MINES STATEMENT.

Hokitika Guardian, 19 December 1921, Page 4

MINES STATEMENT.

The Hon Minister of Mines in t.he course of the atniual Mines Statement says:— Jt ivas anticipated that after the termination of the war renewed efforts would lie made to increase the production of minerals in the Dominion, h"t since the Armistice considerable diJiculty has been ex]MM'ienced by those interested in mines in obtaining sufficient capital to develop and extend their mining ventures. As a consequence the results which were anticipated have not yet been obtained. During the year under notice the (lovernment has given considerable assistance in several forms:— (1) By making geological surveys and publishing bulletins; (2) By granting subsidies to no less than eighteen approved parties for prospecting; (3) By loaning Government drills upon most reasonable terms; (4) By granting loans for carrying on milling and for purchasing equipment

and plant; (o) Bv making liberal contributions to the several schools of mines throughout the Dominion ; (6) By granting subsidies to local bodies to enable them to construct and maintain roads within mining districts; (7) l)y maintaining at heavy expense Government water-races in the Westland and Otago Mining Districts, and selling the water at prices which arc really not remunerative. h will thus he seen that the mining industry in New Zealand has received "real assistance from the Government. • Government of no other country has devoted more money to assist its people io develop mining. It is hoped that the efforts of the Department will result most favourably to prospectors and miners generally At one period of the history of New Zealand mining held the most prominent place in mir industries. The discovery of new goldlields will do much to rehabilitate it in | importance, and with that object in i view prospectors will he assisted as far las the linancial position will allow. I New discoveries will do much to alloj vinte our present difliciities, especially ]in regard to unemployment, and put j fiesli vigour into the trade oi the Do-

The prospectors touml the outcrop ol a quail./, lode showing some gold on a lidge above the Alexander River. They ; 1 j ;,n found two other outcrops of lodes , f apparently lower grade in the valley , r the Alexander Stream about one mile to the nnrtliv.a> 1 and at 80011 loner level than the hide on the ridgi . dim discovery has been inspected by Mr i’. (!. '.Morgan, Director ol <o ,lo.b----,i Survey, who lias tin nished a report ihereon. Considerable loeal excitement ■ allowed the report of tlm discovery, and a mild rush shortly ensued, much

nullify being pegged out in pm.-pect-ng-nroas. The locality is bush-clad ml hillv, and until development is enr-

i :"d out it is premature to expiess an opinion as (o the future prospects ol the field. The V.’ainioa-Ktimara and Mount Ida Government Water-races, which greatly alluvia! gold-mining in tin* Kiimara and Naschy districts, have, during the year ended 31st March, 1021, supplied kiinis employing thirty-one miners with water for sluicing, by which gold to the approximate value of £4,188 was obtained. The cash received for water sold amounted to C 1,182, the expenditure on the upkeep of the races being IM/ofi. it is therefore doubtful if the upkeep of these faces lor alluvial gold mining is now justified. The Inspecting Engineer (Mr Frank

.J iiewl) reported:— DUKDGK MINING. This system of <'ol<J-niinin*r, which -» ■ ii.'.iimtoil in Now Zealand, has greatly

h dined m importance owing to ini reused oust of liilmur mill :;.at<-ri:il, ilio number of productive dredges having ,1,., ,onset! fro:,* !<r digiug IN Hi i- • •.tohv dining li. ill,* number of porous employed tbereoi: having .lecreuseil i’jnr:i over 1,000 to 11*2 dining that period -;l' -V iir-l in ton nt*ot ion with this hrnnoh t.f die gold-mining industry is I In' ncsir , i.mpletion of the pinvcful dredge ••Kilim.” Imilt after l!-,* A morion n d—sign at Rimu Fiat, nettr Hokitika. ~v .mi iiiioient and buried lirnneli of tho Moki'ikn Kivor Inis hoop favourable *.i:d *v:;U m;.t icallv proved by Govoinmont Keystone drills. SUBSIDIZED ROADS ON GOLDFIELDS.

