C—3a

42

Macßtown. Quartz. —There is very little of interest to report on. The anticipations held out of the value of the Sunrise Lease Company's claim have not been realised : 214 tons of quartz have been crushed, yielding 170oz. of gold. The Tipperary Gold-mining Company (Limited) have done no ■work at all on their claim. The Premier Consolidated Gold Company (Limited) have opened up their mine, and have a large number of men employed. The mine is now in thorough working-order, and it is to bo hoped that the investors may get value for their money : 650 tons have been crushed, yielding 2300z. Two other large quartz claims have been taken up, and the licensee is now on his way to London to try and raise the necessary capital to work them. Alluvial. —The amount of the precious metal won from the ground is about the same amount as for some seasons past, and the number of men at work keeps at about the same level as heretofore. Gardrona. Alluvial. —This is the most thriving locality in the Wakatipu Goldfields, and the yield of gold well up to its former level. Fresh finds have been made on the Criffel Face, which no doubt will lead to further discoveries. The Hydraulic Sluicing Company (Limited) have now about got their claim into going-order, and the prospects are more than encouraging. More will be heard of this locality. Dredging. —Here, again, the holders have all thrown up their claims, many without attempting anything in the way of prospecting. Boxburgh. During the past year the mining industry here has maintained a healthy and prosperous condition. Large sums of money have been, and are now being, spent in improved machinery and plant, and there is a marked increase in the number of persons employed. It is difficult, if not impossible, to obtain anything like a fair estimate of the quantity of gold obtained, but of this I am certain : The yield is considerably above the average of a few years back, and there is every prospect of a further increase. Hydraulic Sluicing. —ln the Boxburgh Amalgamated Company's claim two elevators, under the management of Mr. William Peters, are in work when the supply of water will permit, and the fortnightly washings-up seem to give regular and satisfactory returns. During the year ended 31st March last 1,8860z. of gold were obtained, which enabled the directors to declare a dividend of 3d. per 60,000 th share. I understand that final arrangements have at last been completed between this and the two Hercules Companies for increasing the conserving-capacity of the reservoir at Dismal Swamp. It is proposed to raise the wall to a height of 30ft., which, it is believed, will create a lake some miles in extent. The work will be commenced in the spring, and when finished I am of opinion that the right out of the Teviot Stream will be a very inferior one, if short of its full supply any time during the year. The company employs between twenty-five and thirty men. The ground already worked, as compared with the area yet to be operated upon, represents a mere hole in the ground, and, given a full and regular supply of water, now that all the initiatory expenses are over, the directors should have no difficulty in presenting the shareholders with monthly dividends. The returns from the United Hercules Company's claim up to within the last month or two— when a change for the better set in—have not been as good as in its earlier history. Some poor ground, however, had to be disposed of in order to properly open up the claim, which accounts for the diminished yield. A good run of wash-dirt has again come in sight, which it is hoped will lead into the flat, and the manager is very confident of shortly being able to again place the company upon the dividend-paying list. About twenty-five men are employed. The Hercules No. 2 Company is still getting gold, although not in sensational quantities. The future prospects are very encouraging. Shortness of water in the past has been a great drawback, and, coupled with this, a seam of very heavy stones has had to be manipulated, nearly all of which being too large for the elevator necessitated the labour of handling. Fortunately this seam has about run out, and there are indications, with a dipping reef to the flat, of better wash-dirt setting in. The last year's returns amounted to 1,0680z. of gold, which considerably more than paid working-expenses, although the surplus was not sufficient to warrant the declaration of a dividend. Twenty men are employed in and about the claim, which number no doubt will be augmented when the Dismal Swamp Eeservoir has been constructed. The Island Block Gold-mining Company is an English company, whose operations are confined to freehold land, and very little information can be obtained as to its well-being or doings. Now and again the local newspaper reports the company as having struck very rich wash; but from other sources I am led to believe that the receipts just now are not more than sufficient to cover working-expenses. A great many men are employed, and quite a small village has sprung up about the workings. The Island Block Extended Gold Company shows signs of shortly becoming a dividend-paying one. For some considerable time liquidation seemed inevitable, and this almost before sluicing operations had been commenced ; but since Mr.. Weir has been intrusted with the management a better state of things has arisen. Like many other similar properties where large quantities of water are required, shortness of supply has been the chief obstacle. This, however, has now to a great extent been remedied by the construction of a series of dams, the result of which is a steady supply of water, and consequent increased returns of the precious metal. Mr. Perry has just returned from England, bringing with him machinery for working his claim at the junction of the Benger Creek with the Clutha. Already two engines are upon the ground, one of which, I believe, is to be used for lifting the wash-dirt into boxes or a sluice, by means of a large spoon or scoop, while the other is to pump the necessary water for sluicing purposes. The ground to be operated upon, although reported to be good, is perhaps no better than many other spots on the banks of the Clutha from Miller's Flat to Cromwell, and the result of this method of working will be anxiously watched