C—3.

The dividends paid by thirty-seven of these dredgers, the property of registered companies, amounted to £56,788 during the year; the profits of privately owned dredgers is unobtainable. The following is a statement regarding the most productive dredgers during the year : —

From the foregoing statements it will be seen that this branch of gold-mining continues to decline, and no new developments either in the extension of dredging fields or improvements in machinery have occurred during the year, with the exception of the successful installation of producer-gas plants on the Kyeburn and Lady Annie dredgers, operating in Central Otago. (3.) Alluvial Mining. For the second year in succession there has been an increase in the annual production from the alluvial mines of the Dominion, which is extremely satisfactory, as it was generally believed that this branch of mining was in a rapid state of decline. For this increase the extremely low working-cost of the hydraulic sluicing and elevating system of mining may be credited, for by this method ground containing an average of 1 gr. of gold per cubic yard will generally pay working-expenses. . „„oo Tl, e production from 280 alluvial claims, both large and small, amounted in value to £333,235; on some of these 110 hydraulic sluicing plants are at work in Otago; but, as most of these claims are privately owned," the gross amount of dividends paid is not known. Sixteen claims, however, the property of registered companies, paid £11,489 to their shareholders during the year. Among the most profitable of these dividend-paying claims may be mentioned the Mont dOr (Ross, Westland), £2,400; Roxborough Amalgamated (Otago), £2,187; and the Round Hill (Southland), £2,119. . . . During the year a nuggel weighing 99 oz. 12 dwt. was found in shallow ground adjoining the property of the Ross Goldfields (Limited), on the banks of Donnelly's Creek, at Ross, by Messrs Sharp and Scott, who were working old alluvium which had previously- been turned over during the first rush to these diggings in the early sixties. This nugget, which had obviously been overlooked by the early miners, is the largest ever discovered in the Dominion, and was appropriately named the " Hon. Roderick," in honour of the Minister of Mines. . , Ross Goldfields (Limited): The most important deep alluvial mining in the Dominion is being carried out by this company. The hydro-electric mining and pumping installation described in my reports for 1907 and 1908 having been completed, the old Ross United main shaft was during 1909 recovered and retimbered, and the mine, which has remained inundated since the influx of water during 1887, has been unwatered by Worthirigton electrically driven turbine pumps The timber in the mine and shafts (heartwood of New Zealand nmu or red-pine) was, after twenty-two years' submersion, found to lie in an excellent state of preservation, which is valuable evidence "as to the durability of this timber under water. Stationary pumps of Worthingtorj multistage turbine type (2 units) of high capacity have been installed in a chamber at a depth of 260 ft below the 90 ft. adit level, and 350 ft. from the surface, which will enable seven different auriferous layers, which were proved in this shaft above the level of this pumping chamber, to be developed when required. During the operations of the old Ross Lmted Company immediately prior to the inundation in 1887, from which the mine has just been recovered, that company, at the 315 ft. level, carried a drive for about 400 ft. under the flat in the direction of the old Cassius workings fin which some very rich deposits were found ami worked until 187 A

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9

Dividends paid by Thirty-seven Dredgers owned by Registered Companies. Name of Dredger. Production during 1909 of all Dredgers. During 1909. To 3l8t December, 1909. Vest Coast District— Hessy, Cameron, and Taoon (Limited) Worksop No Town Creek Pactolus louthern District — Crewe (2) Waikaka Syndicate (2) Koputai Earnscleugh (3) Masterton Mystery Flat Hartley and Edey Eise and Shine (2) Rising Sun ... Magnum Bonum Muddy Creek (2) Waikaka United (2) ... ... Other working dredgers (both districts) ... £ 5?028 6,295 6,661 6,736 7,083 8,159 8,100 13,875 6,705 8,314 4,486 16,856 8,424 4,929 7,488 10,284 198,253 £ 1,875 2,100 3,600 1,875 2,750 3,500 4,463 1,100 3,500 5,650 1,788 7,200 3,600 1,500 1,101 4,480 6,706 £ 2,475 4,800 27,000 58,125 3,250 16,800 9,276 23,100 28,500 25,769 83,037 22,800 11,600 5,000 9,132 38,080 Totals 327,676 56,788