MINES STATEMENT BY THE MINISTER OF MINES, THE HON. W. J. M. LARNACH, C.M.G. 24th JULY, 1885.

Appendix to the Journals of the House of Representatives, 1885 Session I, C-06

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1885. NEW ZEALAND.

MINES STATEMENT BY THE MINISTER OF MINES, THE HON. W. J. M. LARNACH, C.M.G. 24th JULY, 1885.

Me. Speaker,— Sir, —In the early part of January I joined the Government, and accepted the important portfolio of Minister of Mines. I was aware at the time that the position would entail a large share of responsibility and application. I therefore determined to acquaint myself with the practical details of the mining industry, and with that view to make a personal inspection of all the principal mining centres throughout the colony. West Coast. At the end of January I left Wellington en route for the West Coast via Picton and Nelson, accompanied by the Hon. the Premier, and Mr. W. N. Blair, •of the Public Works Department. On the evening of the day following our arrival at Nelson we proceeded to Eoxhill, and the next morning commenced our journey to Eern Flat, where we arrived and remained for the night. Butter Valley. —We first began to enter upon country that had been practically prospected for gold, near the junction of the Mafcakitaki River with the Buller, and shortly after reached the important mining locality known as the Lyell, but were only able to remain there a few hours, and, unfortunately, during the time the rain came down fast and furious. We, however, saw several deputations of miners and learned the wants of the district. This goldfield seemed to possess some rich quartz reefs, that were being actively worked. The United Alpine Company have a reef 10 feet in thickness, yielding an average of 15dwt. to the ton; and alluvial ground has been operated on to advantage. The Hampden and Murchison District, close to the Lyell, is also rich in alluvial auriferous ground, which annually produces a large return of gold. The chief want appears to be tracks and roads to open up the heavily-timbered lands, and thereby enable prospecting to be carried on actively. We afterwards proceeded across the Lyell and down the Buller, then across the latter by punt, and thence to the Inangahua Junction, where alluvial mining is being worked in " patches," and several of the miners with whom I conversed led me to infer that they were satisfied with the results of their labours. Not far distant from this locality are some very extensive limestone caves, in which a number of miners are working, and obtaining gold sufficient to remunerate them. We continued our road along the banks of the Buller to Westport, where we arrived in the evening. The next day was devoted to an examination of the general features of the harbour, and the Premier laid the foundation-stone of the proposed new harbour works.

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Charleston. —During our sojourn at Westport I was enabled to visit Charleston, on the coast, where a great deal of mining had been done in years past. The district, however, when I saw it, presented a depopulated appearance. Around the old workings, some two to four miles back from the town, I found active mining going on by several parties. Alluvial mining by sluicing seems the method that obtains, but a much greater supply of water is necessary to thoroughly develop the auriferous capacity of a large area of ground. An important work, the Argyle Water-race, is being constructed on the siphon principle, and will likely become of great benefit to mining interests when completed. While at Charleston I met several Shetlanders who had been residing about four miles away on the sea-coast for many years, their chief occupation having been mining on the sea sands. Every tide that flows to the shore brings them a portion of their daily harvest, and their earnings from this source throughout the year run from 15s. to over £1 per diem. Between Charleston and Westport I passed through Addison's Mat, where several well-paying claims are actively at work. The mining is deep alluvial, and much of the washdirt very rich. Water, however, is somewhat troublesome to keep down. Ngakawau Goal Mine. —-We occupied one day in visiting and inspecting the Ngakawau Coal Mine, on the Denniston Plateau, belonging to the Westport Coal Company. It is needless to say that the extent of this coalfield is almost boundless, and the quality of the coal superb, either for steam or gas purposes. The same remarks will apply to the Koranui Company's mine, not far distant, and in the same neighbourhood. Each proprietary has had enormous difficulties to overcome, and has been compelled to spend large capital in winning the coal and in providing means for conveying it to port for shipment; but when the harbour is improved sufficiently to admit vessels of large carrying capacity to call in and load at the staiths a very great benefit will accrue to the colony and to the enterprising people who are more directly interested. ILeefton. —On the sth July we followed up the Buller Valley to what is known as " the Landing," and crossed the Inangahua, on our way to Reef ton. Prom this important centre we visited Boatman's, another large reefing district, and saw the low-level tunnel, the famous Welcome Mine, and Fiery Cross battery, all works of magnitude and great enterprise. An immense amount of mining has been carried on at Boatman's and surrounding localities, and I was glad to find that the miners were hopeful of good results to come. A track is much required to Larry's Creek, where alluvial workings exist, and which would benefit the district. Little Boatman's Tunnel had been driven 1,200ft., and there were 2,400ft. yet to drive. From Reefton the next day we went up the Inangahua and saw the Keep-it-Dark and Wealth-of-.Nations Company's works. In the former mine the reef showed a face of Bft., all gold-bearing. I then visited a large mine and powerful battery several miles up Rainy Creek, which was crushing very good stone. The machinery was driven by steampower; and, on the opposite side of the gully from the company's reef, at a distance of thirteen chains, a large seam of excellent true coal was being worked for the supply of fuel to the battery ; indeed, most of the mines using steam-power in the district of Boatman's and Reefton need not look far for fuel, as seams of the finest coal abound over a large extent of country. Grey Valley. —We finally left Reefton on the 9th February, and proceeded to Ahaura, at the junction of that river with the Grey. In the afternoon I went four miles up the Ahaura to inspect some sluicing claims being worked on the opposite bank of the river. A great quantity of the river-bank was being washed by the miners, about twenty in number, who seemed pleased with results, but complained of the inadequate supply of water. We went from Ahaura to Hatter's Terrace on Nelson Creek, some four miles off the main road, and there learned the wants of the miners. A Resident Magistrate and Miners' Court was asked for, to sit monthly; also aid to prospecting, to impart fresh stimulus to mining in the district; while the charges made on the Nelson Creek water-race and rents for leases were complained of as

