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rails have been laid to 40 m. 34 eh.; the line is partly ballasted up to 39 m., and has been fenced where it runs through private property. Beefton-lnangahua Section—A. combined road and railway bridge has been built over the Waitahu River, about 2J- miles beyond Reef ton. The bridge over the Inangahua River at the Landing Ferry has also been finished, and road-approaches have been made to it. One pier was damaged by flood in June last, and stone protection is being put round it. Some progress has also been made with the earthworks. Large parties of men are employed on the approach-banks to the Waitahu Bridge, and on stone protection for these banks. Arthur's Pass Section.-A. contract was let this month for the erection of the bridges over Goat Creek and the Rolleston River, and a start is being made with the construction of all works required between Otira Station and the Rolleston end of the Summit tunnel, excepting the banks to be made up from the tunnel-spoil. There is one large cutting on which several parties will be started, and special efforts made to secure its early completion. The distance from the end of the Otira Station-yard to the Rolleston end of the tunnel is 2 miles 28 chains. Mount Torient Section (6 m. to 18 m.; length, 12 miles).—The line is finished up to Staircase, and has been opened for goods traffic to that point. It is now fit to be opened tor passenger traffic to 9 miles 30 chains. There is only a short length of unfinished formation between Staircase and Broken River-about a quarter of a mile-but some of the works thereon are heavy About a mile of service-road has been completed during the year, and at present about 21 miles are under construction. Work on the two unfinished tunnels between Staircase and Broken River is being carried on vigorously; one of these tunnels is 261 chains and the other 301 chains long Of the first, 7 chains are completed and the heading put through, and 11 chains of the second is also completed, whilst the heading is about three-quarters driven. A start will shortly be made to work at four faces in the first of these tunnels-four faces are now being worked in the second in enlarging and lining 'it. Block-making for tunnel-limng has been carried on uninterruptedly during the year. The concrete foundation-blocks for the Staircase Viaduct were finished in December last. The contractors for the steelwork began erection in January this year, and the central steel pier has now been finished; the short span at the east end of the viaduct is nearly completed, and the staging for the other two large spans is being erected Four small bridges beyond Staircase are finished, and the masonry and timber piers and abutmen s for two other somewhat larger bridges are now well advanced towards completion The steelwork or these two bridges is being manufactured by contract. The foundations for the.piers for the Broken River Bridge have been excavated, and preparations are being made to build the concrete piers. The line has been fenced up to Staircase Station. Picton - Waipaea. All the works between Scargill and the Hurunui Station, just north of the Hurunui River crossin" are finished, except the ballasting of the Hurunui Station-yard. The rails are laid up of the station. The station buildings are being erected. A road has been made up the Hurunui Gorge to give access to the Hurunui Station from the mam road This station s 8 miles 54 chainf beyond Scargill Station. The formation-works ere in hand for about three mik beyond Hurunui Station. The works are not heavy, but an old slip has to be crossed in the koX and this may give trouble in excessively wet seasons. The questions of tunnelling lehind the dip or brTdging over the toe of it near the river, were carefully considered, as alternatives to making the"me oler the slip, as is now being done. The construction of culverts is being kept well rXnce of the earthworks. The bridge over the Hurunui River was completed in August last. Ngaherb - Blackball Railway. ST.? it, 'HZL Ttr ( o™°'i.n-.orlS beyond th. bridge We been in hand, and some pr.gr,,, has been made. CoAL Creek Railwat. TV,p worH were taken over by the Railway Department on the Ist December last Since then in removing .lip. .n the l,ne. _ Rm^^ practically finished for■ 8 J rmles bey°™ v ; d A ger . v ice-line has been laid into a ballastworks are of a relatively light character. Otago Central Railwai. "? "" " er».ingof the Tf2B 3« 72 chainCthe heavier e.rth.ork, have been P t ttanTS s ld pr"h«. been n,.de. A .Uγ, ha. .1.0 been made with the for-n.M.n