D.—l

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Otamarakau Section (64 m. 1.5 eh. to 71m. 5 eh. ; length, 6 miles 70 chains). —Banks on this section have been raised as the swamp has settled, and the line has been maintained. A concrete arch ovorbridge at 69 m. 33 eh. has been completed. Matata Section (71 m. 5 eh. to 79 m. 16 eh. ; length, 8 miles 11 chains). The raising of the banks on this section has kept pace with their subsiding, but a considerable amount of making up will be required before the ballasting can be completed. A running surface over this length has been maintained. Rangitaiki Section (79 m. 16 eh. to 87 m. 71 eh. ; length, 8 miles 55 chains). — is in progress on the first 4 miles. General. —Goods and passenger traffic have been carried from Mount Maunganui to the Matata Station, a length of 40 miles, throughout the year. A fire destroyed the workshops at Maunganui, but they are being rebuilt as energetically as possible. The length of this line from Waihi to Opotiki is approximately 130 miles, including 4 miles of branch line from Mount Maunganui to Matapihi. Gisborne-N apier (North End). Ngatapa Section (length, 11 miles 18 chains).--The banks damaged by floods in May, 1918, have been widened. As all the ballast is being obtained from the Waipaoa Biver work could bo carried out intermittently only. The third lift of ballast has been laid for a length of 5 miles 28 chains and through the Ngatapa station-yard. Sundry repairs to fences have been completed. A passenger and goods service has been maintained between Makaraka and Ngatapa. Waikura Section (10 m. 29 eh. onwards). —Very little work has been carried out on this section. Gisborne-N apier (South End). Es/cdale Section (length, I 1 miles 36 chains). —Good progress on the Inner Harbour embankment has been made by the Napier Harbour Board. Bank at om. 60 eh. has been built to full width. Altogether 57,700 cubic yards of dredged material and quarry-metal have been placed in this bank. Since the beginning of March., 1919, further clearing and culverting have been put in hand. Stratford - Main Trunk Railway. West End. Tahora Section (42 m. 26 eh. to 47 m. 30 eh. ; length, 5 miles 4 chains).--Although slips have been troublesome between 44 m. 28 eh. and 46 m. 18 eh. formation has been completed to 47 m. 24 eh. The remainder of the section is well, in hand. The first lift of ballast is complete to 46 m. 72 eh. and the second to 44 m. As the Railway Department's stone-crushing plant at Mount Egmont has temporarily closed down no further ballasting could be done. Overhead bridges for private crossings at 42 m. 47 eh., 42 m. 64 eh., and 43 m. 54 eh. have been completed. Road-bridge over railway-line at 47 m. 1 eh. has been temporarily completed for traffic. Four bridges at Tahora station-yard (on approach, road) have been completed. Four water-tunnels have been lined with concrete ; four concrete-pipe culverts have been completed ; 2 miles 63 chains of permanent fences have been erected. A bi-weekly passenger and goods train, connecting with the Railway Department's services at Kohuratahi, has been run, the output of the Tahora Timber Company's mill being railed at the same time. East End. Matiere Section (0 m. to 10 m. 21 0h.).-—A fair amount of formation has been carried out, but work with men available has been concentrated mainly on the tunnels. In the Okahu Tunnel 13] chains of top heading and excavation to full size have been completed, while 12| chains of walls and arch have been lined ; 3£ chains of excavation to full size have been completed in tunnel at 4m. 68 eh. The bottom heading of the tunnel at 6m. 10 eh. is complete, the remaining 2 chains having been driven. The manufacture of bricks for use on the works has continued, 438,000 having been made. The abutments and piers for the Ongarue River Bridge at om. 7 eh. have been completed, but further progress is impossible until the steel .girders arrive. A siding has been laid into ballast-pit at Manunui. Some metalling has been carried out on service road between .Okahukura and Ohura. Opunake Branch Railway. Kapuni Section (0 in. 6 eh. to 7 m.; length, 6 miles 74 chains). —Owing to shortage of labour work on this railway ceased in December, 1917, but was recommenced at the beginning of March, 1919. Work on the Waiongongoro Bridge is in hand. On the remaining sections of this line no further work has been done. South Island Main Trunk Railway. Kckerangu Section (56 m. (i eh. to 63 m. (ich.; length, 7 miles).-Owing to shortage of labour work was temporarily suspended on this line in August, 1917. Since that date no further work ha's been carried out. Midland Railway. Nelsorir-Wesiland (North End). Kawatiri Section (59 m. 17 eh. to 63 m. 10 eh. ; length, 3 miles 73 chains). —No further work has been done on this section since February, 1917. Arthur's Pass Tunnel. The bottom headings met on 20th July, 1918, at a point 1 mile 37 chains from the eastern portal on the Bealey side. All the shifts worked were " wet " i.e., six-hour shifts. The rock passed