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the end of the gorge near Coal Creek there are three or four other hydraulic claims, employing in the aggregate some twenty persons, and a number of individual diggers make a'living in the district, most of them working on or adjacent to the river-bank. Dredging is the principal method of alluvial mining carried on in the vicinity. Bald Hill Flat continues to maintain a steady output of gold. There are three hydraulic claims here, worked respectively by Messrs. Carroll and Lynch, the Last Chance Hydraulic Sluicing and Elevating Company, and Messrs. Ewing and Dowdall. All these claims are reported to yield payable results. Near Alexandra Mr. James Eivers is working a claim at Eichmond Hill, about two miles from the town. To conserve water for the requirements of this claim a dam has been built in Speargrass Creek (a branch of the Manorburn Stream), about twelve miles from Alexandra, of which photographs are, by the courtesy 7of Mr. Eivers, reproduced. The grant for this dam admits of its being carried up to a height of 63 ft., but it is as yet only built to a height of 47 ft. 6 in. When photographed the water was 17 ft. deep at the dam, which is built of masonry (set in cement) on a rock foundation. Mr. Eivers has entered into an agreement with the Alexandra Borough Council to supply one sluice-head of water to the borough reservoir for public purposes, a pressure due to a vertical head of 350 ft. being obtained. It is intended to raise the dam another 15 ft., and so conserve a very much larger body of water for mining and public purposes, the exceptionally dry summer of 1904-5 having demonstrated the necessity for this work. The extra storage gained by the completion of the dam will be very great, and is considered ample to meet the requirements of mining, irrigation, and domestic purposes. The Alexandra Bonanza Company have been working their claim at Galloway Flat by sluicing, but results are not very encouraging, the ground being rather poor. This company have a fine supply of water, which is conserved by a massive masonry dam across the Manorburn Stream at the foot of Greenland Swamp, and brought down to the claim partly in gullies, and for some sixteen miles in a large water-race. The reservoir area is granted for 1,500 acres, but the present dam (not yet carried up to its full height) impounds water over an area of, say, 800 acres, with an average depth of 8 ft. When completed to full height it is estimated the dam would throw the water back covering an area of 1,400 acres by 11 ft. deep. This information is supplied by the manager of the claim. The altitude at which the main race discharges the water into a rocky gorge overlooking the Galloway Flat is sufficient to admit of its extension for the purpose of working known auriferous ground extending for several miles— (a) along the side of the hills up the Valley of the Manuherikia to beyond the Township of Ophir, and even to cross the saddle between Ophir and Ida Valley, being thus available for sluicing the deposits in the locality known as Black's No. 3; and (6) in the opposite direction towards Alexandra, where fairly extensive prospecting operations were being conducted early in the present year by the Manorburn Gold Syndicate. In making an examination early this year of the localities which can be commanded by the water just referred to, I was much impressed with the possibilities of a revival of remunerative mining work in the neighbourhood of Ophir especially, provided that water is brought on to the ground ; but in the locality of the terraces above Galloway Flat there are also evidences of alluvial wash having been mined and carted to water for washing. It is quite clear that where this sort of work will enable a man to make a living the ground would pay handsomely with plenty of water for sluicing purposes. Without water nothing can be done, but if this can be made available to parties of miners working small claims, there is not the slightest doubt that every drop of available water would be bought, and the industry in the localities named flourish for many years to come. Hydraulic mining at Matakanui is still conducted on very satisfactory lines, the Undaunted Goldmining Company, the Tinkers Gold-mining Company, the Matakanui Gold-mining Company, and Messrs. Symes and Sons all doing well. The Devonshire and Drybread diggings are not much worked, owing to water not being available in any quantity during the lifetime of the claims at Matakanui. About thirty-five men are employed. At Cambrians the principal claim is that* Hydraulic Sluicing Company. Mr. Ewing's claims at Cambrians and Shepherd's Flat have been let to parties of working miners. Some three other claims in the locality are being worked on a small scale. At St. Bathan's the principal undertakings are those of the United M. and E. Company at the township, and the Scandinavian Water-race Company at Surface Hill, about thirty men being employed by the two companies. Two other small claims are also worked in the vicinity. About seventy men are employed in alluvial mining at St. Bathan's and Cambrians. Blackstone Hill and Ida Valley suffer from insufficient water-supply. This is owing largely to their altitude. Only a few miners can, therefore, find employment, notwithstanding the good quality of the alluvial deposits. At Idaburn very little work is now being done. For mining purposes at Naseby most of the water is supplied from the Government water-races, and during the financial year 1904-5 the value of gold won by parties using Government water was £7,442. A few claims are also worked by water from private races. The shallow and more easily worked ground in the locality is becoming rapidly exhausted, but in all probability the water-supply will, later on, be concentrated on other gold-bearing areas which may require to be worked on a more comprehensive scale than has hitherto characterised mining operations in this neighbourhood. Hydraulic mining is conducted at Patearoa with good results, also to a small extent at Hamilton's. At Deep Stream the operations are on a fairly good scale, and working is carried on with profitable results. The working of alluvial mines (dredging claims excepted) in the vicinity of Cromwell—including Kawarau Gorge, Bannockburn, Lowburn, and Quartz-reef Point—is somewhat on the decrease, but