Page 13 Advertisements Column 5

Dominion, Volume 9, Issue 2747, 15 April 1916, Page 13

'ABRIDGED PROSPECTUS OF.THE CAPITAL £50,000 IN 50,000 SHARES OF £1 EACH. Payable 2a. 6d. per share on application, 2s. 6d. per share on allotment, and the . balance a 6 -may be required, in calls of not more than 2s. per share at intervals of not less than one month. DIRECTORS: T. HUBERT LEE, Reefton, Auctioneer. FREDERICK BOBSON, Wellington, Hotel Proprietor. J. GORING JOHNSTON, Palmerston North, Sheepfarmer. , , DAVID REDPATH, Christchurch,'Wholesale Coal Merchant. ■ SOLICITOR: CHARLES W. TRINGHAM, Lambton Quay, Wellington. BROKERS! BRUCE AND LUSH (late W. H. Turnbull and Co.), 27 Panama Street Wellington. j • ROSS AND CO., Masterton. \ , , M'MAHON AND LEE,' Reefton. fpHE Company is being formed for the purpose of acquiring the 188 acres known as the Burke's Creek Coalfields, Eeefton, as a going concern, to further, work, develop, and equip the property with modern plant, and to build a, railway, from the mine to the Reefton Railway Station, distant only two miles and a half,' MB. SIDNEY FRY, A.M. Aiis. 1.M.E., Certificated First-class"" Colliery, Manager, eto., has fully and .favourably reported on the property. The following ' are extracts from Ms report-.— COAI SEAMS, Etc. ' "There are at least four seams of coal,ea the property: No. 1 seam, now being worked, whioh is 12ft. to 15ft. thick; No. 2 seam, about 150 ft. below No. 1 seam,and which is sft. or 6ft. thick; No. 3 seam, about 15ft. thick, and which lies at a'' vertical depth below No. 2 seam of about 150 ft. No. 1 seamj about-3ft: thick, and about 50ft. beloTvf No. S.eeam. • i, '\'k "All these seams are dipping in a direction 55deg.' 'west of' true- north, the angle of the dip being 15deg., or about lin 4. , . i "Tho whole of No. 1 seam within the property is level free, the other, seam* being only partly so. ; , •/_< ; "Judging by the outcrops which I met with, it appears to .me ; to be; safely, assumed that all four seams extend through an area' of JO',acres at least, and, on this basis of calculation the quantity available,, allowing; for 66 per cent. :'.'of'the coal to be extracted, would lie 1,400,000 TONS. '*• . " "IT IS QUITE POSSIBLE THAT THIS ESTIMATE MAY BE EXCEEDED, THREE OR FOUR TIMES, OR EVEN MORE, but J am regarding it fronv ;apurchaser's standpoint, and am making my" calculations .on a most conservative, basis. They have mined about 10,000 to 12,000 tons to date.";, ' ~ " QUALITY OF THE COAL: ' • • ,r } "The coal is a sub-bituminous or splint coal of excellent quality, and is very well fitted for transport, as it stands handling exceedingly well. IT IS ONE OF THE BEST (POSSIBLY THE BEST),OF HOUSEHOLD COALS IN THE DOMINION, and is also a very good steam-raising coal, as the' Railway Department, has been using it for. the past two years'on the Reefton'-Greymouth Railway, and; : I understand, is perfectly satisfied with it- One-of the engine-drivers.told'"me that . he found it a very fierce'(rapid)'burning-coal in the locomotive fire-box, but thi\t nevertheless it did not attack the'firebars, and made practically -no clinks- in th? furnace. , ' . " "Burned in a stove or in an open grate, it ignite quickly and burns with' a long flame, developing a fine glowing heat, but making "no 600t, burning right down, if not replenished, till almost tho last fragment of cinder is consumed, and leaving a very small amount of light a6h." PRESENT.OUTPUT. ~ . "The owners are at present sending out 120 tons per week. Of this the Raifc way Department takes 24' tons, and the remainder is used at the mines and dredges in the surrounding district and in the town of Reifton, etc.', for' household use. The grade of the tramline is in favour of the load going from the mine—an average of about lin 50, roughly. At' the mine mouth, which about 100 feet .above the level of the tram, the coal is lowered by means of a 'jig' self-acting incline, in which, the full trucks coming down draw the empties up." FACILITIES .FOR WORKING. , "For worEing this mine on a .larger end consequently more economical scale, the facilities are good, as there is abundance of good, birch and. pine mining timber on the lease; the surface of the. ground is such "as to permit the construction of a railway from the mine to the Government railway at a minimum cost; and the nature of the roof in the mine and of the coal itself are very favourable' to the extraction of a high percentage' of the coal at a most moderate cost; and,' as a. practical man (for I have had several years' good experience in New Zealand coal mines, and in one of the deep mines of New South Wales), I may say that the convenience of its mining features appealcS to me considerably." MARKET FOR COAL. ' : .. "I HAVE LITTLE DOUBT THAT A READY MARKET COULD BB FORMED IN WELLINGTON FOR SUCH - A SUPERIOR HOUSEHOLD COAL AS THIS IS. AND I BELIEVE IF IT WERE ONCE BROUGHT UNDER THE NOTICE OF HOUSEHOLDERS THEY WOULD USE NO OTHER, . "There is also the chance that IT, MAY CARRY THE MARKET AS a HOUSEHOLD COAL EVEN AT A SHILLING OR TWO HIGHER PRICE THAN OTHER COALS. I understand that this is already the caso ih Greymouth districts, where some private users and also the; Kumara Hospital , are said'to be regular customers at a price 2s.'higher than, that of any other coal in the district. - cost per ton. ' ; "I estimate the cost per ton of