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The sheep purchased in March, 1922, proved a profitable venture, the wool having gone a long way towards paying the cost. This incoming year the ewes should do much better, as there will be a good supply of new grass ready at lambing. A good breadth of rape will also be sown. The lambing was not so good as expected, but considering the rough rank feed the sheep had it was fair. A couple of hundred lambs were purchased for fattening. Close upon one thousand lambs have been sold for freezing at 9d. per pound all grades ; the wethers at 7d. per pound (no commission). The cattle have also done remarkably well. Fifty bullocks are being fattened, and should later fetch a good price. It is proposed to transfer seventy Hereford heifers in calf to Tevlot. Owing to the resurvey and roading of the property what was left of the original fences was of little value, besides interfering with the working of the various blocks. It was therefore necessary to erect a considerable length of new fencing before the stock could be handled. The new fences will come in for the settlers. Many of the boundary-fences have also been repaired. 'Flic purchase of the plantations has provided plenty of good macrocarpa for posts and strainers, and the insignis has been utilized for buildings at a cost of lis. to 12s. per 100 ft. superficial. The macrocarpa has also been cut up for battens and gates. There were over fourteen hundred macrocarpa trees in the plantation nearly thirty years old, grown fairly close, so they are. straight and free of branches—a great asset to any farmer. A sawmillcr contracted to cut the timber. Several homestead buildings on the different farmlets have been erected, which will be useful, later on for the settlers, besides providing the necessary accommodation for the contractors. The old buildings were also out of repair. The water-supply, owing to the closer subdivision of the land, required attention. The. first-furrow land should not be cultivated deeply for at least three years, when the roughage should then be well rotted. It is gratifying to be able to say that the heavy expenditure entailed in bringing the land into profit will be largely recouped out of the first season's returns. Teviot. The season was harsh and cold during the spring, consequently the lambing was not up to the average, The shearing was also much delayed, and the wool was not in the best condition. The prices, however, received for the clip averaged, with the exception of the locks and crutchings, 22d. per pound in Dunedin, which is a wonderful result. The number of sheep shorn (Corriedales) was 28,015 ; the weight of wool 229,372 lb. net, or an average of over 8 lb. per sheep ; and the total value £18,793. The area now occupied is less by several thousand acres. The surplus sheep sold exceedingly well and realized over £8,000. About two thousand surplus two-tooth ewes were not disposed of owing to a temporary slump. They will be wintered on turnips at Clifton, and should next season give a heavy fleece and realize a big price for breeding. The whole flock is of a very high order. Two stud rams were purchased from the New Zealand and Australian Land Company, Moeraki, for use in the stud this season. The same blood has been used for many years. The rabbits are well reduced, and with care should not be difficult to keep in check. The Pannett Block still continues clear, and one man is continually kept to attend to the fences and pick up any odd rabbit. Hares are becoming rather too plentiful. The rabbit-fences have been overhauled and several removed to new boundary and road, lines. The property generally is now in good workingorder. It is proposed to offer the Phantom Block, of 3,000 to 4,000 acres, and another block on the Teviot Biver, for selection at an early date. Mount Pisa. A backward season was also experienced here, and it was late before the shearing was completed. In consequence the sheep were much, too late before they were returned to the high or summer country. The first muster was much interfered with by fog, and many sheep were missed. The second muster, however, brought in several thousands. The sheep purchased last season in the Mackenzie country did not do so well as expected. Many were troubled with wool-blindness, and, although eye-clipped in the early spring, it was later most difficult to get them in. In January 2,000 four-tooth Corriedale wethers were transferred from Teviot. The number of sheep shorn was 15,719, and the weight of wool 131,307 lb., which realized £9,334 19s. 4d. in Dunedin. The lambing was poor, and is hardly sufficient in any year to provide for deaths and killing. The rabbits were energetically dealt with last winter, and good autumn work was done. Most of the burrows on the flat were broken up and filled in, with a corresponding decrease of the pest. The steps to be taken this winter should have a marked effect upon their numbers. After some experience of the country, it is not, in my opinion, suitable for small holdings, but should be. leased in good-sized blocks to men with experience and capital. The area of low countryis not nearly sufficient to enable the best use to be made of the high or summer country. Another difficulty is that the sheep cannot be got out early enough or kept long enough. More subdivisions arc also badly required on the summer country. Near the homestead, there are considerable areas suitable for irrigation, but then; is no water available. Water rights from creeks near the homestead granted many years ago for mining towards the Cromwell end were transferred for irrigation purposes. The Crown lands near the homestead are thus deprived of the water which justly belongs to the Crown areas. The holders of these rights do not derive anything like the full benefit of the' water, as there is a tremendous loss going on, owing to the distance it has to run, evaporation, and seepage; in fact, in dry seasons the quantity reaching the farms is very often of little or no use for irrigation. There are several thousands of acres near the homestead lying absolutely useless, which with water could be made most valuable for lucerne-growing. It is proposed to offer the. bulk of the country for selection at an early date, Appended will be found the usual tables. _ JOHN D. KITCHIE, Land Purchase. Controller.