CENTRAL OTAGO MINING NOTES.

Otago Witness, Issue 1928, 2 November 1888, Page 12

CENTRAL OTAGO MINING NOTES.

(By Our Correspondent.) Since my last contribution the weather throughout Central Otago has been pre-eminently adapted to the requirements of the mining industry. Copious showers of rain have fallen at frequent intervals, while the vast reservoirs of Dame Nature have been repeatedly replenished by snow sborms on the mountain ranges, with the natural resulb bhab bhere has been a superabundant supply of water for sluicing purposes. Olaimholders are acbively pushing ahead operations, in view of the approaching Christmas waahiDgs-up, which are expected to be richer than usual, especially in the case of some of the St. Babhans and Tinkers claims, whence some abnormal yields will probably be obtained this season. WHKBK THE GOLD GOES. Professor Black has frequently expressed the opinion (and it is one I Lave frequently advanced as well) thab, as a rule, .more gold is losb from bhe various mines and claims than is ever extracted from them. This statement has several times received verification in this district, the latest of which may be worth citing in support of the debonnaire proiessor's theory. Several years ago a party of miners . set in to work a sluicing claim on the banks of the Fillybum creek, about four miles from the township of Hyde. JA fair area of ground was worked with profitable results, when tha "lead" ran out. During the late severe floods the tailings deposited in the upper portion ot .the. gully from the claim were cleaned out right on to the rock bottom, and on the waters subsiding a miner in, walking up the bed of the creek one day saw the precious metal glittering in patches at his feet. A bib of a rush set in, and from what I can ascertain a number of diggers made good wages for some time by simply cleaning up the bed of the creek wibh the assistance of the primitive cradle. The ore was shotty, the heaviest piece of gold discovered weighing something over Idwt. The Eeß«ue Gold Mining Company (Limited) was formed to work a similar deposit m Main Gully, Hamilton, where millions of tons of quartz drifbhave been run oub from the various claims aloDg the brow of the mountain, and in which ib is computed over £100,000 worth of gold Hbb hidden, irrespective of the metal thab is known to exisb In the banks and bed of the gully. In the early days, when bhe richest ground was worked, the tall races were shorb, narrow, aud steep, and the appliances for saving gold of the crudesb kind, so bhe presence of such a Targe quantity of gold in the deposit is easily explained. In addition, in those days of Cimmerian darkness on makers affecting sluicing and gold saving, large quantities of a heavy black metal were actually thrown away by many miners under the supposition that it wa3 valueless— a metal which {mirabile dictu!) was subsequently ascertained, when it was too late, to be virgin gold coated with exhalations from a large lode of cinnabar fiSßuring the country rock at the head of the gully. Hundreds of tons of mundio also ocour in the claims, and this mineral is run into the gully through the tail races, where, on exposure to atmospheric influences for a few months, it becomes disintegrated, releasing a certain proportion of fine gold and bhus materially adding to the wealbh of the deposit. Then, there is a huge layer of auriferous cement lying at the base of the'range, which has never been treated for the gold it contains. Miners have rather cursed its existence, aud have either had to stack it in their claims or break It up and run it out into the gully. This cement, of course, also breaks down on exposure to bhe weather, and adds considerably to bhe golcen wealbh of bhe gully. Indeed, large pieces of cemenb have froquenbiy been picked up in bhe Rescue Company's claim which were liberally studded with gold. In fact, to use the expressive language of an old digger, " the gold was i stuck in the cement like plums in a Christmas pudding." A company, I understand, is being formed to work a «imi'ar deposit ab Hyde, from which splendid prospects— a hundred colours on a shovel occasionally— can be washed. I could indicate numbers of places in Otago where companies of small capital could find remunerative work for 15, 20, ana even 30 years. A SPLENDID NUGGET. I learn thab recently a large nuggeb of almosb pure gold was unearthed by a Chinaman inla claim lying above the famous deep leaa at Blacks No. 3, Ida Valley. Its weight, I am told by a relabive of the lucky finder, was 40oz. The discovery has been kept very quiet, but I am satisfied thab the facts as here, given are absolutely correct. The Chinaman has since left for " the land of the pigtail, lank and long," accompanfrd by his precious burthen, where no doubt he will develop into a bloated capitalist and become a muchly-married man. in accordance with the polygamous customs prevailing from time immemorial in the " Flowery Land." OUR DEEP LEADS. Speaking of deep leads reminds me that some acblvity is noticeable among the claimholders at Blacks No. 3, where, so far aa is yeb known, the only true gutter lead approximating closely in its peculiarities to thoso of Vicboria, has been found in the colony. The lead can be traced for over 25 miles, and wherever ib has been worked— notably ab