the Gravity Creek lease, held by the Westport Coal Company. To reach hard coal on thu higher portions of their leasehold, the Ngakawau Coal Company must construct a railway up the Ngakawau'florge for about seven miles, which would probably be an expensive work. To the northward of the Ngakawau river the next opening iv the coast line, about soven miles, is the Mohikinui river. The main lino of railway has been surveyed to tho Mohikinui, but nothing more has been dono upon it. The plateau descends to water level at Mohiltiuui. Of tho two leases held hero, the Mohikiuui Company have opened their mines and constructed a railway from their principal ruiuo at Coal Creek to a point near the mouth, of tho Mohikiuui river, a distance of five miles, but nothing has yet been dono ou tho BayfioM's leasehold. Tho evidence Attached shows the importauco of developing this field, where 6200 acres have beeu taken up for coal mining purposes by three difforent companies. The Mohikinui river, by reason of the ahallowee-s of its b\r, U not likely to afford shipping facilities for the coal iv the neighbourhood, Westport being tho only suitable port. The extension ot tho railway to i Mohikinui would establish traffic on tho unused | portion of tho Government railway, iuduco competition in the coal triile, and materially add to tho revenue of tha Weatport harbour. Referring to the output of mines at Westport, it will be observed from a return annexed that tliu leases of Conlbrookdale and Gravity Creek are treated as amalgamated by Ehe arrangement referred to as mp.de in 18S5. Since then, in 18S8, oue of these leases—the I Coalbrookdalo—was surrendered, and a now lcaso granted for 09 years from the Ist January 1888. No mention is inado iv that lease oE any amalgamation of output with the Gravity Creek lease, so that it would appear that tho arrangement made in 1885 has been superseded, aud the two leases cow stand as distinct contracts. Tho point having bsen referred to the Commissioner of Crown Lands at Nelson for explanation, his reply is as follows:—" With regard to tbo question rs to how far tha terms of amalgamation apply to existing leases, although legally tho agreement wa* Aat an end, on the surrender of one of thu leases amalgamated, I think the company can fairly claim that tho amalgamation should be hul<J to npply to the existing leasoa whrii it is considered that tho now lease ia for ths stitno area with au additional acreage, aud that, the required output under the nuw lease was increased 25,000 tons iv consequence of tho additional aorcago." It irould therefore appear that thoro is no authority for tho amalgamation of output in these- lenses. This is ol importance as undercover of this amalgamation the Gravity Creek Mine hns not beeu worked, and consequently the Government railway line, beyond Waimftngaroa, hns for tha past 12 years been comparatively idle.

Colling^ood.—This district lying at the northwest extremity of tho Middle Island is not under "Tho AWsiland and Nelson Coalfields Administration Act 1877." But the coalfield is administered by the Land Board of Nalson without reference to tho Government. The lea?es in force are six in number, as appears by the return of July 1,1889, annexed hereto. This field is as yet oaly partially developed, but is of high promise. No coal mining is e.irrii.'d on except by tho Colliugwood Company.

The management of the Greymouth and Westport harbours was in 1884 vested by Parliament in two hnrbour boards, each board consisting of seven representative membors, appointed by the Governor. Iv April 1888, by Order-in-Couiicil these members were removed and officials appointed, inolud-

iug magistrates, clerks of court, postmaster.l:, collectors of customs, district railway managers, the district engineer, and his assistant. These official members were instructed that they were to form in each instance a quorum to give effect to the proposals of the Government, and they proceeded to elect the district engineer as chairman of each board. He was also appointed engineer to both boards. The chairman resides at Grey mouth, and occasionally visits Westport, where, during his absence, tho assistant engineer superintends the works. The members of each of these boards appear to have strictly carried out the instructions they received on their appointment.

Miscellaneous. — The improvement of the harbours at Gceymouth and Westport has been undertaken as a colonial work. The revenues from the railways, the rents of the land endowments, and the royalties of the mines are appropriated to the payment of moneys advanced. The development of the coalfields is therefore a matter of public importance. The mines now in operation at Greymouth are in the hands of the Grey Valley Coal Company, half owned by the Westport Coal Company, the other half being divided between the former lessee of the Btuuner mine and the Union Steam Ship Company; while at Westport the mines now in operation belong to the Westport Coal Company. The carrying of coal for these two companies between New Zealand ports is secured to the Union Steam Company. Attention is directed to the absence of any proper check as to the output on which royalty is charged. The commissioners for the Nelson district appears to have depended on the railway returns for checking those made by the managers of tho mines, but the railway returns appear not to have been forwarded for some time past. The Chief Commissioner of Railways reports that "there is really no check on the output of the mines." The supervision of. mines has also been conducted ■with great laxity. Recommendations by the inspector under the Coal Mines Act as to breaches threatening human life have been ignored by the department. Prudence and humanity alike require a strict enforcement of the provisions of the Coal Mines Act, and of thoso clauses in the leases having for their object the prevention of accidents.

Summary.—ln brief, the committee desire to report that by a series of assignments practically the whole of the present workings in the Westland district have bpen allowed to fall into the hands of two coal companies associated in business and acting in accord with a steam shipping company. The consequences threatened, if not increased by this monopoly, would appear likely to 'be mitigated by a strict enforcement of the output clauses, by cxtendiug communication with other portions of the Held, by continuing to improve the harbour accommodation at Greymouth and Westpoifc.

The recommendations of tho committee may be summarised as follows:—

(1) That the output clauses of the leases should in every instance be rigidly enforced. (2) That in the interest of coal miners as well as to guard against monopoly, the amalgamation of leases should not be permitted unless the public interest is fairly and fully conserved. (3) That an efficient check ou the amount of output should be arranged with a view to the royalties being paid on all local coal specified as subject to royalty under the several leases.

(4) That any mining in the past outside leased areas should be made tho subject of payment, and should be restrained in future.

(5j That the clauses of the Coal Mines Act directed to the prevention of accidents should be strictly enforced.

(6) That no further leases should be granted uuul a form generally applicable has been settled by the law officers of the Crown after reference to the officers of the Geological and Mines department aud so as to reserve access to areas lying at the back. (7) That a new Harbour Board bo formed by act, so as to give representation to the various nterests of the coal districts, while reserving to the Crown a preponderating authority by nomination of members.

(3) That tho administration of the laud endowments of both Westport and Greyruouth Harbours bo withdrawn from the land boards, and transferred to the harbour boards when reconstituted.

(9) That the harbour works and shipping facilities a3 Greyinouth and Westport should be carried on-with much greater despatch than heretofore.

(10) That the Government, while insisting upon the observance of the terms and conditions of all leases, should give every encouragement to opening up new conl mines by providing extra uhipping facilities and railway accommodation.

(11) That tho undoubted superiority of the West Coast coal must create a large foreign demand, which can be supplied only by makingthe harbours accessible to \ esseb of largo carrying capacity and deep draught.

The only resolution not carried at the meeting oE the committee was one moved by Mr Guinness and seconded by Mr Feldwick as Follows :— " That bu import duty of 5s per ton bo placed on imported coal in order to encourage the development of native coal industry." The resolution was lost by three to two, the Hon. G. F. Richardson, and Messrs O'Conor, and Withy votiug^gaiust it.