27

C.—s

through the plain, there can be seen bars of lava in its bed, which would indicate that the volcanic eruptions in this part of the district were sometimes igneous and sometimes aqueous. Kaeangahakb Distkict. Gold has been found in this district for many years, but until recently nothing of any importance has been obtained. The Ivanhoe and Sir Walter Scott Companies have worked with success for the last two or three years, but beyond this the other claims have not attracted much attention. It was known several years ago that there was silver in this district. Samples of quartz were forwarded to Melbourne from the Maria claim for analysis, which showed the stone to be rich in silver; but, being unacquainted with the mode of treatment, it was thought nothing about. Another company, called the Woodstock, have now taken up the ground that was formerly held by the Maria Company ; but they cannot make it pay with the ordinary battery-process. A great deal of work has been done in this mine. Over 300 tons of the ore was selected and treated at the battery, which averaged 2oz. of gold per ton, the average value of the gold being £1 ss. per ounce. This company have two lines of reefs in their ground, one of which is 6ft. wide, and the other averages 3ft. wide. A low level has been constructed on the latter lode, which is rich in sulphide of silver. Some of this was treated at the battery, but only yielded from -Joz. to loz. of gold per ton, while the silver was nearly all lost in the treatment. A few tons of this lode was sent to the La Monte smelfcing-furnace, which was erected by Mr. Davis at Karangahake, from which 600oz. of bullion was obtained, of the value of 9s. 6d. par ounce. This furnace was afterwards purchased by the company. The lode contains a larger percentage of gold near the surface, but the deeper the workings the richer it gets in silver, and poorer in gold. The capital of this company is £36,000, with 10s. per share declared paid up, and calls have been made to the extent of Is. 9d. per share on 36,000 shares. Kenihvorth Company. —This company is a re-formation of the Hauraki Company, which was one of the oldest companies in the Karangahake District. In former years there was some rich auriferous quartz obtained at a high level. Their mine adjoined the Woodstock Company's ground on the south end. They sent some of the picked quartz to the La Monte Smelfcing-works, which yielded from £4 to £15 per ton, and the remainder of the stone was treated at the battery, and yielded lOdwt. of gold per ton, the gold being worth £2 9s. per ounce. This stone was taken from a high level. There are 25,000 shares in this company of £1 each ; 40,000 shares are held in reserve, and a call of Bd. per share has been paid on the remainder. This company had also suspended operations at the time of my visit, pending the trial of the new plant that has been erected here by Mr. J. Eailey. Crmvn Company. —This company has been at work, off and on, for about four years without giving any return to the shareholders. There are nine different lodes in their ground, averaging from 6in. to 10ft. wide. The lowest level that they have yet constructed is over 500 ft. above the level of, the creek. The lode in the lowest level is from 4ft. to 6ft. in width, and contains very rich sulphides of silver. About five hundred tons of the ore is taken out and stacked at the mouth of the tunnel awaiting treatment at Bailey's battery. There is another level on this lode 80ft. higher up, which is stoped out for 68ft. in length. Fifty-one tons of the ore from this level was treated at the smelting-furnace, and averaged £8 16s. per ton. There have also been several parcels of picked stone from the upper levels treated by the ordinary battery-process, which yielded from soz. to 6oz. per ton, the bullion of which was of a value of £1 7s. per ounce. This has every appearance of being a valuable mine as soon as a proper plant is erected to treat the ore. There are 20,000 shares in this company, of £1 each, and £2,000 has been paid in calls. Adeline Company. —This company's mine is situated the furthest south of any of the claims in the Karangahake District, and is about 840 ft. above the level of the junction of the Waitawheta Creek and the Ohinemuri River. The reef that they are working on averages about 12in. wide. Sometimes it gets as narrow as 6in., and in one place it widened out to 2ft. They have stoped out about 60ft. along the reef, and about 70ft. high. The quartz from this lode was assorted in two divisions— the best quality put in one heap, which averaged 240z., and the second quality B|oz., to the ton. A large parcel of this stone was crushed at the Moanataiari battery at Grahamstown, where the tailings were afterwards purchased by Mr. Brown, of Tararu, for £12 10s. and £6 Bs. per ton respectively. The total quantity of quartz crushed from this mine up to March last was 168 tons from the upper level and 38 tons from the lower level, which made a general average of 9Joz. of gold per ton. The value of the gold got from the quartz already crushed is £2 13s. per ounce. There are two reefs in this claim, both of which are being worked. They run about 20° east of north. The level that the company were working on is stoped out, but they have a No. 3 Level constructed which gives them 85ft. of backs. This company has only been at work for fifteen months. They have ten wages-men and four contractors. The capital of the company is £20,000, in £1 shares,' none of which has been called up, while dividends to the amount of £2,500 have been declared. Bose Company. —This company's mine adjoins the Adeline, and has the same two reefs which pass through the latter company's ground. The stone is similar in character, but not nearly so rich. The ground has been worked, off and on, for three years. It was formerly held by the Martha and Hidden Treasure Companies. Several parcels of stone have been crushed, which went from 3oz. to 7oz. of gold per ton, and the value of the gold was £2 10s. per ounce. Mining operations were for a time suspended, pending the erection of Eailey's reduction-plant, but they are now breaking out quartz, and getting'it treated at these works. The capital of this company is £20,000, in £1 shares, very little of which has yet been called up. Diamond Company. —This company's mine is further north than the Adeline and Eose Companies on the same line of reef. Nineteen tons of stone was crushed from a high level, which