THE MINING INDUSTRY.

Otago Daily Times, Issue 8732, 19 February 1890, Page 6

THE MINING INDUSTRY.

I'RESISNT POSITION AND FUTUKK

I'UOSPEOTiS.

At tho meeting of the conference of Chambers of Commerce, held on the 30th ult, Mr Jajius Allen, M.H.K., read a paper on thu miuiug industry, of which the following arc the mo.ifc important portions:—

Tho total value of. miuernltf produced in Now Zualand trom ttn> Ist January 1853 to the 31st December 1833 nuiouuts to £52,512,u'12—that is, an average per year for tho last 36 years of J81,'158,684, made up mainly of

Oolil and silver (from Ist, January 1857) £41,9K8,43i Kauri gum ... ... •■• -l,<;3ti,sU-l CoaUiuleoke ... •■• ••• 2.1H5,950

£52,330,9-18 all other mineral products mailing up the balauca of £152,0U-1. Such, theu, has been thu result in money of tho mining industry. Of what renl valmi is this industry to thu comii.unity ? What are its future prospects, and how can thoy !)ii aided '/

Gold mining, however, occupies it peculiar position. Finding employment or partial employment for Eoma 13,<197 of tho population, having produced annually since mining started hare, tho bulk of the mineral output, it really was the foster parent of all the other industries in tin: colouy. Tho March for gold induced tlie rush of people in tho early (lays: the miner luci tho way into the interior, caused the demand for agricultural and pastoral product?, end at tho present day is seeking the aid of our best engiuscriug and mechauical minds with results ttutt wo have reason to bo proud of. Thirty yoacs ago nothing: to-day, stamp batteries, Huntiugton uiiils, hydraulic elevators, bucket dredges, suction dredges, and last, but not least, electricity applied r.s a motor power in jniniujj, and to aid in the extraction process as well. '.I'he following table will givo some idea of the machinery employed in alluvial and quartz mining for tho year ending 3lst March 1889: — Water wheels ... 255 Steam engines ... 59 Pumps ... ... 135 (aggregate h.p., 1012) Dredges... ... 49 Crushing machine!! 276 Stamp heads ...1174 Berdans... ... JOIJ Of Hunliugtou mills, one only wis at work oa March 31 lust; but another has started and two aro now ready for erection. Tho following table will show tho present position of the gold industry :— Gold produced in 1885, value £9.18,615 ~ „ 1881) „ 903,569 ~ ~ ISB7 „ 811,100 ISBB ~ 801,(168 „ 1889 „ 803,519 The year 18(iG shows the largest return—viz., £2,844,517—and there has been, generally speaUing, gradual decrease since then, checked now and then by increases in some years over previous years—c f. iv 1885, snd now in 1839. Of kauri gum I will say but; little, except that it seoms to mo it must be considered the least permanent of our mining pursuit?, although the production of the last four years does not point to such a conclusion. The value of kauri gum for the year ending 31st December 18S5 was £2i1!),762 ~ 1888 ~ 257,653 188; ~ 362,449 I*BB „ 380,933 In fact for 36 years the industry has vow been carried on, with, generally speaking, a gradual increase in production. According to the last census returns 1297 people were employed iv the kauri gum industry, and it must be a matter of congratulation that during tho late period of dullness this simple means of gaining a living was open to so many of our population. Coal raining, though the product ranks as yet only third in the list of annual values, presents most satisfactory features. There is, for instance, every sign of permanency. It is impossible to estimate the quantity, lying buried under the earth, yet some rough idea may be formed from the calculations already made, which, according to the statistics of 1888 place the quantity of Brown coal ... ... 500,000,000 tons Pitch coal ... ... 500,000,000 „ Bituminous coal ... 200,000,01*0 „ Total ... ... 1,2.0,000,000 tons. The output of coal from mines in the colony last year was 613,895 tons, so that allowing for very considerable increase, some generations must pass away before we shall exhaust our coal fields. It is needless for me to point ojt the value of this great supply. Much of it, especially on tho east coast of this island consists of brown coal; yet the true coals of the West Coast are of a quality which cannot be excelled, in testimony of which we have only to appeal to the many who have used them for gas and steam purposes, even to the British tar himself, and I trust the day is not far distant when we may make a similar appeal to the New Zealand silver, lead smelter, and iron master. Another satisfactory feature in coal mining is the steady increase of the output from New Zealand mines and the annual decrease in imported coal. The following table shows the output of hew Zealand ccal and the quantity imported since 1885:— Coal Baiscd Yearly Coal Im- Yearly in Colony. lucreaso, ported. Decre'vsu. Tons. Tons. Tonu. Tons. 1885 ... 511,063 30,232 130,202 18,242 ISS6 ... 531,353 23,290 H«,573 10 829 18S7 ... 858,020 24,267 107,2.'f0 12,«43 1888 ~. 613,895 55,275 101,341 5,889 Total increase in Total decrease four years ... 133,06-t infouryeara 47,103 The following table shows the number of men employed and the average output per man :— Average Output Men Employed. per Man. 1835 ... 1483 315 tons 1883 ... 1605 333 „ 1887 ... 1499 372 „ 3SBB ... 1689 3d3 „ The present position of our three main mineral productions having been considered, I 3o not propose at this stage to say much of tho athers, except to repeat that they are in their infancy. The demand for tungsten, the ores of which metal wo possess more abundantly, I Selieve, than any other country, though at one time promising, dwindled, unfortunately, to ilmosb nothing. Good machinery was erected ior dressing scheelite, but it is unfortulately now idle from want of a market lor the dressed ore. Apparently there is yet lope of some trade in tungsten ores, as quite recently inquiries have been made about it. l?hrea or four German firms and one Italian are »ow I understand prepared to purchase the ore it prices realising from £15 to £17 per ton for ire containing 60 to 70 per cent, of tungstic icid. Should the trade be established we have : tbundaut sources of supply, both near Lake Vakatipu, where dressing machinery has been xected, in the Waipori district, and quite econtly it has been discovered near Macrae?, amples of this latter being on view in the xhibition mineral court. Sufficient has been aid to prove the value of the mining industry, iut in order to make the matter still more clnar at us compare it with other industries. The iraplest means, and only oae I have time to lock out, is by a comparison of the average arnings per head per annum. At the outset we re met with this difficulty : that in the census nd in the various reports many are returned as liners who are only casually and not regularly ngaged in mining, consequently the produce er head is I believe much less than it should be. 'uttiDg the matter in its very worst light ccording to the census returns of 1886 we