bhe Woolshed 1 , opposite bhe Rough Ridge reefs, and ab Blacks No. 8- it has yielded up enormous quantities of gold. At Blacks No. 3ib was particularly rich, yielding as high as 6oz of gold per load, with a great height of washdirt, of a widbh varying between 3ft and 25ft. The drawbacks to which clairaholders were subject in the early days were of a difficulb nature, particularly the dissolute habibs of the men employed in the mines, and the danger presented by tho existence of an exbansive layer of drifb sand which, on being sbruck, would, with a noise like thunder, break through the workings, filling them up and causing the men to flee for their lives. Nothing, however, is impossible to the mining in- ( ventor in these days of high pressure and wonderful inventions. So no one will be surprised to learn that Americans baye found out that the drifb can, wibh the assistance of cylinders, be sunk through just as easily as bhe ordinary alluvial dritb. 'Ihe principle has been applied in different parts of Obago, and has been found to be peculiarly adapted to the work. The Blackß deep lead will therefore at last bo compelled to yield up its golden treasures with as little trouble, danger, and expense as is experienced in working a claim on the hydraulic principle. I learn that the lessees of two of the claims have resolved on commencing work in January f but whether they will themselves find the capital, or will get the public to assist them, this deponent knoweth not. Seeing, however, that expensive machinery will be required on the claims— to wit, a powerful steam engine, with pumping and hauling gear -it is quite on the caids that the two claims I allude to may be amalgamated, and an appeal be made to the public. Under ,J;he circumstances, I think this would be tbe best course to pursue, provided no cash is a*ked for the properties. The claims are decidedly very valmble- they offer a first class show for tho investmenb of cnpital, with every possibility of an early rftnrn—f till, I hope the lessees will be content to part with their rights for an adequate holding of paid-up sbupes In any company thab may be formed. The public should nob he asked to subscribe to the company on any obher baßis tbat that I .have laid down. KVDK AN "> DISTRICT. Mr Charles M'Grego* reeeijlly ipplf ed for a special claim of 80 acres in the neighbourhood of Wheelbarrow Hil', and ab once raised a host of objec'ions f row X? jners residing in the district. The objecblons were that a grant of gQ acres of wh<it was known to be payably-auriferous around would constitute a dangerous and injurious monop ly \ that very little capital and lfthpur was required to work the deposit ; and that parties qf three or fpqr men epu'a easily overcome the difgoulties presented in workjng it. On those grasnde the applioation was refqaod. It will, however, probably be renewed at an e&jly o*at», ' ' • -' : ' " • L A licensed holding has-been pegged oft on the western boundary of the Mount Higtflay Company's claim at Mareburn creek, the applicants having

pioked up the continuation of the Highlay lode. It is said to be 4ft in width, shows gold freely, and some very good specimens have been taken from it. Several eighth snareß in the claim have changed hands at a good figure. The Mount Highlay Company will commence work shortly. A good deal of activity in pegging has been evinced in the locale of this company a holding, showing that the reef is permanent in character and sufficiently promising to induce private investors to lay out money in its development. Mr Eggera, of Macraes, has commenced to reprospect Wheelbarrow Hill, where he spent a large sum of money in similar work in the early days. As he now learns, however, by practical experience,' the money he then expended was literally thrown away, a* the men heemplojed in sinking shafts really left off work where the gold actually came in. The shafts-were run down to the cement and then abandoned. It has since been ascertained that this cement is itself auriferous, and I have seen a good payable prospect of gold washed from a piece taken from one of the excavations. The opinion is freely expressed that the hill will be nißhed this summer, and that io will be turned inside out in the course of a few years. I understand the idea formulated some time ago— that of amalgamating the w hole of the mining privileges on the Hyde goldfleld, with a view to their systematic working on an extensive scale— has been given practical effect to, and there is now some talk of floating a company to take over the concern. If thlß be done, it is quite probable Mr L. 0. Beal, M.8., and other experts will be asked to visit, inspect, and report on the potentialities of the scheme. MiCBAKS FIAT. I learn that two Naaeby gentlemen recently took a run down to Macraes Fiat to spy out the fatness of the quartz lodes and alluvial deposits in that locality. They devoted a whole day to exploring the country, and on returning narrowly escaped meeting with a serious accident. I have not yes been told whether they intend to do anything or nob, but I suppose definite information will be forthcoming shortly. Old hands will well remember the rich returns of gold that were won from Macraes Flat a few years ago. Water was abnormally scarce— there was no outlet from the claims— so that the