MINING.

Otago Daily Times, Issue 15063, 9 February 1911, Page 9

MINING.

Tho master of the Kanumui dredge reports that owing to tho ground being very hard to dredge ho is this week opening out tho face, as he thinks ho should shift more stuiF that way. Tho bottom consists of patches of red and white clay all ncrojfi the cut. The depth of tho water is from 43ft to 45ft. Tho height of tho face above the water-lino is about 40ft, and the width of the cut about 100 yds, and still opening out. Tho New Trafalgar dredge made good time last week, and handled a large quantity of spoil. Evidently the ground worked had at some time been in a heavy scour, as tho wash and bottom—old man—were too clean. Five new buckets lately to hand wore put in the bucket chain. Tho dredge is at present working a diagonal cut across tho creek through a part of the creek section that was left back in order to give room for present and future movements. The Sandy Point dredge worked 128 hours iait week, and tho width of cut and depth of ground wore tho same as previously. Prospects showed a slight improvement, Ofnweially in tho centre of the cut, that being tho best of the ground. On Saturday morning tho second motion shaft of the small elevator broke, ami the master is now working tho craifcro of tlw nut with tho main elevator until a new shaft is made, j Tho manager of U» Roadmrgh AmalgaI xmW. Miunif aixrl Staking Oarepoflj rape* ( s U'U ho '.rctt u fcwtft Unf "f wyah io

the last paddock, and in hopes of picking it up ugnin he resolved to take out another email block in the same locality, but in a different direction. Having comploted this paddock, ho washed up, and now advises a return of E&ra. As the indications latterly showed decided signs of improvement, he is now engaged in taking out another -small block 0:1 the same line.

The ftise and Shine- No. 1 dredge worked a cut of 500 ft last, week, making Bft ahead. The bottom, which was got at, a depth varying from 42ft to 50ft, was of various clays and coal.

Tho master of the Golden Sun dredgo reports for last week:—"Wo have l»en cleaning out the padd-eck and opening out on tho beach on the cast side; therefore wo did not get on k> bottom until Thursday night. Tho bottom is still dipping as wo work ahead, aid the prospects are very patchy as yet. It will take about two weeks before wo get to the bottom of tho d'P, and tho returns will therefore bo small. Tho lx)ttom is hard clay as yet; depth 47ft."

A cablegram has been received from the agents of the Stanley Paraoale Gold Dredging Company at Manila stating that one of tho company s delegates, who has been at FaracaJo on trio company's business, has left for New Zealand, and should arrive in Dunodin about.the end of February. It is proposed to hold a meeting of shareholders in March to consider the company's position.

Good progress has been made with the overhaul of the Lowburn dredge (late Clutha River) and tho master expects to bo ready to statt dredging in aWit a fortnight.^ The Golden Sun dredge is working steadily opening out on tho quartz reef side and tho faco is now about- clear with the exception of a short distance on the river side. There should bo a small return this week, and as the. face is widened the' returns should improve.- Cromwell Argus. A recont visitor to Stewart Island informs us that the prospects for tho mining industry at Preservation Inlet are very bright" Several parties arc out prospecting, and a gcod deal of activity is being displayed. At tho Morning Star mine' a new level is being driven in at ICOOft, and tho management -expect to strike payable gold at any moment The s.s. Invereargill rcoantly took down 105 tons of ore ami limestone to the Ta-rawora smoltcrs at Preservation, ajid further quantities are expected in a month or so by which time the smolting v.'orko should b-o in full operation.

The Nokomai Hydraulic Sluicing Company won 284307. 17dwt 20gv of tfokl last year, valued at £10.529 7s 10d, which brings the total yield since registration up to 26,26ta 9gr, of the valuo of £98,906 2s. The total expenditure since the company's inception 'reaches £77,241 19s Id, of which £7266 13s lOd 'Was; expended hist year. Dividends have been declared to the .amount of £28,283 lis, o,nd the company has £819 4s 9d at tlic bank, and owes £380 16s. The dite of registration was March 26, 1898. a.nd tho company has a share list of 59 and employs 44 men.

From tho New Zealand Herald wo lcara t!:at the value of the total yield from tho gold mines in the Auckland district last year was £1,335,682 14s 9d, as compared with £1.312,824 12s 7d for tho year 1909. which shows an increase for last year of £22,858 2s 2d. TJie biggest yield was obtained from the mines in the Olimcmuri district, whidli include the Waihi, Talisman Consolidated, and Waihi Grand Junction. The Waihi returns reached a totail valuo of £916,081. The Talisman Consolidated returns totalled £210,264 3s 6d. a.nd tho Grand Junction returns £133,522 13s 7d. Tho returns from five other mines brought the yield for the district un to £1,296,115 5s lOtl, Th« Thames district produced £15,328 17s Bd, and tho contribution from tfio CoromamM district reached £24,238 13s 3d, bran<g hooded by tho Old Hauraki iraino with £12.955 lis '4d.