The expenditure in the form o( subsidies ami direct grants upon roads on goldlields amounted to £11,050, as compared with £13,090 during the previous yea r. GOVERNMENT WATER-RACKS. The Waimea-Kumara and Mount Ida water-races, which render possible mining in the localities of lvumara (Westland) and Naseby (Central Otago) have during the year ended 31st March, 1921, supplied claims employing thirtyone alluvial miners with water for sluicing auriferous gravels, by which gold to the approximate value of £4,188 was obtained. The cash received by the Government for water sold amounted to £1,182, hut the expenditure on the upkeep of the races was .£‘1,570; thus the upkeep exceeded the receipts by £3,394. No allowance for depreciation or interest on the capital expenditure of about £250,000 was provided [or. The loss to the Government on the combined races during the year amounted to £IOO per miner using the water. The average earnings per miner from gold obtained was £199 after payment for water was deducted, hut without deductions for rent of ground, cost of plant and tools, etc; it will therefore l>e seen that a living-wage was not, on the average, attained. SCHOOLS of MINES.

The six schools of mines on the goldfields of Coromandel, Thames, ICarnngahake, Waihi, and Reefton, if jigged by the paucity of students who presented themselves for examination at the last annual Government examination in connection with such schools, have practically ceased to he mining schools, for no student from these schools presented himself for examina- | lion on the subjects of mining, minej drainage, or haulage and winding, and J! only one student on the subjects of i; mine-ventilation and mineralogy ; in metallurgy there were two students, tand in geology three. As secondary or technical schools for children of both j sexes who desire to acquire a knowledge j of mathematics, electricity, and chemis-

try they are, in the North Island, fair- j ly well attended. i The expenditure by the -Mines Department on schools of mines amounted for the year ended 31st March, 1021, to £•4,427 9s (3d. The Inspector of Mines (Mr JDowney) reported:— Mount Greenland Aline.—Very little breaking or crushing was done during the year, 140 tons only of quart#; being mixed, which yielded 24 or. I dwt of gold. Some prospecting was carried out in the William Tell low level with view to locating the reef beyond the fault which cuts it off in the north end of the workings, btit without success. A good deal of surface prospecting was also carried out for the purpo.-e tracing the reef farther to the south. Mount Greenland Extended—Two men were employed extending the prospecting crosscut, which was carried in to about 500 ft. Some stringers of ,quartz were met with, but the result of the work was not sntislactory. Kumara.—On the Kiimara, Greenstone, Stafford, and Callaghan’s fields there was a slight falling-off in production from last year’s figures, only 1,103 oz being won, as compared with 1,3. o oz. The value of the gold was, however, approximately the same as doting the previous year, owing to premiums having been received in some cases oil gold disposed of. The principal producers were—Blacktnnnt Bros., llloz, and I,initiator Sluicing C’nmnpny, 284 0 z, at Stafford, Stubbs and .Steel, 247 oz, and R. Kean, 114 oz, at Greenstone; and G. Lawrence. fW. at Westbroke.