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too high. A road was required from Nelson Creek to No-Town, a distance of six miles by Kangaroo Mat. About thirty miners were working and prospecting some five miles back from Hatter's Terrace. In proceeding to Greymouth across the Arnold Bridge the unsound state of the structure was brought under our notice. We passed on to Greymouth, and arrived in the afternoon. Greymouth. —The next day we visited the Brunner, Wallsend, and other coal mines on the banks of the Grey River. The work done at the former is considerable, and large quantities of coal from the mines on the west side of the river are now being delivered daily on board vessels in harbour. In the afternoon we assisted in depositing two of the principal stones as a part of the foundation and beginning of the new harbour works, which I believe are destined, together with the similar works at Westport, to fix their marks concurrently and indelibly on the future progress of New Zealand. Hokitika and Boss. —We left Greymouth on the 11th, and, branching off at Marsden, visited Maori Creek, or Dunganville, where a number of miners are settled, and doing fairly well. Erom this we went to Kumara, and thence to Hokitika. On the next day we proceeded to Ross via the Mahinapua Lake. At this field I found some most extensive sluicing works. Those of the Ross United are particularly interesting and instructive. Machinery worked by hydraulic power on the turbine principle, and by the same power the whole works are lighted by electricity. We made a point of paying a second visit at midnight, and were highly pleased with the brilliancy of the light produced, the operations of the miners being distinctly visible at a long distance; they have an area of 203 acres to sluice. I returned from Ross to Hokitika by way of Rirnu, where a considerable area of alluvial ground is being profitably worked from shafts at deep levels. I went down the shaft of one company, and, at a depth of 55ft., the drive showed a 4ft.face of rich washdirt, composed of loose sandy loam and gravel; and this seemed to be the general nature of the gold-leads in the Rimu Valley. In company with the Premier, I afterwards inspected the Hokitika Harbour .works, and, from the contract then going on —judging by the substantial character of the timber and stone being used to protect the entrance from the ocean to the river—l am disposed to view the past and present efforts of the Harbour Trust favourably. My time was entirely taken up the following day by visiting Humphrey's Gully Gold-Mining Company's leasehold and works, about twenty miles from Hokitika, one-half of the road being over a very indifferent bridle-track. This company, which is employing a large amount of British and colonial capital, has constructed a splendid race for ten miles by heavy tunnelling, fluming, and cutting. The fluming was the most substantial and best work that I had seen. A large dam had also been made, to form a sufficient reservoir to supply the race with water to sluice before it 207 acres, the area of the company's ground. This great enterprise deserves success and encouragement. While in the Hokitika district I regretted that the want of roads prevented my going further south than Ross, as I learned that prospectors were trying to make their way towards Martin's Bay, satisfactory indications having been noticed of an extensive tract of country in that direction being auriferous, and which is still practically unknown. I may also mention that Hokitika has every prospect of having its own coalfield opened out at no distant date. A seam lift, thick of excellent true coal is known to exist close to Kanieri, and steps are being taken to work it. Kumara. —On the afternoon of the 15th February I left Hokitika for Kumara, and during the next day I inspected the famous sludge-channel, and the site suggested for the proposed No. 2 channel, also the principal claims as far as the Teremakau River. Looking at the extent of the Kumara field, from the period it was first opened, I think that it, comparatively, stands first in the colony in extent of real mining in the space of time ; and there is still plenty of room for the industry to expand in the district, if means can be devised for an increased water-supply, without which no great advancement may be looked for.

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Before closing my remarks upon the West Coast, I take this opportunity of acknowledging the cordial and generous assistance and practical advice I received from Mr. O'Conor, Mr. Seddon, Mr. Menteath, Mr. Guinness, and Mr. Bevan, M.II.R.'s, each of whom, from time to time, accompanied me through their several districts. We left Kumara en route for Canterbury via Otira Gorge and Bealoy, arriving at Springfield the next evening. On the following day I visited the Springfield Coal Mine, where I found a great deal of work had been done, which had necessitated a large expenditure of capital. The plant was of a substantial character, and the product appeared to be a useful brown coal, extensively used by settlers in the surrounding agriciiltural district. ■ Nelson. I went on to Christchurch, and left there the same day for Blenheim via Waikari, Hurunui, and Hanmer Springs, across the Waiau —a most dangerous river, that ought to be bridged —then down the Clarence, Acheron, and Awatere, to Blenheim. Here I desire to point out that, under the old provincial land laws of Nelson, certain large reserves were made, on different lines of road, of some of the best lands for accommodation houses, and a bonus, with commission, agreed to be given by the Provincial Government for the erection of buildings for the shelter and convenience of travellers. These lands were leased to the runholders in certain cases, free of rent, conditionally that houses were built, furnished, and conducted in a sufficient and proper manner to afford decent accommodation to the traveller. I regret to say the arrangement has been abused by the runholders. In my journey one day, over sixty-five miles of a wearisome track, I found, on one of these reserves, a miserable shanty, almost unfitted for habitation, and badly provided in every respect, the occupants of which, tenants of the runholder, informed me that their landlord would only give them a monthly lease, as he did not wish them to provide comfortable accommodation —or, in other words, he was opposed to travellers stopping on the reserve. Another accommodation shanty had been burned down a few years ago, on another reserve in possession of the same runholder, but had never been rebuilt, notwithstanding that he had enjoyed the use of 1,820 acres of Crown lands without paying anything for it. There are other cases of a somewhat similar nature in the Nelson Provincial District, and I allude to the circumstance here, as roads and facilities for travelling through and about the country must materially promote or retard the progress of the mining industry. Leaving Blenheim, on the 24th Pebruary, I went up the Wairau liiver, via, Tophouse, and across the Little Motueka, at Stewarts, and thence to Nelson on the 26th. Copper Mines. —The next day I spent in visiting the Champion Copper Mine, situate a few miles over the hills behind Richmond. I found that extensive work had been done and much was still being carried on; large quantities of native copper had been brought to grass, and shafts were being put down to strike the lode at a greater depth, the result of which, I believe, from indications I saw, will be satisfactory. Machinery for better working and smelting at the mine was expected to arrive from America, when I trust the hopeful anticipations of the Company will be realized. The United Copper Mine lode, the ore of which is of a promising character, is about one mile from the Champion, and now held by the same proprietary. Gollingwood. —After returning to Nelson I went by water to Collmgwood, reaching there next morning. I then proceeded to the Parapara haematite Avorks, where I saw some wonderful deposits of haematite ore —a whole mountain of it, with masses showing above the surface ranging up to 20ft. in diameter. Near the works is a gorge containing large haematite boulders. In the locality coal, and marble, or crystalline limestone, can be procured in quantities. I am disposed to think that, with the initiation of the public works scheme, the utilization of the immense iron deposits here in the manufacture of rails w rould have been a step in the right direction. I rode a few miles up the Parapara to the Glengyle Gold

