STATE COAL-MINES (REPORT ON THE WORKING OF) FOR THE YEAR ENDED 31st MARCH, 1938.

Appendix to the Journals of the House of Representatives, 1938 Session I, C-02a

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1938. NEW ZEALAND.

STATE COAL-MINES (REPORT ON THE WORKING OF) FOR THE YEAR ENDED 31st MARCH, 1938.

Prepared in accordance with the requirements of Section 184 of the Coal-mines Act, 1925.

The Superintendent, State Coal-mines, Greymouth, to the Under-Secretary, Mines Department, Wellington. Sir, — 29th June, 1938. I have the honour to submit my annual report on the working of the State coal-mines for the year ended 31st March, 1938. Liverpool Colliery. Coal-winning. —The gross total output for the year was 137,806 tons 11 cwt., an increase of 4,840 tons 8 cwt. when compared with the figures of the previous year. After making allowances for stocks on hand at the beginning of the year and deducting mine consumption and waste, there remained for disposal 133,070 tons 5 cwt. 3 qr., which is accounted for as follows: —

The gross total output from the colliery since its inception amounts to 3,005,250 tons 6 cwt. Days worked. —During the year the colliery worked on 200 days 3 hours, an increase of 6 days 3 hours when compared with the previous period. The possible working-days, excluding Saturdays and union holidays, were 249. The difference between the days worked and the possible workingdays is accounted for as follows : Lack of trade, 29 days ; stoppage on account of fire, 5 days 5 hours ; slip on railway, 4 days ; stoppage re slack time, 4 days ; stoppage re horses and grease, 2 days ; stoppage re lamps, 2 days ; breakdown at bins, 1 day ; returned home on account of heavy rain, 1 day : a total of 48 days 5 hours. Employees. —In connection with coal-winning the average number of persons employed in and about the mine was 310, made up as follows —Underground : Coal-hewers, 94, deputies, shiftmen, and truckers, 135 ; youths, 2. On the surface —61 men and 18 youths.

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Screened. Unscreened. Small. Total. Tons cwt. qr. Tons cwt. qr. j Tons cwt. qr. Tons cwt. qr. Shipped .. .. 2,241 6 1 13,539 2 3 | 43,423 3 1 59,203 12 1 Railed Canterbury .. 30,012 1 0 7,234 16 3 20,504 10 0 57,751 13 3 Local sales .. .. 5,639 0 2 2,600 8 2 3,997 0 1 12,236 9 1 Mine sales .. .. .. 37 0 0 .. 37 0 0 Sales to workmen and free . . 1,843 4 0 .. 1,843 4 0 issues Stock in bin and yard .. 117 0 0 600 0 0 851 7 3 1,568 7 3 Stock on wharf .. .. .. 155 14 0 274 4 3 429 18 3 38,009 7 3 26,010 6 0 | 69,050 12 0 , 1-33,070 5 3 Used on works .. .. .. i 4,616 0 0 .. 4,616 0 0 Waste .. .. .. .. ! 1,046 11 0 .. : 1,046 11 0 1 38,009 7 3 j 31,672 17 0 69,050 12 0 138,732 16 3 I I I

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Expenditure.-—The total expenditure in connection with coal-winning for wages, stores, mine timber, and compensation, together with subsidies 011 railway tickets and cost of fuel used on works, amounted to £108,208 2s. 2d., as compared with £94,950 7s. 7d. for the previous year. Coal-hewers' Average Daily Earnings. -— The coal-hewers' average daily earnings (gross) were £1 19s. 2d., and after deducting stores (explosives) their net return was £1 16s. 3d., an increase of 2s. sd. per day when compared with the figures of last year. Daily Output.—The average daily mine output was 687 tons 15 cwt., and the coal-hewers' average daily output was 7 tons 17 cwt., as compared with 685 tons 8 cwt. and 8 tons 2 cwt. respectively for the previous year. Deficiencies. —The total amount paid under the minimum-wage clause was £122 7s. 2d. Accidents.—ln addition to numerous accidents of a minor nature, the following serious accidents occurred : On 29th April, 1937, a miner whilst engaged at the working-face received a fractured skull. A good recovery was made. In addition, two others received fractures to their legs caused by runaway trucks. The total payment made under the provisions of the Workers' Compensation Act amounted to £5,003 17s. 7d. On the output produced, this works out to a cost of 8-71 d. per ton. Underground Workings.—The bulk of the output during the year was obtained from pillar extraction. Development-work was carried out as follows : — The Kimbell West Dip was driven approximately 8 chains to where it showed signs of approaching the main fault-line. The seam flattened for a distance of I chain, and then rose sharply. Gas was met with near the fault, and it was decided to complete a return airway before proceeding farther to the rise. The coal in this dip is of good quality, and is approximately 16 ft. in thickness. A small 2 in. pump deals with the water. Three pairs of miners are employed. No. 2 Anderson Dip was extended a distance of 7 chains in coal of good quality, 12 ft. in thickness. The general direction of the dip is now towards a fault estimated to be 10 chains in advance of the present workings. The seam is of a gaseous nature, and roof conditions are adverse. In place of the ordinary wooden bars, steel rails were successfully used to maintain the roadways. Alterations to ventilation in this section were carried out during the year. No. 3 Bank Morgan Seam : Development to the rise is almost completed, and preparations have been made for pillar-extraction. A roadway was driven from the top of the No. 3 Bank Morgan West to develop an area of coal which had been left behind previously. The inclination of the seam is approximately 45°. Anderson Dip, East and West Levels : The Bast Level, after being driven a distance of 14 chains, encountered a fault. The coal appears to be upthrown, and prospecting operations are being carried on. In the West Level the coal seam has split a distance of 12 ft. from the Main Dip. Development-work was thereupon stopped as the coal was too dirty for marketing. On 3rd September, 1937, a fire occurred in the No. 2 Bank Kimbell West. The whole of the section was sealed down, but will be reopened later. Four concrete stoppings were necessary to completely seal off the area. No trouble was experienced with the work of erecting the stoppings. Kimbell East Fire Area : The wooden stoppings surrounding this section are being replaced with permanent concrete stoppings. Nine stoppings have been completed, leaving four to be completed when the roadways are driven to enable the material to be taken to the locality. Sealing off Old Workings. —In the Anderson Dip an area of pillars had been sealed off with wooden stoppings. These have been replaced with seven concrete stoppings. Morgan Seam. —Fourteen wooden stoppings have been erected as a fire precaution between the East and West Banks. A similar number are to be built to the east of No. 1 Bank Morgan East. The Morgan Seam will then be divided into three distinct districts. Morgan East, Nos. 5 and 6 Banks.—Five concrete stoppings have been erected in this area to seal off old workings which had been giving off C0 2 . Summary of concrete stoppings built during the year is as follows : Nos. 5 and 6 Morgan East, 5 ; Anderson Dip, 7 ; No. 2 Kimbell West, 4 ; No. 3 Kimbell East, 10; Main Return Kimbell East, 2 : a total of 28 stoppings. Wooden Stoppings, Renewals, &c. —Anderson Dip, 22 ; Morgan Seam, 16 : a total of 38 stoppings. Repairs.—Steel girders are being used in place of timber in the main tunnels, with satisfactory results. Future Developments.—lt is proposed to extend the dip workings in the Kimbell East Seam. Preparations are being made to extend development-work to the dip in the Morgan Seam. The necessary plant, &c., for this work has been placed on order. Stone-dusting.—Work under this heading has been continued, and the total number of samples analysed from the various zones was 485. In addition, 68 samples from co-operative mines were analysed. Plant and Machinery.—The whole of the plant, machinery, and buildings has been maintained in good order. Slight alterations were made to the coal-bins to enable a greater amount of slack to be stored.

