FORD’S CREEK GOLD DREDGING COMPANY (LIMITED).

Greymouth Evening Star, Volume XXXI, 24 October 1901, Page 2

FORD’S CREEK GOLD DREDGING COMPANY (LIMITED).

A general meeting of shareholders in the Ford’s Creek Gold Dredging Company was held at Dunedin on Friday evening to consider the financial position of the company. There were 17 shareholders present,

The Chairman explained that £1217 2s 9d was owing to the bank (guaranteed by the directors) and £550 to other creditors, aguinst which there was £371 2s 6d of calls to come in from preference sharehollers. Tin directors were anxious to bo relieved of their liability to the bank, and they mustadv iho shareholders to devise means to do this and provide capital t) carry on operations. The present unfortunate position of the company was due to a great deal of unremunerativo work being necessitated by buried timber, and latterly by an unfortunate breakdown of the crown wheel tumbler and shaft, the screen al-o was worn, but it“would last a little longer. These repairs would take £2OO, and there was no money available for the purpose. The expenses for the past ye ir totalled £2161 12s 2d, and the gold won £B6O, but during the last six months of the year the expenses were £llOs 13s Id, and the gold say, £1903, and as the expenses, included the cost of lengthening the ladder, and £63 for interest and law expenses, the company are now making a profit* The late dredgemaster was present to answer questions, Mr Faithful had written most favourably of the prospects, and Mr Lyders had written that he thought the dredge would before long, bo getting 40ozs a week, and he would be glad to take the dredge on tribute for 12 months.

In answer to questions, Mr Diamond, the late dredgemaster, said that the dredge was quite capable of working up the creek, and the ground was sure to get shallower and richer. He thought about four acres had been dredged. The last week gave 12jozs for only about 50 hours on the bottom, and he thought 20ozs to 25ozs a fair estimate for future-dredging. The present cut was about 150 ft, but it could be extended to 250 ft or 300 ft.

A long discussion ensued regarding the raising of the required capital, and is was at last resolved—“(l) That the directors issue the balance of the preference shares, and that a levy of Is per share be made on all ordinary shares to liquidate current accounts, the levy to be paid out of gold won after provision had been made for working expenses. Interest on the • levy to be at the rate of 50 per cent per annum; (2) that the levy be struck at once and the repairs begun, and that the time for taking up preference shares be extended ■ two months ; (3) that the shareholders be asked to guarantee the directors to the extent of £ISOO against any claims that may be made on them under their guarantee to the bank, each shareholder to guarantee his proportion of the amount required, and to stand in with the directors in the mortgage security.