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Mine, where a party seemed to be doing very well, judging by the prospects they were good enough to show me. Sluicing was their mode of working. I learned that there were others mining in the same fashion further up the stream. The following day I went to llichmond Hill Silver Mine, the track leading to it being a very difficult one. This mine has done nothing for several years for want of means, and, so long as the rent is paid before the 30th June in each year, there is no power to compel the proprietary to resume work. The lease was issued under " The Nelson Waste Land Act, 1863,'" for 320 acres, from the Ist January, 1876, for twenty-one years, at a rental of £16 for the first two years, and £16 per annum for remainder of term. It is much to be regretted that the mine is not actively worked, for there is evidence already of a large lode of ore, and probably other lodes at deeper levels, and more than one analysis of the ore has proved it to be enormously rich in the percentage of silver that it carries. I then visited Johnston's United Gold-Mining Company, at the locality known as " The Bedstead." The prospects that were being obtained were sufficiently encouraging to warrant the company in going to the expense of machinery, which was about to be conveyed to and erected at the mine. On the following day I inspected the Gollingwood Coal Company's Mine, and the site for the proposed wharf. This company have been winning coal and sending it to market for many years. I therefore felt somewhat disappointed that their works had not been planned in a better way, to have avoided so much handling and shifting of coal; nor is their incline of 650ft.—which is as quick as the steepest part of the Westport Mine—in as good and safe a condition as it ougfht to be. The company have, all through their existence, been working with "insufficient capital; and, until they are prepared to face that question in a businesslike manner, I cannot recommend any outlay for proper wharfage accommodation. When the time arrives to warrant such expenditure then a wharf ought to be constructed at a place that would prove convenient to receive the products of all other coal seams, of which there are several in the immediate neighbourhood. Large masses of marble or crystalline limestone abound here. Near the water where the coal is at present shipped are cement works, with a very good plant; but the operations of manufacturing seem to me too costly to be successful. They consist of a tedious process of calcining limestone and crushing clay before mixing the ingredients together. The works are now idle. Takaka Valley. —I left Collingwood in the morning for Motueka, and rode along the sea-beach —there being no other track—until I reached the Valley of the Takaka. I noticed flat-lying reefs on the beach, and papa rock or kind of pumice, similar to stone seen at Moeraki, in Otago. I also saw several places where the Maoris had w rashed payable quantities of gold from the sea-sand; and further on I visited some haematite paint works that had been established for the purpose of utilizing a large deposit of argillaceous haematite by manufacturing it into paint. From the sample I saw of several tons made up ready for shipment, I think that a useful and marketable commodity can be produced. After remaining the night at Takaka I visited a mining locality about four miles distant among the hills, where a few miners were scattered and workingon "patches" of payable ground. In this direction, across the Takaka, I saw two very curious freshwater springs, together over 100ft. in width, and 2ft. to 3ft. in depth, which rose quickly and vertically from limestone basins in a valley. The larger spring seemed to come through a fissure in the limestone rock about 20ft. below the surface of the water, and when joined with the smaller one formed a large-sized river, which flowed its course at the rate of several knots per hour. I was informed that these springs were always clear and regular in their currents during any kind of weather. Motueka Valley. —l then continued up the Takaka Yalley to the dividing range before descending to the Valley of Motueka. A fair quantity of very good land is to be found on the Takaka side of the range, with an unlimited supply of limestone in all directions. A bridle-track has been formed over the range, and crosses it at an altitude of nearly 3,000ft. From commencing the ascent until the flat land is reached on the Motueka side a distance of twelve miles is measured. The land on both sides is rich, volcanic, and heavily timbered.

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Large quantities of marble of various colours, both massive and stratified, can be seen throughout the journey across the range. In the Takaka Yalley several saw-mills are actively engaged cutting timber for market. After crossing the Motueka River, and passing down its beautiful valley of hop-gardens and farms, I remained in the township until the next day, when I continued my course overland to Nelson, and thence by steamer to Wellington, where I arrived late on the 7th March. At Motueka I was met by Mr. Hursthouse, M.H.R., who kindly accompanied me as far as Nelson. I wish to record here that, notwithstanding the Collingwood Goldfield was one of the earliest made known, and that the district is perhaps the richest in the colony in mineral wealth—having large deposits of gold, silver, copper, iron, tin, coal, and other minerals within a radius of a few miles —the least assistance to its progress has been given by the State in the way of making roads or tracks ; it has, in fact, hitherto been entirely neglected. A water-race at the mouth of the Kaitttna, near to the "Bonny Doon," would serve to open up about 1,500 acres of payable auriferous land. A road, also, from Collingwood to Karamea would have a beneficial effect in the encouragement of prospecting, and in discovering what has so long been a hidden and unknown portion of the country. Southland. Riverlon and Orepuki. —l left Wellington on my southern tour towards the end of March, and reached Invercargill on the 24th of that month. I started next morning for Eiverton and Orepuki, but did not find it necessary to stay at the former township beyond a short time. At the latter place I visited ground where a great deal of sluicing had been done, considering the small amount of water-power available, and only at irregular periods, for the uses of gold-mining. I was told of several rich "finds" and "patches" of gold that had been secured in close proximity to Orepuki, and here I saw a striking instance of gold being found in quantity in and under rich alluvial agricultural soil of two to several feet in depth. I visited the Orepuki Coal Company's works, about one and a half miles ■from the railway-station, and which had been winning coal a few weeks. The company have laid an excellent line of railway to their pit, and the works they have done for winning coal appear both substantial and suitable. They are working, below the surface 186 feet, a 10-foot seam, overlying which are 4ft. Bin. of apparently good laminated shale. The product of the pit, lam of opinion, is a fair quality of pitch coal. The mine is kept dry by pumping the water by steam-power into the Taunoa Creek, adjacent to the pit. Houndhill. —On my return journey the same day by train to Invercargill I stopped at Colac Bay, and, horses not being available, walked on a corduroy track for four miles to Roundhill Diggings, in order that I might have an opportunity of conversing with the miners and acquainting myself with the Avants and prospects of the district. There, too, is gold being found, in fair quantities, under very rich heavily timbered alluvial soil. The great drawback to a more rapid development of the gold-mining industry in the district is a scarcity of water-power for sluicing purposes, and tracks sufficiently passable to enable the citizens of the mines to move about and carry on their daily toils, their energetic discoveries, their developments in the wilderness, with some semblance of convenience and comfort. One enterprising miner here—and he is only an unit among the many hundreds which this colony can boast of in his class —named Berndtson, has been some years at work constructing, at his own expense, a race seventeen miles long, from an altitude of 400ft. above sea level. After many shifts and straits for ways and means, he has completed nine miles of his course, at a cost of £2,400 ; but he has yet eight miles to do, and, until the whole is finished, this great worker in the interests of pioneering and the mining industry must remain unrecouped and unpaid for the great business he has so long been engaged in. The race will cost other £2,400 to complete, and, as it will be the only one to command a sufficient height to be of use to a large mining community, it appears to me to be a case entitled to fair and liberal consideration.

