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49

A prospecting track is much wanted to facilitate the transport of food and other mining requisites. The Italy Syndicate (late Tyrconnel). —Kelly and party have surrendered all their mining privileges. Boatman's. Welcome. —In the early months of the year prospecting operations were characterized by somewhat poor results. In September last the property was let on tribute to McKenzie and party, who at the end of the year had taken out a small crushing of 45 tons, which yielded 53 oz. of bullion valued at £212, the company obtaining a minimum of 10 per cent, of the gross gold won. Kirwan's Reward (William Kirwan, Mine-manager). —More than usual energy has recently been directed in opening out an extensive quartz face on the eastern section of the property, stone for milling purposes having been formerly supplied in quantity from the western side of the range. Encouraged by the favourable results obtained during the mining excavations, the management decided (and already considerable work is effected) to excavate the route of tram-line and hopper-site on a level 70 ft. below the original working ; but the exceptionally wet and backward season has tended much to retard the progress of all necessary works, particularly in cleaning and selecting the ore for milling. Ore milled, 7,584 tons, yielding 1,683 oz. 18 dwt. 6 gr, valued at £6,699 13s. lid. On the northern bank of the Waitahu River Mr. Kirwan recently discovered a main outcrop 2 ft. 6 in. wide, which is now driven on 71 ft. and sunk 20 ft. Values [are [considered [good, and reef tending to widen at depth. Lady of the Lake. —Alexander McKenzie continues to carry out his prospecting ideas on this property, but up to date results have not equalled anticipations. Italian Creek (John Knight in Charge).—Knight's party has reopened this old abandoned property, and have done considerable work in connection with clearing and retimbering old drives, while a small reef was driven on 150 ft. without payable results. In view of extending operations, a crosscut is driven 25 ft. to intersect a reef formerly abandoned on account of the fineness of the gold, which could not be saved when the mine was formerly worked. A steam-driven five-stamp mill has been erected, but it is the intention of the party to erect another five heads, together with a small cyanide plant, provided sufficient inducement is forthcoming. The works are well ventilated. Fiery Cross, Hopeful, and Alexander Mining-Areas. —Mr. Dunn and party (four men) have been successful in intersecting an outcrop, which has induced them to win the solid lode by crosscutting on a lower level. Future developments will depend wholly on the prospects obtained. Reejton. Wealth of Nations. —The supply of quartz for the battery was principally obtained from No. 6 stopes, these being freely attacked in order to exhaust the Wealth of Nations inchne-shaft workings. No. 3 stopes were worked to a small extent until all the profitable stone was exhausted, when No. 7 stopes were more actively pushed. The quartz won from the development of No. 8 level was also milled. During the year the quartz crushed amounted to 11,970 tons, yielding 3,304 oz. 12 dwt. 17 gr. of bullion, valued at £13,662 19s. 6d, or 5 dwt. 12-51 gr. per ton, while the concentrates and slimes shipped to the smelter realised £764 14s. lOd. At the cyanide-works, 8,320 tons of sands (representing 69-507 per cent, of the tonnage crushed) was treated, yielding 1,397 oz. 10 dwt. 9 gr. of bullion, valued at £5,420 16s. Id, or 13s. 0'369d. per ton. Of this amount 2s. 5T9d. was consumed in working-cost, leaving a profit of 10s. 7T79d. per ton treated. Development-work has been largely carried on from the Energetic shaft. The shaft itself was sunk from No. Bto No. 9 level, a vertical distance of 125 ft, and No. 7 level driven south a distance of 432 ft. without locating values of any importance. No. 8 level encountered stone at 174 ft. from the shaft, the stone being followed along the level for approximately 200 ft, and the south end further extended till the face was 720 ft. from the shaft. No. 9 level struck stone at 165 ft. from the shaft at the latter end of November, and since then the reef has been opened for 65 ft. in length. Surface equipment is practically unchanged, and directly No. 6 stopes are exhausted the whole output of the Wealth of Nations battery will be hoisted through the Energetic shaft. The old incline shaft will then be abandoned, thus effecting a considerable saving in workingpv "OPTVSG Golden Fleece.— The hoisting-shaft was sunk to a further vertical depth of 125 ft, making No. 14 level; and while extending No. 13 north a good block of stone was located 80 ft. in length, the face being now 900 ft. north of the shaft. On completion of the shaft and chamber the crosscut was commenced, and the reef-formation intersected at 310 ft. from the shaft, early in October ; and at the end of the year the north and south levels were driven 180 ft. and 100 ft. respectively. Stone for milling was chiefly stoped from Nos. 12 and 13 levels, and although upwards of £3,000 was spent in development, the quartz opened failed to keep pace with the quantity extracted. The highest temperature recorded was 65° on the return from No. 12. The quartz crushed—l3,9Bs tons—yielded by amalgamation 5,670 oz. 5 dwt. 12 gr. of bullion, valued at £23,165 lis. Bd, while the sulphurets and slimes shipped to smelter realised £1,955 Bs. Bd. The coarse sands, amounting to 9,475 tons (representing 67-751 per cent, of the tonnage milled) were cyanided, yielding bullion to the value of £3,342 Is. Id, or 7s. 0'654d. per ton treated. Of this, 2s. 2-997 d. was consumed in working-cost, the balance of 4s. 9'657d. representing Progress Mime.—Development-work has been actively pushed on in levels Nos. 8, 10, and 11, and No. 6 level repaired into the east end during the year. Quite a large tonnage of low-grade ore was opened by development, principally in No. 8 level east. Besides sinking the main shaft 155 ft. from Nos. 10 to 11 levels, the total drivings and risings comprise 2,939 ft. Diamond drilling was effected to the extent of 4,193|- ft, the greater portion being drilled with a small machine by the company, while the Goldfields Diamond Drilling Company, with a larger machine, drilled 512 ft. on contract. In all

7—C. 3.