MINING AND PROSPECTING

Otago Daily Times, Issue 22371, 19 September 1934, Page 5

MINING AND PROSPECTING

DEVELOPMENT WORK UNEMPLOYMENT BOARD’S ASSISTANCE. (From Ouk Parliamentary Repokteej WELLINGTON, September 18. The number of men mining and prospecting for gold on a subsidised basis under the control of the Unemployment Board since the presentation of the board’s last report has not varied to any great extent, states the annual report of the board presented to the House of Representatives to-day. At the end of October, 1933, there were 4000 men so engaged, and this number has been more or less maintained since. A slight decrease in the winter months is to be expected, but the totals would have been higher but for the men becoming selfsupporting through winning sufficient gold to render unemployment relief assistance unnecessary. The approaching summer should see many more reaping the benefit of the development work they have done during the last year or so. Many of these workers have won sufficient gold to repay to the board all the subsidy and other assistance granted. The. reason why more men have not reaped this stage may be ascribed to the fact that the operations of subsidised parties of prospectors have generally been directed towards areas that were more or less successfully prospected in past years but were abandoned when the attraction of high wages in industry generally and the low price of gold in comparison with present-day prices made it uneconomic to work such areas. In spite of this subsidised prospectors are now augmenting their subsidy annually to the extent of gold valued at over £50,000. Excluding those men who have not yet reached the production stage the board’s records show that the weekly winnings in gold average from 10s to £1 10s a man.

Under the control; of engineers and experienced supervisors, and with tho co-operation of tho Mines and Public Works Departments, a considerable number of major development schemes have been put in hand. Having selected promising areas (some of which have never previously been prospected) the men are put on to improve access and then to test the area by sinking shafts, driving tunnels, etc., and in some cases to construct races to bring in water. They are paid a little more than, the subsidy for such work. Should the tests prove that payable gold is present the men who have, done the development work arc given first choice of selecting claims. It: is confidently anticipated that the organised development of auriferous areas will bear fruit during the coraiug year, and many more men will go off relief as the result.

The net expenditure by the board during the financial year 1933-34 in fostering gold mining and prospecting amongst unemployed men -was £198,334, of which £7293 was expended in subsidising the wages of men taken on by companies or syndicates and employed full-time. The companies availing themselves of assistance under this scheme (No. 8b) are, under agreement with the board, required to refund all the assistance granted from the Unemployment Fund before any dividends are paid or their interests disposed of to other companies.