Tho statement of affairs of the Roxburgh Amalgamated Mining and' Sluicing Company shows that the company, which was registered on March 2, 1889, with a caoital of £30,000, of which £13,121 5s 6d"lws 'been pakl up in cash, has a share list of 173, and employs an average of 14 men. Tho gold produced since tho isem© of tho last statement amounts to 8440z 2dwt, valued at £5235 8s 4d, a.nd the total yield since registration is 27.8340z 2dwt 7gr, of tho valuo of £104.258 lfs lCd. To obtain this has required tho expandituro of £-5.081 lis 9d, of which £2002 4b 2d was spent last j'oar. Dividends have been paid totalling £32,429 16s 4d. The company has £1089 2s 4d in cash and on deposit at the bank, aaid owes £91 12s lid. DUNEDIN STOCK EXCHANGE. There was a fairly active market on tho Dunedin Stock Exchange yesterday, a good deal of business eventuating during tho day. Thcro was onu sale reported. Kellers of Island Blocks were asking 6s 3d, and Mystery Flats were or. the market at 6s. May Queons were easy at buyers 2s 4d and sellers 2s 7d, and New Sylvias were oven. A parcel, of Old Haurakis changed hands at Is 9jd, and the market closed with a further buyer at that figure and a pallor at Is 10£ d. There were two sales in Talisman Consoliaatctls at £2 7s Od and £2 7s 6d. and the closing buying and selling values at the noon call-over were £2 7s 3d and £2 Bs. There wero eight sales in Waihis, which closed a triflo easier at buyers £3 16s 5d and sellers £3 16s 9d, Four parcols changed hands at £3 17s 3d, two at £3 17s, and two at £3 17s 6d, and there was a reported sale at the latter figure. Waihi Grand Junctions wero also weak, closing with a buyer at £1 9s 9d and a seller at £1 10s. Three sales took placeall at £1 10s, on<* being for forward delivery. In investment stocks buyers of National Banks'tirmcd to £5 18s, but failed to attract, sellers, and Bank of New Zealands wero wanted at £10 13s. National Insurances stood at £1 14s 6d and £1 15s, buyer and seller respectively; and Standard Insurances wero wanted at £l 7s 3d, without sellers.

Sales—Old Hauraki, Is 9M; Talisman Consolidated, -2 7s 9d, £2 7s 6d; Wnihi, £3 17s 3d (four parcels). £3 17s, £3 17s, £3 17s 6d, £3 17s 6d; Waihi Grand Junction, £1 10s, £1 10s (forward delivery), £1 10s. Sale Ronortcd.-Waihi, £3 17s 6d. The following aro yesterday's latest quotations, subject to tho usual brokerage:— Dkedging Stocks. Blackwatcr (con.)— Sellers 12s 6d. Blackwatcr (paid)— Sellers 14s. Island Block-Sellers 6s 3d. Mystery Flat-Sellers 6s. No Town' Creek—Sellers 7s. - Mining Stocks. May Queen—Buyers 2s 4d, tellers 2s 7d. New Sylvia—Buyers 3s 4Jd, sellers 3s Bd. New Zealand Crown—Sellers 4s 3d. Old Hauraki—Buyers Is BJd, sellers Is lO^d. Watchman—Buyers 2s Bd, sellers 2s 9d. Wnihi—Buyers £3 16s 3d, rollers £3 16s 3d. Waihi Grand Junction—Buyers £1 9s 9d, sellers £1 10s. Investjient Stocks. National Bank-Buyers £5 18s. Bank of Nov; Zealand—Buyers £10 13s. National Insurance—Buyers £1 14s 6d, sellers £1 15s. Now Zealand Insurance—Buyers £4 Bs.' Standard Insurance-Buyers £1 7s 3d. U.S.S. Company—Buyers £1 17s, sellers £1 17s 6d. Wostport Coal Company—Buyers £7_ 6s. Dominion Rubber—Buyers 12s premium. AUCKLAND STOCK EXCHANGE. (Pen United Pukss Association.) AUCKLAND, February 8.

