21

C.—B

Further details of operations are given in the report of Mr. Aitken, Manager of Government waterraces at Kumara. Near Hokitika, Craig's Freehold employs twelve men. Mining is carried on by tunnelworkings. No fresh developments are reported from Kanieri; and the constructive works in connection with the large undertaking at Humphrey's Gully are still incomplete. At Ross the Mount DOr Sluicing Claim employs about thirty men. The ground being sluiced away forms part of a hill, and a face of 250 ft. in depth is not unusual. Gold is caught in paved tail-races much in the same manner as at Kumara. Good returns are made, and the claim gives promise of successful life for some years to come. The Ross United Claim is still worked on tribute, ten men being employed. A few small parties of men are working about the creeks and gullies. It is reported that efforts are being made to form a company to work Ross Flat on an extensive scale. Dredging has been commenced in the locality, and very satisfactory returns obtained. Further south, good prospects are reported from Waiho and Waitaroa, and there are indications that operations may be conducted on a more extensive scale than at present. Details of the claims in the Marlborough, Nelson, and West Coast districts will be found in the report of Mr. Tennent, Inspector of Mines. Gold-mining in Canterbury is practically confined to a little work on the Ninety-mile Beach. Some time ago it was proposed to adopt the method of dredging, but I have not heard whether anything is being done to carry the proposal into effect. In Otago alluvial and hydraulic mining is carried on very extensively. For many years the Maruwhenua and Livingstone Diggings supported a large community of mining-people, the Maruwhenua River (which is a proclaimed tailings-channel) and Awamoko Stream being the outlets for the debris. In consequence of damage to land some miles lower down, the farmers some years ago obtained an injunction restraining the miners from using the Awamoko as a tailings-channel, and thereby a considerable area of ground, said to be payably auriferous, became, to all intents and purposes, locked up. As the mining-ground at Livingstone—from which an outlet for tailings can be obtained low enough to give fall into the Maruwhenua River bed —is becoming rapidly exhausted, the miners of the district desire the proclamation of the Awamoko Stream as a tailingschannel in order that more ground may be opened out. Failing this being done, Livingstone as a mining township will soon be a place of the past. The question has been considered and duly reported on by the Rivers Commission. In connection with alluvial-mining work in the neighbourhood of Maruwhenua, the Government has arranged for necessary works for the conveyance of water by the Mountain Hut Race. At Kyeburn Diggings hydraulic- and ground-sluicing operations are being carried out with good results. Naseby does not present any changes of note; most of the mining here is by hydraulic sluicing and elevating. Dredging was tried, but practical tests of the two systems almost side by side went to prove that in ground such as exists here hydraulic mining gives the best results. In the districts of the Taieri River watershed around and below Naseby, mining is carried on in the localities of Gimmerburn, Patearoa, Hyde, Mount Highlay, Macrae's, &c, in a small way by individual miners and small parties, but hydraulic-sluicing claims employing a number of men are being worked at Deep Stream, Sutton (near Middlemarch), Hyde, Mount Buster, and at the Serpentine. At some of these claims hydraulic elevators are also used. Taken as a whole, the operations in this part of Otago may be said to yield fair returns. A considerable amount of sluicing is being done in the watershed of the Manuherikia River. Operations at Idaburn and near Hill's Creek (Blackstone Hill) employ several men. At St. Bathan's several small claims are being worked, also the sluicing and elevating claims of the Scandinavian Company, the United M. and E. Company, and others. Some good returns have been reported. Mr. Ewing's deep hydraulic claim at Kildare Hill, and also the Vinegar Hill Claim are now stopped, but work is in progress at his claim at Shepherd's Flat, also at Morgan and Hughes's hydraulic-sluicing claim adjoining. The St. Bathan's sludge-channel (which is being reconstructed with Government assistance) affords a valuable outlet for the tailings from workings adjacent to the township. No active steps have yet been taken to reconstruct the lower end of Muddy Creek channel. There is practically nothing fresh to report as regards the workings at Matakanui (including Drybread and Devonshire Diggings). Some of the hydraulic claims here have done well. Dredging has been tried, but so far success does not appear to have attended the experiment. Nearer Alexandra a limited amount of sluicing is being done; but in this, as in other portions of the Otago goldfields, the development of hydraulic mining has been practically shelved during the last two or

Men employed. Baoe. ibtained. Value of Gold. Maximum, i Average. Waimea-Kumara Callaghan's ... Knmara Waimea 116 8 78 35 107-5 7-6 70 31-5 Oz. 4,759 423 3,056 1,280 £ s. a. 18,560 2 0 1,649 14 0 11,918 8 0 4,992 0 0 237 216-6 9,518 37,120 4 0