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C—3.

Ka/raka District. Karaka Mine (Area, 85 acres; owner, Karaka, Limited; mine-manager, William H. Potts). — This mine is opened up from an adit-level the length of which is 750 ft. and the greatest depth of workings below the surface 200 ft. There are two levels opened—No. 1, 700 ft., and No. 2, 300 ft. Two reefs have been met with, both of a kindly quartz, with sandstone casing. The principal work carried on during the year has been the extending of the main cross-cut eastward to intersect the Hague Smith and other known reefs. Prospects have much improved during the past two months, gold having been freely seen in the quartz from the No. 2 reef. A crushing of 100 tons was treated at the May Queen Extended battery, for a yield of 27 oz. 11 dwt. of gold, valued at £80 18s. 6d. Several test lots have also been crushed to test the value of ore at different points. Thirteen men were employed. May Queen Extended (Area, 49 acres 1 rood 30 perches ; owners, May Queen Extended Gold-mining Company).—The principal work in this mine was confined to driving on the Hague Smith reef, but nothing of importance was discovered. Only a small quantity of quartz was crushed—33 tons—which yielded 9 oz. 8 dwt. of gold, valued at £28 4s. Two men were employed. Claremont Mine. —Mr. George Bryant, the owner of this ground, continues to devote his attention to working out the quartz veins near the junction of the flinties. He treated 3451b. of stone, for 255 oz. 9 dwt. of gold, valued at £689 14s. 3d. A considerable amount of prospecting has also been carried on in other claims in the Karaka district. Gloucester Mine. —Work in this mine has been confined to prospecting surface-levels. The shaft which was sunk last year has for a time been abandoned. Manchester Mine. —This mine has been worked by tributers, who crushed 59 tons of quartz for 43 oz. 18 dwt. of gold. Pour men were employed. Adelaide Mine. —Operations in the shaft and lower levels have been suspended on the company's account, and the mine is now let on tribute. The tributers crushed 18 tons lOcwt. of quartz, for 12 oz. of gold, valued at £36. Una Hill and Te Papa District. Occidental Mine (Area, 59 acres; owners, Occidental Gold-mining Company).—The work in this mine consisted of extending the drive 157 ft. at the North Star low-level cross-cut, with a view of intersecting the Loyalty and Hague Smith reefs. The latter was cut and driven on for a distance of 90 ft., showing favourable prospects. Stoping was also carried on on the North Star leader. The quantity of quartz crushed for the year was 89 tons lOcwt., which yielded 84 oz. 4 dwt. of gold, valued at £227 6s. 10d. Seven men were employed. Fortuna Mine (Area, 68 acres; owner, Fortuna Hauraki Gold-mines, Limited; mine-manager, Henry Eabe). —This mine is worked both from shaft and adit-levels; the depth of the shaft is 300 ft., and the length of the main adit 909 ft. The workings are being carried on at a depth of 200 ft. below the surface. There are two levels opened vp —No. 3, at a depth of 200 ft., and No. 2, 125 ft., from the brace. About six large reefs exist, varying in width from 6 ft. to 20 ft.; also numerous leaders, from 2 in. to 2 ft. wide. The quartz is generally very hard and heavily mineralised. The walls of the reefs in the shaft being very firm, and a good class of sandstone, are easily kept up. At No. 2 level in the shaft antimony in considerable quantities is met with in the quartz. The development work carried on during the year was as follows :In No.-1 level, Gibraltar section, the winze was sunk a further 54ft., making a total depth of 90 ft. It was sunk in the hangingwall portion of Gibraltar reef, and is about 10 ft. long by 5 ft. wide in solid quartz, and no sign of the foot-wall when discontinued through having too much water. No. 4 (main) cross-cut was extended 157 ft., making a total length of 909 ft. Driving on Jupiter reef was pushed vigorously ahead. The drive hillward was extended 62 ft., making a total of 101 ft.; and the drive seaward was extended 60 ft., making a total of 104 ft. The reef in cross-cut is about 20 ft. wide, but only about 5 ft. of the hanging-wall has been taken in the drive. The Eover tunnel was cleaned out and repaired a distance of 400 ft. At this point a drive was cleaned out 16 ft. seaward, and extended to a length of 32 ft. In this drive an old winze which was sunk on the Eover reef in former days and filled up has been cleaned out and retimbered, and at a depth of 60 ft. the solid bottom was reached, and sinking is being proceeded with. The reef in the bottom is from 18 in. to 3 ft. in thickness. In shaft at No. 2 level the main cross-cut was cleaned out 55 ft., when No. 1 reef was reached, and driving commenced on it. A total distance of 151 ft. was driven on the reef, only a portion of which was taken down, the remainder being left standing through want of storageroom on the surface. A cross-cut from main cross-cut was cleaned out 632 ft., and intersected No. 1 and No. 2 Eover reefs. Driving on both these reefs is being vigorously pushed ahead. No. 1 reef has been driven on for 57 ft., and No. 2 reef 39 ft. In the shaft, No. 3 level, the main cross-cut was extended 126 ft., making a total of 591 ft. At this point a reef was cut from which issued such a large quantity of water that the pump was unable to cope with it, and driving was discontinued until bigger machinery be put down. The drive hillward on No. 2 reef was driven to a total distance of 206 ft. Only a portion of this reef was taken down, the remainder being left standing through want of storage-room. A 5-stamp battery, as an experimental plant, has been erected, also a hopper with a capacity of 100 tons, together with tramways from mine to hopper and from hopper to battery. The mine machinery consists of one 9 by 5 by 12 vertical special Tangye pump driven by steam ; a Tangye boiler, 14-horse power, Colonial, No. 40492; and one Clarke-Chapman winch for winding; two cylinders, 6 in. by 10 in., working one safety-cage. The quantity of quartz crushed was 11095 tons, for a yield of 1 oz. 19dwt., valued at £5 os. Id. (recovered from plates). The tailings are stacked for future treatment, as wet crushing alone has been found unsuitable, and only an infinitesimal portion of the gold contents have been extracted. An average number of twenty-four men were employed,