SHAG VALLEY.

Evening Star, Issue 3311, 30 September 1873, Page 3

SHAG VALLEY.

All the companies here are at present at a standstill, it being utterly impossible to obtain coal for crushing purposes, owing to the impassable state of the road to the pit at Shag Point. The several companies in operation here have no doubt themselves to blame for such a stage of affairs (viz, stoppage of work) in not having the forethought of laying in a stock of coals during the summer months, and thus been in a position to have continued crushing when the water was plentiful. Mr Bell, the manager of the Shag Valley Freehold Co., contemplates making another start shortly—that is as soon as he is able to get a supply of coal. It is a great pity to see such a splendid plant as this Company possesses, with plenty of payable stone to keep it continually employed, lying so idle. 1 cannot find out the intentions of the Perseverance Company, but hear they do not intend making another start at present. The Shamrock Company are waiting for the weather to take up, and the Shag Valley Company to be in a position to crush a trial lot of stone for them. Cooper and Co. have got into difficulties, all through mismanagement; no competent person to take charge or responsibility, and therefore no interest in the affair soon told its tale—everything went to the dogs, summonses were taken out against tbe Company by the workmen and storekeepers. The plant was seized to pay their demands, and so exit the firm of Coop r and Co. I hear that Mi Goullar, of Dunedin, the owner of the plant and reef, is endeavoring to form a party to work it on tbe tribute system, and I do hope he will succeed, for there is no question of its being payable, if properly managed. Some of the alluvial mines in the out gullies are doing remarkably well; but those at work on the Shag River and along its hanks are at present idle, owing to the late floods. Coal, and not quartz fever here just now is epidemic. Nearly every land-owner you meet has his pockets stuffed with samples of lignite, and the talk is nothing but coal, lignite, royalty, indications, &c. All this has arisen from the fact that a company is likely to be organised for the purpose of prospecting for coal in the valley of the Shag River. I feel confident it would prove a paying speculation, for coal is known to exist in large quantities np and down the valley. The ranges on the eastern side being composed of spar, limestone, with fossil shells, Ac., large seams of lignite, apparently a most extensive deposit, are to be found in the creeks leading from the range, but the quality is sulphurous, with a strong smell. But it is the opinion of practical and expert coal miners that the .Shag Point black coal will be struck by sinking ; combination and a small amount of capital only being r< quired to develop its resources. One very great drawback to the formation of the company is the exorbitant demands made by some of the owners of land (it is all freehold) for prospecting and working the coal on their land. They ieem to fancy, since the late survey of the railway line to Palmerston and the present high prices of grain, &c., that their fortunes are made, and they are therefore pretty careful in not asking too little for the privilege, &c. I'uapeka Times.