GOLD FIELDS COMMITTEE (REPORT OF, ON PETITION OF R. H. J. REEVES, M.H.R., AND OTHERS, OF CHARLESTON AND WESTPORT, TOGETHER WITH MINUTES OF EVIDENCE.

Appendix to the Journals of the House of Representatives, 1879 Session II, I-03a

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Sess. 11.—1879. NEW ZEALAND.

GOLD FIELDS COMMITTEE (REPORT OF, ON PETITION OF R. H. J. REEVES, M.H.R., AND OTHERS, OF CHARLESTON AND WESTPORT, TOGETHER WITH MINUTES OF EVIDENCE.

(Brought up 31st October, 1879, and ordered to te Printed.) EEPORT. The Gold Fields Committee, to whom was referred the petition of R. H. J. Reeves, M.H.R., and others, of Charleston and Westport, Nelson South-West Gold Fields, representing the present inadequate supply of water there for mining purposes, and praying that inquiry be made into the subject, have directed me to report the following resolution, viz. : — " That it is desirable that the Pour-Mile Race should be constructed, and the Committee see no reason why the agreement made between the Government and the Buller County Council should not be carried out. They therefore recommend the Government to make provision accordingly." The evidence taken before the Committee is attached hereto. C. A. De Lautotje, 31st October, 1879. Chairman. MINUTES OP EVIDENCE. Thuesdat, 30th Octobee, 1879. J. B. Fisheb, Esq., M.H.R., examined. 1. The Chairman] Will you be good enough to make a statement of the facts of this case ? —I may state that in the Charleston District the whole of the area named in the petition is composed of goldbearing cement; and some years ago, when the gold field was first opened, the richest part of it was worked out by means of crushing machines. The difficulty in the way of obtaining the gold there, particularly in the ground which is not rich enough to pay for crushing, has always been the want of water. It paid those who worked the richest part of the ground, even though they had but little water; but, as I have said, the richest parts have already been worked out. There now exists a large quantity of ground which could be worked profitably if there was plenty of water available. The question of constructing this Four-Mile Water-race has been before the Government for a number of years. Some years ago a company was formed for the purpose of bringing in this Four-Mile Water-race, which was estimated to cost £14,000, and about a mile and a half of the race was constructed. Then, however, the public works scheme came up, and this, with a number of other causes, conduced to take away the moneyed part of the population ; and the result was, that the people who remained were not able to carry on the work. A large number of miners and others remained, however, in the hope that the work would be completed. The necessity for the work was strongly urged upon the Government in 1877, and a sum of £15,000 was placed on the estimates for the purpose of constructing the race. That vote, however, was allowed to lapse, the Government being full of other business. Last year further representations were made to the Government, and they instructed their Engineer, Mr. O'Connor, to examine into the matter and ascertain whether there was any necessity for this particular race, and to report on the subject. He made surveys, and prepared plans and specifications, which are all ready. Mr. O'Connor's report is printed in the Appendices to the Journals of the House of Representatives, 1879 (Sess. 1., E.-l, pp. 41-42). He says, "The project comprehended under the title ' Four Mile Water-race,' as set forth in previous annual reports, comprised—(l) The purchase of the Argyle Water-race Company's reservoir, service dams, and water-races (except only their race known as Race No. 2) at Charleston ; (2) the improvement and enlargement of the said reservoir and works ; and (3) the construction of a further supply race from the Four-Mile River to the said reservoir, with headworks at Four-Mile River." With regard to the first of these points, relating to the purchase of the Argyle Company's water-race, I have only to say that the Government actually did purchase the race for £3,000. I was informed by the Government officers that the principal reason which actuated the Government in making this purchase was, that they thought that by doing so they would put an end to all anxiety with reference to the carrying-out of this scheme; they thought, in fact, that the prime movers in the matter were persons who wished to get rid of the Argyle Water-race. That was a mistake, however, on the part of the Government, who had not made themselves acquainted with the fact that those who had moved in the matter were really anxious to get water in order that they I—l. 3a.

