THE WAIHI GOLD MINE.

Wairarapa Age, Volume XXXII, Issue 10168, 18 February 1911, Page 6

THE WAIHI GOLD MINE.

AN IMPORTANT RETORT

SHARES HAVE BEEN RULING

TOO HIGH

By Telegravh—Press Association. WELLINGTON, Last Night. '] The following cable iias been sent ; to London by Captain Richards, and 1 was publishsd in London on Fcbru- ! ary lGth: — "I have examined the mine, works : records, and plans of the Waihi-'Com-pany, and find 'that all the 'work which is being done compares favourably with good mining practice elsewhere. I confirm the necessity to reduce the output, as I am of opinion that the conditions in the mine, and not the capacity of the mines, must now control the output of ore. The reserves have always ' been small. This is quite unavoidable, owing to the large volume of water to he dealt with. It has not been possible to develop the ore reserves by means of diamond drill holes. Owing to 'the ore being too friable, they cannot produce satisfactory samples fiom diamond drill cones. lam convinced that you may rely upon the official estimated ore reserves. I am of opinion that on ithe ore reserves figures published annually, the price of shares has been, -during several years past, largely in excess of itheir actual value. The records of the mine show that .the amount of profitable ore in-. .creased 1 with the depth: of ..about one million tons between levels Nos. 6 and 7; but decreased between, levels Nos. 8 and 9, where the approximate total will be about 500,000 tons. The ore diminishes in value with the depth more slowly and less than in most other big mines. It does not show any sudden change of rate. Geo" logical data is very plentiful.at 'the mine, and will be very useful for general guidance of exploitation; but there is not yet sufficient for the determination of future prospects, and value of the mine. Re- j cent developments in the lower levels' may indicate the approaching end of the ore body, at the depth; | but' it may be only- an impoverished zone in "the coming-in. Also, it may point to a zone of poor ore occurring between the hydrogentic and 1 pneumatogenitic ore. I would prefer to adopt the last two as working hypothesis in developing the lower levels. I cannot give any opinion definitely as' to. 'the prospects, of No. 10 level without more information than is available. I consider exten-' sire explorations are necessary over .the undeveloped area of the Waihi Company. I quite agree.-with the proposed direction of the prospecting drives already started. My full report will be sent'-to London by the mail leaving Australia in "a bout twenty days." **