13

H.—26.

satisfactory. A general meeting of the shareholders will shortly be called to decide if any further work is to be undertaken. They wish to drive 50 or 100 feet further, to properly test the payable nature of the reef. A second lease has been granted for ground in the same valley, but at present no work has been done on this claim. lam informed that a company has been started for working ground in the Onamalutu Valley. They hope to find gold by deep sinking. The difficulty they have to contend with will be water. I believe they have arranged to purchase pumping-machinery. Good gold has for many years been found in this valley. Should the Wairau Valley Gold Field prove payable ground, it will be necessary very soon to provide office accommodation in that district for the transaction of Warden's business. Blenheim, Picton, or Havelock are all much too far from the spot. Miners who have now any business to do with either the Receiver of Gold Revenue, Registrar, or Warden, have to travel about thirty or forty miles. Probably an office might be rented in some convenient place, and periodical visits of the gold-fields officers might for the present provide all the accommodation required. Queen Charlotte Sound Mining District. —Golden Point and Kaipapa District:—During the past year the original Golden Point Company has been broken up, and the mortgagees have taken over the claims, and have formed a new company to carry on the work. A great deal of work has been done on the ground leased to the old company, with, at present, very unsatisfactory results. Probably with better management the returns may prove more profitable to the shareholders. Ravenscliff District: —During the past year the Ravenscliff Company have continued steadily at work. In the absence of the representative I am unable to give more than an approximate report of the results of the year's labour. They have had, I believe, five or six crushings. A considerable quantity of good-looking stone has been crushed, with a very poor yield per ton ; I should imagine not averaging more than about half an ounce to the ton. The experiment has lately been tried of letting the mine on tribute. Ido not know the exact terms, but I am informed ten of the men took the mine for a month, agreeing to pay the company 5 per cent, tribute. The men report favourably of their speculation, and were willing to continue working on same terms, but the company have resumed working on their own account. The result, as a whole, cannot be very satisfactory to the shareholders. There is no doubt that very good-looking stone has been found in the mine. Probably by adopting some better method of saving the gold a more satisfactory result may be obtained. Several other quartz claims have been granted to different parties in this district, but nothing has been done on these claims to require notice in my report. I have, &c, J. Allen, The Under-Secretary for Gold Fields, Wellington. Warden.

NELSON GOLD EIELDS. No. 5. Mr. Warden Campbell to the Undee-Secretaey for Gold FieldSs Sic,— Warden's Office, Collingwood, 6th April, 1880. I have the honor to submit annual report of the Collingwood Gold Field for the year ending 81st March, 1880. There is little alteration to report in alluvial mining in the district during the past year, the yield being about the average of the last two years ; there is, however, a chance during the current year of new alluvial ground being taken up, as a considerable amount of money is being expended in opening up lands for sale in the Upper Collingwood District, which will doubtless bring additional auriferous lands into notice. The holders of the lease next to that held by the Phoenix Company (which turned out so unfortunately) erected a ten-stamper battery worked by steam, and commenced crushing ; but, owing to want of funds (the first crushing not having realized expectations), the stamps are hung up, and an attempt is being made to raise sufficient funds by forming a company, and a prospectus has been issued to that end, and part of the shares taken up. A quartz reef, reported to be rich, has been discovered on the table-land behind Motueka, and it is expected machinery will be at work there before the end of the year. A small rush has also just taken place to the Parapara, in the bed of which stream, just above high-water mark, payable gold has been found, and it is surmised the river-bed may prove remunerative for some distance up. There is now a resident surveyor in the district, and surveys in arrears are being rapidly completed. In the Takaka there is nothing to report further than that the yield of gold is about the same as last year, the mining being all alluvial. The saw-mills, after the stagnation arising from the removal of the protective duty, are again in full work, but, owing to the market being at present glutted, the prices rule too low to be remunerative. The telegraph line will shortly be completed from Motueka to Waitapu, and will eventually be extended to Collingwood. The Parapara Hematite and Iron Company are doing nothing at present; but a new company, it is reported, will be immediately floated to work another part of the hematite deposit, on the south side of the Parapara Company's ground. The Collingwood Coal Mine is let upon tribute; but it has been worked so far on a very small scale, owing to want of skilled labour. Taking everything into consideration, I think the prospects of the district look brighter than they did when the last report was made. I have, &c, A. Le G. Campbell, The Under-Secretary for Gold Fields, Wellington. Warden, 3—II. 26.