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Viaduct.—The subsidence mentioned in the last annual report still continues, and it has been found necessary to constantly reline the viaduct throughout the year. Plans have now been made to strengthen the viaduct by suspending it from ropes, so that in the event of any of the towers being carried away no serious damage will result. James Colliery. Coal-winning.—The gross total output for the year was 42,608 tons 7 cwt., an increase of 1,918 tons 1 cwt. when compared with the figures of last year. After making allowances for stocks on hand at the beginning of the year and deducting mine, consumption and waste, there remained for disposal 42,637 tons 16 cwt. 2 qr., which is accounted for as follows : —

The gross total output from this colliery since its inception amounts to 532,178 tons 14 cwt. Days worked. —The mine during the year worked on 240 days, an increase of 17\ days when compared with the previous year. The possible working-days, excluding Saturdays and union holidays, were 249. The difference between the days worked and the possible working-days is accounted for as follows : Alterations to rope-road, 4 ; lack of trade, 3 ; stoppage re deficiencies, 2 : a total of 9 days. Employees. —During the period there were 91 persons on an average employed in and about the mine made up as follows —Underground : Coal-hewers, 29 ; Deputies, shiftmen, and truckers, 39 ; youths, 2. On the surface —17 men and 4 youths. Expenditure.—The total expenditure in connection with coal-winning for wages, stores, mine timber, and compensation, together with subsidies on bus fares, cost of electric power, and coal used on works amounted to £31,132 7s. 5d., as compared with £28,103 7s. Bd., for the previous year. Coal-hewers' Average Daily Earnings.—The coal-hewers' average daily earnings (gross) were £1 14s. lid., and after deducting stores (explosives) their net return was £1 7s. lid., an increase of Bd. per day when compared with the previous year. Daily Output. —The average daily output was 177 tons 10 cwt., and the coal-hewers' average daily output was 6 tons 10 cwt., as compared with 182 tons 18 cwt. and 7 tons 2 cwt. respectively for. the previous year. Deficiencies. —The total amount paid under the minimum-wage clause during the year was £176. Accidents. —During the year there were a number of minor accidents, but none of a serious nature. The total payments made under the Workers' Compensation Act amounted to £1,043 4s. sd. On the output produced, this works out to a cost of 5-87 d. per ton. Stone-dusting. —Work under this heading has been carried out. The number of samples taken from the mine and analysed was 135. Plant and Machinery. —The plant and machinery in and about the mine have been maintained n good order and condition. A new fan was installed at Cannell Creek in order to jimprove the ventilation in the Cross-cut Dip. Underground Workings.—Coal-winning operations during the year were carried on in both pillar and solid workings. The coal in the sections lying to the west of the main rope road became thin and unworkable. Pillar-extraction was commenced. In the Cannell Creek Section, the fault having been encountered, pillar-extraction was commenced. The seam was again picked up in the No. 3 tunnel after driving a distance of 13 chains. The coal was 7 ft. in thickness and of a hard nature. In the New Dip Section the main heading was extended for a distance of 5 chains in a north-easterly direction, parallel with the No. 3 tunnel. The coal-seam continued to average 7 ft. in thickness and was of a hard nature. In the South Level Section all available pillar coal having been extracted, the section was closed down. Jambs Mine Extended. All plans have been completed for the work of developing the new colliery. It is proposed to dispense with the old screens, and erect an up-to-date screening-plant and storage bunker. The storage bin and screening-plant will be of steel throughout.

