C.—2.

MINING AND COAL-MINING LEGISLATION. up The only mining legislation enacted during the year was contained in the Statutes Amendment Act, 1940. Section 6 of this Act altered the provisions of the Coal-mines Act, 1925, in regard to certificated winding-engine men, while sections 32 to 38 amended the Mining Act, 1926, chiefly in connection with residence-site and business-site licenses and the protection of mining privileges held by persons called up for naval, military, or air service. There were no amendments to the Mining or Coal-mines Regulations. 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, 1941, was £16,722 6s. 6d., a decrease of £2,550 6s. compared with the previous year. The total of all duties on exported gold amounted to £269,497 75., as follows : Credited to the accounts of local bodies under section 12 of the Gold Duty Act, 1908, £4,858 9s. lOd. ; special export duty of 12s. 6d. per ounce credited to the Consolidated Fund, £108,915 4s. ; duty on scrap gold and jewellers' sweepings credited to Consolidated Fund, £1,835 Bs. 7d. ; duty credited to the War Expenses Account, £156,376 19s. 3d. The duty credited to the War Expenses Account imposed by the Customs Act Amendment, 1939, dated 29th September, 1939, represents 75 per cent, of the amountby which the New Zealand currency value of the London market price exceeds £9 ss. Bd. (New Zealand currency). It should be noted that the gold-export-duty figures are in respect of the financial years ended 31st March. The amount collected in respect of the calendar year ended 31st December, 1940, is actually higher than for the previous year, and in proportion to the increase in export of gold as set out in Table No. 1 accompanying this Statement. MINING PRIVILEGES. There was no abatement of interest in the mining industry, and several promising dredging areas which were taken up under ordinary prospecting licenses are now being tested by boring. A total of 425 licenses for mining privileges were granted under the provisions of the Mining Act, 1926, a decrease of 112 on the previous year. Of the titles granted in 1940, 78 were licenses entitling the holders to mine for gold, and included several large dredging claims. Altogether 384 mining privileges, including 39 claim licenses, were struck off the registers under the provisions of section 188 of the Mining Act, 1926. PETROLEUM OIL. The passing of the Petroleum Act in 1937 resulted in a search for petroleum on a scale and with a degree of efficiency never previously attained in this Dominion. Under that Act sixty-six prospecting-licenses covering an area of 11,558 square miles were quickly taken, up by strong financial companies, and at the present time fifty-eight licenses over 10,143 square miles are still subsisting. A staff of experts, at present numbering 178, were engaged on scientific work in an effort to locate sites considered suitable for drilling, and over £1,000,000 has already been expended in prospecting-work. Expensive equipment was brought into the country, and two wells are at the moment being drilled, one at Morere, now down to 5,722 ft., the other 'at Midhirst, down to over 7,900 ft. This latter well is the deepest which has ever been drilled in this country. A careful study of the operations in progress should convince any one of the genuineness of the search for oil and incite admiration for the high standard of efficiency which has been attained. There have been many new problems for the experts to surmount, but when all the scientific preliminary work has been completed it is the drill, and the drill alone, which will prove or disprove the theories which have been formulated. The whole economy of the Dominion would be affected by the discovery _ of petroleum oil in payable quantities, and it is to be hoped that the encouraging prospects so far reached will ultimately be crowned with, success.

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