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In this district I found a population of over four hundred working miners, but nearly 75 per cent., or three-fourths, are Chinese, who seem to congregate here on account of the easv working1 of the alluvial soil. Prom information gathered I came to the conclusion that all the miners were making good wages, but they would be able to do much better were water plentiful for sluicing purposes, and a main outlet provided for tailings. Otago. Wakatvpu. —On the following day I went by train to Queenstown, and arrived late in the evening. The next morning I went to Skipper's and to the head of Skipper's Creek, a distance of about twenty-five miles, over a difficult and dangerous bridle-track. Tenders are, however, about to be called for completion of the dray-road to this locality. At the head of Skipper's Creek I found only one quartz-reefing company in active work (the Phoenix), formerly known as the old Scandinavian Company, and now the property of Mr. Bullen, of Kaikoura A large and valuable plant of machinery has been erected at this mine, and the enterprising proprietor is engaged in adding other costly machines to be worked by electricity, with the view of economizing labour and perfecting his gold-saving appliances. The gold-bearing reef varies in thickness from one to several feet. It also varies in richness; but recently some very large yields of gold have been taken from the mine. It is being worked at several hundred feet above the level of the creek. Considerable enterprise has been shown by the proprietors of the mines here, as every piece of machinery, tools, food, &c, has had to be packed either from Queenstown or the Arrow on the backs of horses or mules. On my return journey to Skipper's, where I remained for the night, I noticed several Chinamen working alone at different spots along Skipper's Creek sluicing old workings, and apparently satisfied. Skipper's. —At Skipper's I shared the hospitality for the night of a miner who had followed the occupation for more than twenty years, and who is likely to do so, I hope, with benefit to himself, for many years to come. He is systematically engaged in working a large sluicing claim on the bank of the Shotover River, having brought water to it from a high level for a long distance at considerable cost. Being of an ingenious and clever turn of mind, this enterprising miner, in a lonely part of the colony, has taught himself to manufacture iron pipes and fixings necessary for his hydraulic works. He therefore has sheet-iron and rods conveyed to him by packhorses over a difficult and dangerous track to his place. He employs from six to ten men on his sluicing works all the year round. His large operations, I am led to think, are paying him well, and deservedly so, for I never met, during my experience on gold fields, a more enterprising and intelligent miner than Thomas Aspinall, a member of the Lake County Council. After remaining all night at Skipper's, I left on my return journey to Queenstown, where, after a few hours' delay in receiving sundry deputations, I took steamer to Glenorchy, at the head of Lake Wakatipu, and arrived there that night at eleven o'clock. Glenorchy. —ln the morning I was early in the saddle and rode some eighteen miles beyond the head of the lake, up the Rees River, to the Invincible Quartz Mine, which was being worked by a company at an altitude of some 1,500ft. above the level of the river. This reef seems to be of a lasting nature. It is 16ft. thick, with gold thinly but evenly dispersed through the stone, and yields with regularity an average of 15dwts. of gold to the ton of stone. The mine is worked by water-power, a plentiful supply of which the company have been enabled to secure without any great expense. On my journey to this mine I observed two other reefs that had not been touched cropping out upon the surface at different spots long distances apart. After completing my inspection I rode back to Glenorchy, and continued my journey in an opposite direction towards the foot of the lake for a distance of five miles, to a mine where a considerable deposit of scheelite, mixed with quartz showing gold, had been discovered and was being worked. This mine had only been recently opened, but, from indications 1 observed, I formed an opinion that further developments of scheelite would be made in the same locality. This

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mineral I believe to be worth about £25 per ton on board ship. The present drawback is the want of a track. I returned to Glenorchy, and after a short stoppage left for Queenstown by steamer. Arrow and Mace Towns. —The following morning I drove to Arrowtown, and then rode on to Macetown, a distance of ten miles further on, returning to Arrowtown the same evening. At Macetown there are several reefs opened in the district, the most noted for richness is the "Tipperary," which has long paid handsome dividends to its shareholders. Indeed, the whole of this country abounds in payable reefs, but cannot be worked to advantage at the present time for want of sufficient water-power. A great future, however, I believe to be in store for it. Gardrona and Wanaka. —After remaining at Arrowtown all night, I left for Cardrona and Wanaka Lake, a distance of about thirty-five miles, crossing over the Crown Terrace, and following the Cardrona down its course nearly to the lake. A large quantity of ground on both sides of the Cardrona had been worked many years ago, and there are several spots along the stream still being actively re-worked by Chinese, in large parties, and, judging by their comfortable and substantial habitations and their contented looks, I concluded that they were doing well. I came upon an enterprising old European miner, with a young lad as a mate, who together had just completed a water-race of one mile and a quarter in length in ten weeks, their object being to test the supposed riches of the terraces on one side of the Cardrona by sluicing. After conversing for a time with my new friends as to their prospects, I succeeded in overcoming their reticence, and learned sufficient to assure me that their many weeks of toil had not been spent in vain. The new industry they had started in that lonely spot promised to reward them well, and to encourage the growth of a community ere long of other similar workers in their neighbourhood. In continuing my journey to Lake Wanaka, I must ask to be allowed to diverge for a little while from mining to forest-planting, for I suddenly came upon a beautiful plantation of twenty-five acres of various trees and shrubs that belonged to the county. It is a portion of a nursery containing 100 acres, one-fourth of which has been carefully and excellently planted within about six years, and planting, at the rate of about five acres per annum, is still going on. The whole has been done under the careful supervision and watchfulness of Mr. McDougall, an old colonist and enterprising merchant at Pembroke. I may mention the enormous benefit this little nursery has been to districts for many miles surrounding it on all sides by the distribution of valuable trees grown from seeds and acclimatized at a high altitude in a southern portion of the Middle Island. Criffel. —On arrival at Wanaka or Pembroke I learned during the evening that a discovery, recently announced, of a promising alluvial goldfield had been made near the summit of Mount Pisa, overlooking the Cardrona Eiver, Lakes Wanaka and Hawea, nearly 4,000ft. above the river, distant about nine miles from Pembroke. The diggings are known as "Criffel." I determined to visit the locality, and accordingly started the next morning on horseback with Mr. Hamer, of the Mines Department, and Messrs. McDougall and Thompson as our guides. After three hours' climbing we reached several of the workings, and found the miners at first disinclined to part with information; however, knowing the general run of their frank and honest dispositions, I interviewed them straightforwardly, and told them the purpose of my visit. We were not long in getting upon good terms with one another, until I was taken from claim to claim, over a distance of nearly two miles, and shown good-sized bags of fine gold, the results of a few weeks' work. I learned that there were then about fifty miners on the field prospecting, about thirty of whom were on payable gold. One veteran miner, well and favourably known on the southern mines, who has had many ups and downs, and was again on for another " up," in reply to my question, "Are you satisfied with what you are doing ?" called his son and told him to " throw a shovelful of earth into the dish and wash it before Mr. Larnach." The son did this, showing a result of over ldwt. of fine gold, which my friend insisted upon my carrying away as a memento of

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my visit to Criffel. The drawbacks to the progress of the field are want of tracks and water. Up to the time of my visit only water for half an hour's washing per day could be stored during the night previous by damming up a small spring ; but one enterprising party —the discoverers, I believe, of the field; Messrs. Wilson, Holloway, and Co.—are engaged in constructing a race fifteen miles long, to bring in six heads of water for their own use, at a cost of from £1,200 to £1,500. I predict that a big rush will be made to this field in spring, as I am aware that parties at work there last summer netted handsome returns. If, however, this large gold field is to be worked with advantage to the colony and in the interests of mining, a considerable outlay will yet have to be made in the direction of water supply. I have been informed that an additional quantity can be procured from the head of the Luggate Creek, also from the stream known as the Gentle Annie. This new goldfield is a valuable one and deserves much attention. As snow covers the field thickly during the winter months, no work of consequence can be done upon it until the coming spring. Cromwell.—l returned to Pembroke during the afternoon, and left for Cromwell, which place I reached late in the evening. The next morning I proceeded to Bannockburn, where I inspected several large sluicing claims in operation in that district, and the Pipeclay Gully Sludgechannel, aided in construction by the Government. Dunstan. —I returned to Cromwell, and then went on to Clyde, where I remained for the night. Mining matters both here and at Cromwell are dull, but particularly so at Clyde. I am, however, disposed to think that an increased water supply at both places would enable most of the old workings to be re-washed with much advantage to the communities in each district. Black's—From Clyde I proceeded to Tinkers, Dry bread, and Sugar Pot. A the latter I saw the Undaunted and Blue-duck Sluicing claims, each work showing large mining enterprise. I then went on to Ophir, and remained for the night. Here I inspected the chief workings, and the Ophir Sludge-channel before proceeding on the next day to White Horse, Cambrians, Vinegar Hill, and St. Bathans, en route to Naseby, which place I reached late in the evening. Tinkers and St. Balkans. —At Tinkers and nearer to St. Bathans some of the sluicing claims were doing well, and were being worked on an enterprising scale. I observed St. Bathans Sludge-channel and Muddy Creek Channel to be in an unfinished state, through want of funds to complete them, and I think that the completion of these works will prove very beneficial to the district, as a greater supply of water-power could be advantageously used both in this neighbourhood and at Ophir, where a high level supply is very necessary to properly work the field. Near to St. Bathans Mr. Ewing is actively engaged in some extensive operations in mining by hydraulic sluicing at a low level, and he employs constantly a large number of men. At St. Bathans I was met by Mr. M. J. S. Mackenzie, M.H.E.j who was good enough to travel with me through the district. Naseby.- —At Naseby some great mining works have been accomplished, foremost among which is the Mount Ida Water-race, constructed at a cost of over £65,000 to the State. Its entire length covers about seventy miles, and it has been of incalculable value to the district in aiding to develop its riches. The mining carried on at and around Naseby is at present alluvial, and in some cases gold is being found at a considerable depth in payable quantities. There is no doubt that in this district, as also in many others I have visited, it is only a question of increased water-supply to result in an enormous addition to the gold production. Alexandra. —Having stayed two nights and a day at Naseby to inspect its many mines, I left for Alexandra, a distance of about sixty miJes, where I arrived in the evening, having visited on my route a quartz reef being opened on the Rugged Ridges, and known as the Otago Central Gold-Mining Company. This district I believe to abound in reefs, that only await capital and enterprise to work them. Gold-Dredgers. —The next morning I proceeded up the Clutha River some distance, where a large steam-dredge was at work. I boarded the dredge and acquainted 2—C. 6.