coal delivered" f.o.b. Greymouth. as follows:— Hewing (includes explosives) 2s. BcU "conveying to bins (includes trucking in mine) 9d„ stores and materials (rents.and timber) 6d., managing and oyerseering preciation 3d., other costs (insurance, compensation fund, exchange, etc.), lid., royalty 6d., railway freight to Greymouth is. Bd., Greymouth harbour.' dues' 3d.; TOTA'L, lis. PER TON." f ■■■■' ", ■ ' FIRE CLAY, BRICK, AND PIPE CLAX '. ; . . "There is a considerable anioiLnt of Fire Clay obtanabta from the; bottom'",of No. 1 and No. 3 seams. I did not get any • place where I' could measure -it at No. 1 seam, but at an outcrop of No. 3 seam it was. AT. LEAST 3 FEET .THICK AND OF APPARENTLY EXCELLENT QUALITY; judging by the appearance and general characteristics of the small test bricks which I made from it.:-I also made bricks from the ordinary brick'clay there. The facilities for making bricks are good, as praotically the whole of tne cover of the coal in the -two places named is brick and fire clay, SO THAT THE CLAY COULD BE TAKEN OFF FOR BRICK-MAKING, AND THEN THE WHOLE OF THE COAL UNDERLYING IT WORKED OPEN-CAST." • nr Practical tests from fair average samples of, the clay were made by Mr., A. D. Bognuda," Manager for Messrs. Peter" Hutson and Co., Ltd., Wellington. He says:* —"Your fire clay and pipe clay are most excellent material. 1 I, tested them both on a practical scale, and the results are beyond my expectation., I am forwarding to-day to you tho'sample pipe and grate brick whioh. I made from the c\av sent to me. li the clay exists in anything like large quantities, its proximity ■ to your coal fuel makes it a very valuable asset. FOR QUALITY YOU'CANBE ASSURED FROM ME THERE IS NOTHING IN NEW ZEALAND TO SURPASS rr ' .. -ESTIMATED PROFITS. The Company can at the present time make arrangements to sell the whole output of the mine np to 75,000 tons per annum. It will therefore be'able to.work • its plant to its full capacity as soon as it is installed. This output, based on-a, very low selling price, shows a profit of £12,500 PER ANNUM, or 2o PER CENT.. PER ANNUM on the total capital of ,£50,000. This estimate of profit is made on a conservative basis'which allows for one ton of slack in every three tons of coal mined; and work done ,to date shows that tho slack should not be m anything like this proportion. •" . " " _ ' '. ' —• OTIRA TUNNEL. '• ■■■ It is understood that on the completion of the Otira, Tunnel • the railway freight on coals to Christchurch will not exceed the present marine freight to.'Lyttelton. This will save the freight through the. Lyttelton Tunnel, and.THE COAL WILL BE RUN RIGHT THROUGH TO CHRISTCHURCH IN THE RAILWAY TRUCKS IN WHICH IT IS LOADED AT THE MINE. This will ensure.the coal arriving in excellent condition, and eliminate the usual loss through breakage, as it will bo handled only twice instead of four times as at present. An enormous market, limited only by the output of the mine, will thus be opened in Canterbury ■ for this coal and the fire clay goods. . " HOUSEHOLD COAL. : : Householders in Wellington and know .that at the present time they have great difficulty in obtaining a-really satisfactory coal. Reefton coal will solve the problem for them. Wellington and Christchurch coal dealers and householders who have tested the coal confirm all that is claimed for it. Its popularity in the Reeftdn-Greymouth-Hokitika Districts speak foe itself. One of the leading Christchurch coal merchants says it is tho best household., coal. he . has seell ' CAPITAL TO FULLY EQUIP MINE, ' i. ; ; Mr. Fry estimates that ,£9OOO will'be ample to fully «quip the mine with plant sufficient to.deal with an output of 1500 tons per. week. There is .not a single engineering difficulty to be ,mct. The shbrt railway .required will.:, run through open, practically level country, giving an easy and economical grade of about one in fifty from the mine to tho Reefton Railway Station, only two and a-half miles distant. ' ' POINTS FOR INVESTORS. ; ; THIS IS NOT A PROSPECTING VENTURE: "" J : A level is driven 0n.N0. : 1. seam.lsft. thick.for,Uooft..on good.clay-.alLthe.way.- ; Present output for local-requirements is 5000 to 6000 tons per annum, -whicS is all the present plant can handle. , There is now a well-established market in Greymouth, Hokitika; Ross, Eraaara,., Repfton, and districts. t : Tho excellent steam-raising qualities of the coal are evidenced- by the ,fac£ that tho railway, mines, dredges, etc., throughout tho district use' it in' preferenceuto '] any other eonl produced on the West Coast. ' NO SINKING, BORING, OR, PUMPING y}XkH BE REQUIRED FOR. 1 THIS IS RECOGNISED AS THE FINEST , HOUSEHOLD COAL IN THE DOMINION. THE OTIRA TUNNEL WILL BE A TREMENDOUS ADVANTAGE. Arrangements can bo made at the present time for the sale of (he whole output : of tlio mine at a price showing 25 PER C CENT. PER ANNUM PROFIT... ( ;• The Company is fortunuto in having on the Board of-Dircctors;Mr: David Redpath, of Christchurch. Mr. Redpath's intiuintc knowledge'of. the coal business , ! shon.ill prove invaluable to the Company. . . • i Sample.® of coal and clay may be seen at the offices ot the 'BrokeTS, who will.'■> be pleased to post prospectuses and full particulars to any address. : : BfeUCE AND LUSH, 27 Panama Street, Weil'ington. ? ROSS AND CO., Masterton. . . . M'MAHON AND LEE, Reefton. . - i