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passed through in the Island Block situated opposite the Menzion Burn; and very fair land between Ettrick and Eoxburgh, but not sufficient to warrant the construction of the line at present. (3.) This line, from its junction with that via Eae's, passes for several miles through what is known as Clark's freehold, of some twenty-five or thirty thousand acres, the land generally being good, but being very undulating it is a difficult country through which to construct a railway, and to my mind the Government would not be warranted in laying out the large sum the line is estimated to cost. In conclusion, I think all that is required in the meantime is to extend the line from Heriot to the Spylaw Junction. By this means a very considerable tract of agricultural country would be served at the upper end of the Crookston and Benger districts. 1 have, &c, The Engineer-in-Chief, Wellington. E. E. Ussher, District Engineer. {Approximate Cost of Paper.— Preparation, nil; printing (1,350 copied), 16s. Cd.l

Authority: Gi:orge Didsbup.y, Government Printer, Wellington.—lBB6.