C—3.

ceeding steadily. One thousand seven hundred and fifty-seven tons of ore was mined and milled, yielding 1,516 oz. gold, valued at £5,482. An average of twenty-four men were employed. Motueka. Dominion Gold-mine, Mount Arthur. —R. E. Clouston and party have taken up the old Gridiron Company's ground, and are prospecting a reef-outcrop, which where exposed gives good prospects. Four men are employed. Other leases have been taken up in this locality, on which reefs are known to exist, but no work is being done to prove them. Westport. Red Queen, Mokihinui. —This mine is being worked on tribute by George Avery and party (three men). Operations are confined to stoping a block on the Red Queen reef. During the year 100 tons of quartz was crushed for a yield of 97 oz. 18 dwt. 2 gr. gold, valued at £384 6s. Id. Britannia. —The old level in the Early Bird section was extended 130 ft., and a block of stone 4 ft. in width intersected, which by battery treatment gave a return of 6J dwt. per ton. This block of stone does not appear to live over the level. Two hundred and forty-one tons of quartz was treated, yielding 75 oz. 19 dwt. gold, valued at £294 14s. lOd. An average of three men were employed. Lyell. New Alpine Gold-mining Company. —The main shaft has been sunk 112 ft., a chamber formed, and the new level (No. 14) driven 226 ft. Total drivings for the year aggregate 327 ft., rising 25 ft., and sinking 211 ft. One thousand one hundred and fifty tons of ore stoped and milled yielded 225 oz. 11 dwt. 3 gr. gold, valued at £865 16s. lOd. Improvements and additions to plant comprise the installation of a new winch and water-hoist at the mine, and two Wilfley concentrating-tables at the battery. The company proposes thoroughly opening up the lode from the new level, when, if results prove satisfactory, further improvements to the battery are contemplated in the direction of erecting tailingselevator, plant for treatment of concentrates, and new water-race. An average of twenty-five men were employed. Boatman's. Welcome. —G. Pettigrew and party were granted a subsidy of £75 towards driving 300 ft. of tunnel to prospect for the continuation of the old Welcome line of reef. Their efforts in this direction have so far proved unsuccessful. Golden Arch. —This mine, formerly the Buller United, was taken over during the year by the Golden Arch Gold-mining Company, who have erected a 10-head stamp-mill and cyanide plant. Work in the mine is directed principally to stoping a block over the low level, while driving this level south on the reef is also proceeding. From the different works in hand it is expected to secure sufficient ore to maintain regular crushings. Just-in-Time. —This old mine has recently been taken up by Coughlan and party, who are at present conducting prospecting operations from the surface levels. Caledonian United Gold-mining Company. —During the year this subsidised shaft has been sunk to a depth of 250 ft. The work has been difficult and costly, owing to the heavy inflow of water. The contract price for the last 70 ft. sunk was £8 per foot, the company having to provide timber at a cost of £1 2s. per foot. To cope with the water, a 3 in. Tangye pump, with the necessary steam-power to work it, was installed by the contractor. It is intended to sink a further 45 ft. before opening out to drive for the reef. Reefton Prospecting Association. —A subsidy at the rate of £1 for £1 up to £100 was granted to the association. Two men have been engaged in prospecting the country in the vicinity of Boatman's and Raglan's Creeks. Several reefs have been discovered, but they have so far proved barren. Reefton. Progress Mine. —Development-work has been directed chiefly to Nos. 10 and 11 levels, and a large body of ore has been disclosed on the latter over the Left-hand drive, the full extent of which has not yet been determined. The total driving and crosscutting amounts to 1,665 ft., and sinking and rising to 254 ft., while prospecting by means of diamond drilling was carried out to the extent of 2,448 ft. Stoping has been carried out generally from Nos. 6, 7, 8, 9, 10, 11, and also from below No. 11 level, but the grade of the stone has unfortunately shown a considerable decrease as compared with that of previous years —so much so that during a part of the year it was considered advisable to run only forty stamps. The battery crushed 48,500 tons, yielding by amalgamation 11,837 oz. bullion, valued at £48,754 18s. 7d. Thirty-four thousand four hundred and twenty-six tons of sands were treated at the cyanide-works, yielding 3,649 oz. 16 dwt. bullion, valued at £9,544 4s. lid. The concentrates produced during the first half of the year were shipped to the smelter, realizing £2,947 18s. 6d., but have latterly been stacked for treatment at the company's smelter, now in course of erection. A Merton Mechanical Furnace is being installed for treating concentrates and pyritic slimes, and if the process works out satisfactorily on a large scale, it should benefit this district greatly, as other companies producing refractory concentrates could dispose of them to the Progress Mine, and save the expense of shipping to foreign smelters. During the coming year it is intended to vigorously conduct prospecting operations from No. 11 level, with the purpose of locating the continuation of the ore-body. The temperature of the mine-workings at No. 11 level, 1,426 ft. from brace, taken at 3.30 p.m. by wet- and dry-bulb thermometer gaye —dry-bulb reading, 67-5° ; wet ditto, 66° : in the shade at surface—dry-bulb, 71° ; wet ditto, 62°. An average of three hundred men are employed.

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