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I Screened. d j Small. Slack. Total. Tons cwt. qr. Tons cwt. qr. Tons cwt. qr. Tons cwt. qr. Tons cwt. qr. Shipped .. .. 10,022 17 1 2,138 17 2 .. 9,863 6 0 22,025 0 3 Railed Canterbury .. 10,536 7 0 1,772 0 2 1,968 1 3 111 7 3 14,387 17 0 Local sales .. .. 241 14 0 147 9 3 .. 16 4 0 405 7 3 Mine sales .. .. 400 200 .. .. 600 Sold to workmen and .. 624 11 3 .. .. 624 11 3 free issues Stock in bin and yard 118 0 0 66 0 0 .. 237 0 0 421 0 0 Stock on wharf .. 61 17 0 14 5 0 .. 38 17 0 114 19 0 Stock on dump .. .. .. .. 4,653 0 1 4,653 0 1 20,984 15 1 4,765 4 2 1,968 1 3 14,919 15 0 42,637 16 2 Used on works .. .. 363 0 0 .. .. 363 0 0 Waste .. .. .. 1,146 7 0 .. .. 1,146 7 0 20,984 15 1 6,274 11 2 1,968 1 3 14,919 15 0 44,147 3 2

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The details of the screening-plant are as follows : — The Tippler is 6 ft. 6 in. in diameter, two-speed type, is designed to prevent the spilling of coal, and is fully automatic in action. The coal will be discharged on to an inclined, reciprocating, balanced screen 5 ft. wide and 55 ft. long, which will screen to +l|in. and also from —1| in. to +§ in. The coal over 1| in. in size passes over the screen, and is delivered on to a 3 ft. wide flat rubber loading and picking band. The material through the § in. mesh is delivered by a fixed chute on to a balanced, horizontal, highspeed screen which screens out material less than \ in. The —§ in. to + j in. material passes over this screen, and is delivered on to a 2 ft. 6 in. loading-band, and all the —J in. mesh is delivered to a hopper to be loaded into wagons. By means of doors in the screens, and fixed chutes, it will be possible to make the following sizes and mixtures : +1| in. ; —1J in. to +§ in. ;—f in. to in. ; slack and also run-of-mine coal. Flat rubber bands are to be used for picking belts. Bach has a hinged lowering jib for loading the coal into the wagons without breakage. The contract for the supply of the whole of the plant has been let to English manufacturers. The plant is capable of screening 120 tons of coal per hour. Work of extending Rope Road from James Bins to Nine Mile. —From the bins a haulage road two and a half miles in length and rising steadily to the coal-seam some 400 ft. higher is being formed. The lower portion of that haulage road some 140 chains long has been used for some years to convey coal from the present James Colliery, but of that 140 chains some 12 chains has to be regraded by cutting into the stone roof above the James seam. Beyond the regrading, a new tunnel has to be driven 30 chains in length above the present James Mine haulage road, and to the outlet at Cannell Creek. From Cannell Creek to the Nine-mile Creek another tunnel 37 chains long is being driven. The haulage road then follows along the southern bank of the Nine-mile Creek for 32 chains and in a line with the stone drive about 27 chains long being driven to intersect the coal-seam. Up to 31st March, 1938, nearly 49 chains of driving had been completed, leaving 61 chains of further driving to be done. In place of ordinary rails laid on Sin. by 4in. timbers on the rope road it was found to be more economical to use 90 lb. rails, 6| in. in height, and the side of this road on which the full tubs run is laid throughout with these rails. Viaduct. —The steel viaduct near the new mine-entrance is 400 ft. long with a maximum height of 35 ft., and has been completed. Coal will be hauled along the rope road by means of an endless rope-road hauler, driven by a 75-horse-power totally-enclosed fan-cooled slip-ring motor, equipped with remote control. The whole of the plant complies with British Board of Trade specifications for electrical plant to be used in fiery mines. Mine Tubs. —Seven hundred (700) steel mine tubs, each of 15 cwt. capacity, are being constructed in the Railway Workshops, Addington. Compressor-house. —The compressor building has been completed and will house three compressors ; two capable of compressing 600 cubic feet of free air per minute, and one of 400 cubic feet capacity, all compressing air to 110 lb. per square inch. Two of the machines have already been installed. The 11,000/400 V. transformer is housed in a concrete cubicle alongside the compressor house. Bathhouse. —A reinforced-concrete bathhouse, 60 ft. by 40 ft., with walls 14 ft. in height, is being erected adjacent to the mine-mouth. Owing to the country thereabouts being more or less slip country, the bathhouse had to be built on concrete columns founded on rock approximately 26 ft. below the floor level. The bathhouse is designed to accommodate 100 men, and provision is made for an extension to accommodate a further 100 men. The drying arrangements are designed on the latest air-conditioning and heating method. The hot water to the heater unit is supplied by a boiler consisting of 55 Babcock Wilcox boiler tubes set in brickwork, and is heated by an automatic stoker equipped with a thermostatic control. The thermostat so controls the heater that there is no waste of fuel. During the period of a heavy draw off the stoker can be operated in No. 3 gear feeding 350 lb. of coal per hour till the water is raised to the correct temperature, and then changes into No. 1 gear feeding 100 lb. of coal per hour. The hot water is fed to a heating unit consisting of two hot-water-heating coils, each 36 in. by 24 in. by 7Jin., two-row, capable of raising 3,500 cubic feet of air per minute from 60° to 150° Fahrenheit. A pump, direct coupled to a |-horse-power electric motor, and capable of delivering 15 gallons of water per minute against a 5 ft. head, is attached to the return pipe of the heater unit, and is automatically controlled by a thermostat in the drying-room. The thermostat has a range of adjustment from 40° to 280° Fahrenheit, and can be set to control the air within a limit of 5° to 10° Fahrenheit. A 17* in. Sirocco fan driven by an electric motor is attached to the air-heating unit and forces the air through suitable ducts to the damp clothes. The ducts are so arranged that cold air can be drawn in from the outside of the bathhouse, or a damper can close off the outside air, and the fan then circulates and recirculates the air in the drying chamber and bathhouse. The hot air is exhausted from the drying-room under the doors leading to the central part of the bathhouse. Workshops. —A concrete workshop, comprising fitting, blacksmiths, carpenters, and electrical workshops, 79 ft. by 25 ft., has been constructed adjacent to the railway at Rapahoe, and the following plant has been installed, and is now in use : Power hacksaw ; screwing-machine ; electric drill ; electric-power hammer ; circular and band saws ; vertical bench drill; two electric grinders ; radial drilling, boring, tapping, and studding machine ; buffer planer ; screw-cutting lathe ; electric-welding and oxy-acetylene-welding plants. The whole of the above plant is driven by a 15-horse-power electric motor.

