MINES STATEMENT. BY HON. A.J. CADMAN, MINISTER OF MINES.

Appendix to the Journals of the House of Representatives, 1898 Session I, C-02

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1898. NEW ZEALAND.

MINES STATEMENT. BY HON. A.J. CADMAN, MINISTER OF MINES.

Me. Speakeb,— It is again my duty to place before you the statement showing the condition of the mining industry. The impetus given to the industry through the investment of foreign capital has directed increased attention to mining pursuits. The large number of companies formed to prosecute gold-mining ventures, although now greatly reduced, owing chiefly to insufficient capital being subscribed, are in many instances carrying on works that must ultimately prove reproductive, and the mines which should become profitable concerns thereby increased. In the Auckland District of the North Island prospecting work entailing the employment of numerous parties of men is now very much curtailed, and areas of mining land over which an option of purchase had been nominally secured on behalf of British investors are now thrown back on the hands of the original owners ; in most cases, however, this has taken place in connection with land in which a fair and reasonable prospect of successful discoveries did not exist. In the Middle Island, throughout the West Coast, Collingwood, Otago, and Southland Districts, many of the mining companies are carrying on extensive works in quartz as well as in alluvial mining, and, in the latter, more especially in dredging and the building of dredges. I have endeavoured as far as possible to furnish the latest information procurable as to the position of the mining industry, but it will be found that the results set forth in the returns are in some instances supplemented by more recent information in the Statement itself.

MINERAL PRODUCTION. The quantity of gold, silver, coal, and other minerals, including kauri-gum, produced for the year ending the 31st December last will be found in Table No. 1., annexed. The total production of gold and silver was 435,537 oz., representing a value of £1,001,076, compared with a value of £1,052,017 for the preceding year. This shows a decrease of £50,941. Of other minerals, including coal, 849,105 tons were produced, representing a value of £856,517, as against 800,205 tons, of a value of £862,224, for the previous year —the decrease in the value for this year being in a great measure due to the less value of the mixed minerals as declared to the Customs. The production of kauri-gum was 6,641 tons, valued at £398,010, as compared with 7,126 tons, valued at £431,323, for 1896. The quantities and values of the chief mineral productions for the year ending 31st December last were as follow : —

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Product. Quantity. Value. • £ Gold ... ... ... ... ... 251,645 oz. 980,204 Silver ... ... ... ... * ... 183,892 „ 20,872 Antimony-ore ... ... ... ... 10 tons 157 Copper-ore ... ... ... ... ... 2 Manganese-ore ... ... ... ... 180 „ 541 Mixed minerals ... ... ... ... 1,561 „ 5,892 Colonial coal exported, including that used by Home steamers ... ... ... 76,073 „ 69,595 Coke exported Colonial coal consumed in New Zealand ... 764,640 „ 382,320 Kauri-gum ... ... ... ... 6,641 „ 398,010 Total value of production for 1897 ~. ... ... 1,857,593 1896 1,914,241 Total decrease ... ... ... ... £56,648 The total value of the gold, silver, coal, and other minerals, including kaurigum, exported up to the end of 1897 was £68,617,177. GOLD-MINING. The works connected with the production of gold, on which large sums of money have been expended by companies, are, in many instances, unfinished, or only so lately completed that returns from the mines have not yet made any material addition to the yields from the quartz-mines in both islands. The unfinished state of some of the works in connection with hydraulic sluicing, and the scarcity of water consequent on the exceptionally dry season in Otago, will, in a great measure, account for the shrinkage in the yield from this source. As a result of the plants already in operation the yield from many of the mines and claims has been augmented; and with the additional appliances contemplated the returns of gold, and silver will in future, it may reasonably be anticipated, be not only maintained but considerably increased. Many of the claims which have been taken up, especially for quartz-mining, were submitted to the public with glowing reports from so-called mining experts, with the result that the mining industry has been blamed for the misdirection and loss of capital. The chief cause of the disappointment, however, lies in the fact that too much credence was placed in the reports of inexperienced and unscrupulous persons. Due regard for security of tenure has been shown in affording protection and concessions to claim-holders and companies who have given proof of their intention to carry on systematic operations, but the owners who have failed to do so have only themselves to blame if the land is thrown back into the goldfield for others to occupy. The quantity of gold entered for exportation through the Customs for the year ending 31st March last, as shown in Table No. 2 annexed, was 251,492 oz., representing a value of £976,198 ; while the quantity exported for the same period of the preceding year was 256,913 oz., valued at £1,015,742. This shows a decrease of 5,421 oz., which has arisen in the mining districts of the Middle Island, the returns for the Auckland District showing an increase. Of the quantity exported, Auckland contributed 108,490 oz., Maiiborough 619 oz., Nelson and West Coast 66,879 oz., and Otago 75,504 oz. QUAETZ WOEKINGS. The yield of gold from this source compares- favourably with last year's returns, although there has been in the North a falling-off from the mines at Coromandel and the Thames, made up, however, by a large increase from the Ohinemuri district. The Eeefton returns are only slightly less, whilst the returns from the Morning Star at Preservation Inlet, and from the Glenrock, show a decided ncrease in the yield for the Otago Mining District.

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The adaptation of cyanide on improved principles will, in a marked degree, reduce the cost of extraction, and permit of an increase in the quantities of ore treated and an ultimate addition to the yield of gold. The returns from our quartz mines will probably, after the new plants are completed and kept steadily at work, reach if they do not exceed the yields maintained in former years. During last year 139,644 tons of quartz and tailings were treated in the Auckland District, yielding 321,664 oz. bullion, representing an estimated value of £405,745, as against bullion to the value of £354,256 for the former year, being an increase of £51,489. In the Nelson and West Coast Districts 19,742 tons of quartz were crushed for a return of 7,412 oz. of gold, valued approximately at £27,031. COEOMANDEL COUNTY. The operations in the Hauraki Mine are still productive, although there is a considerable falling-off in the yield of gold. The Eoyal Oak Mine is again yielding very profitable returns, and steady yields continue from several other mines, notably the Tokatea Associated Keefs; and, with increased means of development, other older mines may again be expected to produce yields similar to past records. Many of the newer mines in the vicinity of the Kauri Block have yet to do a large amount of dead-work before they can become steady producers. The Kapanga Mine, in which exploring operations at the deep levels are still being carried on, is being partly worked on tribute, and at least two of the parties so working have obtained handsome returns. In the other portions of the county operations in the mines are chiefly confined to preliminary work, and the returns show a falling-off, especially in the Kuaotunu district, where future success is dependent on the result of working at deeper levels. The Kauri Freehold Gold Estates Company is vigorously prosecuting prospecting works, and nine gold-bearing reefs are being developed. The total area held by this company is 36,000 acres, comprising twenty blocks of land, most of which are within the Coromandel County. The chief works are in the Opitonui Block, where two main shafts are in progress, equipped with steam winding- and pumping-plants. A new 40-stamp mill, provided with the latest appliances, and suitable for both amalgamation and cyanide processes, has been contracted for. A series of 2 ft. gauge tram-lines, nine miles in length, connect the mines with the battery and with the Whangapoua Wharf. As an indication of the extensive character of the various works which are being carried out, it may be stated that the expenditure of the company from April, 1897, to June, 1898, in wages alone, not including supplies and machinery, was £28,630 18s. 10d. In this County 13,665 tons of quartz and tailings was treated during the year, yielding 27,427 oz., representing a value of £73,337. The number of miners who were employed in connection with the gold-producing mines was 741. Thames County. The progressive works which have been carried on in this portion of the district have not yet reached the stage of development to admit of the chief mines again becoming producers to the extent of materially adding to the gold returns. The low-level workings in the New Alburnia, Moanataiari, and KuranuiCaledonian Mines have not been productive to the extent anticipated by the owners; and the valuable blocks of ground in the May Queen Mine must await drainage by the pumps at the Queen of Beauty shaft, as they cannot be operated on until the water has been lowered. A further period must yet elapse before very large returns from any of the mines in this quarter can be expected. During the past year, 20,850 tons of quartz were crushed and tailings treated, yielding 13,4820z. of gold; representing an estimated value of £32,177. The number of miners in this district employed in gold-producing mines was 528. Ohinemubi County. The mines in this district have again given continuous returns of a most satisfactory character.