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might be enabled to work their claims. After the Government had made the purchase the clamour increased on the part of the bond fide miners. These people complained, and with very good reason, that the purchase of the Argyle Water-race by the Government in no way increased tbe supply of water in the district. It was, in fact, of no advantage to the people there. So far as the benefit derivable from the Argyle Race was concerned it did not matter whether it was owned by the Government or by private individuals. What the people wanted was more water ; not a new owner for that already available. Now, with regard to point No. 2, which refers to the improvement and enlargement of the said reservoir and works, the only improvement the Engineer suggests is to raise the wall of the dam ; and the people say that during the nine years this dam has been constructed it has never been full but once, so that unless the means of supply to the dam are increased, the carrying-out of the second part of the scheme would be of no benefit at all. The estimated cost of Part 2 of the scheme is £3,500. With reference to Part No. 3, relating to the construction of a further supply-race from the FourMile River to the reservoir known as " Haines's Dam," Mr. O'Connor says that the length of'the race as now surveyed would be 7 miles 30 chains, and its cost about £7,500. The total cost, therefore, would be about £11,000. It is only by giving effect to that scheme that the people in that district can be benefited. I may say, further, that Charleston was in a declining state until about two years ago, when we had had about two years' solid rainy weather. To show the Committee how much rain fell, I have only to mention that no less than 127 inches of rain fell in Hokitika in one of these years. The effect of this continued wet weather was to erect the Charleston District out of a state of stagnation into one of great prosperity. It is a well known and recognized fact in Charleston that five months' continued dry weather would ruin the district and the people, and that the construction of this race would shut out all chance of such a calamitous result. 2. Tou told us yesterday that Mr. O'Connor had changed his mind since making his report? — Tes. Mr. O'Connor was under the impression that the purchase of the Argyle Water-race would meet the requirements of the agitators until September last, when he went to Charleston, and was interviewed by a body of miners who were waiting for the water. These people waited on Mr. O'Connor, and assured him that they and numbers of others held areas of ground, to which they had been clinging for a length of time, and which they had continued to work for a miserable pittance, in the hope that some day this water-race would be constructed. They showed him that they had only obtained five and a half heads of water from the Argyle Water-race, while they were willing to take thirty Government heads at £3 per week. They showed him, moreover, that if they had more water they could give employment to twice the number of men now engaged upon their own workings, and that a three or four times greater number would be employed upon new ground, which would be opened up immediately they had the water, or whenever it was known that the race was to be opened. They showed him also that the works upon their various areas would afford constant employment to a large number of men for from fifteen to twenty-five years to come. I may inform the Committee that, taking in Sardine and Ballarat Terraces, and Charleston and Fenian Flats, the total area of ground affected and rendered workable by this race would be four square miles, and the whole of this ground would be commanded by water if the Four-Mile Race were constructed. A large number of the men who are now only doing two or three days' work each week would be employed constantly, and they would be able to earn from £7 to £9 per week, instead of about £2 10s., as at present. I am informed that the effect of Mr. O'Connor's interview with the miners was, that he reported to Government that he had greatly modified his views as expressed in his report. He concluded that the construction of this race would be a profitable undertaking to the country, and that the effect would be, not only to put the men in a position to make more money, but it would also open up a large area of new ground, and give employment to a large number of other men. The effect of Mr. O'Connor's last report to the Government was, that the Hon. Mr. Macandrew, as Minister for Public Works, instructed the Engineer to place a sum on the estimates for the construction of the Four-Mile Water-race. When Sir George Grey, Mr. Macandrew, and other members of the Ministry were down at Westport in 1878, they promised that when the two-million loan was raised, they would take care that this water-race was one of the first works proceeded with. That was Sir George Grey's promise to the people of that place. I may say also that so anxious are the people to have the race constructed, and so sure are they of'the reasonableness of the request, that the County Council, in 1878, informed the Government that if they would construct the race, they (the County Council) would undertake to pay the interest on half the cost; and on the 30th August, 1878, Mr. Knowles, the Under Secretary for Public Works, wrote to the Chairman of the Buller County Council to the following effect: —" Sir, —Referring to your recent interview with the Hon. the Minister for Public Works, relating to the construction of the Four-Mile Water-race, lam directed by the Minister to inform you that the Government agree to comply with your request, and that the vote of last year will be renewed; the work to be proceeded with on condition that the interest on half the cost of construction shall be paid by the Buller County, and that any profits which may accrue from the race, over and above the cost of its maintenance and management, shall be applied to recouping the outlay by the colony, and thereafter it shall become County revenue." The Buller County Council accepted these terms, and I presume it was in consequence of that agreement, as well as from a conviction of the desirability of the work from a colonial point of view, that Mr. Macandrew instructed the Engineer to place the necessary money on the estimates. To show how rich the district is, I may inform the Committee that between the Ist April, 1866, and the 31st March, 1879, the total amount of gold procured in the district was 321,980 ounces, valued at £1,287,920. This gold was obtained in Charleston District alone. 3. Mr. Brown] Tou have given the quantity for the last thirteen years. Could you not give us the figures for the last three years ? —I have not got them. The yield of gold has been maintained during the last several years, and the miners are making Charleston their permanent home. I went down there and saw several of the miners, and I found that eleven owners of claims, instead of employing twenty-four men, were prepared to give work to forty-eight if they got the waterrace, and that they would take eighteen and a half heads of water for sluicing purposes. The