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myself with its operations. I was informed by one of the proprietors that the washingup was performed twice a week, yielding an average of about 30oz. each time, or equal to 60oz. per week. I saw some of the gold, which was bright and pure, and inclined to coarseness. But here there is much need of improved gold-saving appliances, as much of the fine gold is lost through the heaviness of the black sand brought up with the washdirt and manipulated with it. This dredging company have two miles of the river frontage included in their lease ; and, considering that the width of the river averages, at this locality, about five chains, I came to the conclusion that the area of river-bed granted to one company was too great, and approached monopoly. I consequently communicated to the Warden of the district my opinion that one-fourth of the area would be a fairer allotment to grant in the first instance to similar dredging companies. This extent of riverbed water may perhaps be thought too small by some honourable members ; but I feel convinced that one mile ought to be the maximum in any case. The dredge referred to is anchored in the centre of the stream, and, during the months she has been at work, the proprietors have found it unnecessary to alter her position very much. Roxburgh. —l crossed the river at Alexandra and went in the direction of Roxburgh, stopping on my way to visit a reef that is being worked at a high elevation on the Old Man Range, the proprietors of which seemed satisfied with their prospects, although they had no crushing machinery as yet on the ground. I then went on to Roxburgh, where I put up for the night. In the morning I crossed the Molyneux or Clutha to inspect the mining operations being carried on opposite to Roxburgh by hydraulic sluicing in the dry portions of the bed of the river; and, to give an idea of the advantage of having plenty of water-power for this purpose, one party showed me three small specks of gold, and informed me that such a prospect to every small truck of washdirt, with plenty of water at their disposal, meant a result equal to £10 per man per week. It must therefore be evident that, even in ground moderately auriferous, it becomes only a question of ample water-supply to enable a quantity of washdirt to be made use of within a given time to recompense the miner handsomely for his labour. I proceeded on my way to Lawrence, and while passing down the river I noticed, in the vicinity of Roxburgh, towards Miller's Mat, at different localities, some half-dozen water-wheel dredges, all of which, I was informed, were doing well. Tuapeka. —l remained two nights and nearly two days at Lawrence; one of the latter I occupied by going across the hills to Waipori, a distance of about eighteen miles, and was accompanied by Mr. J. C. Brown, M.H.R. The diggings of Waipori are among the oldest of the Otago fields, and during their earlier history could boast of a large and prosperous population, but now the active workings are few, and the community small. There, too, a satisfactory revival would take place with a plentiful water-supply and some judicious aid to enable the miners to thoroughly test deep-sinking at a low level. Judging by the natural contour and appearance of the country, compared with similar configurations that I have seen in Australia and America, there are good reasons to anticipate excellent results from deep sinking. I returned to Lawrence, and next morning I inspected the Wetherstone's Flat workings and deep-sinking shaft. The latter, under the management of the Tuapeka Prospecting Association, has been sunk 275ft., with a drive of 214ft. The promoters are hopeful of their prospects, but require further moderate aid in assisting a greater development of the mine. Some very extensive mining operations in this locality are being successfully carried on by the honourable member for Tuapeka and others. I then inspected the Lawrence Drain or Sludgechannel, which seemed to be doing good work, and towards which £2,000 were voted by the House. I also visited Gabriel's Gully, Blue Spur, and the principal mining works in that locality. At no part of my tour of inspection have I seen more interesting and practically scientific hydraulic workings than those in full operation at Gabriel's Gully. To thoroughly understand them they must be seen. To see them is to appreciate the practical skill and enterprise of a mining community.

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Switzer's. —I have to express my regret that through want of time, the district being so much out of the line of my track, I was unable to visit the important mining centre of Switzer's, on the "Waikaia River; but, from my personal knowledge of the field, I am aware that it has produced large quantities of gold, and, from its extensive area of alluvial auriferous ground, it will continue to do so with a sufficiency of water-power for sluicing. Indeed it is believed by those having a long experience and knowledge of the surrounding country that the large terraces on both sides of the Mataura River would yield good returns of gold, and pay enterprise satisfactorily, with an ample water-supply to work them. In the afternoon I proceeded to Dunedin by train, through Waitahuna, where there are still a number of Chinese and a few Europeans engaged in mining. I desire to state that during my journey through the mines of Otago I had the advantage of the company and valuable experience of the honourable member for the Dunstan, Mr. Pyke. Canterbury. With the object of visiting the Canterbury mines I left Dunedin, on the 15th April, by steamer for Christchurch, and arrived there the following morning. Goal Fields. —On the same day I journeyed to Malvern District, and stayed for the night at the house of the honourable member for Coleridge, near Springfield. The next morning Mr. McMillan was good enough to accompany me on my trip, and during the day I inspected Mr. Dean's Homebush Coal Pits and brick and tile works, near Coalgate, under the management of Mr. James A. Mcllraith; also the extensive brick, tile, and pipe works of Messrs. Ford and Co., in the same locality. The coal from Mr. Dean's mine is a useful kind of brown coal, and suitable for all steam purposes on land. The mine has been worked for twelve years, and the coal is still abundant. I then proceeded to Glentunnel, where near to the present terminus of the railway the Hartley Coal Mine is being opened. The coal in this mine appears to be of excellent quality, from a seam 14ft. in thickness that is being worked; but a siding is required to connect the mine with the railway. I went on to Mr. Gerard's station, Snowdon, and remained for the night. On his run, within a few miles of the homestead, on the banks of the Rakaia River, I saw six outcrops of coal, five of which I inspected in company with Mr, Binns, Inspector of Coal Mines. The seams varied in thickness from 6ft. to 9ft., so far as they have yet been opened out. The coal appears to be of an anthracitic kind, and very good. I have little doubt, from indications, that an extensive and valuable coalfield exists in the locality. During: the afternoon I went on to Mr. Murchison's Lake Coleridge station and inspected, within two miles from his homestead, a very fine outcrop and seam of true coal of several feet in thickness, on the Little Acheron River. This coal has been worked for many years for the use of the station and its neighbours, and in quality it appears quite equal to the West Coast coals. I saw one block of several hundredweight that had been exposed to the air for more than thirteen years. It was as hard as ironstone, and perfectly sound. It would not surprise me to learn hereafter that the coal measures here extend to the Rakaia, a distance of several miles. Quartz lleefs. —I left Mr. Murchison's the next morning, on my way to the Wilberforce Reefs, passing through Mr. Cotton's station, along Lake Coleridge, Lake Self, and several other minor lakes, towards the Harper River and up the valley of the Rakaia. At Lake Coleridge my party was joined by Mr. O'Callaghan, M.H.R., His Worship the Mayor of Christchurch, and other gentlemen from that city who were interested in the development of the gold- and coal-fields of Canterbury. We stopped for the night at a small shelter-house recently erected by the Government for the use of benighted travellers in this lonely and unpeopled district. Another similar house has been erected near to the banks of the Harper River. Oar party found the benefit and convenience of the shelter afforded, for, without it, we would have been compelled to camp out under a heavy pour of rain and strong cold winds. In the morning we were off early, and shortly after midday arrived