ground had to b? paddocked and worked by means of a torn. Some rich yields were obtained, but the process was so slow that it disheartened many diggers, who fled to the West Coast on the breaking out of the rushes there. Since then numbers of Chinamen have been fossicking about the flat, earning an easy living and keeping the present township going. A few years later Government was moved in the direction of providing funds for the effective development of the country, but without practical results. A survey was indeed made to ascertain the practicability of cutting an underground channel or tail racß bo drain and work the flat. The Bcheme was proved to be feasible, but at an expenditure of £10,000. The money was not forthcoming, so that the idea of cutting the race had to be abandoned, although it has been mooted and remoofced times out of number, but nothing ever came of it. f [Geologically, the flat is a most remarkable place, n a cursory examination of its environs, one is led to the conclusion that it forms the Bite of a vast, extinct crater, which ultimately, on the island taking its final dip under the ocean, became partially filled up. On the earth reappearing above the briny, the flat degenerated into a lakelet, and in time became filled up to its present level. It has an almost uniform level from end to end, aud, as a matter of fact, water at the head and in the middle cannot obtain an exit to lower levels. This theory may not be strictly in consonance with professorial ideas, bub yet I think it is approximately correct. The rocks in .the locality are contorted, twisted, and thrown in all directions, and afford incontestable evidence, of the' volcanic activity of the district at no very remote epoch, The proposed tail race may be constructed some day, but lam afraid of it. Even supposing an outlet is obtained, no water supplies exist which can be brought to bear on the flat. Macraes is situate on theßummitofa cone which is completely isolated. The watersheds are from the diggings, so that unless the drainage and flood waters could be stored in vast reservoirs there is not much probability of the flab being werked in the present decade. Old diggers assert that the prospects of the ground are such that an expenditure of £30.000 or £40,000 in preliminary workß would be justifiable. It is very aggravating to think that a deposit of such richness should exist, while no scheme to work it can bo formulated such as^would justify its adoption, even if the cost of it were very heavy. HAMILTON. The Rescue Company have recently 'caused their claim to be surveyed ty Mr L. O. Beal, with the object of ascertaining the best method of extracting the precious metal from the deposit. It is possible fresh tenders will be called shortly for the construction of the tail race. It is to be hoped the company will get to work as early as possible, as the present is thebest portion of the year for the carrying on of mining operations. SKRPKNTINE. The Golden Gully Company, Serpentine, have at length appointed a practical miner to superintend the working of their valuable property. The ohoice of the directory fell on Mr Bennetts, lateof Skippers, who com 63 accredited with splendid testimonials. He is a miner of lengthy and varied experience, and has been counected with many pursuits, I understand for over 40 years. He was duly installed in office several weeks ago, and has since been actively pushing on the work of development, In his weekly reports to the directory he speaks highly of the prospects of the company. On October 5 he reported that he had prospected Cogan's reef, finding payable gold through the stone for a width of lOffc. On October 11 he advised that he had commenced sinking a winze on Turnbull's reef (from which the 4joz crnshinga were taken), which was showing good gold, un October 20 Mr Bennetts reported that as lie continued sinking on Turnbull's lode it continued to improve both in quality and width ; and In a few daya when he had overtaken some timbering work which have fallen into arrears, he would have no trouble in .bringing plenty 'of stone to grass. Referring to Turnbull's reef, I may state that I recently fell across one of the men who assisted in raising the stone for die last crushing of 4§oz, and he informed me that bhe lode was going under fooS as strong and as rich as it has in any parb of the atopea. He expressed the opinion thab ib will make both in quantity and richness as it is sunk on to greater depths. The company aio now putting through a crushing of 200 or 300 tons, the result of which will be known in a few weeks It is quite r robable that this min<j will be on the dividend-paying list before many months have passed. HOUGH RIDGE. The Great Eastern Company's last crushing yielded 150ozs of gold, the product of 65 tons of stone. The battery has recommenced crushing on a new reef recently discovered in the low level, estimates! as bting worth about 2ozs ppr ton. The sfone, as usual, is heavily charged with arsenical pyrites, mundic, and zinc blende. Sonia new claims have been pegged off at the Hidg-J recently, and there is some tilk df sbartlng the old Otogo Central c'aira again, The stoppage of this claim was a very foolish act, and ib is quite possible the expenditure of a few hundred pounds in extending the adit lovel 200 ft