FROM GOLDEN SANDS

NZ Truth, Issue 1198, 15 November 1928, Page 2

FROM GOLDEN SANDS

Qkarito File Mite Beach Gold Dredging Company, Limited

(By "Fiat Ltix"). "fiat ftas:" beilaves that all gold winning ventures are highly spedttiatiVfy but sonic possess prospects of higher rewards than others. - ; ' tti tnis Critic's opinion the Okarito Fiv« Mile Beach 061 d Dredging 1 dSiripany, Limited, is the most attractive condeTit 6f its kind wifteli iists been placed on the market for Itt.&As moons. EVEN §6; it : does not necessarily follow tiiiit siiccess will crown the

macihihery inspodt§d, ddmplete plstn^ of which are now iii your" office, is fro'rh £2 §oo to £3000," .

effcJftS Of this cdficern to win payafele gaid from: the hiS-tdt-'ie 6lkini Whl&h Hils been secured. Tile promoting concern, however, hag ! §lifflt'B. idt ef rrioniy m pfoving ■. the richness, of the; gfotffid, fifSt-ly by puttiiig doWri, §6rde 33 ' tesi bores and fef fe>a£-ing considerable quantities of maiterial by iheahs of a Ky^fa'ulic efevatiiifif piSfif._ , Ifi fiaditioh to the tesiiiig work the fletaited f§suit§ of which atr6 . gfiy§n m the i. prospectus/ the profiiGfiing." 6fgahizatib'n the rridSt niiriute partieliiaiiS d£ its pf oposefl pia'nsf 6fAw"§rk tagether With costs &nd ggtifiyated' re'tu'rnS.

, WhMie the; ultimate teßhjtS.M wdfkihg must remain m the lap of the gods the promoting organization appears to Have-, taken every dotteeivaeie $&>= caution diid care to' ensure the 3udees9ful 66n§umniatieti M it§ pHhS.

IH these 6\t6Gfh§tanbss,< . . "PiW Lux" Has n<s Hesitation VvhSteVef

strongly recommending this

gamble as one which offers every

prospect of being carried through td a Successful financial issueV TliS plains 6T:tHd hW gtffieerii i»oltidS the purchase ii-em tfie ddd ©eveieijnient Corporation, Limited^ 6f the special ' mining .claim of 15$ acres comnitrfiiy known as. the Five Mile Sfiieli situated at Okarito, South W§sdartd, together with a T,ya,tei\-race licence giving the right to six heads of water, from Lake Alpine and a 1 set of bucket-dredging machinery, complete With gravei iiUftip arid wifl6Hes'.- ■• , Iri pacing, it _^h~6uld be 1 hi^n'ti©ifted thai tii§r@dld De^eiOpffiiefifc CfoYpbr'ati'6n, Limited, acquired tfiis Special <3laim soime ~t-wd fesLrk ago Witty tße ebject 0f fftordiigiiiy testing th§ gr'6iind and, if the -results proved satisfactory, of piacifigt ihg ymtiire on the mark'ei to rai'sg -sufflcletit ffl6h€y .to' p'ur Giia.se the moderti ma"chin= cry ddfiSideted. es= seiitiai for ecdnbiftr icai Working. T'hd "^rctViiig" Worit- w.Ricn haS jtfe'Sn c'dfrleQ out has olrviously ; Beeifi done with the greatest care Sfid th§ re-fiords" «6w §iißffiit£ed ifi iii^pef t- ;ef tHe scHenie are wonderfully, complete., They' sfiduld 6&n&iply M&tiSty -any f easoTiafele person that t-h'e vender comiJan^ has done Sve'rytHifig. $6mlW to' p'i-'6ve\liie H yalti§ dt tti€ &ttltei t Befdr'e asking thd speculating public tb pr6 v - Vide the 1 iriferriey required for the up-to-date; plant ngeesiafy l<s WflfK.fße The sp;e6ial, Giaini. td .b 6 acauired Jby the cfprnjiariy includes almost ffje wjjpie di that farrioHis &rea ; fenov/ri a§ tK6 .Five Mile Beach {it Ditotrito, dnei of" fiie* richest- gaidfiel'ds discoyef ed ih N^w Zealand.' ' • . "*