Earnings porhead.

Number of Minerals in miners ...]2,tf-H 1885 ... £1,245,217 Kauri gum diggers ... 1,297 Kauri gum 299,71i2 Total ...13,911 Total ... £1,514,979 £111 It is not possible for me to estimate tbo output per head last year, as the returns do not give the number of kauri gum diggers, nor of those engaged in some other mining pursuits, but from a rough estimate I gather that production per head has fallen off slightly since 1886. Compared with the returns per head from other industries, the figures for other industries being taken from the late Professor Brown's paper on the wealth and annual production of New Zealand, we find that for the census year 188G the produce per head from •New Zealand. Victoria. Per Head. Per Head. Persons engaged in agriculture and pasturage ... £148 £10-4 Persona engaged in manufacture... ... ... 168 140 Persons engaged in mining 111 108 (Gold only) It will be seen that the earnings per head of miners in New Zealand are consiri.-imbly less than the earnings of those engaged in agriculture and pasturage and manufactures, which are abnormally high in New Zealand, but are higher than the earnings of those engaged in gold mining in Victoria, and higher than those engaged in agriculture and pasturagu in Victoria. I stated previously that [ believed the earnings ot miners in New Zealand per head should be higher than in the above table, because many are returned aH miners who, perhaps, are only only engaged a few weeks or months in the year actually mining. Lot me substantiate this by another appeal to the last census :— Tables 27 and 28 give the quartz mines and hydraulic works in operation, with the number of hands employed, and the value of gold. Calculated from this table the earnings per head' are:— Gold Per Obtained. Htad Men employed in quartz mini-B ... ... 1117 £374,33 ii £:jao Men employed in hydraulic works ... 617 74,-'(M lyo Total ... 1764 £448,000 £254 This leaves for the remainder of those returned as gold miners a return of only £53 per head per annum.

An earning of £251 per head per annum from works of which wo huve His'.iialrer.orilstiunily dis>;cl.<thi! idea Hint gold mining to nut :i profitable industry. With regard to tho futuro prospuotii dl' gold, the atatisticM point to a sternly decrease in

