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c—a

Ohinbmuei Distbict. This promises to be one of the richest mining districts in the colony. For several years after the Counties Act came in force, this district was included in the Thames County, but at that time the revenue from it was so little that it was considered a drag on the Thames County to keep up the maintenance of the main road between Paeroa and the boundary of the Tauranga County. Mines had been opened at Karangahake for many years, and all the mining operations on that field for a long time proved a failure. At Waihi the Martha Eeef was worked by the Martha Company, the working of the mine barely paying expenses. The mine at Waitekauri was considered worked out; and all the mining ventures in the Ohinemuri had a gloomy aspect. Such being the case, the district was totally neglected in the matter of roads and tracks. Some of those interested in the district, seeing that the Thames County would expend no money to open it up, petitioned the Government to make it a county by itself. Since then the district has gradually been opened up, and it now contains some of the best mining properties in the colony. There is still a large area in this district where little or no prospecting has been done. Indeed, there are some parts of it between Waitekauri and the East Coast where very few persons, if any, have ever traversed. There are numerous outcrops of quartz lodes on the east side of the range where gold has been found, although they have never been properly prospected to see whether they contain payable ore or not. Some years ago rich discoveries of auriferous and argentiferous stone were reported to be found at Whangamata; but at that time the Cassel process was not in use, and by the ordinary battery process the ore did not give sufficient bullion to pay the cost of working the mine, transit, and crushing —the quartz having to be carted for some distance to the seacoast and thence shipped to the Thames —the result being that the mines were abandoned, or, at least, all mining operations were suspended. Between the Whangamata reefs and Waihi there is a large lode cropping out from which it is said gold has been got; but, as there are no roads or tracks into this part of the country, very few care to undergo the hardship of prospecting, having to carry their tents, tools, and provisions on their backs for some miles in a rough broken country heavily timbered, and with dense undergrowth. There is to all appearance a great future in store, as far as mining is concerned, for the Ohinemuri district; but it requires to be opened up by good tracks being formed, to enable provisions to be taken by horses to the places where mining operations are carried on. There are three large and important mining localities in the Ohinemuri district —namely, Karangahake, Waitekauri, and Waihi; and, although mining operations are not carried on to such an extent as at the places mentioned, Owharoa may be placed in the list of localities where mining has in the past, and is likely to be in the future, successfully carried on. During the year ending the 31st March last there were 543 men employed in the mines, only five of whom were working on tribute. This in itself indicates that the ground is sufficiently rich to pay more than the expense of working, as it is generally admitted that the mines are only let on tribute when they cannot be made to pay the expense of working by regular wages-men. There were 31,220 tons of ore crushed, which yielded 16,5710z. 15dwt. of bullion by amalgamation and 76,3590z. 19dwt. by the cyanide process. In addition to this, 19,837 tons of tailings were treated, which yielded 31oz. sdwt. of bullion by amalgamation and 17,6650z. 7dwt. by the cyanide process; making the total of the bullion obtained for the year to be 110,6280z. ldwt., representing a value of £137,699, as against 68,6030z. 3dwt. of bullion, representing a value of £107,000, for the former year, thus showing the increase in the yield for last year to be 42,0240z. 18dwt. In round numbers the increased value of the bullion produced from the mines last year was £30,700. The value of the bullion varies greatly in the different localities, and even on the same field; as, for instance, the bullion from the Crown Mine at Karangahake is worth more per ounce than the bullion from the Woodstock or Talisman Mines; and, again, the bullion from the Union and Eosamond Mines at Waihi is worth more than some of that produced from the Martha Mine, although the lodes are a very small distance apart. Karangahake. Although this field has been opened for over twenty years there has been comparatively little work yet done to develop its mineral resources. In March, 1875, it was proclaimed a goldfield, after which it was almost deserted for many years, until a revival in mining took place in 1882, when a large number of claims and licensed holdings were taken up ; but, unfortunately, there were but few of them that ever proved profitable investments to the holders. Assays of the ore from many parts of the field gave high results, but when it came to be treated by the methods formerly used very little of the assay-value was obtained. It may be said that before the introduction of dry-crushing, and leaching the ore with cyanide solutions a very small percentage of the value of the bullion the ore contained was saved. A reaction in mining has set in, and a large number of claims and mining rights are now taken up on this field; but mine-owners are still making the same mistakes as formerly by erecting small plants at each mine, instead of having one large and efficient plant for several mines for the reduction and treatment of the ores. When the Crown Company erected their plant it was thought that they would make their plant sufficiently large to be a custom plant, and that any other mine-owner would be able to get ore crushed and treated at a reasonable rate; but from the experience gained by the Talisman Company it is not likely that much ore will ever be treated at the Crown Company's plant other than that coming from its own mine. The Talisman Company got 280 tons of ora treated at the Crown plant, which yielded bullion to the value of £8 ss. per ton. The terms on which this ore was treated were said to be as follow: The actual expenses in connection with working the plant to be paid by the Talisman Company, as well as 20 per cent, of the value of the bullion extracted. This brought up the expense of the treatment to something like £3 15s. a ton, including cost of transit. It therefore would require rich ore to pay expenses. The Talisman and Woodstock Companies are now erecting two separate small plants close alongside