1.—6.

27. What is the amount of coal you are winning now ?—At Westport the output has been—for 1887, 116,000 tons; for 1888, 130,000 tons; and for the first six months of the present year, 75,000 tons, or equal to 150,000 tons for the year. 28. Do you refer to both mines ? —This refers to Westport only. I have not the output from Greymouth with me, but, substantially, I might state it was about 160,000 tons last year and about 66,000 tons up to the 30th June this year. 29. What freight do you pay from the mines at Westport by rail ?—We pay 2s. 6d. 30. Is that over all the coal that is carried ? —Over all the coal that is carried ; it is a composite rate, but the whole of it is 2s. 6d. 31. And what railway-rate at Greymouth ?—2s. 32. In either case do you mean to say that the rate is exorbitant?—lt is very exorbitant. 33. Is it so to such an extent as to interfere with the operations of the company ?—lt almost threatens to ruin the company with the low price of coals that prevails now. I understand that it is very much in excess of the rate paid in Newcastle. 34. What does the coal cost the company ?—When put on board ship do you mean ? The Government charge 35., 6d. royalty and 2s. 6d. haulage. 35. What is the cost free on board?—l am speaking from memory : I think it is about 10s. free on board, including the Government charges; that would be 7s. 36. It is sold at Westport at lis. ?—lt is sold at less than that. 37. Mr. O'Conor.] Does that include interest for wear-and-tear and depreciation ?—Wear-and-tear and depreciation are not included. 38. Mr. Fish.] With reference to the question put to you by the Chairman as to charges made by Government, I would ask you what is the difference between that made in Newcastle to the port of shipment and the charge made at Westport ?—I have not all the data with me, but I know that our distance is very much shorter —it is eleven miles and a half at Westport, incl.ding our own line ; at Greymouth it is seven miles. 39. You run a mile of that on your own line ?—Yes, but we do not include that. 40. Do you know the price and charge at Newcastle ?—The charge for haulage : it is a variable rate; but it is very much less that what we pay. I think it is Is. 4d. 41. Mr. Guinness.] Do you know the rates and charges at Home? —-No, Ido not; but I believe the rates there are very cheap indeed. 42. In your arrangement with the Union Steamship Company, do you give them a monopoly whatever the charge ?—We simply give them all our carriage. 43. Suppose other companies' steamers were desirous of carrying coals as the Union Steamship Company do, would you refuse to allow them ?—lt is simply a carrying arrangement that we have with the Union Steamship Company. We have to supply them with the coal, and they have to supply us with all the steamers we require : we say, they shall have all the coal they wish to carry, and that we shall be supplied with all the steamers we want. 44. But you hold yourselves free to sell coal at Westport or Greymouth to any one that likes to buy ?—Yes. 45. What is the rate of freight with the Union Steamship Company ?—lt is a variable rate ; they meet us from time to time as the case requires. The rate alters from day to day. Just now the rates are exceedingly low, but Ido not think I can give you that information. The Committee, I think, is not entitled to it. 46. Is the Union Steamship Company pecuniarily interested in this company's mines ? —Not in Westport. 47. Have they lent some money to the Greymouth mines ?—They are interested in the Greymouth mine—in Mr. Kennedy's mine. 48. Will you tell the Committee what is the connection between your company and Mr. Kennedy's mine?—The mines of Mr. Kennedy and those of the Westport Company were all amalgamated in one company, called " The Grey Valley Company," and registered as a joint-stock company. 49. Then, your company is in the position of a shareholder?—We hold half the interest in that company. 50. Have the terms of the original leases with your company been ever varied by your company with the Government ? —I do not think so ; not in any respect so far as indicated in the renewals. The Chairman : I think you will find they were varied, in the time of Mr. Rolleston ; before, probably, you became connected with the company. I think you will find they got the ninety-nine years' lease subsequent to the company's formation. 51. Mr. Guinness.] You know of no variation?—No: I only know that I have always found the Government standing out very stiff whenever we wanted to get any terms from them. 52. Mr. li. H. J. Beevts.] You have said that you hold yourself free to sell coal to anybody in Westport or Greymouth ?—Yes. 53. There is no arrangement between the Union Steamship Company and your company " not to supply " coals to other people?—No; on the contrary, we supply the Anchor Company's line with all the coal they w~ant. 54. Do y_u know whether there are any arrangements between the Companies themselves ?— I do not know. 55. By which certain persons might be favoured, say, in Wellington ? —There may be arrangements between themselves f _ the purpose of delivery : they would, of course, make any arrangements they liked to suit delivery. We would only make arrangements that would suit our own Board. 56. Mr. Fish.] Then, in this respect you say they are not monopolists ?—They simply carry all our coal, and for that purpose they must provide the steamers.

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