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Bald Hill Flat. Alluvial mining is still carried on here in a few claims which haye been in continuous work for several years. The returns are not large but are sufficient to induce the owners to continue operations. The Last Chance Company which has owned and worked a claim for a good many years is still actively engaged in sluicing. They have recently struck richer ground and there is every prospect of improved returns during the coming year. Quartz.— Mr. B. Symes, after twenty-three years of struggle and hard work on the reef known as Whites, in the Old Man (or Obelisk) Range, has, through the poorness of his returns, been compelled to relinquish his claim and abandon his undertaking. He is, notwithstanding, still of the opinion that a payable reef exists in the vicinity, but having exhausted his funds he is now unable to give the locality a further trial. The Excelsior, the only other quartz claim working here, is not likely to continue much longer in operation as the owner, Mr. Gray, has not met with success in his enterprise. Roxburgh. If anything, dredging is improving both here and at Miller's Flat. The eleven dredges owned by companies which publish their returns obtained 13,926 oz. during the past year, out of which dividends amounting to £16,405 were paid to shareholders. There are at least six other dredges owned by private parties, which, according to report, are doing equally well, if not better, than the above, but their returns are not available. Sluicing. —The Roxburgh Amalgamated and the Ladysmith companies at Roxburgh East are both meeting with success, and as the claims held by them are of considerable areas, and the quality of the ground much the same as that at present being worked, many years must elapse before the claims are worked out. Messrs. George and party at Commissioners' Flat, and Messrs. Samuel brothers at Coal Creek, are still profitably employed on their respective claims. The seams contain excellent gold, but lying as they do below the ordinary level of the Clutha Biver operations are more or less affected by the rise and fall of the river. I have, &c, Fred. J. Burgess, Warden. The Under-Secretary, Mines Department, Wellington.

Mr. Warden McCarthy, Invercargill, to the Under-Secretary for Mines, Wellington. Sir,— Invercargill, 9th June, 1906. I have the honour to report as follows : — Bound Hill Goldfield. The operations on this field are now confined to the three mining companies—the Bound Hill Company, the Ourawera Company, and the Smith Gold-mining Company—whose yields have been up to previous years. A fourth company is preparing to make a start at Jewett's Gully, near to Bound Hill, on the claim carried on last year by Joseph Harrison. Orepuki Goldfield. As with the remainder of this district, there is not much to report on this portion. There have been a number of beach claims taken up on the coast of Te Waewae Bay, towards the Waiau River ; these depend for their yields on the sand brought in by heavy weather, and therefore the profits are somewhat precarious. Increased activity in mining has also taken place around Orepuki, so that though no new auriferous ground has been discovered, the industry is still maintaining its position. Another effort is being made to revive the shale-works, which have been lying idle for the past three years. Preservation Goldfield. No work has taken place on the Preservation Goldfield in the past year. An Invercargill syndicate bought the old Morning Star Company's property, but through legal troubles were unable to commence operations. Stewart Island. The mineral claims on the island are still being carried on with fair success. The Government have been approached to assist in the development of the present claims at Pegasus, but so far without practical result. I have, &c, S. E. McCarthy, Warden. The Under-Secretary, Mines Department, Wellington.