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progress; the rails are linked in to 15 miles, and ballast laid to about 13-J- miles. In connection with this section of railway two contracts have been entered into for the erection of the necessary station-buildings. Waihou Contract (12 miles 3 chains, formation only). —This contract extends from Morrinsville to near the Thames Eiver at Aroha. It was let on the 25th May, 1883, and should be completed judging by what has been done, in about two months' time. Te Aroha Bridge Contract. —This work was let during May, 1883, and is steadily progressing. The contract-time will be exceeded by reason of extra work, rendered necessary by the very soft nature of the bed of the river; the concrete piers will have to be carried deeper to insure a solid foundation. A separate contract for the ironwork of the swing-span of this bridge was completed and the materials delivered at Shortland during September, 1883. Kauaeranga Contract (4 miles 40 chains, part formation, and the laying of permanent-way). This work extends from Grahamstown Wharf to Kopu Station on the Thames Eiver. It was let on the 13th February, 1.883, has been carried on slowly, and will probably be finished in about three months. Hamilton-Cambridge /Railway. —This line commences at a point four miles from Hamilton Junction Station, on the Waikato-Thames main line of railway, and extends to the Township of Cambridge. The principal works done during the year were the completion of the Tamahere Formation Contract, 4 miles 55 chains, and the Hautapu Contract, 5 miles 68 chains, the former in July and the latter in June, 1883. Contracts have been let for the completion of the formation and the laying of the permanent-way over the whole length of the railway, 12 miles 2 chains, and for the erection of the station-buildings. Preparations are also being made for a proper water supply for Cambridge Station; the water will be pumped from Te Koutu Lake, near to which the station-yard is situated, on a site generally convenient to the township. EOLLING-STOCK. During the year there has been erected in Auckland railway workshops 2 horse-boxes, 34 high-side wagons, 16 low-side wagons, 22 timber trucks, and 6 locomotive engines, Class J, six-wheel coupled, with bogies and tenders ; all of which have been added to the working rollingstock. Sueveys. The principal surveying work done during the year has been in connection with the PukekoheWaiuku line of railway, as proposed; Karamu road-diversion ; Thames-Tauranga road-diversion, 2 miles 35 chains, between Mackaytown and Owharoa; land survey, Cambridge-Eotorua Eoad; surveys for plans and sections of Eaglan-Kawhia Eoad; and the survey of the Kaipara-Waikato line of railway as completed, 22 miles of which have been-finished, viz., from Queen Street Wharf, Auckland, to Drury Eailway-station. HAWKE'S BAT DISTRICT. Napiee-Woodville. /Extension of Line southwards, Matamau Section, from Makatoko (69 miles 70 chains to 73 miles 73 chains), includes— (a.) Mangateioainui Bridge Contract (including the Mangatewainui Bridge and formation work from 71 miles 31 chains to 72 miles 50 chains). —This was completed in December last, the formation and permanent-way from 69 miles 70 chains to 71 miles 31 chains having been previously done by the department by means of the " unemployed." (b.) Formation (from" 72 miles 50 chains to 73 miles 73 chains). —The formation of this piece was let by tender, in nine small contracts, to settlers and labourers; and the bridges, three in number, are being erected by the Public Works Department. (c.) Permanent-way (71 miles 31 chains to 73 miles 77 chains). —The Public Works Department is also doing this work, which is completed up to 73 miles 39 chains so far as laying the rails,, and the ballasting has been begun. If the weather is favourable the line might be so far completed as to be ready to open it for public traffic to Matamau early in June. Tahoraite Section (73 miles 73 chains to 81 miles 55 chains), including— (a.) Whakaruatapu and Mangatera Bridges Contract. —This contract includes formation work,. 76 miles 31 chains to 77 miles 15 chains, as well as the two bridges, and is now just finished. The work has been done in a satisfactory manner, although very much beyond the contract time. (b.) Tahoraite Contract (formation, 73 miles 73 chains to 76 miles 31 chains and 77 miles 15 chains to 81 miles 55 chains). —Owing to the slow progress made by the contractors with this work it was found necessary, after giving due notice, to take it out of their hands; and the work is now being prosecuted with vigour by the department, and with a fair chance of completing it by the end of June. Tenders for laying the permanent-way will, it is expected, be received about the beginning of June, and a contract will be let for that work, which may occupy about four months. Tahoraite Station-buildings (Contracts Nos. 1 and 2). —These include all the buildings required from Matamau to Tahoraite. The works are well in hand, and will be all finished before the completion of the plate-laying. Woeks on Opened Lines. The rolling-stock has been augmented by the addition of one Class E locomotive engine transferred from Auckland, and one Class A locomotive engine from DUhedin. Four timber-trucks, twenty-five low-side wagons, and twenty high-side wagons have been turned out of the workshops; as also ten meat-y^ns specially constructed for the frozen-meat trade between Tomoana and the port. There 'are also now being erected three horse-boxes, eight timber-trucks, twenty high-side wagons, five sheep-trucks, ten cattle-trucks, and three goods-brakes. It is expected that