C—2

The crudes were bought and treated by N.Z. Oil Refineries, Ltd., which was registered in October, 1931, but this company, together with Moturoa Oilfields, Ltd., has disposed of its rights to Mr. F. J. Dobson, Wairoa, who, having purchased the modern rotary equipment used by the N.Z. Petroleum Co. at Gisborne, will probably drill one or more holes in the locality. The total quantity of oil handled by the refinery since it commenced operations, and particulars of fractions recovered, are given below : Crude oil bought— Well — Gallons. Blenheim No. 2 .. .. .. .. .. 16,117 No. 5 .. .. .. .. .. .. 9,195 Moturoa No. 1 .. .. .. .. .. 71,786 Moturoa No. 2 .. .. .. .. .. 1,405,268 Moturoa No. 3 .. .. .. .. .. 1,000 Moturoa No. 4 .. .. .. .. .. 380,583 Total .. .. .. .. .. 1,883,949 Difference .. .. .. .. .. 16,589 Total .. .. .. .. 1,900,538 Fractions recoveredPetrol .. .. .. .. .. .. .. 399,287 Distillate .. .. .. .. .. .. .. 118,443 Power kerosene .. .. .. .. .. .. 319,880 Cleaning kerosene .. .. .. .. .. .. 210,264 Diesel oil .. .. .. .. .. .. .. 202,900 Residue oil .. .. .. .. .. .. 569,440 Loss .. .. .. .. .. .. 80,324 Total in still .. .. .. .. .. .. .. 1,900,538 Accidents There are no fatalities or accidents of a serious nature to record. Prosecutions There were no prosecutions. WEST COAST INSPECTION DISTRICT (G. W. Lowes, Inspector of Mines) * Quaetz-mining This section of the mining industry has not been able to survive the acute labour shortage and high production costs, consequently, there is only one mine left working in this inspection district. Incmgahua County Blackwater Mine, Waiuta. —A total of 21,548 tons won from stopes and development were treated for 7,425 oz. 12 dwt. of gold recovered by amalgamation and cyanidation, which realized £79,407 18s. 9d. The total footage driven was on Nos. 15 and 16 Levels north and south, with 709 feet on reef of average value of 13-46 dwt., average width 27*8 inches, and 216 feet of crosscutting was carried out in connection with the various development drives when faulting caused displacement of reef. Out of a total of 289 feet of rising on two lowest levels, 235 feet was on reef averaging 13-34 dwt. over width of 24 inches. At three points in No. 15 Level 101 feet of winze-sinking was completedj 75 feet being on reef averaging 10-34 dwt. over a width of 22-5 inches. During the year, in addition to excavating for pump chambers, magazines, and other purposes, feet of development was carried out, 1,019 feet being on reef, average value being 13-24 dwt. over width of 26-5 inches. With the labour force being much below mine requirements, development footages receded to a point seriously affecting ore reserves, a position somewhat balanced by a lower output to mill. The tonnage crushed is less than half of the capacity of mill, but any attempt to increase returns by increasing output with present labour force would soon be reflected in a quick decrease of ore reserves and finally laying up of mill. The only remedy for improvement is the employment of additional labour to step up development at least 100 per cent, above the footages for 1946.

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