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to 164 ft. The reef averages 17 in. in width, and is of very fair value. A drive south on the No. 1 reef south of the shaft, has now been carried in for 260 ft. The stone is satisfactory, but of fairly narrow' width. A rise was put up on same for 75 ft. The west wall branch reef, south of Old pass, has been driven on for a total distance of 134 ft. Average width 14 in., and of good value. The reef met in the crosscut west, off the south drive on the west wall branch, has been driven on for 31 ft. north and for 9 ft. south and proved to be of low value. A drive south on the west wall branch reef has been advanced 109 ft. on ore of fair value, averaging 9 in. in width. A distance of 192 ft. was driven in a southerly direction on the east wall branch of No. 3 reef, but it was of poor grade. Bottom Intermediate level (70 ft. above No. 3 level) : The west wall branch reef has been driven on in a northerly direction for 275 ft., and southerly for 231 ft. It proved to be of fair worth. A drive north on the No. 2 reef was carried in for 22 ft. On the same reef a drive south was extended for 17 ft. The drive south on the east wall branch of No. 3 reef, south of Daily's old stopes, was advanced to a total of 276 ft., but the stone is of poor grade. A crosscut west, from the south drive on the No. 1 reef, was extended for 130 ft. At 120 ft. in, a formation 12 in. wide and of low grade was encountered. Stoping operations were carried out on both the levels named, and on the following reefs: No. 1, Magazine, west wall branch of No. 1, and east wall branch of No. 3, respectively. The average number of men employed was 117. Output : For the year, 9,247 tons of quartz was mined for a return of 4,987 oz. gold, valued at £42,136 3s. 9d., and 9,719 oz. 1 dwt. of silver, valued at £600 12s. lid. Dividends to the amount of £4,000 were paid. The company's battery also treated ore for outside suppliers to the total of 2,347 tons, which yielded 2,439 oz. of gold, valued at £21,249 14s. 10d., and 10,694 oz. of silver, worth £1,209 15s. 7d. The total yield from the Golden Dawn mine since the beginning of operations is 75,752 oz. 8 dwt. 15 gr. of bullion, valued at £200,740 7s. lid. Talisman-Dubbo Gold-mines, Ltd., Karangahalce (W. M. McConachie, Manager).—Work was carried on continuously for the year, an average of thirty-one men being employed. Talisman No. 2 level : The drive south was advanced 466 ft., total 950 ft., from the main crosscut. From 484 ft. to 610 ft. the level was advanced in country rock at about 10 ft. west of the old collapsed workings of the Talisman Consolidated Co., Ltd. At 627 ft. it connected with the end of the old drive and stopes, and from that point has continued south on the lode, which has not previously been worked. It is of fair average value, and ranges from 1 ft. to 4J ft. in width. A rise at 840 ft. south of the main crosscut was put up 22 ft. on reef and connected to a winze sunk from the No. 1 level. The lode averaged 24 in. in width, value £9 Bs. Bd. per ton. Stopes opened up from 720 ft. to 850 ft. south yielded 472 tons of ore. Some difficulty has been.experienced with soft and slidy walls and a thick horizontal layer of clay, and in places it has been necessary to erect timber sets in the stopes to prevent caving. No. 1 Talisman level : A winze, at 140 ft. south of the main rise, was sunk a total of 71 ft. on stone, and connected with the rise from No. 2 Talisman level. The average width of the reef over the 71 ft. is 20 in., value £4 lis. per ton. From the main rise to 420 ft. south ore was broken out in three stopes. From the rise to 130 ft. the width of the lode is about 8 in., and the stope is worked out to within 5 ft. below the Dubbo level. As this section of the lode is about 10 ft. west of the section in the Dubbo level, and has been proved to carry good values farther north up to 80 ft. above the level named, it is now apparent a good stoping block will continue to produce ore above same. The stopes above No. 1 level produced 290 tons of good-grade ore, the average width broken being 10 in. Dubbo level : The stopes extending from 200 ft. to 400 ft. north were worked to 205 ft. above the level, and produced 1,137 tons of ore. The lode has an average width of 21 in., and carries good values. From 600 ft. to 680 ft. north the stopes are 80 ft. above the level, and are producing ore of good grade. Talisman No. 4 level : The cleaning-up, timbering, and relaying of the tramway has been started and completed