PERSEVERANCE COMPANY.

Nelson Evening Mail, Volume VI, Issue 181, 2 August 1871, Page 2

PERSEVERANCE COMPANY.

The annual meeting of ihareholders was held on Monday night, A. J. Rich* mood, Esq., in the chair. The Directors' report, and balance sheet for the year were read by the legal manager, Mr. J. R. Mabin, and adopted after some discussion ou the latter, arising out of certain objections raised by Mr. H. E. Curtis to the form in which the accounts were laid before the meeting. Reports were also read from the Mining Manager, Mr. J. C. Richmond, Mr. R. P. Bain, who had been employed to survey the Company's ground, and a Mr. Poole, who had lately visited the mine. The four retiriug Directors, Messrs J. C. Richmond, A. J. Richmond, J. Burnett, and 11. Baly, were then unanimously re-elected. Our space will not admit of the publication of the report in full, and, besides, the shareholders and the public generally are well acquainted with what has already been done, but the following extract relating to the future working of the mine may prove of interest to our readers : — " Your Directors now direct attention to the future working of the Company, and the prospects of its paying a dividend. With a small but excellent plant, and a supply of water considerably in excess of present requirements, and the mine opened up aud its auriferous nature proved, the payment of a dividend depends — 1.. Upon the regularity with which the battery is kept at. work; 2. Upon the quautity crushed; 3. Detailed economy in all the Company's operations. As regards the first, with the present large supply of water, nothing but accidents to the race or machinery is likely to prevent the battery working with regularity ; bufc, after allowing for interruptions, it is estimated that the quantity crushed will be about 100 tons per week, which, according to the foregoing calculations, will leave a profit of £50, or, say, £2,500 per annum. At this rate, it will take more than twelve months to cover the amount to debit of Profit or Loss, and it therefore becomes necessary . for your Directors to decide on a speedier process, which can only be obtained by increasing the number of stampers. As funds accrue, the first thing to be done will be to pay off existing liabilities, after which the amount to debit of profit and loss will gradually be reduced, and the cash being paid to the Capital Account,^ will be at the disposal of your Directors.. They propose applying a portion of such funds, when they arise, to the purchase and erection of a second battery of somewhat heavier construction than the present. By this means double the amount of quartz will be crushed ; whilst by distributing the expenses over a larger quantity of material, the profits would be proportionately increased, and may be fairly estimated at J ss. per ton ;so that after twelve months' work with the double battery, at least £7,000 of profit would have accrued, in addition to which there would be the profit arising from the working of the present battery until the additional one is erected. This would be applicable for the contingent payment of £1,000 to the promoters, and leave a surplus for- dividends. As to economy, the shareholders may rest assured that the Directors have practised it in every detail, and that they will lose no opportunity of making all possible reductions in future." The proceedings terminated with the customary votes of thanks to the Directors and the Chairman.