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consequence, owing to her enjoying more plentiful resources —farms close at hand, and mining reviving instead of waning. The gold'escort at Arrow being less than that at Queenstown is no criterion of the direction the gold comes from ; it is not an unusual thing to carry gold through one township into another; the reason for such conduct I cannot explain. As a town Arrow is fast developing, as the census returns fully prove. (On Cardrona and Pembroke I have aleady reported.) There are about 400 Chinese in the district, and of these about twelve speak English (six of the latter fairly). The want of an independent paid interpreter is much felt. The Government, or perhaps I should say, the county, is losing considerable revenue through this want, and in the Courts it is very difficult to administer justice among men whose language tho Magistrate does not understand, and wdio has no medium of communication paid to be honest; £150 a year would supply this want. Laivs. —The long-looked for Consolidated Act for the gold-fields has been prematurely born ; its clothes are scarcely made yet, and many of them do not fit. The imperfections are numerous, and in some cases serious. The entire population of this district, amounting to 3,530, is made up as follows : —-Males, 2,361; females, 1,169; of these there are 17 half-castes and 416 Chinese. There are 1,144 houses. The escort returns show an export of gold amounting to 15,666 oz., value £58,765. There have been 77 mining disputes heard. The total amount of revenue from all sources received through this department is £12,928. Statistical returns are appended. I have, &c, H. A. Stratford, The Under Secretary for Gold Fields, AVellington. Warden.

No. 13. Mr. AVarden Simpson to the Under Secretary for Gold Fields. Sir,— AVarden's Office, Clyde, 18th May, 1878. I have the honor to hand you the statistical returns of the Dunstan District of the Otago Gold Fields for the year ended 31st March, 1878. Of the district generally I have to report that it shows, when compared with last year, marked signs of prosperity. The number of miners in the district I find to be about 1,849, or one half of the total male population according to the last census taken. This is almost tho same as last year. The following statement shows a considerable increase in the yield of gold for the year: — Oz. The yield for 1876-77 ... ... ... ... 34,812 for 1877-78 ... ... ... ... 39,084 Increase for 1877-78 ... ... ... 4,272 This increase has beeu entirely in the yield from the alluvial mines. The yield from alluvial mines for 1876-77 shows ... ... 29,633 „ „ for 1877-78 shows ... ... 35,018 Increase for 1877-78 ... ... ... 5,385 The yield from quartz mines for 1876-77 ... ... ... 5.179 for 1877-78 ... ... ... 4, 06 Decrease for 1877-78 ... ... ... 1,113 The increase in the yield from alluvial workings is not due to any new discovery, but to a plentiful supply of water during the greater portion of the season, and for many years to come the supply of water will regulate the yield, for there is no lack of gold deposits payable with a plentiful supply of water judiciously applied. The principal alluvial mines in this district still continue to be at Tinker's, in the Black's Division, and Bannockburn, in the Cromwell. At this latter place the miners have benefited much by the supply of water brought in by the Carrick Range AVater Supply Company's race, which may almost be called a Government work, aided as it was so largely by Government. This race is realizing much of what was expected of it. It has been the means of retaining many of the miners in the district, and, had it not been for the amount required to keep it in repair, being its first season, and the erection of aresorvoir, financially it would have realized all that was expected of it. There is another work in that locality, the construction of which is being aided by public money, which is beginning to show its utility —that is, the construction of a main channel up Pipeclay Gully. This gully had become choked by the discharge of tailings into it, and the miners, who had sought government aid in vain, brought the matter before the Vincent County Couucil, who in their wisdom resolved to give £1 for £1 expended. A company took the matter up, and commenced the work, and their efforts are already beginning to show good results, for several of the claims that were locked up can now be worked. As a speculation it is likely to be a success also ;at any rate, it looks very like it, as in a neighbouring gully, called Smith's, where a similar discharge of tailings is carried on, a private company, without any aid, have started to construct a similar channel. I have made special mention of those cases where aid has been given, with a view to show that it is possible for public money to be expended with good results in the development of gold-miuing, and not to be, as it is too often characterized, a throwing of money into the sea. The two last-mentioned cases also show that the time has come for the systematic working of the tailings from sluicing claims. But, while Tinkers' and Bannockburns' are the principal alluvial diggings, those are not the only places which show an increase in the yield. Alexandra and Teviot also do, particularly the latter, which rather surprises me, as the Molyneux River, on which most of the workings are situated, has been in a state of flood almost the whole of the season, and prevented very profitable work.