C—3a

52

The average number of miners supplied with water from this race was sixty-seven, and the approximate quantity of gold obtained was 2,0520z., valued at £8,002 16s. The sales of water are £186 16s. 7d. less than for the preceding year, and the yield of gold 4470z. less, valued at £1,743 6s. The great decrease in the sales of water and the yield of gold is attributable to two serious breakages in the high fluming at Kawhaka, the repairing of which took about one-seventh of the whole year. The expenditure for ordinary maintenance is greater than for the previous year by £61 9s. The increased ordinary expenditure was caused by repairs in a great number of places to the flumes throughout the whole length of the race, and one large slip in the right-hand branch of the Waimea Creek. Besides the sales of water, free water has been supplied during the year to the value of £91 7s. 4d. to claims that the owners would have had to abandon unless some assistance had been granted, and a considerable quantity of waste water has been given away for prospecting purposes, which in two instances will help to increase the revenue during the present year. Besides ordinary expenditure on maintenance, two extensive breakages in the high fluming at Kawhaka occurred. The first took place on the night of the 14th December, and repairs were not completed until the 15th January. The fluming at the point where the breakage occurred was over 50ft. in height. The second break took place on the 4th March, where the fluming was about 30ft. in height. Bepairs were effected, and the water was again turned on on the evening of the 21st March. Besides the cost of repairing the two breaks referred to (about £300), the sluicing parties at Fox's, Waimea, and Stafford could not be supplied with water for about seven weeks, and there were no sales of water during that period. Considerable repairs had to be made in the fluming at Greek's Gully and at Waimea, and during the Christmas holidays portions of the race were cleaned out and some of the tunnels timbered. Although the number of miners using water from the race is not decreasing yet the ground is apparently getting poorer year by year. After all the repairs that have been effected on the high fluming at Kawhaka it is now anything but safe. The total length of the high fluming is 70 chains, and it has now been erected nearly twenty years, and to render it absolutely safe it would require total reconstruction, J would, however, suggest that surveys be made for a new race from the pipe-line to the head of the high fluming, with the view of substituting a new race in the solid, which would entirely do away with the whole of the high fluming. The new portion of the race could be started from the pipe-line at a point 50ft. lower than the present head of the pipes, and the whole of the new portion of the race would be at a level of from 40ft. to 50ft. lower than the present one. The length of the deviation would be about three miles. If the Government could see its way, the deviation of Callaghan's branch race, down the middle branch of the Waimea Creek, should be extended into the right-hand branch of the Waimea Creek and join the present Waimea Bace there. This would do away with the necessity of maintaining the high fluming in Fox's Creek and Greek's Gully, and make the Waimea Bace more easily and more economically maintained than at present. The length of the extension would be about two miles and a half. Bbanch Eace to Callaghan's. The tank and gates at the discharge-end of the syphon on the Waimea Bace have been completed, and the whole or any portion of the water in the Waimea Bace can be turned into the old race or into the branch race towards Callaghan's as required. On the branch race towards Callaghan's three sections of ditching, each about 20 chains in length, have been constructed during the year, at a cost of £468 ss. 4d. The drainage tunnel from the Kapitea Creek to the shaft sunk on Callaghan's Flat, in which fair prospects were obtained, has been completed. The total length is 2,901 ft., and is answering well the purpose for which it was intended. A recent washing of thirty loads yielded a little over sdwt. to the load. Bbanch Bace towabds Middle Bbanch of the Waimea Ceeek. On this branch race three sections of ditching, having a total length of 43 chains, one section of fluming, 4 chains in length, and a tunnel 117 ft. in length, have been completed, at a cost of £533 4s. Certain tail-race rights that seriously interfered with this branch race have been purchased from the owner at a cost of £30. This branch race is the one I suggest should be extended a distance of about two miles and a half to the right-hand branch of the Waimea Creek, which would cut oft five miles of the old race, which contains a considerable length of high fluming and several tunnels, that cost a considerable amount annually to maintain. Kumaea Wateb-eace. The total sales of water from this race during the year amounted to £5,582 4s. 7d., and the expenditure for maintenance was £1,917 Bs. 5d., leaving a credit balance of £3,664 16s. 2d. The average number of miners supplied with water from this race was 116, and the approximate quantity of gold obtained by parties using water from the race was 8,3480z., valued at £32,557 4s. Besides the sales of water above referred to, water to the value of £39 4s. 4d. was supplied as subsidy on cost of race deviation. Free water to the value of £214 10s. was also supplied for opening up new claims, and to the value of £1091 10s. 3d. to assist claims having a succession of poor washings.