F.—B

20

survey Eeferring to the sketch, the survey is especially desirable along that part of the coast marked A, B, C, and D, and careful soundings should be made in the adjacent water Allow me to suggest that copies of the charts of soundings and reports on both Necker Island and Bird Island surveys might prove useful to the Canadian Government, and that it would be well to make application to the Admiralty for them to be sent as soon as made. Yours, &c, Sandfobd Fleming. The Hon. Mackenzie Bowell, Minister of Trade and Commerce.

No. 30. The MiNisTEE of Trade and Commeecb, Ottawa, to the Hon. the Peemiee, Wellington. Sic, — Ottawa, Bth December, 1894. Upon receipt of propositions from cable-manufacturing contractors for the supplying and laying of an electric cable between Canada and the Australasian Colonies, as per advertisement published in England, I referred them to Sandford Fleming, Esq., C.M.G., for analysis and report. Having received Mr Fleming's report, with other documents in connection therewith, I have pleasure in enclosing an advance copy thereof for the information of your Government, which report will be officially communicated by the next mail. I may add that, while neither the terms upon which it is proposed to construct the cable nor the basis upon which the work should be carried out have been considered or determined by the Canadian Government, I deem the matter of sufficient importance to justify me in losing no time in putting you in possession of the facts in connection with the proposals just referred to. In view of the advisability of this important work being expeditiously proceeded with, it will be necessary for the parties interested to take such steps as may be deemed most advisable to decide upon a basis of co-operation. I shall be pleased to receive and lay before my colleagues any suggestions which your Government may have to make upon this subject. I have, &c, Mackenzie Bowell, Minister of Trade and Commerce. The Hon. the Premier of New Zealand, Wellington.

Enclosures in No. 30 I.—The Pacific Cable Bepobt on Tendebs. Sib,— Ottawa, 20th November, 1894. I have the honour to report on the replies received by you on the Ist instant, in response to the public advertisement of the Government of Canada, inviting cable-manufacturing contractors and others to state the terms upon which they would be prepared to lay and maintain in an efficient condition a submarine electric cable across the Pacific from Canada to the Australasian Colonies. 1. Sir John Pender, Chairman of the Eastern Extension Telegraph Company, 50, Old Broad Street, London, addressed a letter to you, dated 19th October, 1894, in which he represented— (1) That full information respecting the depth and nature of the sea-bed has not been obtained, and, in consequence, reliable opinions cannot be formed (2) that Mr Alex. Siemens's estimates of revenue are fallacious, and that my own estimates are not much more reliable, (3) that a cable laid as intended would be quite useless, and would prove a commercial failure, 4) that a telegraph established across the Pacific, as proposed, would result in a loss of at least £90,000 a year to the company he represents. Sir John Pender, in short, discourages in every possible way the attempt to span the Pacific by a Canada-Australian telegraph. He states, however, that he will be most happy to enter into negotiations for accomplishing the work if sufficient inducements be offered him, and he pleads that his company " will be able to undertake the work on better terms than could be offered by any other company " 2. Mr W Sharpley Seaton, 57-J-, Old Broad Street, London, likewise addresses you, 19th October, 1894. This gentleman sets forth at some length the great necessity which exists for a detailed survey. He considers this to be of primary importance, and counsels delay until such a survey be made. 3. The Chairman of the Telegraph Construction and Maintenance Company, 38, Old Broad Street, London, writes, 19th October, 1894. He criticizes generally the proposals which have been published by the Canadian Government, and raises objections to the conditions laid down for intending contractors. He objects to each one of the eight routes specified, and proposes a new route, taking in Honolulu and Samoa. On this route the firm he represents would lay a cable of a good type and weight between Vancouver and New Zealand (only) for £1,870,000. This amount, however, does not include maintenance for three years, or for any period. Nor does it include a branch cable to Australia. He urges as a first step that the line should be sounded over its entire length on the exact route chosen, and he states that his firm cannot undertake to guarantee the repair of the cable until a further investigation has been made of the sea-bottom over which the cable is to be laid. The writer of this communication estimates that a cable could be laid on Eoute No. 8 for about £1,300,000, but this, he states, would depend upon its proving possible to find an available and safe mid-station between Honolulu and Fiji. He further states that maintenance on this or any route cannot under present conditions be guaranteed by this firm.