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The Crown, New Zealand Talisman, and Woodstock Mines at Karangahake are now well opened up, and improvements in treatment and extraction have shown a marked increase in the yield of gold. The Waitekauri Company's Mine and the Komata Eeefs Mine have both largely added to the year's return. At Waihi, the Waihi Company continue to furnish excellent returns, and, now that their new mill of one hundred stamps is working, future returns will largely exceed those of the past. The Waihi-Silverton Mine also continues to yield payable returns. The future prospects of this part of the mining district are of a most favourable nature. During the past year 105,126 tons of quartz and tailings yielded 280,708 oz. of bullion, representing a value of ,£300,107. 1,480 men were employed in the gold producing mines. Piako County. The mines in this district have not yet arrived at the gold-producing stage. The low-level tunnel at Waiorongomai and the other workings by the Aroha Company have not furnished any quartz for treatment, and the thermo-hyperphoric process introduced by the Rev. Joseph Campbell has not yet been so perfected as to be in a condition to deal with the quantities of refractory ores for which it is specially intended. Taueanga County. The quartz reefs in the Te Puke District are not yet developed, and goldsaving machinery has not yet been introduced for treatment of the ore. West Coast Disteict. Eeefton, the chief quartz mining centre on the West Coast, has not produced any very rich yields. The Consolidated Goldfields of New Zealand (Limited) have, during the year, completed their new battery of forty stamps, and thoroughly developed their mines. A commencement has been made to crush quartz, and it is probable that the returns for next year will show a very large increase from this source. The other mines are receiving attention, and at Paparoa Eange the Croesus Company have erected a small battery to crush the quartz for their mine. The developments at Victoria Eange have not yet demonstrated a value in the reefs equal to the discovery of stone on the surface made in that district last year. The quantity of quartz crushed during the year was 19,742 tons, for a yield of 7,412 oz. of gold, of the value of £27,031. Otago and Southland. The mines in which operations have been most successfully carried on are the Premier Mine at Macetown, the Achilles at Skipper's, the Cromwell at New Bendigo, and those mines situated at Carrick Eanges, Old Man Eange, and McEae's Flat in the northern and central parts of Otago. Prospecting is carried on, and mines are again being opened at Barewood, Waipori, and Table Hill, in the central and southern part of Otago. There is every reason to expect success will attend future developments. The Morning Star Mine at Preservation Inlet, in the extreme south-west of the island, has again yielded rich returns, and as a considerable number of claims have been taken up, prospecting operations may reveal fresh discoveries in the Southland District. The quantity of quartz crushed during the year was 19,820 tons, for a yield of 17,302 oz. of gold, and a parcel of 288 tons of tailings treated for a yield valued at £1,610 : making a total value of £69,510. GBNEEAL. In evidence of the continuance of rich yields of gold from quartz-mines, the returns from sixteen mines in the North Island show that 36,463 tons of quartz and 742 tons of tailings yielded 92,665 oz. of gold and bullion, of the value of £103,317 ; and seven quartz-mines in the Middle Island crushed 8,189 tons of quartz for a yield of 3,910 oz. of gold, valued at £14,728, during the months of

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April and May last; while the returns received from twelve of the dredges at work in Otago show that 1,514 oz. of gold was obtained, valued at ,£5,900, during the same period. It may be interesting to state that about three-fourths of the total value of the gold-yield in the North Island for the year ended the 31st March last has resulted from the use of the cyanide process, and for the months of April and May last, 87 per cent, of the value was from this process. ALLUVIAL MINING. The Middle Island is the chief seat of this branch of the industry, although there are also evidences of auriferous drifts and sands in Stewart Island, but these up to the present time have not proved of much importance. In the North Island the gravel drifts have, so far as is known, proved barren of any precious metal; while in the Auckland quartz-mining district the free gold found in some of the creeks, being shed from the hill directly into the lower ground, differs from typical alluvial deposits. Maelbobough. The chief gold-producing localities are at Wakamarina, Mahakipawa, and the range lying to the northward of the Wairau Eiver. At each place a limited number of miners earn a livelihood by sluicing and washing the terraces. Nelson. At Collingwood the Parapara Hydraulic Sluicing Company has, under new management, secured good returns, and its prospects appear to be favourable. The Collingwood Goldfields (Limited) is actively engaged in preparatory operations, and it is anticipated that the company will be amongst the gold producers in the near future. The Anatoki and Bubu Districts, at Takaka, and the Wangapeka and Baton Eivers, in the Waimea County, still afford profitable employment for a number of parties of miners. West Coast. The great extent of country bounded on the west by the Tasman Sea, on the east by the Southern Alps, and extending from north of the Buller Eiver to Jackson's Bay, constitutes the famous West Coast Goldfields, in which are worked the beds of the principal rivers and their tributaries, as also those vast deposits of gravel-drifts found in situations varying from below sea-level to altitudes of 4,000 ft. The coast terraces to the north, and also to the south of the Buller Eiver, have yielded rich returns in the past; all the branches and tributaries of this river to the source of the Owen Eiver have also been more or less auriferous. Operations are being successfully carried on at Waimangaroa, Addison's, Charleston, near the sea-coast, and at Fern Flat, Lyell. Grey Valley. The terraces in this district still continue to afford remunerative employment to a large number of miners, and, where the water-supply is plentiful, sluicing claims are to be worked on a large scale. Kumara and Waimea. The water-supply which is provided by the Government races has been augmented by increased provision for storage, and other sources of supply are in contemplation. Although several of the older claims are worked out, the water-races are now managed so that large quantities of water are supplied, thus enabling the miners to deal profitably with the gravel-wash that previously did not prove payable. Bimu and Kanieri. A considerable number of miners are still employed in this district, both in sluicing and driving for the wash-dirt overlain by the gravel of the terraces,

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The water-race from Kanieri Lake to Seddon Terrace and Back Creek has not yet been commenced. This work, if constructed, will entail the expenditure of a large sum of money. The success of this undertaking depends on the question as to whether the discharge level will prove sufficient to enable the higher terraces to be worked. Boss. The company which has for some years held the claims on Eoss Flat having, so far, been unable to raise funds for working the deep levels, the titles to some 300 acres of land which had been held unworked for a number of years have been cancelled. It is now proposed to allow any new company that may be formed to select an area of 100 acres from this land, on condition that a working capital of not less than £20,000 is provided ; in addition to which the Government will contribute £10,000, in compliance with regulations for granting assistance towards prospecting at deep levels for the purpose of working the deep leads of gold on this flat. Otago. The principal goldfields of Otago are at Tuapeka, Clutha Valley, Manuherikia Valley, Mount Ida, and the Lake Districts. Gold to the value of £20,954,891 has been obtained from the alluvial workings. Tuapeka. The Blue Spur Gold-mining Company is the chief gold-producer in this district, and, with their extensive hydraulicing plant, still continues to work the deposit of cemented gravel which furnished employment to the miners since the early days of the rush to Otago. Other sluicing claims are also being worked, and several dredges are employed on the Tuapeka, Waitahuna, and Waipori Piivers. Clutha Valley. This valley, which extends from Beaumont to Cromwell, and contains the most extensive and richest deposits of auriferous gravels yet known in New Zealand, continues to be worked by hydraulic sluicing and dredging. In the Manuherikia tributary of the Clutha Eiver dredging is carried on; and the chief lesser streams and terraces within the Manuherikia basin are worked by hydraulic sluicing. Lake District. A number of dredges are at work in the Kawarau and Shotover Rivers, and sluicing is carried on in the Shotover and Arrow Rivers and their terraces. Mount Ida. The Mount Ida Water-race affords a means of profitable employment to a large number of miners in the vicinity of Naseby, and dredging operations are also carried on. DREDGING. This method of working the gravels of the beds of rivers has been adapted so as to deal with like deposits in those valleys that were no doubt ancient river-beds ; the success attendant on the operations of dredges, in districts where very little surface water is to be found, has already demonstrated the fact that moderately deep and wet ground can be profitably worked in places that hitherto were untried, owing to the absence of a plentiful water-supply. There is, therefore, very little doubt that extensive areas of land of the above description, and which contain a modicum of gold in the gravel, will ultimately be dealt with. The excellent yields obtained from dredging operations in the Cromwell, Clyde, Alexandra, Roxburgh, Miller's Flat, and Island Block Districts along the Clutha or Molyneux River, as well as in the Waipori, Waikaka, Tuapeka, and Milton Districts, has led to the construction of many new dredges throughout Otago. Upwards of seventy dredges are at work, and, as.at least seven is the average number of men employed on each, work will be provided for an increased number of men when the new dredges commence work. The number of claims

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taken up for dredging is about a hundred and thirty; and although this industry promises to be attended with success, it will be wise on the part of those who intend to embark in it to ascertain first what certain prospect of success exists in particular localities, before incurring the cost of building dredges. It is frequently the case in the initiative of quartz-mining that expensive machinery is erected for the treatment of the products before sufficient work has been done to ascertain what the probable value of the material to be operated on may be. It is to be hoped that similar errors will not be made in the dredging industry. Accidents on Dbedgkes. The high percentage of fatalities amongst the men employed on dredges (1 per cent.) during the past year has rendered it necessary that provision should be made to insure that all requisite precautions should be taken for the safeguard of the lives of the employes, and it is proposed to introduce legislation dealing with this matter during the session. Accidents in Gold-mines. In the Auckland District three fatal accidents occurred; in the West Coast District four, and in the Southern District two, exclusive of accidents on dredges. The total number of fatalities was 14, and the number of miners engaged 14,198, which gives a proportion of about one per thousand.