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Store. —A concrete store, 40 ft. by 22 ft., has been built adjacent to the workshop. Ventilation. —It is proposed to transfer the Sirocco fan at present in use at the James Mine to the Extended Mine. The return airway will be 15-75 chains in length, approximately 11 ft. in width and 7 ft. in height, and will be connected to the surface by means of a concrete-lined shaft 15 ft. in depth. Coal-cutting Machine. —Owing to the undulating nature of the coal-seam, full mechanization of the colliery is not considered practicable, but it is proposed to use coal-cutting machines. An order has been placed for one 15-horse-power coal-cutter, which is driven by compressed air and will either side-cut or hole to a depth of 6 ft. Electric Lamps. —As gas was met with in the driving of the tunnels, safety-cap lamps have been ordered for use in the colliery. It is expected that the coal-seam will be cut during September of the present year, and that the whole of the work, with the exception of the erection of the screening-plant, will be completed before March, 1939. Employees. —During the year there were 117 persons on an average employed in and about the mine (part time) made up as follows : Boring, 4 ; access road, 1 ; surveying, 2 ; construction of new buildings, 12 ; assembling plant, 6 men and 2 boys ; development-work, 87 ; miscellaneous labourers, 3. Accidents. —I regret to state that an unfortunate accident occurred on the 6th January, 1938, on the access road to the new colliery, whereby a workman received injuries which subsequently proved fatal. Expenditure. —Up to 31st March, 1937, the expenditure was £17,862 6s. sd. During the year the expenditure amounted to £60,493 2s. lid., bringing the total expenditure to date to £78,355 9s. 4d. General. —It is pleasing to report that the output and the days worked at both collieries, and the average daily earnings, show a decided increase when compared with the figures of last year. During the year various increases in rates of pay were granted. In conclusion, permit me to say that the officers of all branches have performed their duties in a most satisfactory manner, and I am also indebted to yourself and staff for your valuable assistance in matters concerning the mines. G. J.* Strongman, Superintendent.

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NEW ZEALAND STATE COAL-MINES. Colliery Sales Accounts for the Year ended 31st March, 1938.

Colliery Working Accounts for the Year ended 31st March, 1938.

Colliery Profit and Loss Accounts for the Year ended 31st March, 1938.

McDonald Colliery Profit and Loss Account for the Year ended 31st March, 1938. Dr. £ s. d. Or. £ s. d. Interest .. .. .. •• 1,923114 Rents .. . . .. .. .. 200 5 0 Depreciation .. .. •• •• 1,102 7 5 Royalties .. .. .. .. .. 4,523 0 8 Access road .. •. .. • ■ 56 14 8 3,082 13 5 Net profit—Transferred to General Profit and Loss Account .. .. •• 1,640 12 3 £4,723 5 8 £4,723 5 8

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Dr. Liverpool. James. Or. Liverpool. James. £ s. d. £ s. d. £ s. d. £ s. d. Railway haulage .. .. 11,399 2 11 3,171 16 4 Sales of coal f.o.r., f.o.b., and Wharfage .. .. .. 2,092 2 8 800 18 10 c.i.f. .. .. .. 165,751 12 10 46,538 1 8 Special rate .. .. 672 12 0 258 4 6 Marine freight .. .. 40,572 4 7 10,847 10 2 54,736 2 2 15,078 9 10 Working Account — Coal sales net f.o.r. .. .. .. 111,015 10 8 31,459 11 10 £165,751 12 10 £46,538 1 8 £165,751 12 10 £46,538 1 8

Dr. Liverpool. James. \ Cr. Liverpool. James. ■ - • I • £ s. d. £ s. d. £ s. d. £ s. d. Stocks on hand, 1st April, 1937 681 0 0 400 7 0 Sales Account — Sales of coal Coal-winning— f.o.r. .. .. .. 111,015 10 8 31,459 11 10 Wages .. .. .. 83,934 11 4 24,896 14 0 Sales of stores, &c. .. .. 6,655 8 2 Stores and materials .. 8,527 18 7 1,466 13 3 Stocks on hand at 31st March, Rail and bus fares .. .. 683 17 9 316 3 10 1938, at mine, wharf, and Stores sales (at cost) .. 5,891 3 6 .. afloat .. .. .. 3,200 6 2 833 18 0 Coal purchased .. .. 36 10 10 36 19 11 Electric power .. .. .. 551 11 6 99,755 2 0 27,668 9 6 Gross Profit — To Profit and Loss Account .. .. 21,116 3 0 4,625 0 4 £120,871 5 0 £32,293 9 10 £120,871 5 0 £32,293 9 10

Dr. Liverpool. James. Or. Liverpool. James. £ s. d. £ s. d. £ s. d. £ s. d. Salaries . .. .. 2,339 19 1 746 14 11 Gross profit at mine .. 21,116 3 0 4,625 0 4 Rents .. .. .. .. 59 7 8 Rents .. .. .. 437 4 10 Interest .. .. .. 2,797 8 7 327 14 4 Netloss —Transferred to General Travelling-expenses .. .. 51 2 6 12 15 7 Profit and Loss Account .. .. 1,119 17 10 Printing and stationery .. 216 12 1 54 3 0 Repairs and maintenance .. 5,223 13 2 1,662 9 5 Telegrams and postages .. 225 8 6 56 7 2 Insurance .. .. .. 4,121 3 7 1,208 9 5 Coal-miners'Relief Fund .. 284 18 4 77 14 11 General expenses .. .. 691 15 0 165 13 11 Audit fees .. .. .. 148 0 0 37 0 0 Superannuation Fund subsidy 47 9 2 11 17 5 Depreciation .. .. 4,634 3 7 1,167 17 3 Rescue-station levy .. .. 558 0 10 156 13 2 21,339 14 5 5,744 18 2 Net profit — Transferred to General Profit and Loss Account .. .. .. 213 13 5 £21,553 7 10 £5,744 18 2 £21,553 7 10 £5,744 18 2

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Depot Profit and Loss Accounts for the Year ended 31st March, 1938.

