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115 men, about seventy-five of whom came from Auckland. The men were divided into parties ■on the sth and 6th January, and commenced work immediately There are about 150 men employed, and the works are progressing satisfactorily The average net earnings of the men have been from 7s. Id. to Bs. per day of eight hours. The total cost of the work done to the 31st March was £5,070. On this section the works are of a heavy character, being principally cuttings, some of them in rock, and of a considerable depth, and large embankments, with all of which good progress is being made, and the work done is of a superior class. Mangaonoho Section (3 miles 70 chains). —Formation and permanent-way: Steady progress is being made with the contract works, which include two tunnels and earthworks of a heavy character Bricks of good quality for tunnel-lining are being made on the ground. Makohini Section (7-J- miles). —The formation of this section was begun by co-operative labour on the 29th July 1891. Within a few days of the commencement of the work there were forty-six men on the ground, but only thirty of these remained there. This number increased, however, and the number of men at work up to the 31st March varied from forty to fifty-six and the number has considerably increased since then. During the last three months of the year their earnings averaged at the rate of 7s. lOd. per day of eight hours. The formation of the whole section is in hand, and good progress has been made. The works comprise felling and clearing bush, earthwork, and concrete culverts. The total cost of the work to the 31st March amounted to £3,050. Wellington-Woodville Eailway. Te Aro Extension Section (1 mile 15 chains). —Formation and permanent-way The works of this contract were commenced about the end of February last, and good progress has been made. Eketahuna-Woodville Section. —The formation of a portion of this section of railway at the Etekahuna end, about 5f miles in length, was put in hand on the co-operative principle. Work was commenced on the 22nd December last, with sixty-six men, on the first 3 miles of the line, and on the 18th March further co-operative contracts were put in hand employing twenty-seven men. The total cost of the work to the end of the year amounted to £2,350, and the net average earnings to 7s. per day The work is being done in a satisfactory manner Aiuapurua Contract. —Formation and bridge protective works : This contract was completed on 30th April, 1891, and a cottage has been erected for the caretaker in charge of the Awapurua Bridge. Picton-Awatere Eailway Utawai Section (2 miles 50 chains) Formation This contract was finished on the 4th March last, thus completing the railway-formation from Blenheim to the summit of the range between Blenheim and the Awatere Eiver. Omaka Contract (2 miles 43 chains). —Laying permanent-way : This contract was commenced in December last, and is about one-third finished, and making steady progress. Westport-Ngakawau Eailway (Extension to Mokihinui) Formation and Culverts (7 miles 12 chains). —The formation and culverts of this line were carried out by twelve small contracts, the work being done to'a. large extent under the co-operative system. The whole of the works were satisfactorily completed at a reasonable cost during the year Ngakaivau Bridge Contract (fourteen spans of 40ft. and two spans of lift.). —The contract for this bridge was let on the 29th May last, and it was completed on the 12th March, seventeen days within contract time. Patten's Bridges Contract. —This contract, which comprises the erection of twelve small bridges between the Ngakawau Eiver and the Mokihinui, was let on the 23rd October, 1891. The original contractor failing to carry on the contract, it was relet on 2nd inst., and the work is now proceeding satisfactorily Mokihinui Contract (7 miles 12 chains). —Permanent-way This contract is for the laying of the permanent-way from Ngakawau to the end of the present extension, at 26 miles 28 chains. It was let on the 28th March last. Surveys. —The survey for land-plans is completed for about 3 miles, and arrangements have been made to commence the survey of the remaining length of about 4 miles. Greymouth-Hokitika Eailway Kapitea Contract (4 miles 20 chains). —Formation only This contract was completed on the 14th March last, the term of maintenance expiring on 14th June next. Arahura Bridge Extension and Boadway Contract. —This contract consisted of the addition of four lift, spans to the north end of the bridge , laying the rails and planking for a roadway, the whole length of the bridge. The contract was finished on 29th August, 1891. Planking Teremakau Bridge. —A contract was entered into for planking the bridge for a roadway, and the work was completed on the 7th March. Tarring, Painting &c. —Contracts were let for tarring the Teremakau Bridge, and for tarring, painting, and screwing up the Arahura Bridge, and both contracts have been completed. Formation, Small Bridges, and Culverts, dc. —Formation-works between the Arahura, at 4 miles 57 chains, and the North Kapitea, at 10 miles 35 chains and between the Teremakau, at 14 miles 62 chains, and Greymouth, at 23 miles 51 chains, were carried out under the co-operative system. They were divided into eighteen sections, on which 176 men were employed. These works consisted of making up formation, pitching slopes of embankments at bridge-approaches, building concrete culverts, &c, and have all been satisfactorily completed. Works on other portions of the line are in progress, under the co-operative system, as follows Trimming up the line, clearing out side drains, repairing bridges, building concrete culverts, &c, from 0 miles at Hokitika to 5 miles

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