SEARCHING FOR GOLD

Stratford Evening Post, Volume I, Issue 256, 7 October 1931, Page 6

SEARCHING FOR GOLD

REVIVAL IN NEW ZEALAND WEALTH STILL TO BE WON LOW-GRADE ORES PROBLEM The revival of interest in gold-min-ing, witnessed during recent months, has prompted speculation as to whether the industry will once more play a leading part in New Zealand's development, states the New Zealand Herald. Some incline to the view that the old-time tossickers covered the ground fairly thoroughly, but no one would be so rash as to venture the assertion that, even on the old fields, there may not be vast stores of wealth still to be won. Recovery of gold would be particularly valuable to New Zealand to-day lor this' week the London quotation for the metal was £5 5s 3d an ounce, against £4 4s ll|d, the rate before Britain went off the gold standard. In addition, New Zealand would have the bener't of the ex-

< itange of £8 10s per cent. Further, there still remain, virtually uiiproSpected, considerable tracts of ant-Herons country, situated, it is true, in ragged, forest-clad regions, particularly on the west side of the South h-land. Considerable capital probably will be required to ensure the ade inate surveying of such fields and those undertaking the task must reconcile themselves to the fact th;*. prospecting probably will entail comparatively heavy expenditure before returns are secured. The most promising line of future development in the industry, however, is generally believed to he in the utilisation of improved methods of recovery of supposedly low-grade ores. In that connect ion the following confident observation was made in litis year's Mines Statement: Indications of Revived Interest

"The general consensus of opinion of a mming revival taking place in New Zealand is stronger to-day than that 'prevailing "for many years 'past, and sooner or later it will he found that a nuniliOr of low-grade 'mining areas in' several parts of the Dominion will be v wOrked on a very large and comprehensive scale, and with satisfactory results financially." Unemployment has been partly responsible for turning thoughts to gold-prOspecting. ' A record number of subsidies was granted by the Mines Department in 1930, and it was stated that, so far as the money available shower merit had been granted some measure of assistance. A further indication of revived Interest was contained in the fact that the number of persons or companies producing gold in 1930 was almost 20 per* cent, greater than in the previous year.

The quantity of gold produced has shown a slight but steady increase in recent years. The actual figures of gold production are '■ not available, owing to no distinction being made between gold and silver in the case of mines which produce both, the goldsilver bullion generally being exported unseparated. However, the proportion of silver, reckoned' on' value, is hot large. In 1927 the quantify of gold and silver produced was 506,420 oz. (valued at £550,160) and the figures for the succeeding years wore as follows: 1928, 532,9140 z. (£551,914); 1929. 571,3200 z. (£527,340); 1930, 039,7590 z. ( £550,975).. Vast Gold Reefs of Waihi From 1857, in which year gold was found in New Zealand to a significant amount, until the present day, gold to the value of about £94,000,000 has been produced. The total rose from less than £IOO,OOO ill 1860 to' 000 in 1563, as a result of the' Tu'atpeka rush. After that year both the Otago and the New Zealand - annual output declined rapidly until 18CG, when the discovery of the rich auriferous gravels on the West Co'a'st forced the New Zealand output up to the peak total of £2,550.000. New Zealand's annual output then declined to £2,200,000 in 1870, but the discovery of the Thames goldfield, which reached its zenith in 1871, increased the production for that year to £2,800,000. The yield again ' declined more or less continuously until 1890, when gold began to be won in quantity from Kuaotunu and Waihi. From a total of £BOO,OOO in 1890, the annual output increased to £2,:100,000 in 1905, as a result of the opening and steady working of the vast gold reefs of Waihi. Since 1900 Waihi has produced more than half the annual gold output of. the cotinny, bij] that output has shown a si early rln iiji■ . How Resources are Distributed

Economic deposits occur for the mosl part in three regions of New Zealand —Hauraki', West Coast, and Outgo. Quartz-mining is carried oh in the North Island fields, in the Reefton ana Blackwater districts on the West Coast of the South Island, and to a limited extent in the Wakainarina Valley, Marlboroi,,!-;. Alluvial gold is found chiefly on the West Coast and in Otago. Golddredging, a system' which originated in New Zealand, is generally employed on rivers and streams and at places where the sluicing method may not be advantageously applied, owing to the absence of a water supply or to excessive water in the deposits. In a survey of the gold resources of New Zealand, prepared for the international geological congress in South Africa in 192!), Mr. J. Henderson, director of New Zealand Geological Survey, stated: "The only proved reserves of lode ore are in the Waihi and Blackwater mines. The possibilities of much additional ore at Waihi are not good, but in the Blackwater

another 250,000 tons may reasonably be expected. Extensive Tracts Not Prospected However, the discoveries since the old armies of prospectors disbanded are pro..,' against the conclusion that all the stores of gold in New Zealand have been uncovered. The rich fields math- on the oldest and most closelyworked fields, and even in the most honeycombed of mines, have been considerable, and in the vast extent of the Dominion's auriferous country .there are .extensive tracts which the boldest of the old-time prospects did not penetrate. Naturally, speculations about another gold-mining "boom" cannot be made rashly. The present signs of reviewed optimism are encouraging, but they may raise false hopes. The combination of strong organisation, ample capital and active prospecting, would seem to be required for the successful opening up of the extensive bodies of ore slill believed to exist in the Dominion.