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School of Mines.— The number of students who have as yet availed themselves of this school has not been such as to warrant the expenditure involved in its continuance—a circumstance deeply to be regretted, inasmuch as the teaching appliances are, to a great extent, fully complete, and the Director of the school is eminently qualified for the position. Considering the vast extent and variety of the mineral resources of New Zealand, it does not seem creditable to the colony that it should not possess at least one fully-equipped and high-class school of mines. It is thought that probably the best, if not the only, way of rendering such school a success would be for the Legislature to enact that, after a given date, it shall not be competent for any person to act, either as Inspector or Manager of Mines unless he holds a diploma from some recognised school of mines in this colony or elsewhere; such enactment, of course, not to apply to those who at present occupy such positions. There have been various communications with the Government on the subject, both personally and in writing; as yet these have led to no practical result. It is hoped, however, that during the ensuing session of Parliament action will be taken in the direction hereinbefore indicated; or that, failing this, provision will be made whereby the mining industry throughout the colony may have the advantage of the valuable services of Professor Ulrich in some other capacity. Accounts. —A copy of the abstract of accounts, showing the income and expenditure of the University for the year ending the 31st March, 1886, was forwarded to you on the 20th April. I have, &c, His Excellency Sir W. F. Drummond Jervois, K.C.M.G., &c., D. M. Stuaet, Governor of New Zealand. Chancellor. {Approximate Cost of Paper.— Preparation, nil; printing (1,500 copies), £& 2s. dd.)

Authority: Geobqe Didsbcby, Government Printer, Wellington.—lB36.