a—3a

16

brace of the inside winding-shaft (which is 500 ft. from the main shaft on No. 3 level) to No. 7 level is 516 ft. A cross-cut 185 ft. in length from the bottom of the inside winding-shaft intersected the reef on No. 7 level. The reef has been driven on about 100 ft., and one or two stopes opened out to test the quality. There is a large body of quartz, but so far as operations have extended it is of low grade, yielding only about 4 dwt. per ton. Stoping out stone has been proceeded with from No. 5 level upwards, on a continuation of the good block of stone which was worked during the preceding year, but the quality of the stone has deteriorated to such an extent that it. is scarcely payable. . Prospecting operations on No. 1 level recently resulted in the discovery of a reef, which at the present time has been driven on a little over 40 ft., the stone in the face being about 13 ft. wide. A crushing of 100 tons of stone from this block has given 134 oz. of amalgam. This block is 500 ft. from any quartz hitherto worked in the mine. The new water-wheel for winding purposes has been completed and is working well. Three thousand two hundred and eighty-two tons of stone .have been crushed during the year, yielding 1,032 oz. of gold, valued at £4,098 4s. A quantity of concentrates (9 tons 19cwt.) was treated on account of this and the Hercules Company, and yielded a return of £151 14s. 9d. The total output of the mine is 125,512 tons of stone, which yielded 66,719 oz. of gold, valued at £259,753 ss. Bd., out of which dividends to the amount of £113,416 13s, 4d. have been given. No. 2 South Keep-it-Dark —Prospecting operations have been carried on in various parts of the mine, but without payable results. A cross-cut is now being driven west from No. 3 level with the view of intersecting the same line of reef on which the Keep-it-Dark is prospecting from No. 1 level. This cross-cut has now been extended 200 ft. Wealth of Nations Group. —The incline shaft has been sunk 280 ft., making a total depth of 624 ft. A chamber has been cut for winding-gear, and also ore- and waste-bins. New rails have been laid down for 1,100 ft., and timber renewed. The 200 ft. level has been retimbered for a distance of 150 ft. In the 350 ft. level 320 ft. has been driven north on the track of the reef. In the 500 ft. level 64 ft. of driving has been done to the north on the track of the reef, and a chamber cut at the incline shaft, and 40 ft. of the drive has been timbered up. On the south block a rise of 30 ft. was put up to connect with the old stopes. In the old stopes between the 350 ft. and 500 ft. levels a considerable amount of work was done to secure the ground and put it in working-order. On the old Energetic side the old level had to be redriven and timbered a distance of 300 ft., and a drain cut in the 200 ft. level to take the shaft-water. A hoisting-engine, with compressor, &c, has been erected at a cost of £400. Mubeay Ceeek. Golden Fleece Group. —This includes the Inangahua low-level tunnel and other properties. The low-level tunnel has been extended 1,485 ft., making the total length of the tunnel 5,285 ft. A cross-cut of 610 ft. has been put in, and a rise of 88 ft. was made to connect with the bottom of the winze sunk in the Golden Fleece to a depth of 380 ft. Inglewood Extended. —This comprises properties formerly held by the Inglewood, Phoenix, and North Star. The Phoenix reef was worked down 150 ft., the Inglewood reef 350 ft., and the North Star 75 ft. The mine is under offer to the Consolidated Goldfields of New Zealand, whose property (the Golden Fleece) it adjoins, and that company would have facilities for working the reefs mentioned if they live down, as the Inangahua low-level tunnel if extended a comparatively short distance would go through the Inglewood ground and give a large height of backs. Gold to the value of £33,609 has been obtained from these reefs. Pour men only are working in the mine, and they are having a small crushing put through the battery. Painkiller. Dillon Extended. —This company's operations have been chiefly confined to the work of extending the No. 2 level south in the direction of the high ground in what was formerly the old Dillon Licensed Holding. After rising and making the connection complete between this level and Lawn's winze from intermediate level, several contracts were let for driving the tunnel ahead, and since leaving that point 343 ft. has been added to the level. For the greater part of the distance a reeftrack in very likely country has been .followed, and at the present time the face shows a good formation with quartz leaders. At the end of January a body of quartz, varying between 2 ft. and 3 ft. in thickness and of payable quality, was struck. It lasted for a length of 30 ft., and as a well-defined track has been kept ever since the indications have been considered sufficient to warrant further prospecting at this part. Boatman's. Welcome. —The work of developing the reef found in No. 5 level has been carried on. The rise on the southern end of the block was continued 167 ft., and a cross-cut put in 21 ft. to the west. The track was driven on for 32 ft., and this was risen on 35 ft. A cross-cut was put in about 50 ft. down the main rise, 13 ft. to the west, and the track driven on for 38 ft. The cross-cut from Eureka incline was driven 312 ft., but without success. Devil's Ceeek. Progress Mines. —The work of development has steadily been proceeded with. The sinking of the main shaft (Globe B shaft) was completed in August last, and cost £4,394. A Corliss winding-engine, capable of lifting from a depth of about 2,000 ft., has been erected at a cost of £7,432. The Otto aerial tramway, 6,796 ft. in length, has been completed at a cost of £8,064. A new forty-stamp mill has been erected and fitted with the latest appliances for economical working and saving of gold, including rock-breakers, automatic feeders, and vanners. The cost was £10,035. The water-race, ten miles and a half in length, and capable of carrying twenty-five