from the portal to 300 ft. For the year the company mined 2,272 tons of ore, which was treated at the Golden Dawn battery for a yield of 2,344 oz. of gold, valued at £20,576 3s. 10d., and 10,296 oz. of silver, worth £1,171 ss. 7d. The total yield of bullion since the commencement of operations is 44,954 oz. 16 dwt. 5 gr., valued at £63,145 10s. 3d. New Talisman Claim, Karangahake (C. Waines, Owner). —The work done for the first half of the year on this property gave nil results. Driving south on a reef that had been discovered in 1935 was then undertaken. The reef has an average width of 15 in., and 10 ft. of additional work exposed stone of a payable nature. Four and a half tons taken from this point and treated at the Golden Dawn mill yielded 9J oz. of gold and 180 oz. of silver, but values are low in other places and erratic on the whole. A total of 8 tons 9 ewt. of stone was crushed for a return of 16 oz. 6 dwt. of gold, valued at £101 Bs. lid., and 241 oz. 7 dwt. of silver, valued at £23 Bs. Bd. The aggregate output since the beginning of operations is 569 oz. 2 dwt. 7 gr. of bullion, value £543 4s. 3d. Waiawa Claim, Karangahalce (J. B. Morris, Owner). —Five men employed. The result of the storm in February and several other adverse matters affected the output of this mine, and probably not more than six months of a production period should be recorded. A total of 299 tons of ore was treated for a return of 70 oz. 8 dwt. of gold, worth £463 125., and 58 oz. of silver, valued at £5. The production of bullion since the beginning of operations is 391 oz. 10 dwt. 8 gr., valued at £1,375 2s. 3d. Star Claim, Karangahake (H. A. Meagher, Owner). —The Rhoderic Dhu reef, 12 in. wide, was driven on for about 40 ft. with largely negative results. Surface prospecting was also undertaken, and this yielded 2 tons of payable stone, which is held for treatment. Talisman Battery Site, Karangahake (C. Waines). —Cleaning-up operations resulted in some 61 tons of stone being treated for a recovery of 66 oz. 12 dwt. of gold, valued at £551 12s. Id., and 44 oz. 8 dwt. of silver, worth £4 18s. 9d. The total yield of bullion since the beginning of operations is 1,438 oz. 8 dwt., valued at £2,320 10s. lid. Victoria Claim, Karangahalce (D. Leach, Owner). —This area previously formed part of the Imperial and McDonald properties. The construction of a main prospecting drive was commenced during the year. It is to be advanced for a total distance of 400 ft., and is expected to pass within the random of some good stone before work is completed. One ton of ore was crushed for a return of 8 oz. 18 dwt. of gold, valued at £25 95., which is also the total production since the commencement of operations. Waitekauri Claim, Waitekauri (R. Joughin, Owner). —Two men employed A ball mill and a small cyaniding unit were erected on this ground for the purpose of treating several thousand tons of sands that were dumped thereon a good many years ago by the Golden Cross Co. It is stated that values are in the vicinity of £1 per ton. New Mcioriland Claim, Waitekauri (E. C. Roberts, Owner). —Two men employed. Nine tons of stone werte treated in the Maoriland battery for a return of 30 oz. of gold, valued at £93 2s. 3d. The total production since the commencement of operations is 90 oz. 9 dwt. of gold, valued at £215 18s. 7d. Ohinemuri Gold and Silver Mines, Ltd., Maratoto. —The drilling programme laid down during 1935 was finalised in April of this year, since when no further work has been done on the property. Six holes were put down altogether, and the total drilling amounted to 1,344 ft. Golden Crown Gold-mining Co. (No Liability), Komata. —Rising from No. 4 level was carried up to a height of 150 ft. A drive has been started, in the vicmity of the old company's No. 2 level, with the object of proving the worth of a reef 4 ft. wide that was not worked during former years. The erection of a battery, inclusive of a cyanide unit, was completed. It is stated that a parcel of 51 tons of ore from the rise at No. 4 level was crushed in the plant for a return of 136 oz. 19 dwt. of gold, valued at £524 13s. Bd., which is the total yield since the commencement of operations. Graceville Syndicate, Neavesville. —Operations on the Syndicate's property were chiefly confined to stoping a block on the M.B.A. reef in the Golden Belt and Golden Belt Extended sections. The reef is It is reported that prospecting-work was carried out on the Remuera and Champion sections with encouraging

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