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men who gave me this information owned claims varying in extent from three to seventeen acres, and they have work before them for terms varying from four to twenty-five years. I may say, moreover, that the Warden of the district, Mr. Charles Broad, on the 2nd October, 1876, sent in a report to the Government, in which he very strongly urged the construction of the FourMile Race as a matter of public policy, as well as a benefit to the district. And I may say that Mr. Broad is one of the most experienced Wardens in New Zealand. These men held about ninety-seven acres ; but about four square miles of country would be commanded by the water if the race were constructed. 4. Mr. Ireland] Is the source sufficient to give an ample supply of water?—Tes. 5. How many Government "heads" of water would it give?— About thirty heads of 20 inches each. 6. Mr. Hirst] Would it enable more ground to be worked ? —Tes ; a large area. 7. Would there be a fall ? —Tes ; it is pretty close to the sea, and about 300 feet above it. Tou could not wish a better fall. 8. Mr. Seddon] Do they work down to the creeks ? —They work down to the creeks, and come out again on the beach. 9. Mr. Reid] What was the sum Mr. Macandrew ordered to be placed on the estimates ? —I suppose £11,000 —the sum recommended by Mr. O'Connor. There is another argument why the Government should do this work —namely, that they are at present maintaining a staff there for the management of the Argyle Race, which they have bought; and the same staff would be sufficient to manage the Four-Mile Race. 10. Could the work be done for less than £11,000 ? —I do not think so. I imagine that all the Committee can do is to recommend the Government to carry out the scheme. 11. Mr. Murray] Have the petitioners brought their claim before the Government ?—Tes, in 1877. 12. What was the nature of the security which the Buller County Council could give for the payment by them of the interest on half the cost of constructing the water-race ? —I cannot exactly say, but it was very good security. 13. Why could the County Council not do the work themselves ?—Because they have not sufficient funds. The total revenue of the county is only about £4,000 a year. 14. Is this a question of public policy ? —No ; it is a question of funds. If the County Council had the funds, they would do the work at once. 15. The Chairman] Under the Counties Act, the counties have no power to go into mining enterprises ? —No. By Authority: G-eobgb Didsbuby, Government Printer, Wellington. —1879. Price 3d.] ,