Tho following business was done at tho 3.15 p.m. call to-dny:—Old Hawaii), Is Hd, Is 10:1; Golden Belt (paid), 4£d; Talisman Consolidated, £12 7s fxl; Waihi, £3 16s 6t"i £3 16s 3d, £3 16s, £3 16s 3d), £3 10s; Waihi Reefs Consolidated, 2s, Is lid, Is lOd, Is 2d, Is 8d: Waihi Grand Junction, £1 9s 3d; N.Z. Insurance, £4 7s 3d.WELLINGTON STOCK EXCHANGE. (Pen United Press Association.) WELLINGTON, February 8. The following wero to-day's mining sales: Waihi, £3 17s, £3 16s 9d, £3 16s 6d, £3 16s 3d, £3 16s. Tho following sales wero reported:—Talisman, £2 8s 3d, £2 8s 6d; Waihi, £3 16s 3d.

CANTERBURY STOCK EXCHANGE. (Per United Pp.ess Association.) CHRISTCHTJRCII, February 8. Tho only sale .reported on the Stock Exchange to-day was in Manning and Co.'s shores, at £4 10s. WAIHI GRAND JUNCTION COMPANY. (Per United Press Association.) AUCKLAND, February 8. Tho following cable has been sent to tho Waihi Grand Junction office in London: — "Crushed b212 tons for £8125 4s 2d. Martha lede, No. 5 level east, crosscut south, reef 35ft wide, 12ft on footwa.ll sido, giving a value of £1 13s 9d; development most promising. Mary Icxlo, No. 4 levol west, driven 102l't, value £2 Is 3d, no walls seen. No. 2, rise up 51ft. value £1 ICa 6tl; no sign' of footwall. Man- Jodc, No. 3, winze down , 38ft, value £3 Ids 3d; no walls scon. No. 2 level, roof cut in eroaciit; not yet assayed."

Tho highest possible point of purity in alcoholic beverages ■- WOLFE'S

GREYMOUTH NOTES. (From Ouii Own Coiirespondent.)

GREYMOUTH, February 8,

A resolution protesting against the imixjsition of any gold duty was carried at the annual meeting of the Rimu Miners' Association Inst night. Tho New Big Divov crushed 600 tons _of quarts for b0707. of gold. From the cyanide treatment of 400 tons 68ot lOdwt. of bullion re-sulled. Tho total estimated value is £2200. A dividend for tho month's operations has been declared of Is per 24,000 th share, equal to £1200, pnyable on and after Friday, February 10. THE WAIHI COMPANY. MEETING OP SHAREHOLDERS. HOSTILE RESOLUTIONS. (Per United Press Assocmion.) AUCKLAND, February 8. . A meeting of shareholders in the Waihi Gold Mining Company -was held in tho Chamber of Commerce this evening for tho purpose of discussing the position that has arisen in regard to tho mine. The meeting, which was called by tho Auckland Stock Exchange, was largely attended, there being some 150 persons present, including! a fair percentage of ladies. Mr F. Hull, chairman of the Auckland Stock Exchange, in opening tho meeting, stated that the Exchange had been blamed in the south for not takhig'moro vigorous action, and by some horc for doing tco much. Referring to the announcement mado in September last that the four-weekly returns would be reduced to £63,000, ho said this put confidence into shareholders, but on January 28 they got a bombshell in, the shape of the report by Mr Williams, engineer at the mine. That report was of tromeudous importance, and be thought it should havo been cabled Homo immediately it was written, and a copy handed to tho local press for publication. The extraordinary part of the matter, however, was that although the report was only mailed to London on Decomher 14, it took effect in London on' December 21, shares dropping from £5 16s to £4 12s '6d. Such a fall could net bo explained by a leakage of information from somewhere. It was wrong that such information should be limited to the knowledge of the few and used to the hurt of the many. Ho left it in the hands of those present to elect their chairj man, and to do what they thought fit.— (Applause.)

