COMMERCE AND FINANCE

Otago Daily Times, Issue 21300, 2 April 1931, Page 19

COMMERCE AND FINANCE

THE SHARE MARKET ' DUNEDIN STOCK EXCHANGE Mining shares showed a rising tendency en the Dunedin Stock Exchange yesterday. Okaritos were reported to have been sold at 7s 3d, the precious day’s buying quote, and also at 7s sd. Buyers were prepared to give 7s 4d for further lots, but sellers would not accept less than 7s 6d. Mahakipawas imprived, buyers offering 9d and sellers asking lid. A penny separated the quotations for Kildares, for which buyers offered lid. There Was a similar margin between the quotations for King Solomons, buyers making an advance of Id. There was no answer to an improved offer of 50s for Bank of New Zealand’s. Sales Reported.—Okarito 7s 3d (two), 7s sd. The following are yesterday afternoon’s buying and selling quotations, which are subject to the usual brokerage:— BANKING. Bank of Australasia—Buy £lO. Bank of New South Wales—Sel £27 10s. Bank of New Zealand—Buy 50s. Bank of New Zealand (long “D”) Buy 265. Commercial Bank (pref.)—Buy £5 14s. 16s. Commercial Bank (pref.)—Buy £5 4s. E. S. and A. Bank—-Buy £5, sel £5 10s. National Bank of New Zealand—Sel £5 Is 6d. National Bank of Australasia—Sel £l2. Union Bank—Buy £8 9s. INSURANCE. National Insurance Co.—Buy 12s lOd. . New Zealand Insurance Co.—Buy 41s 6d. sel 42s 6d: Standard Insurance Co.—Buy( 455. SHIPPING. , ■ Huddart, Parker (pref.)—Sel 20s. P. and O. Deferred Stock—Sel 355. Union Steam Ship Co. (pref.)—Buy 19s 10s. COAL. Kaitangata—Buy 2s, dis, sel par. . Westport Coal Co.—Buy 255, sel 265. LOAN AND AGENCY. Goldsbrough, Mort, —Buy 20s 6d, sel 225. National Mortgage (“B” issue) —Buy 824, sel 30s. • , MEAT PRESERVING. New Zealand Refrigerating (cont.) Buy 3s, sel 3s sd. MISCELLANEOUS. British Tobacco (ex div.) —Buy 30s. Brown, Ewing (ord.)—Sel 28s. Brown, Ewing (pref;)—Sel 20s. Bruce Woollen Co. (ord.) —Buy 10s. Bruce Woollen Co, (pref.) -j-Sel 19s, Crystal Ice Go. —Buy 21s. D.I.C. (ord.)—Buy 11s. D.I.C. (pref.)—Buy 19s lOd. Dominion Rubber—Buy 6s. Donaghy’s Rope and Twine—Sel 33s ■ 6d. Milbura Lime and Cement —Buy 30s, sel 325. _ , ■ : " Mosgiel Woollen . Co.—Buy £6 ss. MLeod Bros.—Buy £l9 10s. National Electric—-Sel 10s 3d, New Zealand Drug Co.—Buy 555, sel 60s, New Zealand Express (ord.) —Sel 13s. New Zealand Express (pref.)—Buy 15s. New Zealand Paper Mills (ord.) —Buy 16s 6d, sel 18s. Wilsons (N.Z.) Cement—Buy 395, sel 40s 6d. BREWERIES. New Zealand Breweries, Ltd.—Buy 365, •el 378^ New Zealand Breweries v Buy 21s od. Staple’s Brewery—Buy3ss. Dunedin Brewery—Sel 20s. Tooths Brewery—Sel 21s 6d. MINING. Wajhi—Buy IBs 3d. Waihi Grand Junction—Buy 2s sd. Mount Lyell—Buy 19s 9d, sel 20s 6d. Mahafcipawa—Buy 9d, sel lid. Kildare— Buy lid, sel Is. Okarito—Buy 7s 4d, sel 7s 6d. Paddy’s Point—Sel 2s 6d. King Solomon—Buy Is Bd, sel Is 9d. WAR BONDS. ii per cent. Bonds, 1938—Buy £97. 4J per cent. Bonds, 1939—8uy £97. 4J per cent. Bonds, 1941—Buy £97. 4i per cent*. Inscribed, 1938—Buy £97. 4per cent. Inscribed, 1939—8uy £97. 5J per cent. Soldiers’ Bonds, 1933 — Buy £99 2s 6d. 5J per cent. Bonds, 1936 —Buy £9B 10s. 5J per cent. Inscribed, 1936—8uy £9B 10s. if NORTHERN EXCHANGES. (Per United Peess Association.) The following business was done on ’Changes yesterday:— Auckland. —Sales: Government Bonds (1933) SJ, £99; Mount Roskill Borough (1950) s|, £9B (three parcels); Mount Eden Borough (1960) s|, £9B; Commer- ■; cial Bank of Aust., 15s 2d; E. S. and A. Bank (late sale), £5 5s 6d; Bank of New Zealand, £2 11s; Auckland Gas, £1 3s 3d (two parcels); Devonport Steam, £1 Is; Mount Lyell, £1: King Solomon, Is Bd. Wellington.—Sales reported: Mahakii~£. paws Gold Mining, lOd, . Christchurch.—Sales: Bank of New Zealand, 50s 2d; New Zealand Refrigerating (10s. paid),-2s-lOd (four parcels), 2s lid (six parcels); New Zealand Breweries, 36s 6d (six parcels), 36s 7d; British Tobacco,. 30s (two parcels); Mount Lyell, 20s 3d; Mahakipawa Goldfields, 10id (two parcels), lOd (two parcels), 9Jd, 0d (two-parcels).; Mahakipawa (pref.), 9d. Sales reported: Union Bank of Anst., £8 10s 6d; New Zealand Refrigerating (10s paid), 2s lOd; New Zealand Breweries, 36s 6d; British Tobacco, 30s 3d. MAHAKIPAWA GOLDFIELDS, LTD. ANNUAL MEETING. The annual meeting of the Mahakipawa Goldfields, Ltd., was held in Christchurch on Tuesday evening, when Mr J. 11. Templin, chairman of directors, presided over an attendance of over 200 shareholders. “ Since the last annual meeting additional capital was raised to carry out recommendations made in a report submitted by Mr. ,K. M. Barrance, and mine operations were started on January 5, and are now being vigorously pursued,” said Mr Templin, in moving the adoption of the annual report and balance sheet. “At the time or the directors’ visit to the mine on March 21 there were 15 men being employed underground and sis men on the surface. Two shifts are being i- worked, and four drives in good wash are being exploited. Your directors have carefully investigated the price paid by the bank for gold. The gold which was won in Januaiy and February was sold to the bank direct, and our return was only £3 17s IOJd per ounce. This question was brought to the notice of the Minister of Mines by a deputation, and the position was'thoroughly investigated by the department, who recently forwarded us a memorandum setting forth the position at length. In respect to the March output and in the future, we propose to sell the gold direct to_ the Melbourne Mint, and thus obtain the benefit of exchange rate and better prices obtainable in Australia, which should bring the company up to £4 10s per ounce. From the secretary’s statement you will note that we have £2247 in hand, and have reduced the debentures to £IOOO. We sold some equipment which was used in previous mining operations for £l5O, and this money was paid over to the debenture holders. One debenture holder transferred his holding to preference shares, and we have paid a further sum, which reduces the money owing debenture holders to the figure shown above. We have been watching the finances of the company very closely, and we think, with the returns which we are now getting, it will he possible for us to finish paying off the debentures within a very short time, and build up an ample reserve in. #rder to meet any contingencies which might arise. Our monthly working costs will depend upon the number of men employed. hut with the present men engaged the total working cost per month, iuclud-

