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Certain delays in the construction of the transmission-line have, unfortunately, occurred due to non-delivery of transmission-line poles, but industry will not be embarrassed as a result thereof, as the Minister of Public Works has arranged for the installation of a Diesel plant at Dobson which will be capable of taking the whole of the load immediately in prospect. This plant, upon the completion of the transmission-line, will fulfil the function of a standby unit. The only legislation passed in 1936 which directly concerned the gold-mining industry was section 54 of the Statutes Amendment Act, 1936. Under this section the maximum area of dredging claims allowable under section 88 of the Mining Act, 1926, as amended by section 5 of the Mining Amendment Act, 1935, was increased to 2,000 acres. I had intended to bring down during last session a comprehensive Bill involving a number of amendments to the Mining Act, but the large amount of other more important legislation which had to be dealt with by Parliament prevented this step being taken. Suggestions for amendments, however, were obtained from all interested parties. These suggestions have since been reviewed by a conference of mining interests, and as a result a Bill is at present in the hands of the Law Draftsman. The following statement shows the quantity and value of bullion-production, the dividends paid by registered companies, and the number of productive claims and gold-dredges during 1936 and 1935 : —

GOLDFIELDS REVENUE AND GOLD DUTY. The amount of goldfields revenue received and credited to the accounts of local bodies during the year ended 31st March, 1937, was £22,942 155., an increase of £1,230 4s. sd. compared with the previous year. During the same period the total of the three duties on exported gold amounted to £119,324 18s., of which £7,814 2s. 4d. was credited to the accounts of local bodies under section 12 of the Gold Duty Act, 1908. The special export duty of 12s. 6d. per ounce amounted to £108,793 6s. 2d., which sum was paid into the Consolidated Fund. MINING PRIVILEGES. Interest is still being maintained in the mining industry, although the number of licenses granted has decreased. During the year ended 31st March, 1937, 938 licenses for mining privileges were granted under the provisions of the Mining Act, 1926, as compared with 1,927 for the previous year. Out of this number, 169 were licenses for claims authorizing the holders to mine for gold. For the same period 345 mining privileges, including 16 licenses for claims, were struck off the registers under the provisions of section 188 of the Act. PETROLEUM OIL. The only boring for petroleum oil carried out in 1936 consisted of five shallow holes put down by Maoriland Oilfields, Ltd., at Kotuku, from which a total of 1,188 gallons of oil was collected. 157,891 Imperial gallons of crude petroleum oil was obtained by Moturoa Oilfields, Ltd., at Moturoa from Nos. 1, 2, and 4 Wells.

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Dividends Number of ProducProduetion of Bullion. paid by Registered tive Claims and Class of Gold-mining. Companies. Dredges. 1936. 1935. 1936. 1935. 1936. 1935. | Oz. £ Oz. £ £ £ Quartz .. .. 526,661 732,869 534,048 778,517 151,336 89,081 77 72 Alluvial.. .. 33,618 244,640 37,134 269,106 16,436 7,279 2,928 4,411 Dredging .. 37,269 295,078 32,062 252,423 62,335 34,920 21 17 Totals .. 597,548 1,272,587 603,244 1,300,046 230,107 131,280 3,026 4,500