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labour-saving appliances being devised. In order to make poor ground pay, some more economical method of working is necessary. When all these dredges now in course of erection are in full operation, and practically demonstrating that these beaches can be successfully worked, it will open up a new field entirely for the employment of capital and labour, which must in the future go hand in hand to make mining a commercial success. Antimony. The workings at Endeavour Inlet are still being carried on with a fair amount of success. Since the new company have taken possession of the works they have been forwarding the ore to England for treatment. Last year about 346 tons was exported, valued at £6,246, as against 134 tons, valued at £3,989, for the previous year. The company has been erecting a furnace to produce crude antimony, but so far has not been successful, the great difficulty being contained in the fact that the antimony and sulphur destroy the iron of which the furnace is made ; but if a suitable material be got for lining the furnace so as to resist the action of these two metals it will enhance the value of the property considerably, as it will enable the antimony to bo produced at a much less cost than heretofore. Manganese. This mineral is found in the northern districts of the colony. The quantity exported last year was 1,085 tons, valued at £2,404 ; as against 305 tons, valued at £895, for the previous year; which is an increase of 780 tons, of a value of £1,509. It is only when large deposits are found, with a cheap mode of transport, that manganese-mining can be made to pay. Tin. During the latter portion of last year discoveries of tin-ore were made in Stewart's Island) both in alluvium and in lodes. There is not sufficient known with regard to the value of this discovery yet; but it is evident that tin-ore is widely distributed over a large area. There have been 138 applications for mineral leases received by the Commissioner of Crown Lands for the district, for 60 acres each, or 8,280 acres in all. No doubt a large proportion of this area will prove valueless for working ; but the probabilities are that some rich finds of tin-ore may be made. From the fact of the ore being distributed over a large area in the alluvial drift it is not unreasonable to expect that a rich lode will yet be found. If the tin-ore prove payable for working it will enhance the value of the land in this part of the colony, which at present is almost valueless for either agricultural or pastoral pursuits, and will also give employment to a considerable mining population. Coal. This industry is gradually increasing. The output from the mines in the colony last year was 55,275 tons more than for 1887 : of this increased output there were 42,282 tons of bituminous coal, 14,023 tons of brown coal, and 261 tons of pitch-coal. At the same time there was a decrease in the output from the lignite-pits of 1,291 tons. This shows that the bituminous-coal mines are in a fairly progressive state of development. The other classes of coal are only suitable for local purposes, or, at most, for consumption within the colony. It is in the bituminous-coal mines that a largely-increased output is desirable, for that is the only class of coal which will find a ready market in foreign countries—and the time has now arrived when the coal industry will only progress to a large extent by finding markets outside the colony. There will always be a certain quantity of coal imported from Australia, as vessels going from here to New South Wales with produce will carry coals from that colony as return freights at very low rates, and so long as New Zealand can find a market for her produce in Australia, coals from New South Wales and Queensland will be brought back as return-freight in lieu of ballast. The total output of coal from the mines in the colony last year was 613,895 tons, as against 558,620 tons for 1887 ; while the quantity imported from other countries was 101,341 tons, being a decrease of 5,889 tons from the previous year's imports. This makes the total quantity of coal raised within the colony and that imported to be 715,236 tons. Of this amount there was 68,087 tons exported to other countries, including 40,409 tons which were used in coaling the Direct mailsteamers, and which might be fairly considered as coal consumed in the colony. Of the quantity exported 64,192 tons was from New Zealand mines, and 3,895 tons from foreign sources. This makes the total consumption of coal within the colony last year to be 687,558 tons, as against 652,899 tons for 1887, thus showing that the increased demand last year was 34,659 tons more than for the previous one. The increased consumption shows that other industries in the colony are progressing and becoming more numerous, and that steam is now more largely used as a motive-pow7er, that being the great factor in the consumption of coal. The total quantity of coal raised in the colony since records have been kept by the department is 5,232,832 tons, of which 2,484,687 tons was bituminous and 1,797,725 tons brown coal, the balance being pitch-coal and lignite. The principal fields where bituminous coal is found are on the west coast of the Middle Island. Number of Coal-mines and Men employed. The number of coal-mines on the list last year was 128, being two more than for the previous year; but a large number ought not to be classed as mines, as they are only excavations and open pits, where the lignite.is taken out in a face. The number of mines will vary to a considerable extent every year in proportion to the demand for local consumption : for instance, every mining company in the Eeefton district using steam as a motive-power has a small pit or mine of their own, and only work it when they require a supply of coal, and sometimes the operations are suspended for a considerable time, extending over two and three years, as in the case of

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