NEW ZEALAND STATE COAL-MINES— continued. Depot Trading Accounts for the Year ended 31st March, 1938.

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Dr. ! Wellington. Christchubch. Cr. Wellington. Christchukch. I £ s. d. £ s. d. £ s. d. £ s. d. Stocks on hand, 1st April, 1937 3,378 7 7 7,428 14 7 Sales of coal .. .. 131,359 17 3 59,349 13 0 Purchases of coal .. .. 121,570 2 8 37,117 4 9 Sales of coke, wood, &c. .. 5,995 18 6 2,636 12 9 Purchases of wood, coke, &c. .. 5,213 0 11 1,812 11 2 Stocks on hand at 31st March, Wharfage and freights .. 1,770 0 5 11 6 2 1938 — Haulage to depot .. .. 721 5 0 18,995 10 11 Coal .. .. .. 3,070 7 5 9,699 8 3 Wages —Discharging.. .. 171 11 4 449 12 8 Wood, coke, &c. .. .. 296 12 11 825 13 4 132,824 7 11 65,815 0 3 Gross profit — To Profit and Loss Account .. .. 7,898 8 2 6,696 7 1 £140,722 16 1 £72,511 7 4 £140,722 16 1 £72,511 7 4

I ~ " "" ~~ ~ i Dr. i Wellington. Christchurch. Wanganui. Cr. Wellington. Christchurch. i Wanganui. j ! . . - j — £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Wages —Yard .. .. .. 1,170 18 1 1,323 19 7 .. Trading accounts —Gross profit .. 7,898 8 2 6,696 7 1 Salaries .. .. ... .. 1,526 14 1 1,313 19 4 .. Rents .. .. .. .. .. .. 27 10 0 Rents .. .. . . .. 388 16 0 123 12 0 . . j Net loss —To General Profit and Loss Interest .. .. .. .. 252 2 0 103 7 11 .. Account .. .. .. .. •• 4 19 10 Travelling-expenses .. .. .. 11834 85 38 Repairs and maintenance .. .. 629 11 1 502 11 4 Postages and telegrams .. .. 86 2 2 72 11 5 Printing and stationery .. .. 79 8 3 102 17 9 Insurance .. . . .. .. 33 79 43 20 296 Cartage .. .. .. .. 2,177 5 11 2,060 11 5 Sacks .. .. .. . ■ 91 5 9 106 15 0 .. j General expenses .. .. .. 481 17 5 179 10 11 14 6 10 ! Audit fees .. . . .. .. 90 0 0 40 0 0 Superannuation Fund subsidy.. .. 1375 18150 Reserve for bad debts .. . . 28 17 1 43 18 10 Rates .. .. .. • • 86 10 2 Depreciation .. .. .. 350 10 11 144 10 11 15 13 6 7,604 17 5 6,265 7 1 Net profit —To General Profit and Loss Account .. .. .. .. 293 10 9 431 0 0 £7,898 8 2 £6,696 7 1 £32 9 10 £7,898 8 2 £6,696 7 1 £32 9 10

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NEW ZEALAND STATE COAL-MlNES—continued. General Profit and Loss Account for the Year ended March 31st, 1938. Dr. Or. Net loss— £ s. d. £ s. d. Net profit— £ s. d. £ s. d. James Colliery .. .. 1,119 17 10 Liverpool Colliery .. .. 213 13 5 Wanganui Depot .. .. 4 19 10 Mac Donald Colliery .. .. 1,640 12 3 1,124 17 8 Wellington Depot .. 293 10 9 Balance —Net profit for year carried down .. 13,168 1 3 Christchurch Depot .. .. 431 0 0 2,578 16 5 Net recoveries— Seddonville Colliery .. .. 78 6 4 Royalties .. .. .. 5,480 11 3 5,558 17 7 Net revenue from hire of plant, buildings, &c. .. 87 9 6 Interest on investments .. .. .. 6,067 15 5 £14,292 18 11 £14,292 18 11 £ s. d. £ s. d. Sinking Fund Account for redemption of loan Net profit for year .. .. .. .. 13,168 1 3 capital 9,523 17 11 Balance—Net surplus for year .. .. 3,644 3 4 £13,168 1 3 £13,168 1 3

