LATE MINING.

Otago Witness, Issue 2086, 15 February 1894, Page 28

LATE MINING.

UNITED HERCULES HYDRAULIC SLUICING COMPANY. The annual general meeting of the United Hydraulic Sluicing Company (Limited) was held in the rooms of the Chamber of Commerce last evening. Mr R. Wilson occupied "the chair, and there were about a dozen creditors present.

The anaual report stated, inter alia, that the directors very much regret that they are not able to present a more satisfactory report. The yield of gold from the claim during the year has been £2970 4s 3d, as against £5385 4s 9d for the preceding one ; and although expenses have been kept down as much as possible— showing a reduction of £432 9s lid— the reßult is that the profit on the year's working amounts only to £69 5s sd. This, together with the £110 18s lid brought forward from last year, is still £419 153 8d less than the dividend paid in August, and leaves the profit and loss account in debit to that extent. Under this head it is worth noting that the heavy item of income tax will be reduced in future, the tax being now payable only on half the dividends declared ; and also that a considerable reduction in rent baa been effected by the application for a fresh claim license. In September the warden cancelled five heads of the company's water, on the application of Messrs EwingandM'Connochie, and in November refused au application for an extended claim license. Against both these decisions the directors have deemed it their duty to lodge an appeal. They have also decided, in view of the loss of water, not to take any part in the construction of the dam at Lake Onslow.

' At the beginning of the year the manager was working towards the background, but as this | part of the claim was found not to pay expenses, it was decided to work further towards the top. Slightly better results followed, and during July and August advantage was taken of the winter season to work part of the ground remaining near the river. During these months the returns were very good indeed, and the directors felt justified in paying a dividend of Is per share. Since then, however, the front ground has had to be left for another season, and the working towards the background haa proved so unremtfnerative that the lo3S has put the profit and loss account on the wrong side. The tnanager advises still working up the river and towards the back, believing that if any lead exists in the background it will bo struck Very shortly. Should this, however, not prove correct, it will bo a question for consideration whether it is worth while prospecting the background any further. The liabilities are over £700, so that, if the company is to continue working, there will be required at least three calls of Is each to provide for the liabilities and working expenses. The question, therefore, for consideration by the shareholders is : whether it is better that such calls should be made or that the company be wound up ? Our manager tells us that there is payable ground near the river, which can be profitably worked in the winter; but that means four or five months' delay, and in the meantime the debts of the company must be paid. Mr J. R. Perry retires from the board of directors, in accordance with the articles of association, but is eligible for re-election. Mr E. R. Smith, auditor, also retires, and is eligible for re-election. The Chairman, in moving the adoption of the report, stated that this was one of the many unfortunate mining companies. Ho was very much disappointed at the way it turned out. The prospects at first were very glowing, and they were all in great hopes that their fortunes would be made. However, mining seemed to be a very fickle speculation. He was sorry to say that he could not give very much information about the claim, but he would call upon Mr Colclough, who was fully conversant With the mine, having visited it on several occasions, to make a few remarks. He would in the meantime move that the report as placed before the meeting be adopted. The Secretary read a letter from Mr Pitchers, of Roxburgh, who stated that in view of the general meeting he considered it advisable to call a meeting of local shareholders in order to get their opinion concerning the claim, and he enclosed the minutes of the meeting. They were one and all unanimous in urgiDg the company to further prospect, and they all considered that the cost would not be so very great. The minutes referred to showed that a resolution was carried strongly recommending the company " to put in a prospecting cut on the north aide of the blacksmith's shop in order to test the value of the property." A further resolution was couched in the f< llowing terms: — "That the opinion of this meeting is that the company's property is very valuable, and should by every means possible be preserved to the shareholders. Mr Colclough said that the position the directors felt themselves in at the present time was this : Last year they unfortunately declared a dividend, which amounted to £600. If they now had that sum in hand they would have no uneasiness at nil, and they would have had no hesitation in prospecting the back ground. He, with others* believed that if this back ground were worked they would obtain good payable gold. After stating the reasons he had for this opinion, he went on to say that there were two alternatives left opcu to the shareholders, and they were : First, to go into liquidation ; secondly, to prospect this back ground. If they went into liquidation a call of 5s would be immediately made, and they would get nothing back, but if the other alternative was pursued the call of Ba would still be made, but would be paid at the rate of a call of Is per month, and they could then have a chance of testing the back ground. If this were done and gold in payable quantities were obtained, he need hardly say that the value of the shares would revive, and the property of the company would again become valuable. Mr J. R. Perry thought the company should go into liquidation. He did not believe in the existence of the back run, and in holding that opinion he knew that 1 he differed from the majority of his brother directors. He knew, however, of others who formerly,believed in the existence of a back run, but had since changed their views on the matter. One ardent supporter of it now believed that it joined the main run, and thus its richness was accounted for. As for prospecting, he thought that could not be properly done at a less cost than £1000. Although he held at present 500 shares, and formerly held 1000, he thought it would be a very much wiser plan to go into liquidation. The Chairman observed that before proceeding any further he would put the motion for the adoption of the report. The motion was seconded by Mr Colclough, and carried unanimously. The Chairman then moved, and Mr Harraway seconded — " That the directors be recommended to have the back ground prospected in the manner that appears to them to be most effective and economical " After considerable desultory discussion, Mr E. R. Smith moved as an amendment— " That the company be put into liquidation." The amendment was seconded, and on being put to the meeting was lost by 8 votes to 6. The motion was then carried. Mr J. R. Perry was re-elected director, and Mr E. R. Smith auditor. The proceedings then terminated.

We have authority for stating that Mr A, Lee Smith, of this city, has been appointed by the Government to represent New Zealand at the Commercial Conference to be held in Canada, and that he has signified his acceptance of the appointment.

An inquest was held at Waikouaibi, before Mr Robert Mill (mayor of Hawksbury), the acting-coronor, on Monday last, touching the death of Alice Townsend, a girl 17 years of age, who was found drowned in a creek in the vicinity of her father's house, on Saturday night. The jury returned a verdict of " Found drowned," with a rider that as deceased was subject to fits the probability was that she had fallen into the water during a fib. The remains were interred in the Engli- h cemetery on Tuesday, when much sympathy was expressed for the sorrowing relatives under the very sad circumstances.

Michael Nejlon was apprehended at Invercargill on Wednesday charged with a felonious offence on a girl of 13 years. This is the man who was beaten by the young women of Arrowtown some time ago for wife-beating. The wife then left him and wont to Melbourne. He followed her, and matters appear to have been arranged, as the wife, her mother, and a girl — the subject of the assault — came over five weeks 'ago, and have been residing in town since. The offence is alleged to have been committed on Wednesday, while the two women were out shopping. Neylon bad £31 concealed in his clothing when apprehended, and had been talking about suicide to the two women. A loaded revolver was found in an outhouse.

We (Southern Standard) learn that the secretary of the Gore Farmers' Club is fully level with the Government experimenters, he having now ripeoing a collection of trial plots of early oats, true epting wheats, and barley. These, in all, number 13, and are from the German province of Lubeck, on the south coast of the Baltic, where no wheat is cultivated but spring varieties.

The licpnsing elections for the colony will be held on Wednesday, the 14th March, or on the following Wednesday, 21fit March. 3 Howden aDd Walton will sell by auction on Friday, March 2, at 2.30 p.m., for the executors of the late E. C. Strode, a valuable freehold section in George street, Dunedin, held under lease, returning £238 5a per annum ; also a valuable freehold section in Cumberland street, Dunedin, nearly opposite M'Leod's soap factory, on behalf of the same vendors.— [Advt.J