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at the North Creek Quartz-Reef Company's headquarters. In the afternoon we walked nearly a mile up the mountain to inspect the works of the company. They had driven a tunnel a considerable distance into the hill to tap the reef, already found, on the summit, to be dipping at an angle. No crushing machinery was yet on the ground, but the company had done a large amount of work in driving, and cutting a very good pack-track to the mine for the conveyance of machinery, timber, and other necessary materials. From the appearance of the country I think that the prospects of the company are encouraging, if sufficient capital is invested to fully develop their ground. We remained the night here, and proceeded at six o'clock the next morning to Browning's Pass, at the head of the Wilberforce, to inspect a rich reef known as the Christchurch Gold-Mining Company's, about 5,000ft. up the side of the dividing range between Canterbury and the West Coast. On reaching the Pass we found that snow had fallen two days previously, and ice had formed sufficiently to make the ascent to the mine dangerous. However, I saw several excellent specimens of the stone that had been taken out from the reef, which varied in thickness from 16ft. to 20ft. I have no doubt, when the spring season comes round, and a track is formed to the reef, that a payable mine will ba worked. When that is done, the promoters (Messrs. Warner, Bryce, and company) intend erecting proper machinery for crushing. I lost no time in retracing my wanderings down the Wilberforce in the direction of the Moa Creek reefs. I reached the camp at dark, and remained all night. In the morning I proceeded to the mine, about I,Booft. above the camp and 2,700ft. above sea-level. The reef runs east and west. A winze is being sunk at an angle south-westerly, and very good prospects are being obtained. I saw an excellent one washed from a dish of stuff. The manager of this mine, Mr. George Lander, a practical miner, seemed well satisfied with past results and was hopeful for the future. The North Creek reefs, near the Unknown Creek, seem to be lying north-easterly from the reefs in this locality. With the exception of the Browning's Pass reefs, the others I visited in Canterbury have plenty of useful timber for mining purposes surrounding them. There are several others, however, being opened in the vicinity of Moa Creek, and, from indications I noticed, I think it probable a rich gold-mining country exists in the locality. I left at midday, and, joining the party near the Rakaia, we travelled to the Government shelter-hut on the Harper, where we remained for the night. Here, again, we were fortunate in having shelter, for it proved very wet and cold. The next morning we started for Lake Coleridge, and crossed over to the junction of the West Coast main road to Christchurch, and reached Springfield in time to go on by the afternoon train to the city. To thoroughly test and open up the vast extent of probably auriferous quartzreefing country in the vicinity of both the liakaia and Wilberforce Rivers, tracks and roads will have to be made, and water-power is required to be introduced where practicable from high-level sources. Auckland. Coromandel.— On the 15th May I left Wellington for Auckland';on my way to the northern mines, and passed on from the latter city to Coromandel on the 18th, accompanied by Mr. Cadman, M.H.R. I reached my destination in the evening. In good time the next morning my party started to inspect the chief mines in the vicinity, and visited the Tokatea Company's quartz claim, where a large amount of money has been spent and a great extent of work done. The company are driving a low-level tunnel, and have already pierced the hill 3,000ft. Dividends had been taken from this mine, before the end of 1877, amounting to £65,000, and since that time, £29,000 ; but the lead of gold has been lost. If the low-level tunnel, now being driven, picks up the lead, the discovery will be of incalculable value to the district. I then went on to the Kapanga Gold-Mining Company's works, which have been in operation about thirteen years, and owned chiefly by English capital; they have spent over £70,000, and, as yet, realized £14-,000 value in gold. The best of

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machinery —pumping, crushing, &c. —is employed on the works, having cost £27,000. A large well-timbered shaft has been put down 400ft., and two drives below have been worked 80ft. and 40ft. respectively. The company are off gold now, and require more capital to still further prosecute deep levels; they have indications and hopes of again finding arich lead. Should success attend their enterprise the district will benefit greatly. If the mining industry is to be put upon a surer and more sound basis for the legitimate investment of capital —whether foreign or local —undertakings such as this are deserving of every reasonable consideration. I also visited the Triumph Company's reef, not far distant from the Tokatea Company. They had been about three months at work on the reef, but only one week with their battery since its erection. The power used here was steam, and the fuel, timber; water-power, I believe, could be had at no great cost. The manager seemed satisfied with the general appearance of the stone he was taking out, and the results of the crushing already done. There is another mine on the Tokatea Saddle, known as the lloyal Oak, but at present not being worked, consequently a large extent of ground is for the time locked up. There are also the large pumping-plant, battery, and land of the Union Beach Company, near to Coromandel, idle, pending a final liquidation, or some new financial arrangement whereby the mine can again be put into active operation. On the next morning I left Coromandel for the Castle Hock Range, up the Matawai Creek, in the direction of Tiki, where there are being worked several reefs showing gold in fair quantity, and, notwithstanding that the stone has to be carted from the mines several miles down an indifferent dray-track to the creek where the crushing-battery is placed, the results have encouraged the several proprietors; but I believe it is the intention of more than one proprietary to arrange for the erection of machinery for crushing nearer to the quartz-workings, and thereby effect considerable saving in carriage. The forest generally in the district, containing several kinds of useful timbers, is very dense, but without tracks the country cannot be inspected nor prospected for minerals. A little road-making has been done, but only a mere beginning of what ought to be accomplished in this direction if we hope for the development of the hidden resources of the district and its progress in colonization. But, while giving attention to works of practical usefulness for unbosoming our resources below the earth's surface, we should not neglect the economy or allow waste of those valuable products above. It has been no uncommon sight, daily during my travels here, to observe a gigantic kauri tree of many feet in diameter laid waste to rot, for the sake of obtaining a few slabs for mining purposes, which might as well have been cut from one of the more common and ordinary kinds of timber generally found among the mixed forests of New Zealand. Mauraki Gulf. —I crossed over from this reefing country to a Native settlement at Manaia Bay, on the Hauraki Gulf. A discovery of gold has been made, some three miles from the settlement, on Native lands, and, to show the importance attached to the advancement of the mining industry by the Maoris in the locality, they have not only agreed to give the land necessary for the formation of a road, but to contribute besides, a fourth of the cost of making it. An agreement, setting forth the conditions I have stated, had been drawn up and signed by all the Native owners but one, who dissented. I was glad, however, to be the means,, during my short stay at the settlement, of inducing him to relent, and I saw the last signature of ownership necessary subscribed to the agreement. Thames Valley. —I then rode to Tapu, on the Eirth of Thames, and reached my halting place soon after nightfall. I inspected several mines next morning up the river; and about this locality there are about twenty men engaged in prospecting, chiefly in the sides of the high hills. Here I found the miners somewhat at variance in opinion as to the course to take to renew their acquaintance with rich leads similar to those of yore, worked upon.this field some sixteen years ago, and from which many thousand ounces of gold were obtained, and of greater fineness. than gold found in adjacent localities. Bull and Co. had put down a shaft

