C.—3

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down this wide valley could not possibly prove the presence or extent of payable gold-bearing leads. As in the case of the Waikaia dredging-field, there is ample scope for the judicious use of boring-rods in this district. Since the advent of the Criffel Lead Sluicing Company on this field the number of individual miners has been reduced. There are a few parties working on a small scale. Dredging. —Three dredges were at work during the greater part of the year, two being driven by water-power. Unfortunately the capacity of the Sunbeam dredge was too limited for successful work, and the dredge was closed down. Luggate. Luggate Mining Company (R. Pilling, jun., Secretary, Lawrence; J. Johnson, Manager),*;(area of claim, 15 acres).—This property is situated on Luggate Creek, and is worked by hydraulic sluicing. Three men have been employed, but the returns have been moderate. With the exception of the above claim, there is very little mining being done in this locality. Dredging. —The 3<\lbertown dredge, owned and worked by shareholders, is still the only one at work in this locality. Knewstubb's Upper Clutha dredge still lies sunk above Luggate Ferry. Arrow River. Arrow Falls Sluicing Company (J. A. Millar, Manager), (area of claim, 25 acres).—The property embraces the river-bed and terraces adjoining the Arrow River. Work has proceeded up the flat above the gorge, and the claim is now opened out well. Seven men employed. The Arrow Falls Claim is the only one of importance in the district. There are a few small claimholders in Bracken's Gully and in the surrounding district. Macetown. Anderson and Party, Eight-mile Hill, Arrow River. —Three men still find employment in this ground-sluicing claim when sluicing-water is available. William Reid and Party, Red Hill, Arrow River. —Sluicing away terrace ground with water conveyed across the Arrow River in pipes. No new alluvial ground has been discovered in this district, and only a few fossickers are engaged, principally about the old workings on the Arrow River and Twelve-mile Creek. Glenorchy. Valpy Bros.' Claim, Glenorchy (Head of Lake Wakatipu). —This is a privately owned hydraulic sluicing claim which affords employment and fair returns to three men. There are also several other small claimholders in this district. Queenstown. Reid and Lee, Twelve-mile, Lake Wakatipu. —This hydraulic-sluicing claim has continued to work on the usual lines during the season. There has been a scarcity of water for sluicing purposes owing to the dry weather. Working-face about 300 ft. in height. Reid and McDonald, Twelve-mile, Lake Wakatipu. —Work intermittent owing to dryness of the season. Claim situated on the western bank of Twelve-mile Creek some little distance inland from Bob's Cove. Arthur's Point. Arthur's Point Hydraulic Sluicing and Elevating Company, Arthur's Point, Shotover River (McMallan Bros, and Phelan, Owners). —This plant is operating in the basin of the Shotover River, below Arthur's Point. Work is steadily carried on during the sluicing season, when six men are employed. Holding all the water available, this company has the command of a large area of auriferous ground. Dredging. —The Wakatipu Gold-dredging Company's dredge on the Shotover River has been, raised again, and is now in readiness to recommence dredging operations when the river is favourable. Lower Shotover. The claim and plant formerly owned by James TyTell and party on the bank of the Kawarau River have been sold to Edward Cannon of Queenstown. The claim is let on tribute at present, but depth of ground and heavy drainage militate against successful working. Moonlight. Moonlight No. 1 Sluicing Claim, Moonlight Creek, Queenstown. —This claim, owned by W. Patterson, is not in operation. The claim has lately been reported on with a view to purchase by a syndicate. Moonlight No. 2 Sluicing Claim, Moonligh l Creek, Queenstoivn. —The owner, P. McCarthy, Queenstown, has let this claim on tribute to a party of four men. The property comprises deep terrace ground, from which the material is sluiced into the Moonlight Creek. Moke Creek, Moonlight Creek, and the terraces adjoining them, still afford employment to a few fossickers. Shotover River. There are six claims in operation during the season below Long Gully. These claimholders are working in the bed of the Shotover River when the river is low enough during the winter season. The application of the jet-pump system has enabled ground to be worked which was otherwise too deep and wet for work by wing-damming. Below Long Gully. —Smith and Ward's claim—jet pump ; 2 men. Robertson and Thompson's claim —jet, pump ; 2 men. Edward McLeod's claim —jet pump ; 2 men. Smith Bros.' claim—jet pump ; 2 men. McCormack's claim —wing-damming ; 1 man. Reissler's claim—wing-damming ; 1 man.