DIVIDENDS. The following Table shows the Dividends paid by New Zealand Mining Companies during 1897 and 1898.

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Dividi inds. Name of Company. 03 . w ft .Q w so CO Amount of Capital actually Paid. No. of. Amount Paid up Shares of per Issued. Share. Share. Capital. 1897. 1898. Sha e r r e.j Total - Per Share. Total. Auckland. Hauraki (Limited) New Zealand Crown Mines (Limited) Royal Oak of Hauraki (Limited) Waihi (Limited)* Waiotahi (Limited) Waitekauri £ £ £ 8,000 10,000 £ 80,000 20/ 30/ 20/ 12,500 32,000 300 160,000 18,000 143,000 106,667 15,000 100,000 160,000 6,000 143,000 20/ 20/ 20/ 64,000 750 14,300 Nelson and Westland. Keep It Dark Quartz Kumara Long Tunnel Sluicing Mont d'Or Mining and Water-race Sluicing (Limited) 20,000 8,000 12,000 6,208 7,433 10,800 20,000 16,000 12,000 20/ 10/ 20/ 16/24 9/34 18/ 2,000 1,298 2,400 Otago. Molyneux Hydraulic Clyde Dredge (Limited) Enterprise Gold Dredge Ettrick Gold Steam-dredge (Limited) 3,850 2,000 2,500 f •• 1 3,840 2,000 1,937 A 5,690 B4.310 80 2,000 f 2,500f 1 2,000+ 2,500 6,000 3,000 j 5,000}. (10,000f 4,000 I •• 1,000/ 20/ 20/ 20/ 20/ 20/ 20/ 20/ 20/ 20/ 1,000/ 20/ 15/6 20/ 20/ 20/ 20/ 15/ 8/ 20/ .. I5,800 858 1,013 465/10/0 400 500 Golden Gate Dredge (Limited) Golden Run Dredge (Limited) Golden Treasure Dredge (Limited) Jutland Flat Waipori (Limited) 2,500 4,000 1,500 2,500 4,795 1,384 2,000 5,194 3,739 143/16/0 15,000 4,000 }'- 1,500 Otago Gold-dredging (Limited) Sandhills Dredging Blue Spur and Gabriel's Gully Consolidated Sluicing (Limited) Moonlight Sluicing.. Phoenix Water-race Sluicing Roxburgh Amalgamated Mining and Sluicing (Limited) 4,500 2,000 1,300 125 1,000 | 89,066 2,000 1,500 j 29,152 30,000 1,352 1,500 12,737 f 3,500§ j 82,298|| 2,000 1,000 j 15,000} |l4,152t (10,000 J \ 14,000f (A 12,000 J B 6,000 (C 5,513 20/ 20/ 20/ 30/ 20/ 20/ io/10/ 20/ 20/ 20/ 20/ 20/ 17/6 30/ 18/ 20/ 10/ 8/6 20/ 4/9 3/10 }" I" )- }" 4,078 400 225 841 750 Upper Waipori Alluvial Dredging 12,000 5,950 600 Morning Star Quartz 24,000 2,575 8,241 Sew Hoy Big Beach (in liquidation) .. 1,925 * Total amount of dividends paid by Wai Ordinary. ihi Compai ly to date is £276,501 to mtributon I. ; Vendors. §P: reference.

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COAL-MINING. This industry continues to expand in proportion to local and foreign demands. The further development of gold-mining will also increase the demand for the supply of coal. The total output from the mines last year was 840,713 tons, as against 792,851 tons for the former year, showing the increased output last year to be 47,862 tons. The coal imported from other countries last year was 110,907 tons, while for the former year there were 101,756 tons, showing an increase in the importation last year of 9,151 tons. The imports were 1,500 tons from the United Kingdom, 109,403 tons from New South Wales, and 4 tons from Victoria. The total export of coal was 82,396 tons; of which 76,073 tons was colonial produce, and 6,323 tons imported coal from other countries. Of the quantity of coal exported, 55,757 tons was for coaling direct steamers trading between the colony and the United Kingdom, and will therefore be treated as in former Statements as coal consumed within the colony, as these steamers are wholly employed in trade between New Zealand and Great Britain. Taking, therefore, the output from our mines and the coal imported, we have a total of 951,620 tons, of which 26,639 tons was exported, leaving the consumption within the colony last year to be 921,097 tons, as against 866,633 tons for the previous year, being an increased consumption last year of 54,464 tons. Taking the output of the different classes of coal from the mines in the colony, there were 504,764 tons of bituminous coal, 34,969 tons of pitch-coal, 268,020 tons of brown coal, and 32,960 tons of lignite ; which shows an increased production last year of 31,127 tons of bituminous coal, and a decrease of 75,578 tons of pitch-coal, 88,276 tons of brown coal, and 4,037 tons from the lignite-pits. The mines in the Kawakawa and Hikurangi Districts show a decrease last year of 3,958 tons, but the Waikato and Mokau mines show an increase of 5,431 tons: giving a net increase on the total output for the North Island of 1,473 tons. The Westport District mines show an increase of 35,855 tons; also the Nelson mines an increase of 404 tons; but there was a falling off in the districts of Reefton and Greymouth of 10,144 tons : making the net total increase for the West Coast District of 26,115 tons. The mines in the Canterbury District show an increase of 1,893 tons. There were also large increases from the mines in the Otago District: North Otago showing an increase-of 2,176 tons; South Otago District, 10,769 tons; and the Central Otago District 5,533 tons: making a total net increase for the Otago District of 18,478 tons. The Southland District shows a decrease last year of 97 tons. The mines in which there has been the largest output are : The Coal brookdale, 184,376 tons ; Kaitangata, 92,914 tons; Brunner, 85,592 tons ; Millerton, Granity Creek, 59,240 toos; Westport-Cardiff, 54,280 tons; Blackball, 43,084 tons; Taupiri Extended, 33,913 tons; Hikurangi, 30,663 tons ; Shag Point, 23,334 tons; Nightcaps, 22,762 tons; Taupiri Reserve, 18,870 tons; Kiripaka, 16,248 tons; Waikato, 13,317 tons; Allandale, 11,635 tons; Walton Park, 11,554 tons ; New Bay of Islands, 11,134 tons : the output from any of the other mines being under 10,000 tons. Accidents in Coal-mines. Four fatal accidents occurred in the coal-mines during the } ? ear 1897 : one in the Auckland District and three in the Otago District. The usual inquiries revealed that no blame could be attributed to any one. The total number of coal-miners employed throughout the colony was 1,912 ; therefore the percentage of fatal accidents is 0 - 209, or 2 - 09 per thousand. . METALLIFEBOUS MINES. Attention is again being directed to search for lodes containing copper, antimony, and other metals; but, with the exception of small shipments of manganese and sulphur from the North Island, chiefly to Australia, the quanti-