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NEW ZEALAND STATE COAL-MINES— continued. Balance-sheet as at 31st March, 1938. Liabilities. A'sisets. Loan capital— £ s. d. £ s. d. Collieries. £s. d. £ s. d. Securities at 3J per cent. .. .. .. .. .. 416 13 4 Development and property accounts .. .. .. 143,665 18 3 Securities at 4 per cent. .. .. .. .. .. 68,826 13 4 Machinery, plant, ropes, and rolling-stock .. .. .. 41,194 3 4 69,243 6 8 Electrical plant (James Colliery) .. .. .. .. 2,626 15 2 Accrued interest on loan capital .. .. .. .. .. 362 0 10 Buildings at mines .. .. .. .. .. •• 9,572 14- 5 Cottages at mines .. .. .. .. .. 3,062 0 3 Departmental. Sundry. Plantations at mines .. .. .. .. .. 884 5 8 Sundry creditors— £ s. d. £ s. d. Coal stocks (bins, wharf, and afloat) .. .. .. .. 4,034 4 2 Liverpool Colliery .. .. 3,853 10 4 11,857 11 6 15,711 1 10 Stores oil hand .. .. .. .. .. .. 18,187 18 3 James Colliery .. .. .. 524 0 2 524 0 2 Wellington Depot .. .. 11 6 0 532 4 0 543 10 0 223,227 19 6 Christehurch Depot .. 4,030 1 1 345 6 9 4,375 7 10 Less provisionally written off .. .. ... .. 176 0 4 Wangknui Depot .. .. 1 13 4 4 16 8 6 10 0 223,051 19 2 New Mine .. .. .. 795 17 1 795 17 1 Plant, equipment, &c., on hire .. .. .. .. . - 316 11 1 Mac Donald Colliery .. 56 14 8 .. 56 14 8 Depots— Property Accounts .. .. .. .. .. .. 9,385 1 6 7,953 5 5 14,059 16 2 22,013 1 7 Stocks and stores on hand .. .. .. .. .. 15,923 11 9 Deposits on contracts .. .. .. .. .. .. 1,110 0 0 Sinking Fund .. .. .. .. .. .. .. 9,525 10 0 25,308 13 3 Reserves— Less provisionally written off .. .. .. 1,890 3 2 General Reserve .. .. .. .. .. .. 206,938 2 1 23,418 10 1 Bad Debts Reserve .. .. .. .. .. 904 13 6 Sinking Fund investments .. .. .\ .. .. .. 9,525 10 0 Accident Insurance Reserve .. .. .. .. .. 7,710 16 10 Housing advances to workmen .. .. .. .. 7,399 4 10 215,553 12 5 Interest accrued due .. .. .. .. .. 89 15 7 General Profit and Lbss Account— 7,489 0 5 Net surplus for year .. .. .. . .. .. 3,644 3 4 Interest accrued due on investments .. .. .. .. .. 31 8 8 Departmental. Sundry. Sundry debtors— £ s. d. £ s. d. Liverpool Colliery .. .. 1,902 17 6 4,411 6 5 6,314 3 11 James Colliery .. .. .. 10 0 10 1 18 9 11 19 7 Mac Donald Colliery .. .. .. 814 4 1 814 4 1 Wellington Depot" .. .. 403 16 2 34,430 13 1 34,834 9 3 Christchurch Depot .. .. 168 14 1 2,522 10 6 2,691 4 7 2,485 8 7 42,180 12 10 44,666 1 5 Less provisionally written off .. .. .. .. 113112 44,552 10 3 Cash in Receiver-General's Deposit Account .. .. .. .. .. 1,110 0 0 Cash in Public Account .. .. .. . • •. ■ • ..11, 956 5 2 £321,451 14 10 £321,451 14 10 State Coal-mines Office, Wellington, C. 1. C. H. Benney, Accountant. P. C. Webb, Minister of Mines. I hereby certify that the attached Working and Profit and Loss Accounts of Depots and Collieries, General Profit and Loss Account, and Balance-sheet have been duly examined and compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby— J. H. Fowler, Controller and Auditor- General.

2—C. 2A

9

C.—2a,

NEW ZEALAND STATE COAL-MINES— continued. Statement of Colliery Property Accounts as at 31st March, 1938.

10

Liverpool. James. MacDokald. | New Mine —Nihe-mile Akea. Totals. ! : j | Development and Property Account — £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Balance at 1st April, 1937 .. .. .. 37,567 6 9 ! 4,954 19 2 i 47,706 6 2 ; 20,881 19 1 Additions during year ........ .. .. .. 38,410 19 11 I 59,292 19 0 Less provisionally written off ...... .. .. .. 9 15 6 Ordinary depreciation .. .. .. 1,344 3 9 3,409 I 8 1,102 7 5 — 36,223 3 0 1,545 17 6 — 46,603 18 9 59,283 3 6 143,656 2 9 Electrical Plant Account — Balance at 1st April, 1937 .. .. .. ] .. 2,744 15 10 Additions .. .. .. .. .. .. 239 12 9 2,984 8 7 Depreciation .. .. .. .. .. 357 13 5 2,626 15 2 .. .. 2,626 15 2 Machinery, plant, ropes, and rolling-stock — Balance at 1st April, 1937 .. .. .. 23,758 0 7 3,055 3 1 .. 1,799 2 0 Plus transferred from other accounts .. .. 6 0 0 100 1 8 .. 213 8 3 Additions .. .. .. .. .. 2,138 5 6 i 381 15 6 .. 13,365 0 8 25,902 6 1 3,537 0 3 .. 15,377 10 11 Sales .. .. .. .. .. 4 12 6 63 9 6 25,897 13 7 3,473 10 9 Transfers to other accounts .. .. .. 324 13 7 6 0 0 25,573 0 0 3,467 10 9 Depreciation .. .. .. .. 2,546 19 2 676 19 2 t 23,026 0 10 .. Less provisionally written off .. .. .. 115 13 6 22,910 7 4 2,790 11 7 .. 15,377 10 11 41,078 9 10 Buildings at mine — Balance at 1st April, 1937 .. .. .. 5,517 12 11 859 17 1 .. 1,776 13 6 Additions during the year ...... .. .. .. 1,918 1 5 5,517 12 11 859 17 1 .. 3,694 14 11 Depreciation .. .. .. .. 366 5 10 133 4 8 5,151 7 1 726 12 5 ! —— .. 3,694 14 11 9,572 14 5 Carried forward .. .. .. ... £64,284 17 5: £7,689 16 8 £46,603 18 9 £78,355 9 4 £196,934 2 2

C— 2A.

Statement of Depot Property Accounts as at 31st March, 1938.

NEW ZEALAND STATE COAL-MINES— continued. Statement of Colliery Property Accounts as at 31st March, 1938— continued.

