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through the reef, where a junction of two other smaller reefs with the Le Messurier is expected to be met with. In the Le Messurier cross-cut the total distance driven is 62 ft.; another 220 ft. of driving will intersect the Eoyal Standard main lode on the south side of the creek. The lode on the spur through which the cross-cut is penetrating is a splendid body of stone. Sulphides of silver, associated with extremely finely divided particles of gold, are freely seen in the large pieces of ore strewn about the surface of this spur. From here we expect a long run on highly payable ore. The Junction cross-cut will intersect the main lode on the northern slope of creek in 30 ft. of driving, and will pass through a further distance of about 60 ft. to reach the western branch of the lode, from which good dish prospects are obtainable on the surface. The want of storage-room for the quartz broken out necessitates the stoppage of development works on the various reefs until the tram-line is connected with the quartz hoppers. The total distance driven in the intermediate level is 95 ft. The rock here being near the surface is an oxidized andesite (propylite), through which progress is more speedy. The main lode will be intersected here at a point some 800 ft. north of the Junction cross-cut. A shoot for the conveyance of the quartz to the tram-line will shortly be in course of construction. The bulk of the crushing-ore will be obtained from the Le Messurier, Junction, and intermediate levels for a considerable time to come. The tram-line for the transit of quartz to battery is being constructed from the low-level tunnel to the kiln-site, a distance of 20 chains. From the entrance to the Junction cross-cut a bridge is to be constructed across the main creek, at the south end of which a large storage-hopper is in course of erection. The tram-line from this hopper will be cut around the precipitous rock to the mouth of the Le Messurier level. The tram from the Le Messurier to a point opposite the lowlevel tunnel is being made, and when a quartz hopper is erected a stretch of tram-line from this to the low level will complete the tramway formation. Great difficulties have to be contended with during the formation work, very precipitous rocks, the crust of which is extremely hard, towering up perfectly straight for 200 ft. The water-race formation, when completed, will have a total length of 40 chains, giving 197 ft. of fall. The excavation for battery is being carried on with expedition. A firm class of sandstone is met with for the foundations of stamps. The site will shortly be in readiness for the cyanide plant. Bricks for the assaying-furnaces can be made close to the battery-site. The greater portion of timber for the battery, water-race, hoppers, &c, is ready at the different pits, and a tram-line is being laid down in readiness for conveyance of timber to the battery-site. Mr. Charles Judd, of Thames, is the contractor for the manufacture and supply of a forty-head dry-crushing stamper-mill and a cyanide plant of the latest type, the whole plant to be erected without delay. The natural position of the mill-site enables the quartz, when once dumped into the kilns, to pass by gravitation through the whole mill without handling. The main-line formation of the railway from battery to landing is complete a distance of 4 miles 52 chains. This work is at a standstill until the arrival of the rails from England. The company is experiencing great difficulties in conveying supplies to its property. The Ohinemuri County Council appear to take no interest whatever in opening up this district. The Eoyal Standard Company have for some considerable time employed upwards of two hundred men, which surely entitles them to something in the matter of roads. Prospecting works have also been carried on in the Atlas and La Mascotte, where several goldbearing reefs have been discovered. Work was also carried on in the Devon, Gold Stream, Eoyal Shield, Tavistock, Prince of Wales, Fiery Cross, Sceptic, Day Spring, and Waitekauri-Tavistock Eeefs Junction. Waitekauri District. Waitekauri Mine (Area, 507 acres and 25 perches).—This mine comprises the following claims: Golden Cross Special Claim (Golden Cross section), 100 acres; Croesus Special Claim (Golden Cross section), 100 acres; Socket Special Claim (Golden Cross section), 99 acres 2 roods 6 perches; Te Ao Marama Special Claim (Komata section), 97 acres 3 roods 36 perches; Crosscut Special Claim (Komata section), 100 acres ; Waitekauri Licensed Holding (Waitekauri), 9 acres 2 roods 23 perches : total, 507 acres and 25 perches. The important development works projected last year have to a great extent been carried out. The low-level adit cross-cut has been extended, and No. 1 and No. 2 shafts sunk to a depth of 282 ft. and 86 ft. respectively. The mine is worked from three levels, viz. : Corbett's level, a drive in the side of the hill about 22 ft. below the level of the sill of No. 1 shaft; kiln level in the north, and battery level in the south, at a level of 129 ft. below the level of the sill of the same shaft. The reef consists of a dark-coloured quartz strongly impregnated with manganese and partially-oxidized iron-pyrites. It varies from 12 ft. to 20 ft. wide of payable ore, but at points is of a much greater width than this. Development work carried on at the Golden Cross section during the year is as follows: Sinking the two shafts; the extension of Corbett's, kiln, and battery levels ; driving the Corbett's, kiln, and battery cross-cuts to prospect the ground to the west of the reef; and driving the low-level tunnel or adit-level. At Waitekauri Licensed Holding the work consists of a prospecting drive to get under a rich shot of gold worked by the original company. At the Komata section the work has been the opening-up of the magazine level gully drive, the extension of Nos. 1 and 2 levels, and the driving of the aditlevel from the eastern side of the hill. The machinery used in mining operations consists of two air-compressors, one with 12 in. air-cylinders, belt driven by water-power, used for working the rock-drills; the other 12 in. air-cylinder 2 ft. stroke combined with steam-engine with 12 in. cylinder, used for working two Tangye pumps in the shafts. The quartz from Corbett's level is brought to mouth of the drive in tram-wagons, and that from kiln and battery levels by the same means, through kiln and battery cross-cuts respectively. There are also four miles and a quarter of tramway connecting the mine