C.—2.

Already one company which could not have carried on but for substantial assistance from the Board has refunded the full amount of the subsidy paid. The assistance rendered this company has not cost the country anything, and has enabled thirty men to be retained in employment, as well as enabling the company to find work for additional men. During the year an average of 3,657 men, including subsidized men employed by companies and syndicates, have received assistance. Since the inception of the Board's prospecting schemes to the 31st March, 1934, approximately 10,000 oz. of gold, excluding gold obtained by subsidized companies and syndicates, has been won by subsidized miners. Many claims which have required time to develop are now reaching the production stage, and it is reasonable to expect that the amount of gold won in the coming year will show an increase. Four advisory Mining Engineers and seventy-four Supervisors are employed, so that expert assistance and guidance are always available to the men. Very close co-operation exists between the Mines Department and the Unemployment Board, and every endeavour is made to see that the men are given a fair chance to succeed and become independent of assistance. Already quite a number of men previously in receipt of financial aid are now able to carry on without the subsidy. STAFF. Mr. A. H. Kimbell, who has been Under-Secretary for Mines for the past fourteen years retired on the 30tli November, 1933. Mr. A. Tyndall was appointed to succeed him and took up his duties on Ist February, 1934. I desire to place on record my sincere thanks to the officers of the Department for their loyal co-operation and ready assistance at all times during a strenuous year.

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