LOCAL AND OVERSEAS MARKETS.

ing management, overhead cost, power, and other charges, runs between 130 and 135 ounces per month on the present price of gold. My reason for mentioning this in ounces is so that shareholders will he able to gauge our financial position when they read the monthly reports in the press which state our return in ounces. There are excellent possibilities in your claim, and now that operations have been so successfully resumed it is expected that the mine itself will in the future be able to provide whatever capital is required for development work. In this connection, we "can compare the quantity of gold won since the date of registration of the company in October, 1923, to December 31, 1930, 440 ounces, with the quantity won since the mining operations were resumed on January 5, 1931, to March 30, 1931, 298 ounces. I am sure you will agree with me that the results obtained during the last three months are, to say the least, most promising. We have been approached by a syndicate to grant them permission to bore our ground for dredging purposes to a depth of 60 feet. This matter is now haying the attention of the board, which is investigating the proposition from all angles.” Mr J. D. Renton, in seconding the adoption of the report and balance sheet, said that good work had been done in bringing the company from the point of liquidation to being a payable concern.— (Applause.) Special thanks were due to the chairman and Mr R. H. Livingstone. He was sure that the mine would become one of the best deep-lead mining propositions in New Zealand.

Air A. L. Gray also spoke in support of the motion, and mentioned the great assistance of Air J. Howey in taking a large parcel of preference shares when support was most needed. j In reply to a question, the chairman said that although all the preference money had not been got in, rather than bold up operations of the mine, it was decided to go on as long as the bondholders! were satisfied that the directors were doing the best they could. All the bondholders could be paid off to-day, and there would still be a working capital.— (Applause.) ■ •■ • The report and balance sheet were adopted unanimously. Messrs J. Howey and H. MTlwraith were re-elected to the board of directors,, and Mr Fred. G. Dunn was appointed auditor.

A letter received from the Bank of New Zealand said that at present the companv had only received credit on the basis of £3 17s IOJd per standard ounce, but as soon as mint out-turns came to hand from Melbourne the company would be credited further with whatever premium was payable by the Commonwealth Bank of Australia,. less exchange. According to March 27. returns the last shipment would return the bank’s customers approximately £4 13s 9d an ounce, premium being £3O 10s per cent., less 25s ?er cent., the cost of shipment to London, t would be understood, the letter added, that the premium would vary according to the ruling rate of telegraph transfer Australia on London. The chairman said that that would mean that on the last quantity of gold sold by the company an additional £B4 would be received. MINING OTAGO MINING DEVELOPMENT ■ COMPANY. The provisional directors of the proposed Otago Alining Development Company, have secured an option from Mr R. T. Symes, of Fruitlalidß, over his mining property and privileges situated on White’s Reef, Spur, and Old Man Range. Mr Symes’s reef has been a constant gold producer for probably the longest period of any reef in Otago, and, with only ordinary methods of recovery, the stone has scarcely ever fallen below an ounceto the ton. Not only in the stone itself, but right from wall to wall of the load, pyrites is found, and parcels of this which Mr Symes has sent to Australia to - be treated have gone up to four ounces to the ton. Mr Symes’s reef and White’s reef above, which is included in the property, have been worked hitherto only by tunnelling, leaving the stone going down underfoot. Situated as the reef is, further low levels can be put in, which should make available supplies of stone for many years. Arrangements have been made for Mr G. W. Thomson (a mining engineer) to visit the property at an early date, and report on the probable cost of the necessary development and making additions to the present plant, so that the whole of the pyrites can be treated locally.