H.—3

26

in its vicinity. It has induced many persons to apply for agricultural sections who would not otherwise have done so, on account of the difficulty of access to the land. Land towards the Aroha and elsewhere would be speedily taken up were the country opened up by similar roads. A printed copy of the regulations under which the leases have been taken up is appended. W. Eraser, Thames, 31st March, 1876. Warden.

No. 20. The Provincial Secretary, Auckland, to the Under Secretary for Gold Fields. Sib, — Superintendent's Office, Auckland, Bth May, 1876. I have the honor to forward the accompanying report and returns received this day from Mr. Warden Keddell, of the Northern Division of the Hauraki Gold Mining District, for the year ended 31st March ultimo. I have, &c, Reader Wood, The Under Secretary for Gold Fields, Wellington. Provincial Secretary. Sir,— Warden's Office, Coromandel, 14th April, 1876. I have the honor to forward you my general report for the past year ending 31st;March ultimo, on the progress of the mines within the northern portion of the Hauraki Gold Mining District. As in my last report, the record of events of the past year shows merely the progress of established mines. The depression felt in the Southern Division of the district for the last six or nine months has to a certain extent appeared here, though at no time has there been a want of employment, nor any necessity for our labour to seek another market. The progress made in the three mines, the "Kapanga," "Tokatea," and " Union Beach," which I will, as before, more especially report on, as the paramount and pioneer claims in their respective localities, have all and each considerably advanced their position. These claims I will take in the same order as in last year's report. The Kapanga Gold Mining Company (English) have (with the exception of a vexatious delay of about two months, occasioned as before by the non-remittance of funds) been working steadily in the direction previously reported, to cut the old Kapanga reef. The shaft in April last was 249 feet in depth. This has been sunk to the intended depth of 300 feet, and a cross-cut driven in an easterlydirection towards the reef, which underlies 45 degrees towards the shaft. It was estimated that this would be effected in about 300 feet; but the drive is in 360 feet, and the reef has not yet been reached, though daily expected. This increase in the length of the cross-cut over the estimate is accounted for by the deviations made, which, in order to avail himself of easier ground, the manager thought advisable. I have already reported the excellence of the whole arrangements of this mine ; everything done is well done, and with a regard for the permanence of the work; and as the character of the reef they are seeking is well known in the old workings to be extremely rich, it is confidently expected that the company will soon possess a mine giving steady yields ; and this once the case, it cannot fail to be of very great importance to the district and the colony, by favourably bringing our mines to the notice of English enterprise. It is intended, after opening up the reef, to sink the shaft a further depth, and with tho powerful machinery and plant now on the ground a great deal of work can be got through. The driving tor the first 200 feet in the cross-cut was through very good country, but afterwards a series of belts of hard rock were met with, and alternate layers of softer stone. In the last 60 feet the ground changed to a dyke of hard stone of the most stubborn character yet seen in the mine or on the field, so hard and tough that progress could only be made at the rate of about 3to 4 feet in the week. Ordinary blasting powder was useless, and lithofracleicr had to be substituted. This ground has again changed, and at present the drive is passing through easy soft ground, and from the increase of water flowing in at the bottom of the face, it is believed that the reef is close at hand. Should this be reached within a reasonable time, I would deem it of sufficient importance to be mentioned in a supplementary report. A battery of 10-head of stampers, with foundations laid for 30 head, to be added when required, has been constructed alongside of the pumping engine, which also furnishes the crushing power. The Tokatea Gold Mining Company have continued steadily to work their mine. Little has occurred requiring comment here. The prospects are as good as ever. The seventh level has lately been opened and is now in about 70 feet. This will traverse the Margaretta, Van, and Bismark Companies' ground before reaching the Tokatea's eastern boundary, and will when completed be 1,500 feet long. Of course the assistance of the other companies interested in the work has been obtained; it will occupy some time, and will be very costly. The mine, when intersected at this depth, will have backs of about 200 feet to their present workings in the sixth level. The surrounding claims—Royal Oak, Pride of Tokatea, Harbour View, &c—have all been worked with varying success. In the Harbour View the upper workings have been let on tribute, and during the last month the tributers met with some stone yielding very well. The Pride of Tokatea has worked continuously that part of their claim available through the Tokatea upper workings, the remaining and greater portion is now at last about to be let on tribute. Paul's Creek. The Three Brothers. —This promising claim, owing to disagreement between the shareholders, has nearly been at a standstill; and it is much to be regretted, as its prospects are on every hand admittedly good. I regret to report that the favourable anticipations formed of the Plutus Gold Mining Company's property at Waikoromiko have not been realized. Though commenced under the most favourable auspices, the claim is now unworked, except by a small party of tributers.