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working, and an elevator is at work close to where the old bucket-elevator formerly stood. Preparations have been commenced for sluicing at the opposite side of the creek, where the prospects are of a favourable character. Waikaia Gold-mining and Water-rice Company. —This company have had a very unsatisfactory year's work, up till the 31st October their gold returns only amounting to 94 oz., valued at £361125., or at the rate of £3 17s. 6d. per ounce. Sluicing operations were then discontinued by the company, and the claim leased to a party of tributers, who, since the date they took the claim over, have only done six weeks' sluicing, owing to shortage of water during the summer months. Argyle Claim (Area, 84 acres; mine-manager, John W. Stewart). —This claim is situated on Block 1., Waikaia Survey District, and is the property of the Argyle Hydraulic Sluicing Company. The ground consists of alluvial flat, on top of which there has been a depth of accumulated tailings ranging from 6 ft. to 9 ft. in depth, the result of sluicing operations carried on in the past on the terraces surrounding this flat. Below the tailings is a layer of soft clay, which overlays a layer of wash consisting of slate and schist boulders and sand, ranging from 3 ft. to 5 ft. in thickness, the whole carrying gold in payable quantities. Underlying this wash there is a layer of sandstone boulders, sand, and clayey matter, 8 ft. in thickness, carrying a little gold all through. The bottom, a soft sandstone, is very irregular, forming parallel channels and ridges. On the top of these ridges good gold is found, but is absent in the channels. The ground is worked by hydraulic elevating, about 1-J acres having been dealt with during the past year—ten months' work—resulting in a yield of 651 oz. of gold, of the value of £2,540, the value of the gold per ounce being £3 18s. The total length of races in connection with the claim is over twelve miles, the capacity of the main race being twenty-five Government heads. During the year this company have acquired a second special claim of 80 acres, situate in Happy Valley, about one mile north of the one described above, which has also been equipped with a thoroughly up-to-date hydraulic elevating plant. The work of opening out has just begun at this claim, which consists also of an alluvial flat, the formation of which is as follows: 4ft. of soft clay, 10ft. of fine quartz-wash, all gold-bearing, resting on a very extensive seam of good lignite, the thickness of which has not yet been ascertained. The pressure used for elevating is 200 feet, the total length and dimensions of pipes used in working both claims being as follows: 150 ft. of 18 in., 3,128 ft. of 15 in., 2,970 ft. of 13in., 1,584 ft. of 11 in., 240 ft. of 9in., 450 ft. of 7 in. In the first claim referred to the run of boxes used in gold-saving is 120 ft. in length, having angle-iron ripples and perforated plates, with cocoanutmatting underneath. At the new claim the run of boxes leading from the elevator is 50 ft. in length and 3 ft. wide, being lined with angle-iron ripples and cocoanut-matting for 24 ft., then for the remaining length with perforated plates and cocoanut-matting. At the end of these boxes there is a system of tables 16 ft. in width, over which all the finer material passes, the rough gravel all passing on to the tail-race through another box. The value of water-races and plant is estimated at £3,100. Sixteen men are employed. Croydon. Mr. John Nicholson has a prospecting area of 180 acres on Crown lands at Croydon, near the eastern base of the Hokonui Eange, and has got a small face open showing fine gold. His present water-supply is somewhat limited. The wash is in two divisions ; the upper part is of small quartz pebbles and sand. A trial gave twenty colours to the dish ; the lower wash (which is of coarse river-bed pebbles) showing about double the foregoing prospect. Some prospecting operations have also been conducted between this claim and the Charlton Flat. Pine gold has been found, and from the prospects obtained it is probable that dredges of medium size could work the ground to advantage. Bound Hill District. The Ourawera Company has been successful in obtaining good returns from its elevating plant during the year. The Bound Hill Company have also had another year's successful operations. Several other claims to be worked by hydraulic elevating, have been taken up in this locality. The dry weather during last summer caused the water in the races to be much lessened, and the gold returns were consequently smaller than the average. Orepuki. A considerable number of men continue to be employed in the various claims, and their earnings are, on the whole, very satisfactory. Waiau. Waiau Beach Claim (Area, 58 acres 1 rood; owners, the Waiau Beach Hydraulic Elevating Company; manager, N. K. McLean). —This claim, which is worked by hydraulic elevating, has not, so far, yielded satisfactory results, 10 oz. of gold only being obtained. The water-race is 1 mile 7 chains in length, with about 450 ft. of pipes, and valued at £200. An average of three men were employed. Several other parties find employment on the ocean beach in this locality. The lead open to the west of the Waiau is all but deserted, the returns having been very small. Throughout the Nelson, Westland, and Otago goldfields the production of alluvial gold chiefly depends on the rainfall, and during dry seasons the water-supply in many instances is inadequate for sluicing operations. The attention of those interested must now be directed to the conservation of the water that falls in the wet months, in order that a more even supply may be maintained. In Westland, where the rainfall is most continuous, but a moderate share of attention is paid to conservation, and it is found that in many instances, should no rain fall even for a few days, operations are suspended. If large dams and reservoirs were constructed, less time would be lost by those