MINING.

Star (Christchurch), Volume LXVI, Issue 20543, 19 February 1935, Page 9

MINING.

Reports and Returns From Operations. DEEP LEAD. (Special to the “ Star.”) GREYMOUTH, February *lB. The Deep Lead, Ltd., which is operating by sluicing and elevating at Nelson Creek washed up on Wednesday last for the very fine return of 80 ounces 12 dwts of gold for 40 shifts. The sample of gold being won still remains an excellent one, the wash-up under review containing more than 69 per cent of heavy gold, including slugs up to |oz in weight. The company’s operations now extend approximately 7| chains across the area and good payable wash has been proved throughout. A further 41 chains has to be worked before the back boundary is reached, and the wash values are improving all the time. Between 600 and 700 ozs have been won to date from an approximate area of one acre. The company's holdings are 40 acres, providing approximately twenty years’ work. The plant, under the management of Mr T. Donnellan, is working with the greatest efficiency, the upkeep being negligible. During the past month £640 worth of gold has been won at an overall expenditure of £240, thus showing a profit for the month of approximately £4OO, equal to 6| per cent. The company paid 8J per cent in dividends during November and December and should present values continue there is every possibility of monthly dividends being paid to shareholders from now on. During the exceptionally dry spell of weather experienced on the Coast in the past four months the water supply proved more than sufficient for the com* pany s requirements. Mount LyeU. The Mount Lyell Mining and Railway Company, Ltd. progress report for the fortnight ended February 6 is:— North Mount Lyell Mine —Ore breaking in progress: tons extracted 5799. Twelve thousand feet level. No. 403 diamond drill completed at 98ft: traversed mineralised quartzite carrying small amount copper pyrites. Thirteen thousand feet level. No. 404 diamond drill bore extended to 82ft, through mixed quartzite and schist carrying low copper values. North drive extended to 1059 ft through pyritised schist. * Crown Lyell Mine—Ore breaking in progress: tons extracted, 4093. Lyell Tharsis Mine—Ore breaking in progress; tons extracted. 884. Royal Tharsis Mine—Ore breaking in progress; tons extracted, 6805. West Lyell Mine —Ore breaking in progress; tons extracted, 1359. Lyell Comstock Mine—Ore breaking in progress; tons extracted, 4524. Reduction Works—Furnace in blast during period; 4739 tons refinery anodes made for the current year. Concentrator—Mill Operated 318 hours and treated 21,232 tons ore, producing 1778 tons concentrates. Copper Refinery—Operations resumed and 364 tons were produced for period. Total tonnage cathode copper produced for the current year, 3813. General—Operations interrupted by holiday on February 2. Argo Oold Dredging. Directors of the Argo Gold Dredging Company have .issued a circular to shareholders to the effect that some doubta have arisen as to the efficiency of the dredge, which was originally planned to cost £12.000, to cope with the ground proposed to be dredged. Several conferences have been held with the contractor, Mr W. G. M’Kay, and the design Of the dredge has been materially altered and enlarged. Improvements have been incorporated in the new contract for the dredge and the new contract price is a little less than £14,000, necessitating an increase in the capital of the company. The directors are asking for authority to increase capital by the creation of 80,000 additional ordinary shares of Is each, which will be issued pro rata to the present holders. The circular states that it may not be necessary to issue the whole of the extra capital, but it has been considered advisable to obtain authority for sufficient capital to be issued by the directors whenever It is considered advisable. It is considered that the dredge as altered will be able to cope with the ground without difficulty. The pontoons have been launched and the erection of the machinery is now in progress. Dredging is expected to commence next June. Bulolo Oold Dredging, Ltd. Mr Fred G. Dunn, attorney for Clutha Development, Ltd., advises of the following Bulolo production report for January: ” For month of January total gross production from Dredges Nos. 1, 2, 3 and 4 amounted to 16,?220z of bullion, containing 11,1990 z of fine gold, from 913.000 cubic yards. Estimated working profit, 79790 z of fine gold. The above production is equivalent to £96,191 10s and working profit to £67.821 10s, on the basis of £8 10s (Aust.) per fine ounce of gold.” Skippers, X«td. The mine manager of Skippers, Ltd., in his report on work carried out at Maori Foint Beach since the beginning of the month, stated: Much better progress has been made with mining work, as the river has, with only two exceptions, remained at a low level. As the supply of water in the race has steadily diminished we have become quite dependent on the Diesel power plant for all our water supply, and as it takes this engine working at full capacity to supply all the power required, we have had to work at such a rate that no overload was placed on this plant. On Sunday evening, February 10, a thunderstorm caused a cloudburst up the valley about ten miles from us. This hit the hillside and brought down a tremendous slip of glacial mud, sufficient to block the whole river. When this dam burst a wave of water some 4ft high came down the river, but fortunately none of our work suffered damage. This slip so filled the river with soluble mud that it became impossible to operate our high lift pump, and to avoid irreparable damage to the pump linings work had 1 to be stopped for seven shifts. On February 14 the water was clear enough to again start mining work. We have been following up the good ground encountered before New Year, and the indications are that an early wash-up will give as good a return as was obtained then. Opitonnl Developments, Ltd. The first annual meeting of shareholders of Opltonul Developments, Ltd., was held yesterday afternoon, Mr T. W. Perry (chairman of directors) presiding. The chairman, in moving the adoption of the report and balance-sheet (previously published), said that since he had addressed the shareholders In September, 1933, there had been several very satisfactory developments to report in connection with the option the company was holding over the areas at At the Present time it was difficult to anticipate when the sale of properties would be completed, though naturally the directors were anxious to bring the matter to & finality as quickly as possible. The balance-sheet showed that th* expenditure during the year amounted to £l7O 10s Id (salaries, stationery and sundry expenses). The paid-up capital of the company is £4226 17s 6d. including £i o calls paid in advance. The property account, plus amount expenda development work, stands at £3698 4s sd, preliminary expenses at £252 5s 19s fd appropr,at,on account at £169 „ report and balance-sheet were aaoptea. The retiring directors, Messrs T. W. Ft?*!? aT J? Iv Woolf, and the retiring auditor, Mr H. Bicknell, were re-elected. Mataki Dredge. Per Press Aasociatloii. * AUCKLAND. February It. Mataki return for the week endbruary 17 " as 2901 fo, ‘ 13 < hours' Central Shotover. Per Press Association. Central Shotover started a paddock on December 4, and has now completed it tor a return of 240 z 4dwt. The Canadian Federal Government has under consideration proposals f*_ir a water-supply scheme to cover the drought areas of the prairie province:? ' a&T involved is estimated at]