3—C. 2a

11

Liverpool. James. MacDonald. New Mine —Nine-mile Area. Totals. -j •" •/ ' { . ~ " " " : £ s. d. £ s. 4- £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Brought forward .. .. .. .. 64,284 17 5 .. 7,689 16 8 .. 46,603 18 9 .. 78,355 9 4 196,934 2 2 Cottages at mine — Balance at 1st April, 1937 .. .. .. 3,300 13 3 Additions during the year ...... 22 8 4 3,323 1 7 Ordinary depreciation .. .. .. 261 14 .. .. .. 3,062 0 3 .. .. : .. 3,062 0 3 Plantation at mine —Balance at 1st April, 1937 .. .. 167 10 5 .. .. .. 716 IS 3 .. 884 5 8 Coal (stock on hand at mine, wharf, and afloat) .. .. 3,200 6 2 .. 833 18 0 .. 4,034 4 2 Stores (stock on hand) .. .. .. .. 18,187 18 3 Less provisionally written off ...... 50 11 4 18,137 6 11 .. .. .. 18,137 6 11 £88,852 1 2 £8,523 14 8 £47,320 14 0 £78,355 9 4 £223,051 19 2 ' | •

Wellington. Christchukch. Wanoanui. Totals. ! I I Depot Property Account — £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Balance at 1st April. 1937 .. .. .. .. .. .. 6,384 8 4 2,250 14 2 194 19 5 Additions during the year .. .. .. .. .. .. 272 15 4 827 6 3 6,657 3 8 3,078 0 5 194 19 5 Sales .. .. .. .. .. .. .. .. 0 5 0 25 0 0 30 10 9 6,656 18 8 3,053 0 5 164 8 8 Depreciation .. .. .. .. .. .. .. 329 1 10 144 10 11 15 13 6 6,327 16 10 148 15 2 Less provisionally written off .. .. .. .. .. 35 3 10 .. 44 9 3 6,292 13 0 2,908 9 6 104 5 11 9,305 8 5 Stocks and stores on hand .. .. .. .. .. .. j 3,798 17 5 12,124 14 4 j Less provisionally written off .. .. .. .. .. ! 279 12 5 1,530 17 8 | r 3,519 5 0 10,593 16 8 .. 14,113 1 8 £9,811 18 0 £13,502 6 2 £104 5 11 £23,418 10 1

C.—2a

NEW ZEALAND STATE COAL-MlNES—continued. Statement of Receipts and Payments foe the Year ended 31st March, 1938. Receipts. . - Payments. Cash in Public Account at Ist £ a. (1. £ s. d. James Colliery— £ s. d. £ s. d. April, 1937 .. .. .. .. 27,002 10 7 Wages .. .. .. 25,307 0 9 Proceeds sale of coal, &c. .. 258,072 0 0 Special rate .. .. .. 287 10 3 Recoveries, refunds, &c. .. 2,131 14 4 Coal purchased .. .. 34 0 0 Royalties .. .. .. 10,322 19 8 Subsidized bus-fares .. .. 383 0 3 271,126 14 0 Electric power .. .. 579 8 5 Interest .. .. .. .. 1,601 15 10 * 26,050 19 8 Investments realized .. .. .. 42,800 0 0 Liverpool Colliery— Dishonoured cheques recredited .. .. 35 5 5 Cottages .. .. .. 17 15 0 Repayment of housing loans .. .. 854 5 8 Wages .. .. .. 83,731 5 6 Special rate .. .. .. 740 7 6 Railway tickets .. .. 1,811 17 0 Coal purchased .. .. 32 2 7 86,333 7 7 Development of new mine — Ninemile Area .. .. .. .. 26,198 17 6 Housing loans .. .. .. , .. 610 0 0 Plant and stores .. .. .. 46,507 5 9 Seddonville Colliery Account .. .. 1 12 6 Wellington Depot Account .. .. 17,11818 7 Christeliurch Depot Account .. .. 27,824 7 7 Wanganui Depot Account ... .. 40 11 4 Coal purchased on account of depots (Suspense Account) .. .. 677 15 10 Cargo adjustments (co-operative coal) .. .. . . .. 1 18 0 Superannuation Fund subsidy .. 110 14 5 Management and office salaries .. 5,993 0 3 Interest .. .. .. 2,856 3 7 Travelling-expenses .. .. 58 4 2 Printing and stationery .. 320 19 10 Repairs and maintenance .. 3,648 12 5 Wharfage '.. .. .. 3,147 6 3 Railway haulage .. .. 14,326 13 7 Marine freights .. .. 51,030 3 4 Postages and telegrams .. .. 284 15 6 Insurances .. .. .. 41 13 10 Rents .. .. .. 93 10 8 Compensation .. .. .. 6,376 12 9 Coal-miners' Relief Fund .. 364 1 2 General expenses .. .. 857 3 5 Sinking Fund instalment .. 9,523 17 II Audit fees .. .. .. 315 0 0 Cheques dishonoured .. .. 35 5 5 Rescue-station levy' .. .. 714 14 0 100,098 12 6 Cash in Public Account at 31st March, 1938 .. .. .. 11,956 5 2 £344,020 12 0 £344,020 12 0

12

C.—2 a

NEW ZEALAND STATE COAL-MINES—continued. Table showing the Position of the State Coal-mines Account from Inception to 31st March, 1938.