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ties produced have not been of very great importance. A small shipment of 10 tons of antimony ore, the result of previous operations at Endeavour Inlet, was also exported. OPAL-MINING. A limited amount of work was done in Mount Peel District on the land taken up by the Record Reign Company, but no stones of any value were found. In order to enable mining for opals to be carried on in the Tairua District, it is proposed to declare that the provisions of the Mining Acts shall apply to mining for that precious stone in the Hauraki District. PETEOLBUM. The bore-hole at Moturoa, near the Sugar Loaves, at New Plymouth, was continued to a depth of 2,050 ft., and although indications of the presence of petroleum were found, it was determined to cease operations in this immediate locality and commence in a fresh place, four miles and a half away, and at a distance of three miles from the sea. Samples of petroleum of excellent quality were received from the Cheviot District, but no development work has yet been undertaken. Nothing has yet been done to explore for petroleum on the mineral lease taken up in the Rotorua District. KAUEI-GUM. Notwithstanding the large quantity of kauri-gum exported every year, there was very little diminution in the amount exported last year, the quantity being 6,641 tons, as against 7,126 tons for the previous year. There was 485 tons less exported this year, the value being less than that of the former year's produce by £33,313, the value of last year's produce being ,£431,323, which gives an average value of about £60 10s. 6d. per ton, whereas for the present year the average value was £60 per ton. This industry affords a livelihood to a large number of both Europeans and Natives; but the average earnings of persons employed in digging gum cannot be ascertained. No doubt the time is approaching when the gum will be exhausted, but a considerable period will yet elapse before this takes place. The total quantity of kauri-gum exported since 1853 is 190,570 tons, having a value of £8,512,852. For further information in respect to the industry, I would refer honourable members to the report of the Royal Commission on the subject which has been presented to Parliament (H.-12, 1898). EOADS AND TEACKS. The expenditure on roads and tracks has greatly increased. The activity in gold-mining demanded greater facilities to enable communications with new districts, which, on account of the discovery of payable reefs, required to be made more readily accessible for prospectors and miners working their claims. It was therefore determined to ask the House last session for an increased vote under these headings. Some of the works have been carried out on the co-operative system, but the majority have been constructed under the supervision of the County Councils and other local bodies in whose districts they are situated. The total expenditure by the department during the last six years on roads and tracks for the development of the mining industry amounts to £242,963 19s. Bd. in direct grants, and £88,075 os. 4d. in subsidies to local bodies; out of which £37,410 14s. 3d. and £12,158 6s. 7d. respectively was expended during the year. WATBE CONSBEVATION AND WATEE-EACES. In continuation of last year's work, the site for the dam at West Eweburn having been tested by boring, &c, a re-examination was made, the site finally approved, and preliminary works in preparing foundations commenced. An examination of the proposed Thames Low-level Water-race has been made, with a view to ascertaining its adaptability for supplying water for increased motivepower ; also at Te Aroha, where the water is proposed to be first used as motivepower for lighting the Sanatorium in the Domain with electricity. With a view 2—a 2.

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to providing a scheme for a supply of water for domestic and fire-extinction purposes at the mining townships of Coromandel, Karangahake, Waihi, and Waitekauri, exhaustive examinations have been made and designs formulated; and reports on the above subjects are now in course of preparation, and will in due course be laid before you. With reference to this matter the mining townships are in a very difficult position, owing to their being situated on Crown land and therefore unable to take advantage of the Loans to Local Bodies Act to borrow money for providing water-supplies. This question is of such importance that it must very shortly be dealt with. The water-races constructed by the Government, and worked directly under the control of the Mines Department, are the Waimea-Kumara and Mount Ida Water-races. The gross value of the sales of water from the Waimea-Kumara Water-race last year amounted to £3,849, while the expenditure on maintenance was £2,643 ; leaving a net profit on the workings of £206. The value of the sales of water from the Mount Ida, including the Blackstone Hill Race, amounted to £1,523, while the expenditure on maintenance was £1,416. This leaves a direct profit of £107 on the working of these races during the last year. PEOSPECTING. In the prosecution of prospecting for gold and minerals, assistance was during the year extended to the miners, chiefly through the medium of the County Councils and of the Miners' Associations. The following amounts were paid as subsidies towards prospecting in the different counties, viz.: Manukau, £55 2s. S&. ; Bay of Islands, £212 75.; Coromandel, £515 6s. lid., including £503 6s. lid. paid to the Kapanga Gold-mining Company towards cost of sinking its shaft to 1,000 ft., and continuing to bore to a further depth ; Tauranga, £10; Piako, £5 12s. 6d.; Marlborough, £34 6s. 6d.; Grey, £7 10s.; Inangahua, £11 11s. ; Westland, £1,240 3s. 2d.; Vincent, £42 9s. 9d.; Wallace, £79 45.; Southland, £13 35.; Tuapeka, £118 145.; Selwyn, £2 55.; Lake, £10. The subsidy of £25,000 for sinking a shaft and erecting pumping machinery at the Queen of Beauty Mine, at the Thames, to drain the deep levels to the seaward of the Moanataiari Slide, referred to in previous Statements, has now been all paid; but, owing to the unforeseen delays in receiving the requisite machinery, which had to be obtained from the manufacturers in England, it is not expected that pumping will be commenced for some time. So far as practicable, however, all the machinery which has been received has been placed in position, and the enlargement of the shaft has been completed to a depth of 453 ft. To further aid the prospector, and afford facilities for crushing and testing parcels of quartz in new districts, the Government has decided on the erection of small plants for that purpose, and regulations have been made for their use by prospecting associations. GEOLOGICAL EXPLOEATIONS. During December last Mr. McKay, the Government Geologist, visited and reported on the western slopes of the Victoria Mountains, in the Reefton District. The report indicates the probable source of the rich auriferous boulders covering the slopes of Kirwan's Hill as being in that vicinity, a matter of some moment to those engaged in the development of that field. During the month of February the same officer visited the copper lodes in the Pukipuki Valley, Whangaroa, and reported thereon, and at the same time examined certain prospecting works in connection with the development of the Kawakawa coalfield. The remainder of the season was devoted to the further elucidation of the geology of Cape Colville Peninsula. This work principally consisted in a careful examination of a part of the southern goldfields within the Ohinemuri County, and the Thames Goldfield. This work has been of an important character, and. demonstrates the existence of gold in rocks that have hitherto been regarded as barren of the precious metal; also a close connection between hydro-thermal action, and deposits thereby, at and near the surface, with the deeper-seated veins of the southern goldfields.

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In the Thames District Mr. McKay's work principally consisted in an examination of the rocks of that field, and of the various faults by which the reefs have been displaced. During the progress of his examinations a large number of rock specimens were collected, which will be available for the forthcoming exhibition of the mineral and industrial products of New Zealand, to be held in Auckland towards the close of the present year. MINING MACHINEEY. As in former years, information has been obtained in regard to any new process for the treatment of auriferous and argentiferous ores, and also in regard to new machinery and appliances in connection with mining. By giving the fullest publicity to this subject, opportunity is afforded those persons who are engaged in mining pursuits of obtaining information as to the different patents that have been granted; and, although the machinery or appliance may not in every case come up to the patentee's expectation, the ideas evolved may be the means of improvements being made by some one else who can detect defects in the patents. Plans and speciiications of different machines and appliances in connection with mining will be found in the report of the Inspecting Engineer. SCHOOLS OF MINES. The Schools of Mines where classes are regularly carried on are those at Thames, Keefton, Otago University, Nelson, Waihi, Coromandel, Kuaotunu, and Westport, the instructors in the first two being officers of the Department. The Otago University receives substantial assistance towards the cost of a School of Mines, and subsidy is given towards the salary of the Director at the Waihi and Coromandel Schools; while the Nelson classes are carried on by Mr. Worley, aid being granted towards the cost of plant, chemicals, and apparatus. The instruction given at these schools is becoming year by year of increasing importance, and the number of ex-students from the colonial schools of mines who are occupying important positions in the scientific branches of the mining industry conclusively demonstrates alike the value of the instruction imparted and the ability of the students who have availed themselves of it. Valuable technical education is afforded at the Thames School, where students have opportunities of studying the practical methods of working mines, and of assisting in the treatment of ores for the recovery of gold and silver. A new quartz-crushing plant, with all the latest improvements in reducing, and suitable for the use of the various scientific processes for the extraction of bullion from ores of various kinds, has been recently completed at this school, aided by a grant from the Government. The recently discovered permanganate goldrecovery process for the treatment of ores has also been introduced into this school by Professor Black, who donated to the institution the requisite apparatus for carrying out the work. In the Otago School, also, the use of the new plant for the testing and treatment of ores has afforded students improved opportunities for obtaining the fullest information of a practical character. At Miller's Plat, and also at Waipori, buildings have been erected, and it is anticipated that classes for practical instruction will shortly be carried on in each of these localities. A site for the Westport School has been provided, and a grant made towards the cost of chemicals and apparatus. During the year 342 students attended the various Schools of Mines—■ namely, 139 at the Thames, 63 at Coromandel, 60 at Waihi, 50 at Dunedin, and 30 at Eeefton; and, notwithstanding that the average attendance since scholarships were established in December, 1894, is 56, it is somewhat disappointing to find that only two candidates have succeeded in qualifying themselves for scholarships —namely, Mr. W. H. Baker, of the Thames, who is attending the classes at the Auckland University, and Mr. MacLaren, who has passed the University course, having held a scholarship for the specified period of three years. The expenditure on Schools of Mines during the year was £1,780 17s. 3d., exclusive of teachers' salaries.