Enormous yields of gqjfd KaVe beferi obtained then* By tKe f«6^t pi'rjrfii tjy.e methods from »|ayers 6f bidak sarid Wif-hih few fetft of thS surfacei*

It is the int§fiti6ri df . tft§ cofiitfariy £-6'wqrfc thb .tvftde 6f" this £f 6(f rid By ine'afts of a dredge driven eritirely by wateY p'oiver cdriyeyed trdfti Lake Alpine, Situated abtiiit 2^ mila| frOffi the . clairfi at afi Sle'v&tloii ' .of 334 UHt above; level. . . ■ , -..• -v A, dome only a few fe%t high coltia be erected" across the" Very iiafrbw oiitr 16t of the iak© arid this, it is Stated; ivould erisiifS sf tiring* Silni^eiit Ivettef to qperate' , th'e : dredgei edntiniidusly. TKe application of • Water JJ^wef tti goid^-dredging pfoyidfS a tfewer". Wriicn is. Supef.l6r.in iiiEtny wa.y§ t6 any' 6tli^f knoWn i hiean's. . „ . „ ; ".. 6.ri ae'fcii'unf 6f its eheapnegS tofetßer with, its., simplicity" pf t aCp'plidaticffi; gfoundy wh'icli would otHeKv'isg. 6S uifl- ;- prbfitable, Gift-fey this in&ans be'^orfced at a pr,"6n't. • . . ''.:■■-."■ ... Although tfie" Ivater>ii(s6ria#,iS fdf Six heads, it is '. exjiedf^di iMt a. 12-jfi^H pipe -witi pfovidd gli'gtitly USi tHan three iieacis wlilch ! /. it is anticipated \vill provide ample p;<ftvef . ftir Svery purpose 6h t-HS dredge'- . ■ The! I/aXe Algifle supply will t-n<3ref dire' e"riSvire' thi§ veTy inipoftant pbihtv -; . .^^W- ,i Turning to the pes^fit cdtriptariy'^ fliiandial plaiis; it-S ndwrnal capitatl is £J6,060 divided into 1^,006. 5/.-; sliareS di which 10206 Me dtieHd id ih§ pxißlijS, the rerftSLifiirig 18/000 Weing issued to 1 the pf6iii6ting cditttiafiy m ©art payment of -its purchase pricey 'i*H§ t.ernis of is^ue 6ri tH6 , share's ndw offered f6r pußlio' ,atlß^brlfett6ri' are: 1/- on application, 6d.-on allotffi,ent, and f&6 balancS ifi 6|llS ■ df 6d: f>er shiire payable . at irite'rv.als 6i fiot less tliah one month. : these terms are vSr? Jiff .&$& should" enable many. ip9dUiitti^o' ' minded people l td.fafcfi U$ a |(«f*parcel of 50d shstf'Ss faT f?J6rg v*?*Houf the necessity til • . gsfi(fi§ aft d^rdraft or visiting "i/ncfg/' ■#Hat is more, if- ifte cdfice'rn MSfhjt proper . (which this write*' J&nrrtil£ cdrivlnced it vfiti) thefri iHS indivi|a|l shareholder 1 !^ f6ifi# ffil ; Ifl«!6 : . fao|H arid will have had a veYy f 6'6d ittti f6r His money. • -• .> „ . fi „■ „-..■ •NbSv, a few wofd^ 60yerift£ th§. cQfii ti-aet with th'f Vend6r company WHi6h dovefs the acduisitio'n., bt tHe' ei&ifn; ttis filter rights afid t-K6 dre%iS^ to be paid ibi'mai.isM is £7500, of which surW £3000 ?,§ tfffeS paid m cash arid the fealaflc§ ifi fttlly iiaid-up shares. -. : , Although the prospecttis'. dd§§ ridi say so, it can be. inferred that Hie £•3606 cash is for the pui-chats^ 6f tm dredging machinery which pre'su'm'aW the vendor company holSs liftttir dJJtidn only. if this is correct, it flieSrf§ that t-jie veridbi- compadiy is fg=lfive'stifi^ m ths ii6w and operating cdmpSLny the v w"lie?e( of the cash WhioH was found By its members for the' miifig . afid pr6viM ■ of th'e ground arid 6't-Hgr" MVSid§mMM work-. ■ Regarding the 1 fflattff 64 tR§ v'Siu'Siidh of the plJlfit- t6 tie aeWiir'M,. tfe§ eifgificer states": "the" viilu§ Hi iH§