annual valueof gold produced from 1885 to 1888, but this eviw:i in 1889, in wliich 1/tttur yenr we Ijavo an increase: of over £7000. Ah regardu l'nturu output, it is perhaps hazardous to Hpeoulato. The varying character of rutmy at our HURrtz reefs in strike ami dip, tho patchy ocourrtmcuof the jfolil in them are not promising nigntf. Yet it ia quite pluiu that gold doe* exiat, ami thut in considerable ouantitit-.n in our rettf.i. For instance, uoto the followiiif; returns of quartz crushed nfc tho exhibition battery:— UKTI/KSrS OF Al/RII'SHOWS Ql/AItTZ UIIUSUBU AT TIUC KXUIIUTION IIATTKIIV. Amount, YieM Crushed, Yield. Per lon. touewt 07. divt (^r oz <lwt gr White's rouf ... 0 It) 1 111 11 :\ 13 4 Jacobs', Ncnthoru... 1 11) 1 111 Vi 1 0 0 Jiiecbj', Nentliorn... 1 0 !> :i 0 s 3 0 ■S w i!oy\i,t>l.i[>:,t.r>i ;.' 10 a 17 111 1 :t :j Slur of NdiMinrii ... 2 'D 1 10 r>:i 0 12 2 Victoria, Meiitlio'ii 1 0 -I 17 20 <l 17 20 Kureka, Cleat horn... 1 Vi IS 2 It) 11 6 i) ■f.jrihiu'a, Uimlweli 2 10 0 JO 13 0 1 & O un niughurn's, Unrcwond ... 5 0 IB 7 0 3 1 « Home Kida, Nontliorn ... ... 0 M .') 17 3-7 5 10 « Mount Hlghlay ... 4 0 3 17 8 0 10 8 Mirny reefs hitherto uuprofilabii; will no doubt i imOur more economical management, with less loading and improved machinery be worked to advantage, and thua add to tho supply of gold from thin source. All tho easier found and simpler worked drift i have beeu to n largo extent worked out, but the expenditure of capital and application of improved machinery to the working of auriferous deposits not; so conveniently situated will lend to increased, returns. Further than this wo have solved tho problem how to obtain the precious metal from our goldbeaviu;; beaches and river beds. Of the bucket dredge I osnuot speak from much person;'.! experience,, but &s regards ths suction dredgrs employed in sea beaches I am happy to be able to shite they are an undoubted success, j During the mouths October, November, Decem- | b«r the Waipopa dved(;e obtaimd saaie £1650 of gold at &v expenditure iucludiug repairs nut | exceeding £101)0. Considering these facts I believe we are tolerably f afe iv concluding th?.t the output of gold will be maintained and very j probably increased. With regard to silver so far, we havo depended on the silver which occurs with gold, but the recent discoveries of rich samples of silver ore from Marototo aud i'uhipuhi may lead to direct silver extraction. I pointed out previously the steady an.mal increase iv coal aud the permauency of tbe coal fields, aud will only now add Hint the output must continue to increase both for homo co/i----fuuiption aud export, aud I hone we may yet expect much from the use of our coal in the extraction of metals not yet produced hero in any quantity. I see no particular promise for copper and chrome, aud tho history of antimony aud niKuganese is best told by this table. 1885—Antimony output £5,289, manganese £1,71H ISB6— „ 1,784, ~ 13|(j 18S7- ~ 3,95 i», ~ 895 IS33— „ ■ G,2M, „ 2,101 Both antimony and manganese ores exist in considerable quau ities, and I believe we may hope for increased output. Iron.—l presume Dr Percy, when using th« words I quoted, had very much iv his mind tho production of iron and steel, aud no doubt this metal has more influeuca on national prosperity than any other. So far the output in New Zealand has beeu small, confined entirely to iron produced from tho black iron sands v;hi..h occur in considerable quantities on several of our sea beaches. What promise there is iv the future from this source of supply I am unable to 6ay, the difficulties in tho way of smelting having proved up the present almost insuperable. 1 say almost, because it would appear that som« measure of success is attending the efforts made at Onehuuga. In the Auckland court in the exhibition can be seen a most interesting exhibit of pig and i malleable iron produced at Onehunga. So j surprised was I at this exhibit that I made sutoe inquires, aud found that considerable quantities were coming into the market, and finding ready sale. It is not, however, from this source, in my opinon, that we may expect any large iron industries to spring ; but rather from other valuable iron ore deposits, such, for instance, as exist iv tho Colliugwood and Auchiaud districts. The Parapara ore contains nearly 45 per cent, metallic iron, and is said to exist in enormous quantities, one estimate giving nearly 53,000,000 tons exposed at tbe surface. The Mount Peel ore also, in the Nelson district, contains 50 per ceut. metallic iron, and ths Auckland ores 51 per cent., 02 per cent., and up to 70 per cent, metallic iron.

