MERRIMAC GOLD DREDGING CO.

Tuapeka Times, Volume XXXIV, Issue 4895, 28 September 1901, Page 3

MERRIMAC GOLD DREDGING CO.

The annual general meeting of members of • the above company was held in the registered office of the company, Lawrence, on Thursday eveniog when there were twelve shareholders present. The chairman of jUrectors (Mr J. H. Jackson) presided. The minutes of the previous annual meeting haviDg been confirmed, The report and balance-sheet were unanimously adopted. The following is the full text of the report :— " The directors submit herewith the accounts for the twelve months coding 3lst August, 1901, and in doing so regret the want of snooess whioh has attended the company's efforts to strike payable gold. Early in November last the dredge commenced work near where she was built and before the rise in the river won a f6w ounces of gold in deep ground. She was unable to explore the bottom satisfactorily before it bep&me necessary to shut down for the summer. In March of this year the dredge, with the -.fQttqp.rr.enoe of your local directors, was

moved to the bottom end of the olaim and

dredging resumed without sucoess either in finding payable wash or keeping on the bottom. The dredge has since worked up stream to a little above the starting point, still unsuccessfully. Unless better prospects are met with immediately, your direotors will have to again close down and seriously consider the propiriety of taking steps to liquidate the company. On your authority the capital of the company was increased during the year by the issue of 2,500 preference Bhares. Of these, 2,400 shares have been taken up by 80 shareholders, leaving 100 unapplied for."

The balance-sheet showed capital and liabilities totalling £10,515 3a 2d. the assets showing a debit balance. of £1,474 Is Id; towards this however there were calls on preference shares to come in amounting to £992 ss.

In view of the extraordinary general meeting to follow, when the question of liquidation would be considered, no appointment of new directors was made. The remuneration of the directors for the past year was fixed at 10s 6d per jaeeting. EXTRAOBDINABY GENERAL MEETING. An extraordinary general meeting waß held at the close of the above meeting to consider a special resolution proposing that the company should go into voluntary liquidation. The same shareholders were present, Mr J. Q. JaakaQQ, oa&irman of directors, siesidiog. Tub notice calling the meeting having been read, The Chairman in formally moving the resolution (a copy of which they had all received) said he regretted the circumstances ffbioh had necessitated their meeting for such a purpose. He explained fully the financial position of the company and-ehowed that io the position of their finances it was .absolacely impossible for them to proceed f uttber with the work of proßpeoting the claim. The extra capital raised by the oreation of 2,500 preference shares had enabled them, after providing for their liabilities, to get two months' prospeoting and, he was sorry to say, without satisfactory results. They had bottomed from side to side in places and the wash had almost proved to be barren. Of ooarso .ihe whole stretch ol ihe claim, h&tt not been prospected, but he was of opinion that sufficient had been done to give them a fair indication of the value of the olaim as a whole, and on this he considered they were justified in closing down. The motion having been seconded, Mr D. Finlayson asked a number of questions with a view of eliciting the characteristics of the formation of the banks and the general appearance of the claim itself compared with other claims iv the vicinity. , The Chairman, by the aid of a sketch i map, showed the features of the olaim. Mr York asked if it would not be possible to raise further oapital on the security of the | dredge, in order to give the claim a further trial ? The Chairman explained that it was not possible to raise money in the manner suggested. The amount that had been previously obtained from the bank was on the personal guarantee of the directors. In reply to Mr Finlayson, the Chairman said it was the lower cud of the olaim that had been tested. They had worked from the lower boundary up to the place where they had first commenced operations and had bottomed from aide to side, but always with the same resnlt. The depth of wash varied from a few feet to 43ft. Erom their prospecting payable wash did not appear to exist, though the up-country direotors were still sanguine about the future of the claim and urged a further trial, but under the circumstances he did not favor this course.

After further questions had been answered, it was unanimously carried that the company go into voluntary liquidation.

Mr Finlayson moved and Mr Stokes seconded that Mr R. Filling, jun., be appointed liquidator at a remuneration of 5 per cent, on the amount realised from assets, and that the present directors retain office as an advisory board.— Carried.