Hokitika.—ln this district <>B3oz were recovered, valued at £2,874, The leading producers were Rimu United (311 oz), Brookes and party <104oz), and Knight and Ford (1720 z). SUMMARY OF REPORTS OF GOVERNMENT WATER-RACE MANAGERS. Waimca-Kumara Water-Races (Ah ,James Rochfnrd, Alanager). WAIAIKA WATER-RACK. The cash received for sales ot water from this race for the year ended 31st Alarch, 1021, was £351 9s Id, and the ex|H'iiditiire on management, gauging, maintenance, and repairs amounted to £1,081;, showing a debit balance of £731 IDs 8d on the year's transactions. The average number of miners supplied with water during the year was (>.58, a decrease of 4.17 on the previous %ear ; and the npproxi to amount, of gold obtained .h,v them was 4370 z, i allied at £1,715 Is (id, a decrease of £973 8s oil that of the previous year. The sales of water, which amounted to only £329 7s Id, were the smallest for the past twen 1 y-two years, and showed a decrease ol £1.9 2s on Ihe picvioiis year. The principal cause of this ciiutimi.'d 'alliii;:-.if! in the sales .if water was the high pine ol suitable labour, and the ever-in. ie.ising cost of looks, tinilor, pipes, and mining equipment generally, which' increased I lie cost of gold-production mil of all projxirtioii to any corresponding rise in value per ounce obtainable by the miners. This phase of the mining industry was dealt with in my last two annual reports ami it. is needless for me to again go into the matter: suffice it to sav that the disabilities which then existed were not minimised in any way during the past year. BRANCH RACE TO CALLAGHAN'S AND AIIDDLE BRANCH FLAT.

The rush received for sales of water from this race for the year ended .*ll sL March, 1921, totalled IMS 4s Bd, and the expenditure on management, gauging, maintenance ami repairs amounted to flit 7 13s Sd, showing a debit balance of C 299 9s, on the venr’s transactions.

The average number of miners supplied with water during flu* year was 1.75, an increase of 1.09 on (lie previous year: and flic approximate quantity of gold obtained was 102 oz, having a value of CIOO 7s, an ilieietise of 1*251 -Is on hist year. The sales of water amounted to I’M.*! 15 ; 2d. an increase of CIS 13s lid, as compared with that of the previous

v".*and in addition to these sales authorized free water to the value ol L I:-* Is iliil was also .applied from tin*-

Although there is a considerable area of payable ground in the Middle Brauc'i Flat commanded by this water-!ace, no mining Inis been carried on in tins locality since 1915. when sluicing operations wen* slopped b\ to ■ Inspector ol Mines owing to the unsafe condition of the Wai: ca t:.;iin tail-rru . f **im-c mining o|ieraliotis were suspended tho condition ol the main tail-;ace has become so much worse than it would be till expensive proposition to again put it in working-order, and it is now exceedingly improbable ilia I th« ground commanded by it will ever be .dwieed. The cash received was 221 lsßd more than for the previous year, and the expenditure showed an inereii.se **r Cl 19 10s 3d. KUMAR A WATER-RACE. The cash received for sales of water from this race for the yeai ended .’list Minch, 1921, was CIO Bs, and Hie i*xjtoiidiltm! on management, gauging, maintenance, and repairs amounted to C 202 12s ,')d, showing a debit balani".* of C 192 Is ,‘ld on the year’s trausaetions.

No miners were siljqdicd with water from this race during the year, ami there are no indications of any mining upoialioiis being resumed on the south side of the Taramakau river. The sales of water amounted to mi!;. £lO >s, a tleeiease of £9 7s on the previous year This water was supplied to llu Kitmara Sawmilling Company (which .started, culling timber in January, 1921) for the purpose of developing power to haul the .sawn timber from the mill-silo in the Tainmakan Valley to the traffic-road lead in to the lvumara railway station.

K (JM AIIA TR ANS-TA It AMA KA 1 WATER-RACE.

The cash received for sales of watei from this rate for the year ended 31st March. 1921, amounted to £sl lls fid, and the expenditure on management, •tanning, maintenance, and repairs to £555 Is lid, leaving a debit balance of £SOO 10s oil nn the year’s transactions.