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SUMMAKY OF EXPBNDITUEB ON WORKS. The total expenditure on works authorised by the Department for the development of the mining industry for the year ending the 31st March last amounts to =£84,467. These works consist of roads and tracks constructed by direct grants, £37,411; roads and tracks constructed by subsidies to local bodies, £12,158; water-races, £2,272; drainage-channels, £1,212; prospecting-works, £2,358 ; schools of mines, exclusive of salaries of teachers, £1,780 17s. 3d.; water conservation, £507 ; telephone lines, £50 ; compensation on proclamation of rivers, £5,197 ; and prospecting deep levels, £21,520 15s. The liabilities on the works in progress at the end of March last amounted to £50,721. A detailed statement of the expenditure on these works will be found in the tables annexed to the Inspecting Engineer's report. MINING LEGISLATION. The Mining Bill, to consolidate the existing Act and its several amendments, which was introduced last session, will be again brought forward. The Bill having been widely circulated throughout the colony, amongst all classes of persons interested in the mining industry, has generally met with approval. A very large number of suggested amendments have been received, some of which are forwarded by those who, from experience, are qualified to judge of the varied requirements of the mining community. These suggestions will be submitted for the consideration of the Goldfields and Mines Committee when the measure is before it. The special conditions under which the dredging industry, a form of mining of recent introduction, is now carried on have rendered it necessary that power should be taken to frame regulations to provide for the more efficient management of dredges, and the safety of the workmen employed. The Sunday Labour in Mines Prevention Act, brought into force last year, has enabled the Inspectors of Mines to enforce compliance with its provisions, and all Sunday labour in mines and batteries, except in those cases in which permission has been granted, has now ceased. Permits have only been granted in cases in which the special conditions under which operations were being carried on demanded their use. The provisions of the Mining Companies Act Amendment Act of last year, making the directors of no-liability companies by whose authority debts are incurred responsible for the payment thereof, has given a feeling of security to those who work for or supply goods to such companies. The purchase under the Cyanide Process Gold-extraction Act of the patent rights in New Zealand of the processes known as " the MacArthur-Forrest Processes " has proved of undoubted benefit to the mining industry. Licenses to use the process to the number of twelve have been issued, and royalty to the amount of £676 17s. Id. has been collected for the period from the 20th August, 1897, to the 31st March last. It has become apparent that the liability of mine-owners under the provisions of section 383 of " The Mining Act, 1891," and section 52 of " The Coal-mines Act, 1891," in cases where serious accidents occur to any of their employes, is proving a grave obstruction to the development of the mining industry. The Government intend to frame measures defining the mutual liabilities of employers and those who are employed both in coal- and goldmining. Eepresentatives of English capital invested in the Auckland goldfields have drawn attention to the taxes and disabilities under which it is alleged they suffer, and which grievances they state call for redress. Amongst their grounds for complaint are the tax of 1 per cent, per annum on the amount of the nominal capital of the companies, the tenure of mining properties, excessive ground-rent, export duty on gold, and import duty on machinery. It is proposed by legislation to exempt mining companies from the tax of 1 per cent., and to provide for a term of license for mining properties of forty-two years with right of renewal; but the import and export duties in force will not at present be altered. The question of reducing rents on claims held for gold-mining is one which requires very careful consideration, as the rents form part of the revenue of local govern-

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ing bodies in mining districts, which have to incur large expenditure in the construction and maintenance of roads, &c, which are of direct benefit to the companies engaged in mining. It might be inferred from some of the statements made that the legislation in question was specially brought into operation since the introduction of capital from, outside the colony for the development of mining. This, however, has not been the case, as the measures have been in existence for years past; and the land was occupied and companies were formed with full knowledge of the then existing laws and regulations, and of the obligations incumbent upon them. At the same time, due consideration has evidently not been given by investors to the general interest displayed by the Legislature in promoting the industry by large annual contributions from the Public Works Fund towards the construction of roads, bridges, and tracks, assistance towards prospecting, the development of deep levels, and other works. DEPARTMENTAL. " New Zealand Mines Eecoed." The publication of " The New Zealand Mines Eecord," which was commenced by the Mining Bureau in August, 1897, has been continued monthly. Judging by the inquiries received from Australia, Great Britain, the United States, and South Africa, the " Eecord " is scanned for information by those who have already invested, and by many persons who may have an idea of putting a portion of their spare capital into mining investments in New Zealand; while articles on improved gold-saving and milling appliances enable mining men in this colony to keep abreast of the times. The monthly publication of battery returns and statistics, initiated by the Bureau, has been followed in Western Australia, and is in contemplation by the Governments of other colonies. Geological reports and special articles have been reprinted from the " Eecord," and copies forwarded to the Agent-General; others have been put into pamphlet form for circulation amongst the miners. CONCLUSION. In conclusion, I would point out that the state of the mining industry is now on a more stable basis than was the case last year. A large number of claims that were taken up for purely speculative purposes have been abandoned, and it may now be assumed that the areas held will be developed by steady prospecting and intelligent conduct of operations, which, with careful and economical management, should, in the majority of cases, prove remunerative. The prosperity of the industry has, no doubt, received a check from the undue speculation which prevailed during the recent " boom " in the North, but the amount of capital already invested, and still being invested in the development of the more prominent mines will, it is anticipated, secure fair returns. I cannot, however, too strongly impress upon all persons who may be interested in gold-mining the advisableness of opening up and developing their mines before proceeding with the erection of expensive machinery and appliances for treatment of the ores. In the southern districts capital is being freely invested in the dredging industry, and if ordinary precautions are taken to avoid the errors fallen into elsewhere, there is little doubt that an increased yield of gold will result in the employment of a large number of men. Eenewed attention is being paid to hydraulic sluicing in the West Coast, Otago, and Southland Districts, where prospects appear favourable. The construction of roads and tracks for opening up new fields, and also for improving the means of communication in the older districts, is still of urgent necessity, and ample provision must again be made for the vigorous continuance of necessary works. In order to aid in the further development of the industry, substantial grants will also be required for prospecting, waterconservation, and deep-level mining.

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No. 1. Table showing the Comparison in Quantity and Value of Gold entered for Exportation, and also the Quantity and Value of other Minerals produced, for the Years ending the 31st December, 1896 and 1897, as well as the Total Value since January, 1853.

For Year ending the 31st December, 1897. % l&SM* 8 JanSrflTsfto the 31st December, 18J6. glst jjecem'oer, 1807i Name of Metal or Mineral. Quantity. Value. Quantity. Value. Quantity. Value. 'recious metals— Gold .. Silver Oz. 251,645 183,892 £ 980,204 20,872 Oz. 263,694 94,307 £ 1,041,428 10,589 Oz. 13,565,552 1,085,162 jg 53,372,634 202,724 Total gold and silver 435,537 1,001,076 358,001 1,052,017 14,650,714 53,575,358 lineral produce, including kauri-gum— Copper-ore Chrome-ore Antimony-ore Manganese-ore Haematite-ore Mixed minerals Goal exported Coke exported Coal, output of mines in colony Kauri-gum Tons. 10 180 £ 2 "l57 541 5,'892 69,595 Tons. "21 65 37 79,524 105 713,327 7,126 £ 450 205 Tons. 1.394J 5,666 3,610 18,285,1 52* 15,874 974,999 [ 16,343 ! 10,601,614 ! 190,570 i £ 17,868 37,367 52,361 58,534 226 78,782 958,241 24,781 ! 5,300,807 I 8,512,852 1,561 76,073 1,335 71,984 263 356,664 431,323 764,640 6,641 398,010 Total quantity and value of minerals Value of gold and silver, as above 849,105 856,517 1,001,076 800,205 862,224 1,052,017 ll,828,408|l J 15,041,819 53,575,358 Total value of minerals produced, including gold and silver 1,857,593 1,914,241 68,617,177

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No. 2. Table showing the Quantity and Value of Gold entered for Exportation from New Zealand for the Years ending the 31st March, 1897 and 1898, and the Total Quantity and Value from 1857 to the 31st March, 1898.

