a—3a

44

Wakatipu and Aeeow. There is nothing of importance to report with regard to this portion of my district, both alluvial and quartz-mining operations being steadily carried on with about the same results as for the last two or three years. The yield of gold still keeps up, and there is no falling-off in the revenue. The number of miners' rights issued during the year is considerably in excess of the average for the previous seven years, and the total revenue from them for the two preceding years. I have, &c, Nugent Wood, Warden. The Under-Secretary, Mines Department, Wellington.

No. 15. Mr. Warden Caeew to the Undee-Seoeetaey of Mines, Wellington. Sic,— " Warden's Office, Dunedin, 15th May, 1895. I have the honour, pursuant to your circular, No. 1, of the 20th March last, to forward herewith the annual mining statistics relating to the Hindon portion of the Otago Mining District for the twelve months ending 31st March, 1895. The operations during the year in the district under my charge do not call for any special remarks, very little, comparatively speaking, having been accomplished either in quartz or alluvial workings. It has been found the cost of working the various quartz reefs in the district is too great to leave a profit, the whole of the proceeds being required to pay expenses. The several parties who hold interests on the field are, however, still hopeful of being in the near future able to work the mines in a more economical manner so as to render them remunerative. At Hindon, Sheppard and party are still working quietly, having crushed several small lots during the year, the average yield of which has been much about the same as before—viz., 7dwt. to lOdwt. per top. At Barewood, Wolter and party have done very little during the year, owing to the great expense of having to cart the quartz to the battery for a distance of several miles over a heavy road. What they have done in the way of crushing has given similar results to those reported last year. They have been hoping to come to some arrangement for the construction of a tramway for conveying their stone to the battery; and also, in conjunction with others, to obtain assistance from the Government for the purpose of thoroughly testing the Barewood Beefs by tunneling or otherwise. The party who lately took up the claim formerly held by the Barewood Mining Company have been doing a little in the way of prospecting their ground, and have crushed a small quantity of stone, which yielded, I am given to understand, about 9dsvt. to the ton. The cost of raising the stone, however, by the underlay shaft is too great with other expenses for profitable working. This party are also in hopes of being able to come to some arrangement for working the mine by means of a tunnel, so as to reduce the cost of getting out stone. Mr. P. A. Lyders has recently taken up ground on the portion of the Otago Museum Endowment Beserve in the Nenthorn district, on the opposite side of the Taieri Biver from Barewood, lately proclaimed subject to the Mining Act, and has opened up a reef which gives fairly good prospects of becoming payably auriferous if economically worked. Mr. Lyders has erected a battery, and has crushed about 90 tons of stone, the yield being equal to 7dwt. per ton, This line of reef is supposed to be a continuation of that of Barewood. With regard to alluvial workings, about the same number of men are still working in the old gullies with varying success, some of them barely subsisting on the results of their labour. The tail-race in Styles Gully has again been taken in hand, but up to the present time there has been no sluicing or washing-up in respect of the ground intended to be worked. Owing to the partial cessation of some of the quartz-workings, there have not been quite as many miners employed d"uring the year as formerly; but, in other respects, in relation to settlement, &c, there is no noticeable change to record. 1 have, &c, To the Under-Secretary of Mines, Wellington. E. W. Caeew, Warden.

No. 16. Mr. Warden Bawson to the Undeb-Secbetaey of Mines, Wellington. Sic, — Warden's Office, Inveroargill, 2nd May, 1895. I have the honour to forward herewith the annual returns, and to submit the following report on mining matters in the sub-districts under my charge, for the" year ending 31st March, 1895:— Oeepuki. Alluvial mining has been carried on in the district steadily during the year with about the same yield of gold as for last year. The Mining Association of Orepuki had four or five men out prospecting beyond the Waiau Eiver for several months during last summer, but nothing of any importance was discovered. Bound Hill. The Bound Hill Mining Company has been working all the year with, it is said, satisfactory results. The serious obstacle now to the exhaustive working of this alluvial field is the want of fall to get rid of the tailings, and it does not appear that this difficulty can be overcome. It follows that the higher ground only is available to the working miner with little or no capital. But unfortunately the richer alluvial deposits are found at a considerable depth below the present level of the main sludge-channel. The only way to work this deep ground is to drive up the tailings