or 300 ft will demonstrate this to the satisfaction of the shareholders. |3T. BATHANS. The channel by which ib iB proposed to work the several claims in the St. Bathans' basin is being slowly proceeded with. The undertaking is one of considerable magnitude, and ib will ever remain a memorable monument as showing what private enterprise, judiciously and intelligently applied, can accomplish in mining. The work has cost several thousand pounds, and will cost sevoral more before it is completed. Recently a rich lead of gold wai picked up by the men working in the channel, and this is only one of several which, it is considered probable will be met with before tha terminus, is readied, Overbures are being made with the object of amalgamating the properties of the Unibed M. and E. and the Scandinavian Companies Some opp >sibion is shown to bhe proposal by some of thesmaller share-holdp<-8 of the latter company, bub I understand it ia only a question of a little time for the proDOsal to become mi fait accompli. The step is a wise one, and will ultimately result in a vastly increased yield of gold from the claims. Sotna good washiugs-up aro anticipated in this quarter this season. The St. Bathans mines are the most valuable of their kind in Otogo. The fortunes of the field are in the ascendant, due to a great extent to tha enterprise and energy, of Messrs John Bwing and Samuel Turner. The former gentleman has been the pioneer of successful uydraulie mining in Central Otago, and be has lent very material assistance in bringing the St.. Bathans goldfteld to its present *' coign of vantage." OPHIB. The cyclone cruiher erected on the claim of Green's Beef and Seam Workings Company at Ophir baa been at work, for several days, but not with men satisfactory results as wag anticipated by

the manager. Per contra, the operations of the company in the chim have proved that the deposit becomes more valuable as the workings are extended into the hill. I shall visit the claim this week, and will report results as early as possible. I think that the best way to overcome the difficulty would be to puddle the stuff, which would have the effect of removing the lighter particles, leaving the quark behind, which could be treated by the crusher withcub any trouble. The gold could thus be saved in a tail race, so that the copper plates, quicksilver ripples, and blanket strakes could be dispensed with without any consequent loss ot metal. In the course of a month I am quite satisfied that crushing on n large scale will be inaugurated in the claim. It is r«ported that a large area of payable ground has been discovered by Messrs Fogarty. ana Flannery in bhe neighbourhood of Poolburn Gorge, and they have applied for a prospecting are* of 100 acres': The party have had tile levels taken of theirrnce by Mr L. D. M'George, C.8., who advises them that the cutting will be 35 miles in length, 20 of which *t least are ploughable and easily constructed. To deliver 15 Government heads cf water at Ophir will necessitate tbe expenditure of £3600— an inconsiderable amount comparing ib with the immense value bhe -water will acquire ab Ophir. On dit that tha party are considering tho propriety of floating a company to construct the race aud work their claim which comprises 60 acres' of river flat facing the township of Ophir. A good deal of money has been expended by various comDanics in trying to work the flat, much of which lias been paddooked with highly satisfactory results. Thfi only process by which the ground can be worked is that of hydraulic elevation, and if the scheme comes to anything I shall have something more to say of it. Mr William Green hfis gob his eight-stamper battery and appliances erected at the rear of the township, and has done some exploiting work both on Corrigal's reef and in tbe terrace lying immediabely behind bis plant. Ho 1b satisfied the reef is a true fissure lode, and will repay intelligent proipecbing and working. Ib is rumoured thab the "green rock" behind the battery is richly auriferous, and prospects in places at the rate of ldwt per dish. I do not vouch for the accuracy of thia statement, but simply give it as one of many rumoun that are floating about PIGROOT. The opinion prevails among diggers that there are some valuable deposits on the banks of the Shag river, aboub two or three miles below Pigroot. A hit of a rush did set in there about two years ago, and some good rough metal was obtalnsd, but for some reason or another it was soon afterward* abandoned. Two or three parties have been exploring the locality recently, and all hare secured fine, snotty samples of gold ; one party, with the aid of a penknife and a tin dish, scraped out about lOdwtofgold inless than three days, and obtained a honeycombed nugget weighing about Idwt. SHARE MARKET. Business has been rather quiet during the past fortnight, bub there is an evident intenbion on the part of Otago speculators to spend more of their capital on Otago mines and less on dubious West Coast speculations. The following are the current rates of stock :— Golden Gullies, Is 6d to Is 8d ; Green'i Reefs, 3s 6d to 4s ; Mount Highisys, 2s 3d to 3a Gd; Rescues, 2s 3d ; Progresses, 14s ; Great Easterns, sh 53 (with buyers ab thab price, but no sellers); Naseby Hydraulics, 7s 6d ; Garibaldi Hydraulics, Is 3d.