Year ending 31st March, 1898. Year ending 31st March, 1897. Increase or Decrease for Year ending 31st March, 1898. District and County or Borough. Total Quanti from Januj 31st Mai ity and Value a.ry, 1857, to rch, 1898. Quantity. Value. Quantity. Value. Increase. Decrease. i-UOKLAND — County of Coromandel County of Thames County of Oliinemuri County of Piako County of Manukau County of Marsden County of Whangarei Borough of Thames Tβ Aroha Town District Oz. 16,712 4,014 83,732 90 £ 70,544 16,656 297,704 357 Oz. 27,404 3,941 57,115 125 £ 113,116 16,572 205,981 521 Oz. "73 26,617 Oz. 10,692 35 Oz. £ 3,942 16,341 51291 22,041 1J349 108,490 401,602 93,876 358,231 14,614 2,167,375 8,170,266 Wellington 188 706 Mablbobough— County of Maryborough Blenheim Borough Picton Borough 619 2,400 789 3,070 170 Kelson — County of Waimea County of Collingwood 619 33 725 2,400 124 2,729 498 2,036 789 3,070 1,815 7,729 465 1,311 170 85,764 334,009 758 2,853 2,534 9,544 1,776 1,673,139 6,633,163 iVkst Coast— County of Buller .. - .. County of Inangahua County of Grey County of Westland Brunnerton Borough Kumara Borough Hokitika Borough Ross Borough Eeefton Borough .. 8,480 9,727 23,754 21,078 295 808 1,979 33,918 38,913 95,014 84,312 1,182 3,227 7,915 10,899 12,615 20,772 23,709 311 384 2,858 43,518 50,459 83,170 94,907 1,244 1,532 11,431 2,982 2,419 2,888 2J631 "l6 424 879 66,121 264,481 71,545 286,261 5,427 4,324,897 17,199,434 3ANTEEBUEY 24 96 3tago— County of Taieri County of Tuapeka County of Vincent County of Maniototo County of Waihemo County of Waikouaiti County of Waitaki County of Bruce County of Lake County of Wallace County of Fiord County of Southland County of Stewart Island .. County of Clutha Borough of Alexandra Dunedin 1,462 17,568 20,523 7,213 497 144 1,621 978 10,043 6,099 5,292 3,413 5,597 70,976 83,008 29,166 2,031 589 6,516 3,939 41,021 26,920 21,179 13,713 1,708 25,011 23,430 10,040 687 602 1,814 1,042 11,315 5,823 3,333 3,282 50 29 6,904 101,834 95,507 40,929 2,802 2,464 7,436 4,180 46,349 23,451 13,191 13,273 200 116 246 7,443 2,907 2,827 190 458 193 64 1,272 876 1,959 131 "50 51 207 "22 Unknown Totals 75,504 304,862 88,166 358,636 12,662 5,383,511 21,306,286 2511492 976i198 256,913 1,015,742 5,421 1£)O 13,635,020 484 53,644,444

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No. 3. Table showing the Total Quantity and Value of Gold entered for Duty for Exportation from the 1st January, 1857, to the 31st December, 1897. (This return shows the produce of the various goldfields. Gold entered at Nelson from Hokitika, Greymouth, and Westport is put under the head of "West Coast," and gold from Invercargill and Riverton under the head of "Otago.")

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Auckland. Nell ion. Marlbc wough. West Coast. ago. Wellii ion. Cantej •bury. Tot! Oz. Value. Oz. Value. Oz. Value. Oz. Value. Oz. Value. Oz. Value. Oz. Value. Oz. Value. 1857 1858 1859 1860 1861 1862 1863 1864 1865 1866 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 1880 1881 1882 1883 1884 1885 1886 1887 1888 1889 1890 1891 1892 1893 1894 1895 1896 1897 "308 1,239 4,483 3,448 5,449 5,814 6,637 53,660 132,451 85,534 330,326 104,890 119,449 76,910 69,485 56,057 99,081 55,982 37,901 42,720 35,516 33,059 41,291 36,087 42,989 32,271 30,697 35,223 28,655 31,745 45,392 45,555 45,714 52,916 111,213 92,346 105,477 £ 1,192 4,098 13,853 10,552 17,096 17,463 18,277 168,874 434,687 319,146 1,188,708 369,341 437,123 305,068 262,156 221,905 403,627 220,454 154,295 176,416 141,326 131,007 163,618 143,564 170,416 128,140 121,564 139,556 113,191 125,760 181,185 183,655 186,553 211,974 430,862 350,355 392,337 10,437 13,226 7,336 4,538 6,335 10,422 9,580 14,410 12,137 7,650 9,123 5,999 10,631 12,244 10,014 8,175 13,697 5,642 4,577 14,018 5,367 4,463 2,993 3,222 3,453 3,289 2,064 2,159 2,798 2,582 2,914 3,027 3,252 2,856 4,445 2,535 2,145 2,860 2,460 2,753 1,892 40,422 51,272 28,427 17,585 24,552 40,386 37,120 55,841 47,030 29,643 35,918 38,396 42,524 48,692 40,056 32,700 54,786 22,158 17,866 55,862 21,092 17,223 11,424 12,223 13,039 12,494 7,724 8,002 10,337 9,979 10,829 11,320 12,310 11,049 16,896 9,604 8,187 10,634 9,016 10,333 7,055 24,838 7,952 469 501 404 666 1,852 1,867 2,057 1,274 1,198 1,159 450 870 404 879 1,550 1,378 1,352 636 1,079 540 404 1,041 699 5.189 6,073 5,649 3,898 2,165 2,536 2,695 916 810 £ 95,231 30,814 1,818 1,978 1,616 2,664 7,408 7,468 8,228 5,050 4,748 4,636 1,796 3,197 1,617 3,460 5,650 4,531 5,400 2,524 4,306 2,160 1,451 3,759 2,547 20,167 24,285 22,576 15,429 8,644 10,123 10,771 3,588 3,195 1,463 289,897 552,572 511,974 405, 762 317,169 280,068 232,882 172,574 188,501 157,531 158,678 133,014 153,198 144,634 142,822 144,090 127,544 130,048 116,905 111,686 117,861 112,671 98,774 100,139 101,696 89,096 109,268 103,106 99,127 86,950 89,429 79,317 58,817 £ 5,560 1,127,370 2,140,946 2,018,874 1,608,844 1,269,664 1,121,525 931,528 690,296 756,442 631,203 635,480 531,274 612,823 578,508 571,061 575,258 509,971 519,978 467,152 446,517 471,325 446,287 395,430 400,405 406,451 356,368 437,126 412,383 396,516 347,464 357,719 317,161 235,430 187,696 399,201 614,387 436,012 259,139 168,871 158,670 171,649 153,364 165,152 154,940 157,674 182,416 135,107 121,423 118,477 113,169 105,003 102,869 113,666 102,670 83,446 87,478 78,810 73,183 79,104 70,443 62,107 64,419 63,423 87,209 82,933 77,660 76,353 87,694 88,362 84,649 £ 727,321 1,546,905 2,380,750 1,689,653 1,004,163 654,647 623,815 686,596 613,456 660,694 619,760 630,696 734,024 542,154 487,632 473,491 455,341 422,277 407,868 457,705 411,923 333,804 352,334 318,932 294,378 317,543 279,518 247,142 256,430 255,976 349,573 333,467 313,238 307,644 353,796 359,991 342,187 30 £ 120 £ 10,437 13,534 7,336 4,538 194,031 410,862 628,450 480,171 574,574 735,376 686,905 637,474 614,281 544,880 730,029 445,370 505,337 376,388 355,322 322,016 371,685 310,486 287,464 305,248 270,561 251,204 248,374 229,946 237,371 227,079 203,869 201,219 203,211 193,193 251,996 238,079 226,811 221,615 293,491 263,694 251,645 £ 40,422 52,464 28,427 17,585 751,873 1,591,389 2,431,723 1,856,837 2,226,474 2,844,517 2,698,862 2,504,326 2,362,995 2,157,585 2,787,520 1,731,261 1,987,425 1,505,331 1,407,770 1,284,328 1,496,080 1,240,079 1,148,108 1,227,252 1,080,790 1,002,720 993,352 921,797 948,615 903,569 811,100 801,066 808,549 773,438 1,007,488 954,744 913,138 887,839 1,162,164 1,041,428 980,204 10 37 101 380 24 96 47 169 24 96 33 52 132 206 Totals .. 253,720 1,002,006 85,450 5,368,828 2,137,970 8,059,394 332,835 5,719,263 22,730,339 21,246,824 273 1,044 48 192 13,565,552 53,372,634

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No. 4. Table showing the Total Quantity and Value of Mineral Ores other than Gold (the Product of New Zealand Mines), Coal, Coke, and Kauri-gum, exported from the Colony up to the 31st December, 1897.

