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of 195 ft., while the eastern end was driven 180 ft. The lode throughout these lengths has varied in width, widening out at times to as much as 6 ft., but the ground passed through has been unproductive. A winze is at present being sunk in the bottom of No. 6 level west (north lode) in order to prove the value of the lode in depth. West of the incline shaft a crosscut has been driven from the north lode, and the south or old main lode intersected at a distance of 90 ft. We have started to drive east and west on its course. A little prospecting-work was carried out in the upper levels. Throughout the year sundry trial crushings were made from various parts of the mine, while a considerable amount of ground was stoped from the back of the intermediate level. The quantity of ore crushed was 1,664 tons, from which we obtained 844 oz. 14 dwt. 1 gr. melted gold, valued at £3,252 2s. 6d. sterling. A new 30-horse-power electric motor has been placed in position near the brace of the incline shaft to do the pumping and winding when the water-power from the upper ditch fails. This usually happens during the severe frost, and also for a short time in the summer." Skipper's Point. The low level of the Shotover Quartz-mining Company's claim (formerly known as " The Gallant Tipperary Mine ") has been steadily continued, with the object of cutting the block of stone referred to in my last year's report. M-ace to wn. Premier Mine (the Glenrock Consolidated Company, Limited, owners; mine-manager,.Mr. W. Patton). —During the year the main incline has been steadily continued, and at my visit in November last was down 1,200 ft. from the adit-level. The average grade of the incline, which follows a flooring of the reef, is lin 4. When I visited the mine in May, 1899, the face was carrying stone 1 ft. 2 in. wide, and the principal output was from a leader of quartz on the hanging-wall side. This has been since exhausted, and the stone in the incline also pinched out. The incline was, however, being continued on the same grade at the time of my last visit, but up to that time had not cut any fresh stone, although the lode-track is, so far, continuous. A short crosscut on the foot-wall side, near the bottom of the incline, had just met with some quartz which was being opened out upon in two working-places. It is to be hoped that this find will yield a good supply of stone. In consequence of the recent falling-off in the available quartz, the mine has perforce been worked by a reduced number of men. As the reefs of the district are known to be somewhat patchy, the drawbacks of the past few months need not be taken too seriously. Mr. Stanford, the late general manager, having accepted an appointment in Ehodesia, I have been favoured by Mr. Patton with the following report for twelve months ending the 31st December, 1899 :— " Incline. —Work has been carried on continuously during the year. For the twelve months 235 ft. has been driven, and the tunnel measured 1,214 ft. on the 31st December, 1899. The cost of driving this 235 ft., all expenses included, came to £714 15s. 2d., or an average of £3 per lineal foot to drive and timber. During the year the tunnel was not on gold, the stone being on the back of the tunnel, on the foot-wall. The ground was hard, but required timbering throughout, which made the expense very heavy. The grade of the incline has not been altered, being still continued at the original grade—l in 4. By keeping this grade we keep considerably under the stone, which is to our advantage. During the year 2,825 tons of quartz has been crushed, for a total yield of 1,661 oz. 10 dwt. 2 gr. smelted gold, valued at £6,689 25., giving an average yield of 11 dwt. 18 gr. per ton crushed, the highest yield being 1 oz. 2 dwt. 13 gr. in November, and the lowest in October —7 dwt. 2 gr. To obtain this 2,825 tons a great amount of unproductive work had to be done, owing to the reef close to the incline having run very small, and the top or footwall chute gave out altogether during the months of October, November, and December. After a lot of crosscutting and prospecting in various ways we have succeeded in discovering a small body of gold-bearing stone, which we have had opened up and are now stoping. This chute of stone is very small, both in width and depth, and the country through which it passes is much broken, thus making the expense of stoping very great, and our output of quartz small. Prospecting in the mine for a new chute has been carried on in the old high-level adit up to the end of April, but without success, and was discontinued owing to the revenue from the mine being insufficient to pay for the work. At the end of April the tunnel measured 2,172 ft., giving a distance of 59 ft. for the year. The country here is not of a promising nature, but the work of prospecting will no doubt be proceeded with when funds are available. During the year the mill ran 125 days 21 hours. During the greater part of that time fifteen heads of stamps were kept running. The supply of stone being short for part of the time, only one shift, of eight hours daily, could be kept going. The gold, returns for the year show a large falling-off as compared with 1898, which is accounted for by the very small reef to be operated on and the difficulties attending it. The gold from the concentrates, treated by the cyanide process, show a gradual increase, and from 62 tons treated 276 oz. 12 dwt. 15 gr. was obtained, valued at £925 15s. 4d. The financial result of the year's operations has, on the whole, been satisfactory. The mine has paid its way from start to finish, and remitted a sum of £2,024 Bs. 2d. to the London office. In addition to this, we have spent £714 15s. 2d. on Mine Development Account, or the driving of the incline; £28 18s. sd. on New Plant Account; and £275 -19s. 6d. on Prospecting Account (high level), all of which works are chargeable to capital. On Mining Account—that is, rising and stoping—the sum of £2,321 7s. 9d. has been spent to obtain 2,825 tons of quartz, or an average of 16s. sd. per ton. To mill this quantity it has cost £497 18s. Bd., or an average of 3s. 6d. per ton. The total expenditure on revenue accounts for the year, all charges, amounts to £4,636 2s. Id., an average of £1 12s. 9d. per ton. The total expenditure on the mine for the twelve months amounts to £5,696 7s. 10d., or an average of £2 os. 3d. per ton mined and milled. I enclose a tabular statement of returns for 1899, month by month."