Limestone exists at Collingwood in large quantities, and the only other necessary for iron smelting—coal, is also found there. Add to this the facilities for shipping, and I think we are justified iv coming to the conclusion that the day is not far distant when iron smelting on a much larger scale than exists at present will be an accomplished fact. Chambers of commerce may well take this into consideration, and if they cmi do f.tiytbiog to assist the production of metallic iron nrul steel from our mm ores, the day will assuredly come when they will bn proud oil their action. By discussion, by the collection of statistics of iron ore supplies, their analyses, available limestouoß and coal, quantities of iron and steel used iv the colony, cost of production, &c, the chambers of commerce can render material aid, and I trust what I have said may lead to those questions being considered by them. Sufficient data are not available lo speculate, on the future of tin. In Stewart's Island all the ■work done is mere prospecting. The recent discovery of tin iv the Te Anna district point? to the possibility of tiu being found iv quantity on the mainland. The specimens identified in the exhibition laboratory were grains of stream tin, but the rook specimens also forwarded from TeAnau consist of greisen, favourable to the occurrence of tin ores, more especially as they contain tourmaline, its uofc uncommon associate. So far no tin has been discovered in the roclt specimens. How can the future prospects of i mining bo aided ? Firstly, by removing some of the hindrances now placed iv the WAy. Taxation for instance falls heavily on the miuer.

But even more important is it to my mind that

wa should combine practical with scientific and theoretic knowledge. In the early days of gold mining littla was needed but practical experience, but those days have passed away, and gold winuing has become a complicated process, needing the co-operation of tho mechanic, engineer, physicist, geologist, cheinint, and tuetsil-

lurgist. Practical knowledge is of the greatest value still, and I do not for one moment wish to underrate it; but practical experience gained after a preliminary scientific training is even more valuable. We already liave in our midst

the means of imparting this knowledge, though not so complete as I would like to see it. Schools of mines exist at ths Thames and in connection with the University in Dunedin, and an assayer is stationed at Reefton. In my opinion schools of mines scattered over the country, though they may do some good and create Eorne interest, can never perform the work of training satisfactorily, for it would be-

come far too costly to equip them with adequate teaching staff, plant, and accommodation. We must rely upon a school attached to some other

teaching institution, where students can during session time receive adequate teaching; can in the recess do what students of the Otago University School of Mines aro now doing, locate themselves at mines and pick up some practical experience, but must rely for the bulk of their practical experience being gained after they leave the school. I know the difficulty there is in getting young men to come to a central place on the score of cost-, and have before now advocated the establishment of Government scholarships to overcome this. I know, too, the great difficulty owing to there being little means of providing teaching prior to thai: given in the school, but I cannot see why this may not be commenced in the public schools. Why, for instance, should the teaching in the public schools not be differentiated to suit particular districts, so as to include in mining districts some elementary teaching in geology, in agricultural districts some subject peculiarly suited to farm pursuits. I would therefore urge upon this meeting the necessity of encouraging by all means in their power the teaching given in our school of mines, being certain that only by this means will our own colonial youths take their part properly in the future development of all our mining industries.

Tha President expressed the opinion th».t fcho paper was au important coutribution to the work of the conference, and would move a vote of thanks to Mr Allen for it. With reference to miuhig, be expressed tho opinion that the plan by which companies were divided into two iuterests—

there being venders' shares and contributing shares—was merely a roundabout way of securing public money in a way that to his mind was hardly straightforward.

Mr J. Asiioroft endorsed what the president had said, and added that ho was convinced that it was possible to put mining on a tai'e and honest basis. The difficulties in the past; had been partly in the way of the want of scientific knowledge, and partly in the way of tho exceedingly nnsa'isfaetory financial

manner iv which mining enterprises had been couduoted. Ho considered, however, chat the comniareial community wan hardly yet awake to the immense wealth there was.

lying undisclosed within our hills, valle.vs, and rivers. He !iad much pleasure iv seconding the vote of thauka.

Mr W. h. Simpson, as having had the super-

intendence of mining for same time, desired that it should not go forth as the opinion of the conference that !i dishonest system of mining had been carried on. Ho agreed with the chairman that there might have been improper ways of puttiog companies on the market, but he questioned if this industry put companies on the niorisot iv any more dishonest fashion ttan prevailed in any other mercantile concern. Having been iv some way brought up with the miners since he had bson in the colony, hii could not allow it to go further that mining had been duhoticsMy c tried on.

Mr Asiickoft Siiid he had used (ho word ' unsatisfactory," but in some cases, uo doubt, ;here had been positive dishonesty.

Mr Simpson: Yeri; and of uvory other dastry the same may be said.

'i'he vote of thanks was carried unanimously.