The average number of miners supplied with water during the year was 1.33. a decrease of 0.33 on the previous year; and the approximate amount of gold obtained by I lietu was 19Soz, having a value of 0777 3s, a decrease of £ll 15s fid on the previous

The stiles of water amounted to £4B 3s sd, an increase of £•■ lls 2d. as compared with the previous year; but jn these sales should he added £26

Is lOd, value of water siip'pTied to the i Payne’s Gully Syndicate, which cannot I be considered free water, as the com- J pitiiy is being supplied With water in . return for tlie cash spent liy them in t the restoration of the trans-Taramakau j pipc-liiie over two years ago. I KKIN-G 0-lfR A Gll WATER-RACK. j The cash received for sales of water j froiii this race for the year ended 31st ; March, 1021, amounted to £lls 2s Id, j and the expenditure on management,) gauging, maintenance, and repairs to j £459 8s 7d, showing a debit balance of | £314 (is (id on the year’s transactions. . The average number of miners supplied with water during the year was 4.5, a decrease of l.Ki on the previous year, and flic approximate quantity of gold obtained by them was 33<)<v., having a value of £1,205 ss, a decrease on hist year of £39 os. The sales of water amounted to £lls 2s Id, tin increase of £42 os, as compared with the previous year. In addition to the above sales, authorised free water to the value of £ll 10s fid was supplied to assist the minors in opening up new claims. The cash received was £42 9s more than for the previous year, and the exponditure showed an increase of £lO7 10s lOd.

This race was well maintained durthe year, and is now in good order. AVAIAIKA-K UMAR A WATER-RACE. The following is a summary of the revenue and expenditure of these water-races for the year ended 31st March. 1021 : Sales of water, £530 15s Oil; cash received, £579 15s 7d ; expenditure, £2,051) 10s sd; approximate value of gold obtained, £4,137 19s (id; average number of miners employed, 17.10. In addition to the cash received for sales ol water, the sum oi £375 18s 2d was received from .J. (1. and A. Watson, sawmillers, lor royalty oil timber cut on the Reservoir Reserve. The sales of water show a decrease ol £llß 14s lid, and the cash received a decrease of £79 15s 10(1. In addition to the above sales, authorised free water to thu value of £59 5s lld was supplied to parties opening up new claims.

The total ex|S'uditure on the combined races was £2,(>50 lbs 5(1, as against £2,387 2s Bfl for the previous year, an increase oi £2(>3 13s 9(1. Thi increase is more than accounted for by the rise in salaries of the permanent staff, without taking into consideration the increased cost ol labour, tools and other material necessary for the maintenance of the races. ;

Comparing the sales with the cx|>eiiditiiro, the combined races show a loss of £2,114 Os 3d for the year.

During the year the stun of £OO9 0s Kid nas wrillen oil' by authority of the Appropriation Act. 1920. leaving the outstanding halanc on the (fist Alareh at £4O 19s lOd. .Mount Ida Water-race, Central (hngo (Air .1. ('. Buchanan. Alanager).

—The total sales ol watei from ihc Mould Ida water-race during the year amounted to .£(>o4 12s 7d. a decrease on that of last year l>v £133 17s lOd. The expenditure on maintenance and repairs for the same period amounted fo £1,504 18s lid, a decrease on that of last year of £lO4 7s lid. The total cash received was £OO2 7s. The total amount owing for water supplied at the 31st Alareh was £2 12s. Free water was supplied for washing up to the value of £45 Is. The total value of water supplied from this race amounted to £049 13s 7d, a decrease on that of last year of £l5O (Is 7d. The approximate quantity of gold obtained by parties using water from this race was S22oz, valued at £3,104 1 Is, a decrease on that of last year of £53 18s. The average number of men employed was 13.75. From the Ist April lo the 21st June ll:e weather was very dry, with, n shortage of water in the creeks. On the 22nd June I2in of snow fell, arid was fi llowed by severe frost, which compelled the claims to close flown. On the 301.1 i June a good thaw set in, and work was resumed on the Ist July. F,,r the remainder of the winter there was a fairly good supply of water, and most of the claims were able to wu:k throughout the winter months. Finn, the Ist September to the end ol .March he season was very dry, at times the available supply being as low as 1 heads. With the exception of a portion of the Eweburn tunnel collapsing In January, the rare Ihroughout tinyear was free of mishaps. At presen 1 he race as far as Johnstone’s Creek is >n good working order.