C.—d.

Sir Francis Drake, Merrijigs. —Owing to disagreements between the owners, work has not been carried on vigorously. A new company under the title of the New Scotia Gold-mining Company has recently been formed to work this property. The company consists of twenty-four thousand shares of 10s. each, of which six thousand shares have been allotted to the vendors as being fully paid up in payment of their interest. The new proprietary are now proceeding to erect a cyanide plant capable of treating all the tailings now stored on the dump and those produced by the battery. On the property there are various large ore-bodies of a low-grade quality, which it is expected can be made to pay under the latest scientific cyanide treatment. Cumberland, Merrijigs. —Two small trial crushings took place during the year with the object of ascertaining the value of the stone found in the lower workings, but both proved disappointing, the greater portion of the stone treated being of low grade. Prospecting operations have been steadily proceeded with throughout the year, but beyond good formation and large quantities of very low-grade ore there has not been any feature calling for further mention. At present the work being carried on consists of the driving of a series of crosscuts from No. 2 level. Snowy Creek Mine, Snowy Creek. —The sinking of the main shaft to a depth of 110 ft. has been completed since date of last report. Under agreement with the company, Messrs. Duffy, Sogers, and party have erected a five-head stamp-battery, with all necessary appliances; and in consideration therefor have received a tribute of the mine for eighteen months, commencing from the lst September last. The tributers are to pay the company 10 per cent, of the gold obtained, and at the expiration of the tribute the company have the right to purchase the battery and plant at a valuation. An intermediate level has been driven from the winze both north and south on the reef, which is now proved about 70 ft. in length to date. It will average throughout about 2 ft. in width, and shows good gold. Over 100 tons of stone is on the surface, and crushing is about to be commenced. Kirwan's Beward, Victoria Bange. —On behalf of the company Mr. G. Perotti has nearly completed the erection of a ten-head battery and aerial tramway, which latter is 78 chains in length, and connects the mine with the battery. Crushing will commence shortly. In the mine, No. 1 tunnel has been extended a distance of 64 ft., making the total distance driven 630 ft. An uprise has been put through from the tunnel to the shaft, connecting with the surface, a distance of 140 ft. Two shafts have been put down from the surface to connect with this tunnel, the depths being 66 ft. and 195 ft. A considerable quantity of loose stone has been collected on the surface for the purpose of keeping the battery constantly crushing. Golden Lead, Merrijigs. —The driving of the low-level tunnel was continued during the year, and is now in 1,700 ft., being 460 ft. past the perpendicular of the lode in the upper level. The whole of the ground passed through was very hard, not requiring any timbering. The driving of this tunnel has been discontinued for the present, and a shallower level is being proceeded with at the extreme north end of the lode. The company have been prospecting for the last five years without beneficial result. Mr. B. W. Spencer, the general manager and engineer of the Progress Mines and Consolidated Goldfields, has supplied me with the following information concerning the claims under his charge:— Progress Mines. —The following is a resume of the work done during the year: In all 2,200 ft. of driving on the line of reef, 1,049 ft. of crosscutting, and 996 ft. of raising and sinking has been done, besides the main shaft which was sunk from No. 7 to No. 9 level, a vertical distance of 200 ft., making No. 9 level 1,116 ft. from surface. The development has been carried on in a general manner all over the mine, particularly on the eastern section, where we have done a considerable amount of driving and crosscutting both at No. 1 and No. 3 levels, with the object of intersecting our north and south fclock of stone which was first encountered at No. 4 level. On this level we have both raised and sunk, showing it to be of large dimensions. No. 7is being extended east by rock-drills. Nos. 8 and 9 levels have both been driven extensively, and stoping is now proceeding in a general manner throughout the mine from No. 9 level up to No. 4 by hand-labour, with the exception of No. 4, where the large ore-body makes it possible to stope with machines. The output of quartz during the period under review amounted to 44,172 tons, this quantity being transported over the aerial tramway to the mill. At the mine no alteration of importance has been made, the only addition being a feed-water heater for the boilers supplying the compressor and hoisting-engine. At the battery the crushing-plant has been increased from forty to sixty-five stamps, the new twentyfive being of the same dimensions as the original forty. The erection of the new twenty-five was completed during the last week of February, since when they have been steadily at work. The power for driving the extra stamps is obtained by the substitution of a double nozzle instead of a single one as heretofore, the same 6 ft. Pelton being still in use. The old twenty-stamp mill has practically ceased to work, the final clean-up being now in hand. The old mill, together with the forty-stamp mill, put through 43,432 tons during the preceding twelve months, yielding 19,312 oz. 18 dwt. lgr., of the value of £80,295 19s. sd. The chlorination works during the same period treated 887 tons of sulphurets, producing 2,579 oz. 11 dwt. 17 gr.- of gold, of the value of £10,782 6s. 3d. A cyanide plant is now in course of erection, which is for the purpose of treating the old accumulated tailings. Six treatment-tanks, 25 ft. in diameter by 7 ft. in height, and three sumps, 25 ft. in diameter by 6 ft. high, are being built in wood. A 4 in. centrifugal Tangye pump will be used to throw up the solution to the treatment-tanks. The sands will be elevated by a blow-up into a launder, which will convey them to three Wilfley concentrators, after passing over which they will gravitate into the tanks for treatment, and be finally discharged into the main tail-race. The plant should be in working order shortly. * Golden Fleece Group. —During the period under review most of our work has been confined to the low-level tunnel. We struck the stone in April, 1899, and since have been pushing develop-

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