A PROPOSED NEW UNDERTAKING.

Nelson Evening Mail, Volume XIV, Issue 60, 11 March 1879, Page 2

A PROPOSED NEW UNDERTAKING.

(Wellington (j'hrotticle). Sothe little time ago st deputation fro«l NelSoft waited tipoU the Hon. Mr Macandrew y the Mftlistet for Public Works, abottt some local matters. Incidentally, tef erence was made to the iron deposits at Para Fai'rt, five mile* fron'V Collfngwo'od. Mr Macandrew thei) explained to tite deputation that a Mr Talbot, of London, had been in communication with the Agent-General, asking infornlalfcnV as to tlio Coal, nud iron deposits of New* Zealand, his object belnjj to form a couipaily with a capital of £250,000 to work them. Mr Macandrew added that the fullest information on the subject bad been forwarded to Mr .Talbot, and expressed a belief that the projected company would probably be formed in London. As we take ftitfeb interest in any proposal for developing the latent feso-tees pf the Colony, we have made careful inquiry into the matter, and are now in a position to explain what the objects of Mr Talbot are, somewhat in detail. On the iOth October, 1878, Mr Talbot, who is a gentleinaU well acquainted with the subject of iron production, vtrote to Sir Julius Yogel enclosing a series of queries, and atatiug that if the answers were satisfactory be proposed to form a Company to establish ifo_ smelting works on a very large scale. Mr Talbot remarks i— {l Should Coal and iron ore be obtained dt a fearjqnarble rate, and of good commercial value, the i\<to principal mat erial s forming the ground work of the projiect will thus be ready for use. All tbat the colony may require for its future railways, aud otber works using iron, whether cast or wrought, would thus be supplied within tbe colony. The establishment of such works as are nowproposed, by which the iron ore can be manufactured directly, through the actual processes into finished iroil of various Classes, as well as castings of different kinds, both for use in the colony, and for export, cannot fall to be highly beneficial to the colony, and contribute iv no small degree to its future prosperity. The fact of both iron and coal existing in the colony, gives it an immense advantage, and enables it to approach nearer to England thah most other of her settlements in this respect, thus supplying similar elements of success lo the Mother Country. By united action, I have no doubt, that an influential company on the Limited Liability principle can be established for the Coloay If a capital can be subscribed in the Colonyand at Home of £250,000, an ample sum would then be provided to carry on all operations for the raising of the ore and coal for tbe manufactured article, ready for any market that may be available." Mr Talbot then propounds a list of thirtyone queries, seeking the most minute information as to the nature and extent of the coal and iron deposits in New Zealand, and the conditions under wbich they can be worked. The replies sent by the Government are such as must convince Mr Talbot that the field of operations is a large and lucrative one, and that the proposed Company would prove a splendid and profitable undertaking. Mr Talbot has been informed that at Para Para, in the Nelson Province, there are extensive deposits of red hematite iron ore in solid masses, exposed ou the surface ; that coal exists at Collingwood, near the iron deposits ; and that coal of a better quality can be brought from the Buller, if necessary. He has also been fully informed as to the various coal deposits known to exist in the colony, and all other necessary information supplied to him. It seems not improbable that the project will take the following shape. The principal coal and iron deposits are at preseut leased by tbe Government to various Companies. If a large company were formed, most of the existing companies, owing to want of capital, would probably be willing to become merged into the big undertaking, receiving for their properties shares in the new concern. This, of course, would mean local capital being put into the undertaking. Probably out of the £250,000 of capital required, the absorbed companies would, in effect, find £75,000 to £100,000. The project is a most important one, and we trust ere long to learn tbat practical steps are being adopted to carry it into effect.