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the ordinary days worked and the possible number of working-days is accounted for as follows : 2 days, VE holidays ; 2 days, YJ holidays ; 3 days, disputes ; 1 day, power failure; 4 days, fall in Ngakawau Tunnel; 1 day, funeral of ex-employee ; 0-5 day, fatal accident; total, 13-5 days. Employees. —In connection with coal-winning, the average number of persons employed in and about the collieries was 287 men and 22 boys, made up as follows — Underground : coal-hewers, 64 ; deputies, shiftmen, and truckers, 66 ; opencast-machine operators and truck-drivers, 25. Surface : men, 132 ; boys, 22. Goal-hewers' Average Daily Earnings.—Fly Creek Mine : The coal-hewers' average daily earnings (gross) were £2 18s. 4d., and after deducting stores (explosives)' their net return was £2 14s. lOd. D Hill Mine : The coal-hewers' average daily earnings (gross) were £3 os. 2d., and after deducting stores (explosives) their net return was £2 16s. Bd. Daily Outputs.—The average daily outputs were as follows : Fly Creek Mine, 225 tons 15 cwt. ; D Hill Mine, 151 tons 11 cwt.; E Hill Opencast, 457 tons 15 cwt. 2 qr. The hewers' average daily outputs were : Fly Creek Mine, 7 tons 1 cwt. 1 qr., and D Hill Mine, 7 tons 15 cwt. 2 qr. The number of hewer shifts worked at Fly Creek was 8,090 and at D Hill 4,942. Accidents. —There were 103 accidents during the year, 4 serious and 1 fatal. On the 14th March, 1946, a miner in D Hill Mine, while working at the coal face, was struck on the head with a fall of coal, death being instantaneous. Underground Workings.—ln Fly Creek Mine operations were mainly confined to pillar-extraction in the South Section and opencast in the East. In No. 2, No. 4, and No. 5 Sections development work was completed to the boundary and pillar-extraction was commenced. Exceptionally wet conditions were met with in the south area. In all other parts the working-places were wet, some very wet from time to time. In order to render possible the extraction of about 120,000 tons of excellent coal standing in pillars below Plover Creek, the creek was diverted by the erection of a large dam at a point in the creek about 36 chains south of Fly Creek Tunnel entrance. The new mine in D Hill was opened in April to develop an area proved by boring to contain a considerable quantity of excellent coal. The main headings have been driven 15 chains, forming two 8-acre panels to the south and one 10-acre panel to the north. Eighteen pairs of miners are now working in this mine. The area has been very wet, but the main headings are now penetrating country with greater cover, which will undoubtedly ensure dryer working-conditions. The grade of the seam and the nature of the roof and floor are such that complete mechanization of coal-winning may be adopted later with great advantage. The shelter-sheds over the approach to the bin and over the bin itself have been completed. Workshops and substation are in course of erection. E Hill Opencast: The output from E Hill Opencast has increased substantially. The use of an electric 5-yard shovel has simplified the stripping problem and has rendered comparatively easy the winning of from 600 tons to 800 tons per day. The new bathhouse at No. 3 loop will be completed within three months. Good progress has been made with the new roadway to Fly Creek. It has been completed to Coal Island, more than half way in. Plant.—The power plant, locomotives, bins, and inclines have been maintained in good working order. I have, &c., T. McGhie, District Manager.

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