Of CM o cco <a n o W CD > QQ I H E* O

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Silver. Copper-ore. Chrome-ore. : Antimony-ore. Manganese-ore. ; Heematite-ore. Mixed Mineral Ore. Coal. L Coke. Kauri-gum. Total. Year. Oz. Value. Tons. Value. Tons. Value. Tons. Value. Tons. Value. Tons, i Value. Tons. Value. Tons. | Value. : Tons. Value. Tons. Value. Oz. Tons. Value. £ & I £ £ I £ £ £ £ ! £ I £ 15,972 28,864 4,514 18,591 35,251 20,037 20,776 9,851] 9,888, 11,107 27,026 60,590 46,060 70,572 77,491 72,493 111,307 175,074 167,958 154,167 85,816 79,986 138,523 109,234 118,348 132,975 147,535 242,817 253,778 260,369 336,606 342,151 299,762 257,653 362,449 380,933 329,590 378,563 437,056 517,678 510,775 404,567 418,766 431,323 398,010 £ 15,972 28,864 4,514 18,591 35,251 25,066 23,501 12,883 11,708 36,850 31,344 65,500 46,060 72,287 81,419 74,680 115,100 188,082 192,715 164,982 96,321 ' 91,957 149,272 129,372 137,711 154,687 168,001 275,799 271,633 281,016 350,086 353,024 362,779 318,783 419,844 459,301 439,260 467,465 544,633 614,360 598,330 487,132 516,393 516,149 495,069 1853 1854 1855 1856 1857 1858 1859 1860 1861 1862 1863 1864 1865 1866 1867 1868 1869 1870 1871 1872 1873 1874 1875 1876 1877 1878 1879 1880 1881 1882 1883 1884 1885 1886 1887 1888 1889 1890 1891 1892 1893 1894 1895 1896 1897 i 11,063 37,123 80,272 37,064 36,187 40,566 29,085 12,683 33,893 23,019 20,645 20,005 18,885 5,694 16,826 24,914 16,624 12,108 20,809 403 24,105 32,637 28,023 22,053 63,076 54,177 85,024 94,307 183,892 •• i •' I •• 2,993 11,380 23,145 9,910 9,850 10,380 7,569 3,171; 7,556! 5,755' 4,512 4,500 4,236 1,286 3,785 ; 5,125 3,169! 2,946! 3,453i 71 4,043i 6,162 5,151 3,996: 9,743 6,697 10,679i 10,589 20,872; 351 245 137 110 51 246 84 7 5,000 2,605 1,590 1,300 1,024 .. 2,700 977 120 I .. •• . 3 25 8 120 116 1,440 52 520 3,843 24,719 595 4,318 768 4,910 281 1,315 " 25 120 1,440 520 24,719 4,318 4,910 1,315 .. •• •' ! •■ ! •■ i .. • • ■■ ■• - • • • .. •■ •• ! •• • • ■• • • I i 1 I '" 1 - I ■• I .. •• ■• •• .. •• •• •• .. •• I •• I ■• 3,180 2,366 2 •■ .. .. .. .. • .. 14,824' 9,664 8] •• •• ■• \ 2 1 •■ 261j 973 l,027l 750 1,672 1,696 990 7241,463 3,385 1,854 2,658| 6,362: 7,144 7,020| 6,621. 3,207] 6,522 6,104 , 43,893 46,136 44,129 68,087 86,405 69,614 i 91,664 78,911 69,136 75,004J i 85,987; i 79,524| I 76,0731 ■■ 4 •• 2 •■ •• . ! 400 1,228 1,210 800 1,5081 1,612 855 655 1,363 3,129 1,954 2,071 5,139 6,187 5,977 5,610 2,380 4,879 4,461 51,257 52,133 44,650! 64,971 84,347 67,003! 91,173 80,225! 72,699 73,438 83,342 71,984 69,595. •• .. •■ •■ I .. •• .. 21 87 15 53 25J 85 154 87 223 275 j 1,430 236 : 267 497 | 183J I 953 2,132 :2218 J2.544 4,306 51 107 288 105 •■ I •■ I " I "50 228 51 189 72 177 324 135 353 480 2,057 372 385 715 266 1,646 3,407 3,334 3,658 5,691 53 160 715| 263 830 1,661 355 1,440 2,522 1,811 2,010 1,046 856 ! 1,103 1,400 2,228 1,867 2,535 2,685 2,690 2,850 4,391 5,054 4,811 2,834 2,569 3,231 2,888 3,633 3,445 3,229 4,725 5,461 5,533 6,518 6,393 5,875| 4,920| 6,791 8,482 7,519 7,438 8,388 8,705 8,317 8,338 7,425 7,126 6,641 ■• 11,063 37,123 80,272 37,064 36,187 40,566 29,085 12,683 33,893 23,019 20,645 20,005 18,885 5,694 16,826 24,914 16,624 12,108 20,809 403 24,105 32,637 28,023 22,053 63,076 54,177 85,024 94,307 183,892 830 1,661 355 1,440 2,522 2,167 2,263 1,300 1,018 4,997 1,995 2,996 1,867 3,077 3,904 3,801 3,600 6,070 6,750 5,822 3,558 4,119 6,631 7,975 8,682A 12,420 12,722 17,177 15,538 14,019 14,9531 13,071 51,468;| 52,409| 51,686$ 79,147 97,828 80,2874 104,164J 92,891 78,191 84,052 94,026 86,878 84,465 •• ! ■■ "e 55 115 1,105 ■• 4 "102 2,516 2,140 2,611 1,271 2,181 384 318 602 3281 305 1,085 1,080 482 1,153 521 319 534 210 65 180 10,416 8,338 10,423 3,283 6,963 1,155 809 1,716 1,316 895 2,404 2,569 1,004! 2,634; 1,239 943 1,156 525 205 541 ■• .. 612 24 900 804 .. 2,674 1,955 2,784 22 11,335! 4,303! 8,597 110 5 9 46 20 •• . J 36 41 678 106 60 2 30 31 .. I i i '04 12 20 "2 "oi 390 75 4 .. .. 666 62 134 376 493 515 413 364 331 44 54 21 10 5,289 1,784 3,989 6,246 5,319 11,121 4,950 4,900 ! 3,467 : 7611 1,486! 450! 157( 504 1 'i* j 208 5 114 445 144 162 199 19 2 84 37 25 62 37 1,561 993. 1,846: 4,142 2,955 9,985 273 6; 631 650 353 880 1,335 5,892 .. i •• .. ■ .. " .. .. .. •• < Totals .. 5,666|37,367 3,610 524 226 I 1,226,794| 9,943,736 1,085,102 202,724 1.394J 17,868: 52,361| 18,2854! 58,534 226 15,874] 78,782, 974,999] 958, 241! J16.343 J24,781 190,5704; ;8,512, 852 1,085,162!

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18

No. 5. Return showing the Quantity and Value of Coals imported into New Zealand during the Quarter ended the 31st March, 1898.

No. 6. Table showing the Increase or Decrease in the Production of Coal in the Colony, and Imported, Year by Year, during the last Twenty Years.