Testing Ground

SbmeMMory

l y h6 prosp'ectu'§ gives detailed estimales of the cost- of piifcKitse and erection of jjfidht right tip to the point o£ Sommeiiciiig wWMngf a"ttd y allotFifig £950. f0r contingencies, the total is £15,000. '■'■■. 'inhere has to be added to this £500 repf gggfltifig f|i§ 66St 6t flOtaflSfl 6t th& cpnipahy'/ £1275 for brokerage, and £S6tif6 pdytii&nt to tiie veTidor company tMfl iherS vfift fe§ Js£t £5725 oi W6rkihp 6^;pit4t p"rGviding t-Ke issue i 3 f-uiiy stibseHbed.- °

Td thiS tftiier, the rita^in of wd^kJHfii tfipitfil seems Vfry srtisill indeed 1 arid He v^ould have preYerfed id NaVe fee'eft tvVice the SfridOht dt least available for this purpose.

ggiinia^g d£ jzMpSiiiitxim fifiVe a habit of so often being exceeded, {Rf6ugh, urtfb'r'€S(§§h circurri^ta-flces, ifiai it is wisett.MVe ft.big rri&fgih of Safet-y ; at the 1 c'6rrirnericditiefi£ than to figve" 16 appeal for inofg Capital before the pro&ii'dm Stage i§ reached,

Tmg..4iidstiqtt has fevicteritiy received t-fte earefuT attention of the '-promoters §ifi(j<s tiiS ffiifliiiitim . SObgcf iptipii htig be'feh fixed at SO.OOO sfijires, which 'Js ecjMi ' to a contributing capital of £26,tf(J(J, fliioii whfeh guffi fhg iifetti etefs evidently believe siiGGess could Be achieved.

Perhaps it eoiild, Wif eertaihiy tio't upoft th' 3, scfflle goSsibie ■ if the ftilj plant Jg gut m at" the eefniaeflcsffigiit of ppe?ati<ms. , ■ it will f>e of interest to preseht-ddy lJotenti&l ihye§tprd to tetifii why the Five -Mile BeitcH, WSiidfi Wits, .so 1 much m (He lirrieiight as a. gold prddiiiffer Sixty' yfeafs a^6, shovfid m the first plaes Bave' fcee~ri dfoahdohfe'd as "ei^anf(l piii" at thai tinie,- arid seGohfily, why if it was not then '''ci&ihed out" s6 iriuch delay should Have t&keh place i-i setting modern macHinery to w6vk on_thp claim. To understand the!

