D.—No. 1

No. 25. Inter-Colonial Royal Mail Steam Packet Company (Limited), Offices, 41, Moorgate Street, London, E.C., September 18th, 1863. Aly Dear Sir, — At the Board Aleeting held to-day, a resolution was agreed to substantially confirming the informal offer contained in my letter of the 28th ultimo, in reference to the Panama line ; so that in order to arrange an absolute contract it only remains for all the details to be satisfactorily settled. Hoping to see you before the next mail goes out, I am, Ac, Jas. AVorley. The Honourable Crosbie Ward, Esq. P.S. —I presume you received in due course my letter of the 9th instant, in answer to yours of the 7th. J. AV. No. 26. Inter-Colonial Royal Alail Steam Packet Company (Limited), Offices, 41. Moorgate Street, London, E.G., September 23rd, 1863. My Dear Sir,- — I have the pleasure to acknowledge the due receipt of your letter of the 19th instant. I am authorised to inform you, in reply, that the Directors, at the special meeting held this day, finally decided to confirm the offer suggested by me relative to the Panama line. They have already commenced making arrangements for procuring the requisite capital, for the purpose of providing the additional vessels required, and it is their intention to give the order for them immediately the formal contract is settled, so as to be able to commence the service with the least possible delay, and in such a manner as shall be thoroughly satisfactory to all parties. We should give you the ' Otago,' and 'Auckland' or ' Claud Hamilton,' as a reserve, and two new vessels of 1,400 tons B. M., and 250 H. P., guaranteed to go 12 knots on trial. I have no wish to disparage the fleet of the E. I. and L. Shipping Company ; but I feel sure the vessels we propose to supply would perform the service in less time and with greater regularity than theirs. The Directors will be glad to have an early intimation as to whether you are prepared to close with us, and to know when you are likely to be in London again. I have, Ac, Jas. Worley. P.S.—Eventually we should furnish two more large boats. J. AV. Tho Honourable Crosbie Ward, Esq. Captain Vine Hall states in his last letter that he had arranged for the extension of the Cook's Straits line to Otago, the Government agreeing to give us an addition of £800 a-year. He also reports that the ' Auckland' left Sydney for Auckland on the 18th July, with the mails. J. W. No. 27. Inter-Colonial Royal Alail Steam Packet Company (Limited), Offices, 41, Moorgate Street, Loudon, E.C., October 3, 1863. 1. The Company propose, for a subsidy of £66,000 per annum for five years, to undertake the performance of a monthly mail service each way between Sydney, AVellington, and Panama. 2. To provide 4 vessels, say, the ' Auckland' (800 tons B. M. and 150 H. P.) and 3 of about 1,400 tons and 250 H. P., guaranteed to go 12 knots per hour on trial. 3. To perform the service in 28 days from Wellington to Panama, and in say 36 days from Sydney to Panama. 4. To commence the service in August, 1864. 5. It is understood that all the Inter-Provincial services required by the New Zealand Government are to be given to the Company, at a mileage rate not much less than that received for the present services, and that the Company consent to the termination of the original contract with the Admiralty in November, 1864. Claud Hamilton, Chairman.

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