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80ft., and driven 200ft., apparently content with their prospects. The prevailing opinion, however, seemed to be to commence two new works one mi)e apart, a drive and shaft respectively. The result of either proving successful would give a fresh impetus to mining in the district. Such works deserve encouragement, if the importance of mining is to be recognized by the colony. Grahamstoion. —I then proceeded by a bridle-track to the Thames, and reached there at midday. In the afternoon I visited the principal mining- works and machinery in and around the borough, such as the Caledonian Low-level Prospecting Company's mine, with its shaft 640ft. below sea-level, and several drives equalling 1,800ft.; the Golden Crown Battery, Moanataiari, Kuranui, Herald, New Prince Imperial, Queen of Beauty, and Cambria Companies' mines; also the leviathan pumping concern working below sea-level, and which, I think, has been heard of before in this House. I regretted to notice a disheartened tone and cloud of depression hovering over mining matters generally throughout this district; but I think the cloud may be lifted, without much cost to the State, by a moderate and judicious aid to genuine enterprise, where capital, labour, and practical knowledge are ready to join hands in the development of its mineral resources. Since my visit, however, I have had pleasure in learning that a good "find" had been made in the Cambria mine, on the Waiotahi Creek. The crushing for the week ending on the 13th June yielded 2,2430z. of gold, a subsequent crashing over 800oz., and the company's stone is still promising further riches. The first great want at the Thames is additional water-supply; the second, tracks and roads through the surrounding country. The next day I left the coast, and rode inland through Puriri to Paeroa, where I remained two nights and a day. The latter I occupied by visiting the several mines in the locality. Owharoa and IVaihi. —Starting early for Owharoa, I went to the reefs at Waihi, about seventeen miles in the direction of Katikati. An extensive quartz mine is being actively worked at Waihi, known as "The Martha Extended Company." The stone is conveyed in trucks on a wooden tramway to the company's battery, driven by water-power, about a mile distant from the mine. I saw over 500oz. of amalgam in possession of the company's manager, the result of five Aveeks' crushing. As extra water-power can be acquired at a little more expense, it becomes only a question of putting through the battery a greater quantity of stone to produce larger results. I think a number of good reefs will yet be discovered here and opened out, as on my return journey to Owharoa and Paeroa I noticed reefs being worked at Waitekauri and Karangahake. JPaer&a. —The next morning I visited the Paeroa Coal Prospecting Company's works, near Takari's Creek, about three miles from the township. The mine has been recently opened, and the seam so far shows a fair quality of brown coal, with 4ft. Gin. of a face; but borings have been put down near to the present workings, 400ft. below the surface, through a G-I'oot seam, which no doubt will prove of a better quality. A lasting coal mine here would prove of great value to a very large mining centre. Karangahake. —l then rode to the reefs at Karangahake and inspected the works, battery, and water-supply. I met a number of miners, who, with good reason, complained bitterly of the want of a road or tramway to carry their stone to the battery for crushing. They also asked that the mining laws under which they were governed should be assimilated to those in force in other parts of the colony, and that they should be charged a more moderate rental. They further asked that the freeholds of their agricultural sections should be granted to them for a small payment. Considering the quality of the chief portion of the land which I saw and examined, and the labour already expended by the occupiers upon their holdings, I think the freeholds ought to be granted to these worthy pioneers for a very small payment. I crossed over the hills to the main road to Te Aroha, and arrived there that evening. Te Aroha and Waiorongomai, —The next day I went some distance beyond Waiorongomai to several reefs being worked above the starting-point of the Te Aroha tramway, at a much higher level. A great deal of mining has been done, and the country appears to be one mass of reefs that will return gold or silver, or both, in certain quantities. I met miners getting stone, and plenty of it, which

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they said would average Bdwt. of gold and a little silver to the ton; but that would not pay them after deducting high tramway charges for freight and battery charges for crushing. Hitherto there has only been one battery in the district, owned and worked by one of New Zealand's most enterprising men, Mr. Eirth, of Auckland; and I have no hesitation in pronouncing tiiis plant to be the most perfect of its kind that I have yet seen in the colony. Without it the resources of this great mining district could not have been developed. If, therefore, the proprietor has reaped a good harvest from his enterprise, it is well deserved. Another battery of large extent, upon a new principle, is in course of erection by Mr. Ferguson, and nearly ready for work, about four miles above the present battery and much nearer to several of the reefs. To make this of general use, however, in the district, a short tramway will be required, which work is entitled to consideration both from the Government and the local body. It would be difficult to estimate the value of all the country lying between the sea-coast at Mercury Bay and the Hauraki Gulf, from Ooromandel to the Valley of the Thames and on to Te Aroha, for gold- and silver-mining purposes, with improved appliances for more surely saving the precious metals. In a distance of over one hundred miles along the Colville Range I feel sure there is an ample field for enterprise and the judicious investment of capital for many generations. The whole of this extensive country is as yet but sparsely peopled. During my travels through it I had the advantage of Mr. Warden Kenrick's company, and I found his advice and guidance of the greatest value. I returned to Auckland, and thence to Wellington, where I arrived on the 29th May. I had intended visiting the coal mines in the north of Auckland and at the Mokau, near New Plymouth, but was prevented through want of time. Conclusion. In my travels over the West Coast and a portion of the Collingwood and Nelson Districts I found timber plentiful and good for all mining and building purposes. On the greater portion of the mines in Otago, excepting in the Lake Country, native timber is wanting, and can only be procured from long distances at large expense. The Southland mines are better favoured in this respect, and good timber can readily be obtained from the large forests that abound. The bulk of the Canterbury reefs have a similar advantage in respect to timber. The northern mines have abundance of timber surrounding them. Erom experience I have gained I came to the conclusion that many of the old mines of Otago would pay handsomely for deep levels and sinking could they claim the same natural advantages of timber on the spot to aid in the enterprise. To assist the industry to progress at a more rapid pace, an increase of water-power in many districts is absolutely necessary. Whether any efforts should be made to obtain'it, and, if so, in what manner, will be for the House to consider and determine. To further the great object of discovering new goldfields, tracks and roads will have to be made, particularly through lands that are densely wooded like the West Coast districts of the Middle Island, Coromandel and the Thames in the North, otherwise prospecting cannot go on systematically and advantageously. Honourable gentlemen, who have been good enough to follow me attentively so far, I trust cannot fail to be impressed with the great importance of the mining industry to the whole community. The magnitude and variety of our mineral resources, and the manner in which they are miscellaneously distributed throughout the colony, is a sufficient reason for believing that New Zealand must-become a great mining country. Although the colony is yet in its infancy compared to Australia and Tasmania, we have already extracted from below the earth's surface equal to 10,616,196 ounces of gold, of the value of £41,634,507 sterling, which we had exported previous to the 31st Marcli last, together with 447,923 ounces of silver, value £115,144 18 tons sulphur, value £108 6 tons silver ore, „ 900 \ „ haematite, „ 12 75 „ copper ore, „ 1,300 7,888 „ other minerals 37 „ copper, „ 1,170 not specified, „ 33,925 123 „ antimony, „ 2,340 61,520 „ coal, „ 51,043 11,421 „ manganese, „ 41,386 15 „ zinc, „ 259 81,103i-tons £247,587

