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B to the Scandinavian, Second, Third, and Fourth Terraces, to ascertain the cost, and also the probable extent of auriferous ground that would be commanded if the extension were constructed. The total length of the extension would be 2 miles 3-§- chains, which would have to be constructed for nearly the whole distance with iron piping. This, however, only represents the horizontal distance. The actual length of iron piping required to follow the undulations of the ground is 1 mile 72J chains. This would bring the water to one end of the Fourth Terrace ; but it also requires 22 chains of open ditching to convey the water further along so as to command the auriferous ground. The piping would cross four deep valleys in the distance previously stated. The maximum pressure on the pipes at the bottom of each of these valleys would be as follows : From Branch B to Scandinavian Terrace, 1561b. per square inch ; from Scandinavian to Second Terrace, 1521b. per square inch ; from Second to Third Terrace and from Third to Fourth Terrace, each, 801b. per square inch. To bring on a supply of water to these terraces equal to eighteen sluice-heads would require a pipe 26in. in diameter ; the hydraulic gradient being lin 200. This is estimated to cost about £12,800. As far as can be ascertained, the quantity of auriferous ground that would be commanded if this extension were constructed would be as follows : On Chapel Terrace, which can be connected with Scandinavian Terrace, 49 acres ; on Scandinavian Terrace, 22 acres ; on Second Terrace, 43 acres; on Third Terrace, 4 acres ; and on Fourth Terrace, 24 acres: makinga total of 142 acres. There is no doubt a portion of this area will not pay for working. The estimate of the quantity of auriferous ground is to a certain degree problematical; but it is nevertheless a purely speculative one, as no one can tell (however well acquainted with the ground) by merely passing over the surface of alluvial-drift terraces, and seeing the nature of the gravel-wash here and there, whether they will actually pay for working or not. When this water-race was first laid out a branch was surveyed to command these terraces ; but that survey was eleven miles in length, and was estimated to cost £20,000. The late survey was undertaken with the view of taking the water across Waimea Creek in a siphon instead of going round its head, which is now found to be a less expensive line to construct than the one originally surveyed. The following table will show the results of the working of this portion of the water-race during the past financial year :-—

* Average, 102. From this table it will be seen that the sales of water have been £1,675 19s. 4d. The sales for the previous year were £1,790*165., which shows a falling-off during the past year of £114 16s. Bd. The actual cash received for sales of water is £1,688 3s. 2cL, and the amount of arrears for water at the end of March last was £252 Is. 3d. The expenditure on maintenance last year was £1,116 10s., while that of the previous year was £1,131 IPs. Id. The actual profit on this branch of the Waimea-Kumara Water-supply last year was £577 13s. 2d., against £618 16s. 9d.; but if the sales of water for the year were to be taken as receipts, the actual profit for the year would be £559 9s. 6d., against £658 17s. lid.; or, in round numbers, the profit this year is £100 less than the previous year. The value of free water given to the miners to open out their claims during the year was £22 16s. Bd., against £20 3s. 4d. of the previous year. The average number of miners employed in mining by aid of this water-race during the year has been 102 ; and the approximate amount of gold obtained by them was 3,0210z., representing a value of £11,479 16s. Their average weekly earnings would therefore, after deducting the value of the sales of water for the year, be £1 16s. lid. per man; or 4s. lOd. per week less than the previous year. The total cost of constructing this portion of this branch of the water-race has been £118,862 lls. Bd.; and, taking the actual profits for the year, £577 13s. 2d., it shows that it has only paid about per cent, on the cost of construction. Kumaea Water-race, Westland. This is the most important branch of the Waimea-Kumara Water-supply, and furnishes water for mining purposes for about three-fifths of the miners on the field. The main headrace and tunnel from Kapitea Creek are in a good state of repair; and, unless in wet weather, when there is an abundant supply of water in the creek, their carrying-capacity is equal to the supply. The branch flumes require strict supervision on account of some of the ground being driven out underneath the surface on which they stand. Also, the height of some of these flumes offers considerable opposition to high winds; consequently they are liable, when these occur,

Mouth. Sales of Water. Amount of Cash received for Sales of Water. Expenditure. Amount of Outstanding Moneys at the End of each Month. Number of Men employed. Approximate Amount of Goia obtaiuea. Value of Goia. 188C. £ s. fl. 174 3 8 98 2 0 179 18 9 154 5 4 158 11 2 164 2 11 1G5 8 8 151 9 1 123 9 1 £ s. a. 321 16 1 117 0 2 146 5 1 121 17 9 200 17 0 174 1 0 137 10 6 134 11 9 199 8 1 £ s. a. 59 9 8 100 18 2 81 4 7 68 1 6 89 8 9 75 1 0 124 6 6 181 13 1 87 11 0 £ s. a. 254 17 5 235 19 3 131 1 5 163 9 0 115 3 2 105 5 1 133 3 3 150 0 7 74 1 7 Oz. 312 273 298 312 277 280 295 264 184 £ s. a. 1,185 12 0 1,037 8 0 1,132 8 0 1,185 12 0 1,052 12 0 1,064 0 0 1,121 0 0 1,003 4 0 699 4 0 Vpril tf ay rune "uly Lugust September.. )otober November .. December .. 1887. 108 104 102 102 95 101 102 102 106 'anuary February .. *Iarch 27 8 4 116 5 9 162 14 7 58* 13 8 70 2 1 110 11 3 61 14 0 76 10 6 101 10 2 159 12 1 252 1 3 103 95 99 47 219 2G0 178 12 0 832 4 0 988 0 0 Totals 1,675 19 4 1,688 3 2 1,116 10 0 1,219* 3,021 11,479 16 0

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