Mr John. Colbeck was elected to the chaii', and invited shareholders to speak. Mr H. W. Hopkins, metallurgist tor the New Zealand Mines. Trust, opened the discussion. Ho said that as a shareholder during the past 15 months he wished to call attention to certain figures published by the local management in the mining reports dated August 12 to December 2, 1910. Ho submitted that in tho face of those published figures, and the fact that up to tho end of 1909, the Martha lode had been the main producer of the mine, it was out of the question for this body of shareholders to maintain that they were not kept informed that a serious tailing off in the value of the mine had taken place. If they took up this position they simply advertised the fact that they had not studied' the published reports in a businesslike maimer. It must have been perfectly obvious to anyone who had systematically followed the reports that things at the mine woro approaching a crisis, and that a further reduction in output was imminent. It seemed to him that tho action of the directors in. reducing the output was the natural outcome of the state of affairs disclosed in the monthly reports. He moved—'' That this body cf shareholders recognise that full details of tho values in the lodes have been issued in the monthly mining reports, and under these circumstances do not see that any benefit is to f bo gained by expressing a want of confidence in the local management."—(Cries of "Oh?" and derisive laughter.) Mr Hull said it was only fair for sham*holders to know that tho gentleman who had just spoken was a metallurgist in the employ of the Waihi Gold Miniug Company—(Ories of " Oh?") A It is just as well to know who had the audacity to move such a motion.—(Laughter and applause.) Mr Bragato, speaking somewhat heatedly, said that, they were there to defend their own interests, a.nd not those of the directors' or the management.—(Applause.) Personally, he would be prepared to move a vote of no-confidence in tho management. Mr R. J. Michaels thought thai tho figures Mr Hopkins had given were vcTy significant. Further investigation was necessary. There had been continual sales of shares. Who then was selling? TV New Zealand shareholders were .not. They were buying. Widpws had put their " little all" into the Waihi roino because they had Ibcen told it was an investment, arid ho trusted that shareholders would not rest until they had found out who was to blomo for the present stato of affairs.—(Applause.) Mr W. Ledingham thought it would bo interesting to know how many shares had been "swallowed up" by Now Zealand shareholders since the English shareholders began to sell.

MrHull said that the shares hold on tho colonial register showed an increase of 25,000 in the last few months.

Tho Chairman paid if they wanted to find out why ohnrcs which in January, 1910, wore at £10 2s 6d are now down to £3 17s they would have to leave this country. The people who " worried" down the shares had not done it here. Mr Colboek went on to allege that people had been selling with a knowledge that neither ho nor shareholders present over possessed. If. had, ho asserted, keen done with u persistency and consistency that was laudable, but if shareholders had had the information, could they not, he asked, have done the 'same?—(Cries of "No.") Ho said they could have done —not that they would. It would not have been difficult or dangerous to take the steps someone took—(A Yoios: "Not tho directors."). Tho Chairman said he was not saying it was tho directors. Shareholders wero thero to try to find out why their property had depreciated about twothirds. He thought Mr Hopkins had made too much of the point ho had accentuated. He (Mr Colboek) had been through tho mine since tho shares began to fall, and there was still a larapa amount of very good oro nt No. 9 level on the hanging wall of the Martha lode. That reef had not "gono out," though he did not know any part of tho No. 9 level where the footwall looked well. Nevertheless there was a. lot of good stoping ore on the reef. Besides that the Edward lode at No. 9 level was payable for every foot that bad been driven in it. There wore immense blocks that would pay as well as any tiling that hed come out of the mine. Ho suggested that .tho management of the mino to taken out of tho hands of the present officials and transferred to a new management. If the ore reserves returned tho average profit the sum of £2.163,000 should eventually come to ehareholders from them. In addition, 3s per ton that had been spout oi development would, if development wore stopped, renrcscnt another £800,000 profit for shareholders. Tb-» Ho'rahota waterpower plant and workings would sell for £150,000, and if the mine below the No. 9 level wero sold, together with the Union and the Amaranth sections, £500,000 could bo got for it within a fortnight. Also thero was £50.000 cash, giving a total of £013,000, or' £8 per shore, that shareholders could realise. Mr Hopkins had given them values of tho Martha, lode, but if ho could controvert his (tho chairman's) figures he would be glad to have him on tlw platform again. He advocated tho sliartholdors strongly banding together to divide fact from fiction, values from a gamble. If they stopped work in the mino below No. 10 level they could got the amount he had quoted. If they left the mine to the present management practically gave them a' blank cheque to use im they liked, and shareholders might not receive tho present valiio of their snares. A number of women had put moro_ than they could sparo into the mino, and it was their duty to do all they could to got it back for them. They could come into the gnmblo again afterwards if they liked. Ho strongly favoured operations being stepped below No. 10 level. Mr lUthbone thought that as tho past was dead they should bury it. He moved that, in tho opinion of this meeting, the present method of keeping tho rcgistor is unsatisfactory, and that it should bo kept in a mannor which will show clearly all transactions in shares.. . , , . Dr King seconded the motion, the chairman declaring, m reply to Mr Hopkins, that his resolution had lapsed for want of a seconder. Mr G. A. Buttlo, ex-chairman of tho Stock Exchange, defied anyone looking at tho register kept by tho Weird Company to discover how anyone had disposed of hi 6 shares. "What they wanted to get at was the daily register kept by tho company of shares handed in for transfer, which showed at a. glance from whom the shares wero bought and to whom they wero fiold. The motion was put and carried unanimously.