13

Tntoi ranitfti Total Amount of Assets as per Liabilities as per Namo of WorKs. i Depreciation Balance-sheet, 81st I Net Profits. Net Losses. Balance-sheet. Expenditure. written off. March, 1938. 31st March, 1938. I , ' 1 'i I. I £ s. d. £ s. d. £ s>. d. £ s. d. £ s. d. £ s. d. Point Elizabeth Colliery .. 98,210 9 0 Less sales and loss by fire .. 2,291 6 11 95,919 2 1 95,919 2 1; .. 147,583 4 11 Liverpool Colliery .. .. 330,319 9 4 Less sales, transfers, and loss 9,094 10 9 bv tire 321,224 18 7 253,710 10 6 67,514 8 1 53,65113 5 .. 15,711 110 Seddonville Colliery .. 38,243 2 5 Less sales .. .. 548 17 0 j 37,694 5 5 37,694 5 5 .. .. 36,981 10 5 Briquette-works property .. 16,135 2 6 Less sales of plant .. 2,066 5-0 14,068 17 6 ! 14,068 17 6 .. .. 22,660 18 10 1 ; ! Prospecting on State Coal 11,174 12 0 Reserve Less transfers .. .. 10,785 8 0 I j | S 389 4 0 389 4 0 I Plant, buildings, &c., on hire : 6,863 16 3 Less sales, transfers, &e. .. ! 3,548 5 2 : 3,315 11 1 2,999 0 0 316 11 1 279 13 7 Charming Creek prospecting .. i 5,956 18 6 5,956 18 6 .. .. 5,545 1 11 James Colliery .. .. 73,766 14 3 Less sales, transfers, &e. .. ! 2,589 0 5 I i—i 71,177 13 10 ! 63,487 17 2 7,689 16 8 .. 12,420 14 4 524 0 2 Development of new mine— 78,355 9 4 .. 78,355 9 4 .. .. 795 17 1 Nine-mile Area MacDonald Colliery .. 93,600 4 11 ! Less recoveries .. .. 693 10 2 92,906 14 9 45,586 0 9* 47,320 14 0 . 32,144 15 4* 56 14 8 Wellington Depot property .. 20,060 12 8 Less sales and transfers .. 872 0 2 | 19,188 12 6 ; 12,895 19 6 6,292 13 0 .. 690 0 7 543 10 0 Christehurch Depot property 14,701 11 4 Less sales and loss on horses 344 13 7 14,356 17 9 11,448 8 3 ! 2,908 9 6 17,081 3 3 .. 4,375 7 10 Wanganui Depot property .. 3,735 13 0 Less sales and loss on horses 308 18 11 3,426 14 1 3,322 8 2 104 5 11 .. 2,228 7 11 6 10 0 Dunedin Depot property .. 2,023 3 7 Less sale of plant .. 641 10 0 1,381 13 7 1,381 13 7; * .. 4,248 3 5 Hulks property .. .. 4,033 15 5 Less sales .. .. 1,948 17 0 2,084 18 5 | 2,084 18 5 1,786 12 11 Office furniture .. .. 189 13 9 Less sales .. .. 17 5 0 172 8 9 172 8 9 172 8 9 Grand total .. 797,370 8 3 Less losses, sales, 35,750 8 1 transfers, &c. < — ; £761,620 0 2 £551,117 12 7 £210,502 7 7 Carried forward . .. • • 210,502 7 7 220,382 8 1 117,092 1 6 22,013 1 7 * Includes interest (£30,285 19s. lOd.) capitalized from date of purchase to date lease was granted—now written off.

Price 6d. j

C.—-2A

NEW ZEALAND STATE COAL-MINES—continued. Table showing the Position of the State Coal-mines Account from Inception to 31st March, 1938 — continued.

Approximate Cost of Paper.—Preparation, not given ; printing 530 (Copies), £22 10s

Authority: E. V. Paul, Government Printer, Wellington. —1938.

14

Tnt.nl rnnital Total Amount of Assets as per I Liabilities as per Name of Works. t?. JjiV,;.,, Depreciation Balance-sheet, Net Profits. Net Losses. Balance-she 4 lixpenditurc. written off. 31st March, 193s. . 31st March, 1<*< 8. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Brought forward .. •• 210,502 7 7 220,382 8 1 117,002 1 6 22,013 1 7 Royalties (from 1st April, 1928, ' ■■ •• •• 45,290 2 7 only) Interest on investments .. •• •• •• 79,563 3 7* Discounts .. .. . . [ • • • • • • 13 .2 9 Cash lost (highway robbery) .. j ■ . • ■ • • • ■ 89 0 1 Transfer to Accident Insurance i .. • • i ■ • • • 2,960 0 0 Reserve Refund — Mines Department, .. •• j •• •• 5,000 0 0 1932-33 (administrative expenses incurred in previous years) Total, profit and loss .. •• •• •• 345,248 17 0 125,141 1 7 Balance—Profits over losses .. .. . • •• 220,107 15 5 £345,248 17 0 £345,248 17 0 ~ ' r " Stocks on hand less provision- .. .. 36,284 12 9 ally written off Interest on investments accrued j •• •• j 3188 Sinking Fund investments .. •• •• | 9,525 10 0 Sundry debtors . . . ■ • • ■ ■ 44,552 10 3 Cash in Public Account .. •• •• j 11,956 5 2 Cash in Receiver-General's De- .. •• 1,110 0 0 posit Account Housing advances to workmen . • .. j 7,489 0 5 and accrued interest Loan Account .. . . • • f .. .. .. .. 69,243 6 8 Bad-debts Reserve . . . . • • • ■ • • • • ■ • 13 6 Accrued interest payable .. . • • • • ■ • • • • 362 0 10 Sinking Fund .. .. ■■ 9,525 10 0 .. 9,525 10 0 General Reserve . . . ■ • • ■ ■ ■ • 206,938 2 1 .. 206,938 2 1 General Profit and Loss Account .. • • • • 3,644 3 4 . . 3,644 3 4 Deposits on contracts .. .. i •• 1,110 0 0 Accident Insurance Reserve .. •• •• , •• 7,710 16 10 £321,461 14 10 £220,107 15 5 £321,451 14 10 I , _ ----- * Includes interest on sinking fund investments.