No. 7. Table showing the Output of Coal from the various Mining Districts, and the Comparative Increase and Decrease, for the Years 1896 and 1897, together with the Total Approximate Quantity of Coal produced since the Mines were opened.

Country whence imported. Quantitj Quantity. Value. ictoria few South Wales Totals Tons. 1 26,844 26,845 £ 5 24,282 26,845 24,287

Coal raised i: the Colony. Coal imported. Year. Tons. Yearly Increase. Tons. Plus or Minus. Increase and Decrease. 1878 .. 1879 .. 1880 .. 1881 .. 1882 .. 1883 .. 1884 .. 1885 .. 1886 .. 1887 .. 1888 .. 1889 .. 1890 .. 1891 .. 1892 .. 1893 .. 1894 .. 1895 .. 1896 .. 1897 .. 162,218 231,218 299,923 337,262 378,272 421,764 480,831 511,063 534,353 558,620 613,895 586,445 637,397 668,794 673,315 691,548 719,546 726,654 792,851 840,713 09,000 68,705 37,339 41,010 43,492 59,069 30,232 23,290 24,267 55,275 27,450 50,952 31,397 4,521 18,233 27,998 7,108 66,197 47,862 174,148 158,076 123,298 129,962 129,582 123,540 148,444 130,202 119,873 107,230 101,341 128,063 110,939 125,318 125,453 117,444 112,961 108,198 101,756 110,907 + + 16,072 33,778 6,664 380 6,042 24,904 18,242 10,329 12,643 5,889 26,722 17,124 14,379 135 8,009 4,483 4,763 6,442 9,151 + + + +

Name of District. Output .{ Coal. Plus or Minus. Increase or Decrease. Approximate Total Output of Coal up to 31st December, 1897. 1897. 1896. Kawakawa and Hikuvangi Whangarei, Eamo, Ngunguru, and Whauwhau Waikato Mokau Pelorus West Wanganui Westport Eeefton .. .. Greymoutli Malvem Timaru Otago Southland Tons. 53,449 17,285 Tons. 53,586 21,106 Tons. 137 3,821 Tons. 974,187 375,053 66,125 3,148 61,899 1,943 + 4,226 1,205 950,857 13,653 711 49,766 2,642,983 70,672 2,395,928 341,685 10,657 3,324,297 426,164 908 298,551 2,865 128,676 13,710 504 262,696 3,795 137,890 11,714 103 193,814 43,801 + + 404 35,855 930 9,214 1,996 103 18,478 97 + 43,704 + Totals 840,713 792,851 + 47,862 11,576,613

19

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No. 8. Table showing the Different Classes of Coal from the Mines in the Colony.

No. 9. Table showing the Number of Coal-mines in Operation, the Number of Men employed, and the Output of Coal per Man.

No. 10. Return showing the Quantity and Value of Coal imported into and exported from New Zealand during the Year ended the 31st December, 1897.

Note. —Foreign coal included in exportation to —United Kingdom, 1,319 tons, value £1,205; New South Wales, 1,611 tons, value £1,459 ; Tasmania, 21 tons, value £28; United States of America —On the West Coast, 880 tons, •value £792 ; South Sea Islands, 2,372 tons, value £2,174. Norfolk Island, 120 tons, value £120. The remainder is New Zealand produce.

Output of Coal. Approximate Total Output of Coal up to the 31st December, 1897. Name of Coal. Increase or Decrease. 1897. 1896. Bituminous Pitch Brown [jignite Tons. 504,764 34,969 268,020 32,960 Tons. 473,637 110,547 179,744 28,923 Tons. + 31,127 -75,578 + 88,276 + 4,037 Tons. 6,146,449 1,686,056 3,366,254 377,854 Totals 840,713 792,851 + 47,862 11,576,613

Number of Mines ■working. Number of Miners employed in each Mine. Total Number of Men employed. Output ot Coal during 1897. Average Output per Man. 112 19 4 18 1 to 4 men in each 5 to 10 11 to 20 21 men and upwards Tons. 171 52,012 129 45,945 00 25,979 1,552 716,777 1,912 840,713 Tons. 304 356 433 462 4.39 153

Imported. Exporti id. Countries whence imported. Quantity. Value. Countries to which exported. Quantity. Value. United Kingdom New South Wales .. Victoria Tons. 1,500 109,403 4 £ 1,238 96,885 10 United Kingdom Victoria New South Wales Queensland Tasmania United States of America— On the West Coast Fiji Islands South Sea Islands Norfolk Island Tons. 54,005 2 5,281 2 1,437 £ 53,445 2 4,270 10 856 Totals .. 2,953 7,766 10,784 166 2,340 5,838 8,426 180 Totals 82,396 75,373 110,907 98,139

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No. 11. Number of Miners employed during the Years ending 31st March, 1897 and 1898.

Approximate Cost of Payer.—Preparation, not given ; printing (3,750 copies), £21 4s.

By Authority : John Mackay, Government Printer, Wellington.—lB9B.

Price 9d.

20

Mining District. Alluvial Miners. Quartz-miners. Totals. Gram Total. European. Chinese. European. Chinese. European. Chinese. 1898. 1897. Auckland — North Hauraki and Ooromandel .. Thames Ohinemuri Te Aroha Puhipuhi Tauranga Great Barrier 1,101 756 1,895 184 10 10 6 1,101 756 1,895 j 184 10 10 6 1,101 756 1,895 184 10 10 6 1,329 1,527 1,820 100 25 35 36 •• Marlbokough— Pelorus Wairau Cullen's Greek Waikakaho Wakamarina Kaituna 36 19 3 59 i 3,962 1 7 3,962 1 43 19 3 61 3,962 1 43 19 3 61 4,872 6 30 50 1(1 80 6 2 Nklson— Wangapeka, Baton, and Sherry .. Takaka Oollingwood Motueka Inangahua Ahaura Charleston Westport, including Addison's, Northern Terraces, Waimangaroa, North Beach, Mokihinui, ■ Karamea, and Lower Buller Valley Lyell .. Murchison Owen .. .. ■ • f 42 60 20 187 420 149 117 6 195 293 "80 421 66 10 42 140 20 608 486 149 127 6 195 293 42 146 20 803 779 149 127 42 216 14 677 783 230 182 390 10 400 400 350 32 14 57 89 14 103 76 200 120 200 120 320 172 1,500 90 420 450 350 628 634 628 2,762 2,560 2,134 Westland — Boss Stafford and Goldsborough Hokitika and Kanieri Kumara Greymouth Arnold • • ■ • ) Okarito 4 100 30 100 7 97 420 450 350 4 100 30 100 101 520 480 450 130 550 490 450 650 210 20 070 210 880 735 85 1 85 1 86 71 2,045 445 27 2,072 445 2,517 2,426 Otago— Hindon Tuapeka Clyde and Alexandra Cromwell Roxburgh Black's Tapanui Waikaia Wyndham Tjongwood .. ■ ■ J Orepuki ■ • • ■ r Roundhill and Wilson's River ) Wakatipu Goldfields —Arrow, Macetown, Cardrona, Kawarau, Bracken's, and Motatapu Queenstown Naseby, Kyeburn, Clarke's, and] Mount Burster Hamilton, Sowburn, &c. Hyde and Pullerton's .. Serpentine Macrae's, Strath - Taieri, Shag Valley, Nenthorn, St. Bathan's, and Ida Valley J Maerewhenua and Kurow Pembroke 64 450 410 340 358 135 20 270 12 330 200 200 125 152 70 45 20 45 100 20 51 40 12 30 10 8 60 100 115 490 422 . 370 368 138 20 270 12 390 300 200 125 152 70 45 20 45 100 20 115 690 547 522 438 183 40 315 12 490 320 50 630 560 498 460 178 80 190 12 428. 375 350 25 125 475 25 500 600 315 152 34 349 152 501 G31 105 40 12 105 40 12 105 52 105 52 3,399 966 465 Summary. 3,864 966 4,830 4,849 Auckland Mablboroush Nelson .. Wbstland Otago 117 1,500 2,045 3,399 628 445 966 3,962 10 634 27 465 3,962 127 2,134 2,072 3,864 628 445 966 3,962 127 2,762 2,517 4,830 4,872 182 2,560 2,426 4,849 Totals 7,061 2,039 5,098 2,039 14,198 14,889 12,159

MoEachen , Photo.

Otago Dredge.

Electric No. 1 Dredge.