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GOLD- AND SILVER-MINING. The great increase in the number of claims taken up during the year 1896-97 led to the flotation of many companies, both in New Zealand and in London. In consequence, many of those companies that attempted to open up new mines with insufficient capital have expended all their funds, and in a large number of instances the claims and holdings have been abandoned. This has caused a considerable falling-off in the prosecution of mining operations during the past year, and the work done has not proved of the great advantage to the industry that was expected. Large amounts have heen expended in prospecting and searching for reefs in places where the indication of the existence of gold-bearing quartz was absent. In other parts, where reefs were discovered with fair prospects of yielding payable quartz, works were carried on in development in a half-hearted manner, and in many instances of such questionable utility, that claims have been abandoned at a time when, had the expenditure been carried out in a more judicious manner, the results would probably have proved the existence of payable mines. The desire to erect machinery to test quartz before the mine developments warrant such expenditure, is a failing frequently attendant on gold-mining in different parts of the world, and it must be admitted that instances of this kind have tended to disappointment in the New Zealand goldfields during the past year. The good work carried on by many of the mining companies in conducting operations on a sound and practical basis, with skilled and careful management, will, however, lead to the steady expansion of the industry, and to an increase in the number of payable mines. The following statement of the quantity and value of gold entered for exportation during 1897-98 shows the continued importance attached to the industry: —

In the Auckland District there was an increase of 14,614 oz. of gold—from the Thames County, 73 oz., and from the Ohinemuri County, 26,617 oz. Coromandel County shows a decrease of 10,692 oz.; Piako County, 35 oz.; and Borough of Thames, 1,349 oz. In the South Island, Marlborough showed a decrease of 170 oz.; Nelson, 1,776 oz.; West Coast, 5,427 oz.; and Otago, 5,421 oz. The yield of gold is nearly equal to that of last year, the difference being a slight decrease compared with the returns for 1897. Most hopeful anticipations must be formed of a substantial increase in the value of the yield of gold for next year, consequent on the addition to quartzcrushing machinery and to the number of dredges and improved hydraulic appliances in the alluvial fields.

QUARTZ-MINING. The great impetus given to quartz-mining by the judicious expenditure of capital in the development of mines and erection of machinery, will show that many companies are now established on a sound basis, and the properties are most valuable investments. The profits to be derived will not probably be in some instances such as shareholders would wish, but it must be borne in mind that over-capitalisation is responsible to a large extent for a smaller rate of dividend than would have otherwise obtained. The following list of companies outside the colony connected with New Zealand mining shows the vast interest taken in developing the industry : —

Name of District. Year 31st Mai ended •ch, 1897. Year ended 31st March, 1898. Increase for 1898. Auckland Marlborough Nelson West Coast Otago Oz. 93,876 789 2,534 71,548 88,166 256,913 £ 358,231 3,070 9,544 286,261 358,636 Oz. J 108,490 619 : 758 66,121 75,504 £ 401,602 2,400 2,853 264,481 304,862 I Oz. 14,614 Totals 1,015,742 251,492 976,198

Name. Locality in which av,«va Operations 0 |$™ are being carried on. * British Office. inglo-Continental Gold Syndicate (Limited) mglo-New Zealand Mines Investment Lpakura Syndicate iroha Gold-mines Lchilles Goldfields Jlagrove's Freehold Gold-mining Company 31ue Spur and Gabriel's Gully Consolidated Gold Company Jritannia (Hauraki) Gold-mining Company 'ollingwood Goldfields General Aroha Otago Coromandel Otago £ 100,000 100,000 1,800 100,000 100,000 62,500 130,000 Austinfriars, London. 54 and 55, London Wall. 10, Bloomfield Street. 30 and 31, St. Swithin's Lane. 11, Poultry, E.C. 97, Dashwood House, E.C. 6, Great St. Helen's. Coromandel Collingwood', Golden Bay Coromandel Reefton General 100,000 150,000 34 and 36, Gresham Street, E.C. 46, Queen Victoria Street, E.C. iolville Company 'onsolidated Goldfields of New Zealand Joromandel Exploration Syndicate Jromwell Gold Company )olcoath Gold-mining Company (Hauraki Peninsula, New Zealand) )ual Syndicate 5ast Hauraki Gold-mining Ithel Reef Gold-mining Company Coromandel 7,500 225,000 2,000 100,000 150,000 7, Drapers' Gardens, E.G. 30, St. Swithin's Lane. 6, Great St. Helen's. 54, Old Broad Street, E.C. 142 and 143, Palmorston Buildings, E.C. 3, Clement's Lane, E.C. Pinsbnry House. Dashwood House E.C. General Coromandel Te Aroha 10,000 100,000 120,000