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concern will Rhortly be taken over by a powerful company, who will at once proceed to build a tramway and wharf for landing materials for the erection of furnaces and other works in connection witl. the treatment of the iron-ore. I have, &c, H. Eyre Kenny, Warden.

Mr. Warden Kenrick, Greymouth, to the Under-Secretary, Mines Department, Wellington. Sib.— Warden's Office, Greymouth, 15th April, 1907. Herewith I have the honour to forward you the reports on the several subdivisions of the mining district under my chargejor the year ending the 31st December, 1906. Reefton. The Progress Mines of New Zealand {Limited). —Development-work has been steadily pushed ahead throughout the year, but failed to open up any ore except on No. 11 level, where after driving 1,100 ft. from the shaft an ore-body of value was ultimately encountered. In all 3,715 ft. of driving and crosscutting and 785J ft. of raising and sinking was carried out at a cost of £6,764 14s. Bd.; besides which 4,499 ft. of diamond drilling was undertaken, at a cost of £2,237 11s. Blackwater Property .—Early in the year 1906 Mr. Kingswell obtained an option over a recently discovered property in the Blackwater district, and proceeded to prospect it. By the 9th May his prospecting had so* far been successful as to warrant inspecting the property. 1 This was done, and by the end of May the Consolidated Goldfields of New Zealand (Limited) had secured an option over the property for six months, in which to carry out further prospecting-work. Early in October it became apparent that the property was of sufficient value to warrant exercising the option, and further surfaceprospecting was unnecessary, so arrangements were made for sinking a main shaft. Keep-it-Dark Quartz-mining Company (Limited). —Stoping the quartz from Nos. 4, 5, and 6 levels has been carried on during the year. The block of quartz which was being operated on in Nos. 4 and 5 levels is stoped up to the levels above. Caledonian United Gold-mining Company (Limited). — commenced operations about the end of September last on its mining property in Larry's Creek. Other Quartz-mining. In addition to the registered mining companies, there are a number of private parties working quartz-mines in this district. The Inglewood-Victoria Mines, owned by Mr. P. N. Kingswell, have been working constantly for some years, and have given employment to about thirty men. Knight and party have a 20-acre claim at Italian , <s Gully, in the Capleston district, which is worked with a five-stamp battery. Paine and party, who took up the old Golden Lead ground at Merrijigs, have had a party of tributers at work on a small leader for some time. Mr. Perotti has a couple of men employed on his claim at Golden Point. Dredging. Slab Hut Creek Gold-dredging Company (Limited).— The dredge has turned over about 9 acres during the year for an average weekly result of 23 oz. working-time. The average weekly expenditure throughout the year amounted to £47 10s., which included office and management expenses, as well as bush-clearing ahead of dredge. The company paid 6s. per share in dividends during the year. The company owns about 20 acres of virgin freehold ground, and a special claim of about 100 acres. Antonio's Flat Gold-dredging Company (Limited).— This company has a claim of 100 acres. The dredge is just about finished, and expected to start working on 24th January, 1907. Messrs. Hessey, Cameron, and Tacon (Limited).— -The property and dredges of the Eeeves Proprietary Company were purchased by Messrs. Hessey, Cameron, and Tacon during the year, and they are now working the dredges in partnership as a private company. A\ Gold-dredging Company (Limited) (in liquidation).— •Keturns from this dredge were considerably below working-expenses for several months of the year, and about the month of September the company wont into liquidation. The claims and dredge have been acquired by a private syndicate composed of working-men. The Boatman's Creek dredge, also owned by a private syndicate of working-men, has been constantly at work during the past year, and has given fair returns. Alluvial Mining. There are still a number of alluvial miners in the Blackwater and Boatman's Creek districts, both Europeans and Chinese, but the area of alluvial ground is limited, and the returns, on the whole, not very remunerative. The new discoveries of quartz in the Blackwater district have led to a small area of alluvial deposit being found, but the scarcity of water in the locality is a great drawback.