TARANAKI BEACH IRONSAND

Taranaki Daily News, Volume LII, Issue 146, 17 July 1909, Page 6

TARANAKI BEACH IRONSAND

THE QUESTION OF WORKING IT. REPRESENTATIONS OF A CHRISTCHUUiCU COMPANY. The Harbor Board yesterday discussed a letter from Mr. J. W. Poyntou, the Public Trustee, regarding the leases of the foreshore granted to the late Sir A. .1. Caiman some years ago. The letter was as follows':—"I regret having to again ask your Board for an extension for six months of the time during which smelting works to the value of £2OOO shall he put on the leaseholds. A Christichurch syndicate has taken an option over all the Cadman properties. It is registered with a capital of £40,000. The intention is to raise a very large capital in England and America, also as large a portion as New Zealand may care to subscribe. The company is about to send a man at c:ice to America and Europe for this purpose, and no stone will be left unturned or expense spared to make it a success."

Sir. Joseph Smythe and Sir. D. Berry, I representing the" Pnrapara Iron Syndicate, waited on the Board and explained that a company had been formed recently in Christchurch and registered on •ilst June last, for the development of the Parapara and Taranaki iron ore and ironsand deposits. The company was sending a man to London and to America to raise capital necessary to prosecute the works. A great deal ofcapital was required. He himself had been in a syndicate in this connection before, but" that syndicate had been hampered by negotiations with Sir. Witheford. That gentleman was' out of it now. In asking for six months' extension he should explain that the syndicate did not think the six months would be sufficient to raise the capital, but they thought that by that time they hoped to he aible to make such a report as to justify the Board in making a further extension. The company had two years' options over these Tara-

naki properties, 1500 acres' of val •' '' ! coal-hearing and other areas at W\ • para, and intended ito go into the tk , properly. An enormous capital would be required in order to enable iron to be produced at such a price as to make export possible, for New Zealand, of course, could not consume the output. They had already been assured that there was a good market for pig-iron in Japaa and in San Francisco. They had ascertained from Scott, Anderson and Co., in Sheffield, that this Taranaki I ironsand could bo converted into a very high-grade steel; in faict, lie gave a very good report on it. Mr. Maxwell assured Mr: Smythc that the Board was vitally interested in the project, the success of which would mean so much to Taranaki and to the Board, lie suggested that any extension beyond six months might be made contingent upon a certain amount of work boinr* done, or capital subscribed. , Mr. King said that whilst the Board would, of course, not hamper the enterprise it could not alYovd io be louse in making any arrangements'. They could :»ot nll'ord to tie up these ironsand deposits for more than six months, for «t any time a fresh company might come along, prepared to pay £IO,OOO for the right;; which the Board was now granting to these people from time to time. Mr. Smvthe said that they were endeavoring to get over a million of money, for a million would soon go nowhere in such extensive operations. Upon the motion of Messrs Connett and King, it was' decided to accede to the request, upon the usual terms.