Another motion carried was that all changes in Iho mine, whctlior good'or bad. bo immediately cabled to London ajid given to the local press at the same time 'fho following motions were also carried:— "That this mootlac requests the 'board to

obtain an independent report as to how tho mine stands to-day, and to investigate jfho of the mine for the pasfi 12 months, and ascertain if reports havo boon given fairly to board and! shareholders." ''That tho following committee bo appointed from this meeting to act, in conjunction with other committees in tho Dominion, in an endeavour to obtain a change in the management and operations of tho company:—Messrs John Colbeck, Shirley Baker, George. Thomson, .W. Aldingham, and J. N. Clifford." BLUE SPUR AND GABRIEL'S GULLY, AN UNFORTUNATE COMPANY. (Fbosi Oub Own Correspondent.! LONDON, December 20. At the general meeting of the Bluo Spur and Gabriel's Gully Consolidated Gold Company, which was held yesterday at Great St. Helens, E.C., Mr Ross Robinson, phairman oi directors, had an uufortuns>.y. story to tell the shareholders. Ho said the company was in anything but a satisfactory condition, and the directors had been much concerned thereby. When the cablo message was received stating that the clean-up had been so very unsatisfactory, and that the bank demanded immediate repayment of tho overdraft, the directors replied tolling tho manager (Mr Jackson) to closo all work instantly and apply to •the warden for a six months' exemption. In stopping the mine they were well awaro that great lass to the company must arise, for if tho water-races wore left unattended for any length of time they would be destroyed. Closing down tho mine, therefore, could only be done at great risk. Mr Jackson also know this, and so obtained a loan of £3000 locally whereby mining operations were resumed. This money had to bo repaid on October 1. The rato of intercst was exceedingly high—namely, 10 per cout., and an overriding commission of 5 per cent. The board recognised that these terms were high and bitterly regretted having to pay such an interest, bnt in the circumstances they were/constrained to accept, hoping that'before the money was exhausted the mine would bo put in a favourable position. In order to meet the additional expense they had considerably reduced expenses—tho salary of tho manager and the wages pf the men,—and on this side the directors had still further rcduo?d their fees, and the secretary had accepted a lovasr salary. There were several circumstances in connection with the mine which led them to hone that it would eventually become prosperous. During the past two years the water sunply had diminished, and. the yield of gold per cubic yard had decreased. But certain things were in their favour. Tho board thought! that Mr Jackson had been of great service to them in getting the money locally, "and, moreover, he had cheerfully submitted to s; considerable reduction in his salary. Ho could not help thinking that tho unfortunate litigation had been forced upon them, and the decision of' the warden was as unsatisfactory to them as to their opponents. At this season of the year ho would like to hold out the olive branch to their opponents and ask them if they did. not think it would be better to meet Mr Jackson _in a conciliatory spirit. He felt certain if both parties met they could arrive at a plan which would be mutually profitable. ■ If Messrs Kitto and Co. and; Mr Jackson could meet and formulate any plan to the advantage of both parties, ho could promise them it would be "favourably received bv tho directors. A lady shareholder asked if tho directors had heard of artesian wells.

The Chairman: Lady, 'our mine is on the top of a hill. Tho only water wo get is .what Heaven sends us. Wo can only pray that Heaven will 6end us more in the future than in tho past. Tho lady: Cannot something bo done tobring water to the mino?

Tho Chairman: Lady, the directors cannot manufacture water.—(Laughter.) Mr J. W. Hughes was re-elected a director.

The report for tho year ended February 23, 1910, states that the Teturns apain show a- falling off; entirely duo to tho Jong continued draught; 151,328 cubic yards of cement were treated, as against 165,053.5 cubic yards during the previous year, white the return was only 1115.1620z as against 1634.802:. Tho half-yearly clean-up, duo the end of August, had to be delayed until 15th September, when the general manager cabled home the disappointing news that he bad only succeeded in winning 3760z of gold. •According to Mr Jackson's last communication, work was being regularly carried on at the mine, with a much improved! water suppW. A statement prepared by Mr Jackson showed that owine to the drought there had been 979 hours less work from Ist January to 2nd October this year than last year.