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C—3

No. 12 Level.—The No. 8 crosscut west from face of main north drive is now 413 ft. in. At. 240 ft. a vein was found where Shepherd's reef was expected, if the dip of the upper levels was continuous. The vein is from 3 ft. to 4 ft. wide, being filled with country rock, clay, calcite, and ironpyrites. Tin- value contained is low. It is proposed to drive north and south on this vein during the next year. At 400 ft. in Corne's reef was intersected, 3 ft. in width, and carrying low value. This reef was driven on north and south, but no improvement in width or value was shown. New Plant. —Three tube mills, two vacuum filter-vats, and two B. and M. agitating-tanks have been installed and employed. At the Woodstock shaft chamber a new winding-engine, capstan engine, and a large pumping-engine have been laid down, and will soon be available for use. Two Babcock and Wilcox boilers, with mechanical stokers, to work at 160 lb. pressure, are now being installed. During 1911 it is intended to push the south drive at No. 13 level out into the Dubbo section, and to sink the Talisman and Woodstock shafts to No. 14 level. A new Ingersoll-Sergeant air-compressor, with a capacity of 3,700 cubic feet of free air per minute, will he installed early in 1911. Since the beginning of 1911 a connection has been made between No. 13 level and the Woodstock shaft, and the new winding-engine is now available for hauling men from the No. 13 level. New Zealand Crown Mines (Limited) (G. N. McGruer, Mine-manager). Development was retarded owing to the new electric plant not being completed until April, 1910. Welcome Reef. —-No. 2 winze has been sunk from No. 5 level to a depth of 86 ft. The lower half of the winze was in faulted country, and was abandoned owing to an influx of water. No. 6 Level (south of No. 1 winze). —This level was started at a depth of 120 ft. below No. 5 level, and a total distance of 374 ft. was driven on the course of the reef, to test the lode at that depth. A distance of 120 ft. has yet to be driven to reach a point under the winze sunk from No. 5 level. It is expected that as this level advances it will drain the winze, and allow sinking to be resumed. The ore so far exposed is low grade. Crown Reef (formerly New reef).—A distance of 158 ft. was driven north from the Waitewheta level in low-grade ore, but showing signs of improvement as the drive advanced. Another 100 ft. must be driven to get under the place where good gold was found by prospectors on the surfaceworkings. Developments have been started near the south end of the workings on this reef at No. 3 level, and it is expected that this will lead to a considerable augmentation of milling-ore supplies within the next few months. Milling Plant. —At the beginning of the year electric power was installed at the mill. The result has been highly successful, and a distinct saving in cost has been effected. The mill engine (steam) lias been put out of commission, and will be reserved for use in case of emergency. During May the old company was wound up and a new company, having the same name, was formed to provide further capital to open and develop the mine at greater depth. In October Mr. F. R. W. Daw (general manager) resigned, and was succeeded by Mr. John McCombie, formerly of the Talisman Mine. Dominion Mine (H. J. Hyde, Mine-manager). The eastern low level at this mine was continued 200 ft., making a total of 287 ft. in promising country. It is expected that this crosscut will intersect five lodes, varying from 3 ft. to 30 ft. in width, with several hundred feet of backs. The western lode has been driven and sunk on, and proved to be about 20 ft. in width, 7 ft. of which is payable. A low level is being driven to cut the reef at a point 630 ft. south. The level is now in 126 ft., and the reef should be intersected at about 160 ft. further, according to survey. Six men have been employed. Comstock United Mine (A. Kell, Mine-manager). Work in this mine, was confined to testing a large reef at the low level and prospecting the surface. Although a considerable amount of driving was done, nothing payable was discovered, and, the funds becoming exhausted, application was made for protection, which was granted. Crown Royal Mine (H. Goldsworthy, Mine-manager). This claim adjoins the Talisman and Crown properties. A considerable amount of prospecting was done during the year by six men on several lodes, without disclosing anything of value. Karangahake Mine (H. James, Mine-manager). Work has also been of a prospecting character, and chiefly confined to driving the Tukanu low level and sinking upon a small leader showing free gold on the surface. Silver Hill Mine (T. Casey, Mine-manager). Two men have been employed driving a low level. Very hard country was encountered, and, the capital becoming exhausted, work was suspended. KOMATA. Komata Reefs Gold-mining Company (Limited) (J. Benney, Mine-manager). A considerable amount of driving has been done on the Nos. 4, 5, 6, and 7 levels (the latter level being 800 ft. below the surface), but with the exception of No. 5 level, nothing of importance has been found. The stopes on No. 1 reef produced 1,056 tons of ore and on No. 2 reef 9,824 tons, making a total of 10,880 tons for the year. At the battery, crushing has been limited to one shift per day. The extraction was 96-4 per cent., and bullion to the value of £20,576 9s. 6d. was obtained. Seventy-five men were employed.