0.—2

62

Westport Subdistrict. Ten prospecting licenses, ten alluvial claims, one quartz claim, and one dredging claim were granted during the year. The Britannia Gold-mining Syndicate employed two men during the greater part of the year, and foui' men for the remainder, prospecting, with indifferent success. The Long Tunnel Sluicing Company has ceased operations. Millikin and party extended their operations, and continue to earn about £4 per man per week. The Westland Gold-mining Syndicate lias nearly completed the long tunnel (nearly two miles in length) which is lining constructed to cany away the tailings when work is commenced at the old Shamrock Claim. Some trouble was experienced in constructing the necessary ventilating-shafts, owing to the wet nature of the ground. A uovel method —a kind of combination of elevator and suctionpipe—was employed in this work. McNeight and party were not so successful as they anticipated, but are apparently now in good ground. The Carthage Gold-mining Company has commenced operations, and the initial " wash-up" justifies the belief that the company has secured a valuable property. Further developments are being awaited with much interest. If the results are such as are anticipated, I have no doubt a number of claims will be taken up in the neighbourhood. Mr. Powell, who has adopted a similar principle in connection with his own sluicing claim near Charleston, is-now engaged in installing the combined elevator and suction plant 1 have referred to above, modified to suit the different conditions existing on the company's claim. MURCHISON SUBDISTKICT. Owen. —A marked improvement in reefing matters was noticeable during the past year. Early in 1911 a Nelson mining company, the Mount Owen Rising Sun Mineral Company, took up a prospecting license on the eastern slopes of Mount Owen, at an elevation of 4,700 ft. above the sea. Samples taken from the outcrop, when subjected to analysis at the Dominion Laboratory, Wellington, nave excellent results. Subsequently rim syndicate sent 2 tons of ore to Sydney for treatment. The concentrates from this parcel gave a return of £12 12s. sd. per ton. A Sydney firm of mining speculators, it is stated. at once offered the holders of the property £15,000 in cash and "26.000 paid-up shares lor an out-and-out sale. The directors are considering the offer, but the majority are unwilling to sell at the. price. Several other mining privileges have been applied for during the past few months, and it is the general opinion here that mining developments on a large .scale will take place in the Owen district in the near future. Upper Matakitaki. The Mitakitaki Hydraulic Sluicing Company went to a big expense last pear in repairing and extending the old Mammoth Water-race, but the results of its mining operations were so discouraging that the directors deemed it advisable to shut down pending the decision of the Mines Department on an application for a loan of £5,000 to the company for the purpose of assisting ii to extend its water-race to some likely-looking gravels below O'Rourke's Hotel. RappaAannock. — This time last pear the Etappahannock region gave very fair promise of becoming an important mining centre, and a large number of mining privileges were taken up by persons interested in the mining industry. The results, however, have been very disappointing, and it seems that, although gold of an excellent quality exists in that part of the district, it is very unevenly distributed ; on the whole, the opinion of local miners is that the cost of obtaining the metal will far exceed the value of the gold won. Taylor's Creek. —This part of the district carried quite a number of miners in the early days, bul has been abandoned for many years. Last year Messrs. Wameford, Fairhall, and Rogers took up a 75-acre prospecting license in the locality, and, besides doing a good deal of surface-prospecting, drove a 60 ft. tunnel into the western side of the ridge between Taylor's Creek and the Matakitaki River. The results were very encouraging, a good deal of the wash carrying 1 dwt. to the yard ; and the hillside to a height of 200 ft. was also proved to be payable. The holders are now making arrangements for the construction of a pipe-line from the Eight-mile Lake for the purpose of working the ground by hydraulic sluicing. Pea Soup Creek. —A reef carrying, it is stated, about 4 dwt. to the ton was discovered in this part of the district last year by Mr. T. O'Brien, and he intends driving upon it, in order to satisfy himself that the reef lives down. Warwick. —A discovery which may lead to important developments was recently made by Mr. G. A. Swanson in this quarter. Besides containing, it is stated, between 3 dwt. and 4 dwt. of gold to the ton, with small quantities of silver, some of the samples sent by Mr. Swanson to Invercargill yielded 69 per cent, of copper. The discoverer is now driving on a lode 21 ft. in thickness, and is very hopeful of success. Warwick Junction. —A race about ten miles in length is now in course of being constructed by the Thomson Maruia Hydraulic Sluicing Company, for the purpose of commanding the auriferous terraces on the east side of the Maruia River opposite the ground held by the Walker Maruia Mining Company. About a mile and a half of the race has been completed, and it is anticipated that sluicing operations will be in full swing well before Christmas. Seddonville. —Very little mining is being carried on in this district, but there ate indications of increasing activity. The proprietors of the Red Queen property have temporarily suspended operations until they have proved the property owned by the Carthage Gold-mining Company, in which they are largely interested, when they propose to vigorously prospect the first-named.