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—making a total value, at the end of the financial year, of mineral exports of £41,882,094 And this is only a tithe of our mineral wealth —for all practical purposes a mere sample of what in the future may be done. We should keep before us the fact that the industrial aspect of a district may be entirely changed by the discovery of a new ore, and lessening the cost of producing any valuable mineral by a small figure per ton may increase its application in manifold ways. Our *coal product is steadily increasing. The output for the whole colony during last year was 480,831 tons, showing an increase over the previous year of 59,067 tons. The quantity exported for the same period was 6,354 tons, as against 7,172 tons for 1883-84; while the quantity imported was 148,441 tons, as against 123,540 tons the previous year, showing an increase during 1884-85 of coal imported of 2i,90i tons. The total output of the coal-mines of the colony, up to 31st December last, amounts to 3,005,120 tons. As set forth by my honourable colleagues during last session, a portion of the policy they intended to follow was to give special attention to the mining industry, with the view of assisting its development more thoroughly; and I apprehend that the wisdom of such a course does not require further demonstration from me, for at the present juncture the question is of greater moment, when we find that our pastoral and agricultural products are barely holding their own in the markets of the world. It is somewhat difficult to lay down a hard-and-fast or general rule for the development and promotion of the mining industry. Each case must be dealt with on its merits and circumstances. What may suit in one locality and with one branch of the industry, may be unsuitable and inapplicable to others. I have already briefly indicated the general lines on which it is proposed to assist, and I will now summarize them, viz.:— The collection and diffusion of information regarding the mineral resources of the colony. Systematic and scientific instruction in geology and mineralogy amongst those who are best able to make practical use of the knowledge imparted to them, so that the miner may be ever on the alert to allow no substance to escape his practical eye, and no indication of an ore to be carelessly thrown aside without proper examination. Encouragement and assistance to prospecting both above and below the surface. Aid to Local Bodies to enable them to open up communication through mineral districts by roads and tracks. Aid to water-supply and gold-saving apparatus. By these and kindred means the Government believe that the mining industry will be" fostered and made prosperous, while the comfort and well-being of a large and enterprising section of the connnunity will be promoted, and the material advancement of the colony strengthened. In view of the proposed abolition of the gold duty, and the possible levying of a royalty in lieu thereof by any county, I append an approximate return showing the gold duty and goldficlds revenue collected and paid to counties, also the number "of miners employed in each mining district within the several counties, during the last financial year. In conclusion, I desire to refer honourable members to the several official reports and schedules that will be laid before the House bearing on the whole subject, and notably to Professor Black's valuable communications in reference to the lectures he has already delivered, and arrangements he has suggested for the future with the view of establishing local schools of mines and instruction to the miners at various centres. Also to the Inspecting Engineer's Report on his visit to many of the principal mines of Australia, he having been sent there by my predecessor in office. A vote has been placed on the estimates to enable the Government to carry out the recommendations of Professor Black. I commend the whole to the favourable consideration of honourable gentlemen.

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Approximate Return showing the Gold Duty and Goldfields Revenue paid to Counties; also the number of Miners employed in each Mining District within the several Counties during the Year ending the 31st March, 1885.

By Authority: Geobgk Didsbuby, Government Printer, Wellington.—lBBs.

3—C. 6.

County. Mining District. No. of Miners. Ounces raised. Gold Duty. Goldfields Revenue. £ £ Ashburton Bruoo Buller Waitahuna Wcstport Charleston Lyell Coromandel Collingwood Takaka West Wanganui } 20 75 2 8 14 242 220 190 140 I 13,355 2,530 1,336 1,257 Coromandel Collingwood 253 299 146 1,985 198 140 Fiord Grey Grey Ahaura Arnold Greenstone Reefton Murchison Arrow, Macetown, &c. Queenstown, Skippers, &o. .. Pelorus Wairau Naseby Kyoburn and Clarke's Hamilton, Sowburn Hyde, Fullerton's St. Bathans, Ida Valley Serpentine Te Aroha Wilberforee Waikaia, Waikaka, &e. Thames Tapu Otanui Ohinomuri Tairua Hindon Lawrence Roxburgh Blacks Clyde Cromwell Alexandra Orepuki, Longwood Maerewhenua 580 500 725 200 710 150 255 391 208 52 2C0 145 70 47 165 55 105 50 350 738 16 20 116 10 41 800 267 200 60 467 310 430 44 \ 2 I 29,050 2,905 2,017 Inangahua I I 29,850 2,985 2,067 Lake I 16,008 1,601 971 Marlborougli .. i 1,080 108 154 Maniototo I 13,564 1,356 1,048 Piako Selwyn Southland Thames 7,279 2,618 \ 728 262 411 103 227 I 17,022 1,702 698 Taieri Tuapeka ) 497 50 86 I 23,318 ( 2,332 825 Vincent [ 20,240 2,024 1,309 Wallace Waitaki Wairarapa East Westland Hokitika, Kanieri Kumara Totara Goldsborough Stafford .. Okarito Jackson's Bay Macraes, Strath Taieri 854 420 444 180 440 52 54 140 I 4,792 872 479 87 282 40 4 -40,437 4,044 1,967 Waihemo Waikouaiti Waimea 101 4 22 65 1 "25 1,010 43 225 Wangapeka 12,084 225,870* 22,587 13,987 * The actual quantity of gold referred to above, was 231,582oz., gold entered at the Customs durini until after the 31st March, and coj entered at the Customs for exportation, and on v showing a difference of 5,712oz., which is accou: * the latter portion of the financial year was nol lsequently will appear in the returns of the curre: 'hich duty v ited for by 1 , credited t< it year whei ra,s paid for ;he oiroumi > the sever 1 they are: : the period stance that :al counties made up.