WAIKAIA GOLD DREDGING COMPANY.

Otago Witness, Issue 2650, 28 December 1904, Page 26

WAIKAIA GOLD DREDGING COMPANY.

The following report for the year ended October 31 will be presented to shareholders in the Waikaia Geld Dredging Company at the first annual general meeting: — "As shareholders are no doubt aware, a contract was entered into with Messrs Knew- | stubb Bros, for the purchase of the- Great Lead I dredge and the dismantling and re-erection of it on the company's claim at Waikaia. Owing to the difficulty of procuring carters, and I throiigh other causes when shifting and reerecting the dredge, it was not completed until close on four months alter the contract time. Immediately on completion the dredge wa3 floated down the river, but. owing to the river falling, she could not be taken down to the best site for commencing operations. Opening oixt operations v.ere commenced on June 30, 1904, and the first return was obtained on the 24-th July. Sinoe then 140 os 14dwt 15gr, valued at £548 12s lid have been obtained. The earning power of the dredge has been considerably hampered owing to a variety of causes, the principal ones being loss of time caused througK a breakdown with, the winches, and the necessity of renewing all the links and bucket bushes; also a ocmplete set of bucket pins after the dredge had been at work only a few weeks. The ones originally fitted on the di-edge, on being tested, were found to be mild steel instead of manganese steel, thus necessitating a large outlay to replace them, in addition to the loss of time. It was also found necessary to build a protection wall to prevent flooding the freeholds on the west bank of the river, I which work is responsible for the low returns ohtained for some tini9 past. To enable this protection work to be carried out. the company w«3 obliged to purchase six acres and alialf of freehold ground, and also had' to purchase the dredging rights over two acres and alialf of roadline. As shown in the balance sheer, the legal expenses are high. This is caused principally through the amount of opposition the company has had from the settlers, one objection to obtaining our title made by a settler named Monoghan having oo3t the company over £50 to upset a bogus claim. Now that tho protection work is completed tlie <*reclgeniaster expects the returns to improve, and your directors confidently look forward to the next year's operations proving successful." The amount at the bank and on hand on October 31 was £65 16s lid, as against which ! there were sundry creditors to the extent of £781 Us. The expenses during the yoar have been £1358 15s 3d.