, . position it has to be realised tftU Where the claim is twd. iriiiefe idng it is" only slightly" ov§r a qufl-f t<§f ,o~£ a rfiiie Wide, beiflf bounded oft the west ,by ttie oce'iin and on the e'asi by a- Jagoon 6f sWaih'p which runs back sdffie' {RfeSe^ quarters' 6i & mile* do the' iStitMifi. . '-?He* ,Sr6uiid ceteprisiflf the diaim is 6"fi t|ie avet*age only a few feet abOV:6 higfli tide level and with the CFude ajiltfiiifiges' aVfiiiaMe td ffliri§rs m ti?g sixties if wtfs; ii6i Possitiid tb wdfK m^ipli. below the' \yat§f- level, Which a reV fe6£ of exc'dvatihg feacKed. iK6§i days w6?ked "theii*--6laims from ground level down id ft^maneht Wfiter level and then firtdved <m to other "rushes." .. In thi§.66ffnecti6n Extracts ff.6m,the Mining' Waftiefl's Report iilipri "sli§ HiigH to"" &Mrito" a.s feiported iii th§ N§w Mines Record; i§ W§li w"6¥t-h r^ciaffljfi "Siid&dfiiy ihgrg daffle tfie' bopfti . frprfi Otarito: . : . .- awfly s^4rnL>ered tfc'6' rush". Vast mfi-§s6S cff gdld we'i;e\ w6ri . from that most fa'molfs 1 of . the; fields of that : gl6riouS tirfte-" . "Geld fiiledi tip the escbrts beyond the dVefiftts: cTf the ihdSt fMtfl#r^braifi- : 6d c?£ tfees . seelieFS;, Iti trie' first mpniil pf OKar'ito these Jiioky men had picked tip g:6ld to.tiie valu(§. of, £.200 > 000.- '|Hat yi-a§ the , record , yield,, but there wore othcJrs hSaLrly. &'a g&b&t, Ifi scrme . ihf staflces HisH . WQre" r e'eprds-^authentiG efiOtigh— of". tL rrpund* -(yeii'ht of '$6ld Mt dily pisf man. l^he field pfoelaimed its through' : ; -th.6 .eadorts .Sfld through the' steamers wh!6h carried aw|y the' mten fiafvesf/' •/jPMt,wag MW., they., did tßj^|gs a i ifl tni^se . days— miners wanted. ; big rer= and tliey .wanted thphi iitiicklyi Iti i9lf, hpwevet:, it- efiiiipkhjr WS& Wejiifigtofl artd a dfM&e spedialiy designed to wcirK the eiaifid ; . '.. .. •■ ' , was built jit GreyiriOiith. : On account of.thedifflciilty df tfferisp"6fting heavy ifla-

chihe'ry over Hind to the , Glslim ii ttfa'S diSfii&ed to -t6w the . pontoons to the cjaiirt with the maphinei-y aboard,, arid the ; tow- was undertaken, by the Gov-~ e'rnrti9nt.ship.Siß.;Hin^irioa. .-,. . ... . Tpe tow . proved to be one; disaster 4ft<if Mbthst aM fiMiiy evgfytKiiif Was, Mt tHf.6tii:li . the.- He&vity -Iddeln jppntqphs developihk leaks ahd sirikiiif at sia. . -.'•-.'.

■; Ih v .1922 .. the! ■^mfigtori tibiripany's license wa§ . forfeited and a ,nej# blip issued £o a syndicate which attempted, fctit. UflgUedegSfany,- to WOfkthe eiafiii with a &rayel p'tjipp operated by a sixhoi'se powex ; steam engine. . '■ ¥higr iicense expired m 1926 when tileVtifeim wast applied for by a repreMiliiifitiV&i.fSt the present vendor corajpfafiy, ; Wni6h proceeded to exhauijtiyely iSating fFdUnd' and to complete plans tßr me siificlessful financing; arid working Si ifi§ Iftfund. ..,-■.. { . TH« ie-fiiilfg obtained from, many of tfcg ■-feereS Uaye A been che6ked and $?&<?§s .-MfpSUitß from open.workLngs, cLna ■ ayeragrfig? • the results the ground sHeaia.bS .^rtffiß;. it is estimated, lid.

.Wfth fne dredge as planned this at&M^> result- m winning at least 6f gold per year and after, SfltfWrftg 1 for working expenses Snduid show.- speculators at least 33 per 6ent. dividend per annum as W6l(-ii£, allowing for redemption of 6Spmi Sver a period of 12 years.

TSS;.ii i66ks a really g-ood gamble Md && -Hit: i&aresf,are to tie. listed on in§ Sto'dfe BMMfife they will have a