C—3.

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Lindis. Wade and Party's Sluicing Claim. —-This claim is situated in the gorge of the Lindis River. The present water-supply is drawn from the Lindis River, but a right has been obtained from Risky Hill Creek, which will afford better means of working. Three men employed. George's Sluicing Claim. —This claimholder holds the right to four heads of water from Chief's Creek. The supply is inadequate in the summer season, and when water is available sluicing is carried on in shallow ground. Arrow River. Arrow Falls Sluicing Company (J. Ramsay, manager). —The year's operations of this company have been attended with great success. Energy has been displayed in the working of the claim, and some very rich ground was worked. Floods in the river occasionally hamper operations. Eight to ten men are generally employed. Macetown. Anderson and Party, Eight-mile Creek, Arrow River. —Sluicing terrace ground.' When the watersupply falls short the party work in their quartz claim, Scanlan's Gully. Seven men employed. William Reid and Parly, Red Hill. —Ground-sluicing operations are being conducted on the usual lines. Partridge and Others, Premier Gutty. —The Premier Gully may reasonably be believed to contain a payably auriferous deposit, but attempts to work it have not, so far, been attended with great success. The ground has proved to be deep and rough. Richard Balch's Claim, Arrow River, Macetown. —During the year the water was directed on a large terrace bordering the Arrow River. Queenstown. Reid and Lee, Twelve-mile, Lake Wakatipu. —Hydraulic-sluicing operations were carried out on this claim on the usual lines. Reid and McDonald, Twelve-mile, Lake Wakatipu. —This claim is worked by hydraulic sluicing. Arthur's Point. Big Beach Hydraulic Sluicing and Elevating Company, Shotover River (James McMullan. jun., and party, owners). —Continuous operations arc carried on in this claim, apparently with satisfactory results. The licenses for the water rights recently expired and were renewed. There large to be worked. Five men generally employed. Moonlight. Moonlight No. 2 Claim, Moonlight Creek, Queenstown (0. Lynch, manager). —-This claim has been purchased by a small company. The water-races were put in working-order, and hydraulic-sluicing operations were renewed. Should payable ground be opened is a large extent of ground available for working. Shotover. There is nothing new to add to the reports of past years. The available water is all held and used, and the usual number of claims continue in operation. Ground-sluicing is carried on in the terraces, while the river-bed is usually worked by wing-damming and the use of Smith's jet-pump system. The Maori Point dredge was subjected to many misfortunes, and came to the end of her career during the year. The machine was sold for removal. Oxenbridge Bros, and party have undertaken to divert the Shotover River about one mile above Arthur's Point, Queenstown. A bluff of rock juts out into the river so as to form a sharp bend. By completion of a tunnel through this bluff it is expected that a total distance of 15 chains of the riverbed will be available for working. The total length of the tunnel will be 550 ft. The work was started two years ago, and good progress has been made. The initial work of opening out and constructing a tail-race from the face of the tunnel occupied a large part of the time. The dimensions of the tunnel are : 10 ft. in height and 12 ft. in width. It is expected that the tunnel will shortly be completed. With regard to the portion of the river to be worked, the general opinion is that the venture will be accompanied by success. Three men are now at work. Southland. Nevis. Lower Nevis Hydraulic-sluicing Company (John McLean, manager).—Sluicing operations were begun in earnest during the year, and carried on with a fair amount of success. The usual troubles incidental to the starting of new water-races were encountered and overcome. It is expected that will have a long and profitable existence. Renshaw's Claim, Lower Nevis. —This claim and water rights have been purchased by Thomas Hogg and party, and a start has been made to put them in more efficient working-order than hitherto. Our Mutual Friend Hydraulic Sluicing and Elevating Claim (Masters and Adie Bros.). —Operations are conducted on the usual lines in this claim from season to season. Four men employed. Robertson and Party's [Hydraulic Sluicing *and Elevating {Claim. —This claim changed hands during the year. Operations were carried on on the usual lines as formerly.