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Iron-ore.—ln the Onakaka district 279 tons of iron-ore were quarried and ground for disposal to gas companies. A sum of £687 was realized for the amount produced. Talc and Magnesite.—The Takaka Lime and Marble Co. quarried 111 tons of talc and magnesite from the mineral license held by the company at Takaka. Arsenic. —From the roasting-furnace at Blackwater Mine treatment plant, 17 tons 2 cwt. arsenic was obtained, which was disposed of at £lB per ton. General Remarks : Mining and Prospecting Although hostilities in Asia and Europe ceased during the period under review, the beneficial effects on the mining industry of peacetime conditions are not yet apparent, due to the lag between urgent war production and change over to peacetime needs. Labour shortage is still acute. Difficulties in replacing worn-out plant, &c., are not yet surmounted, but there is now prevalent an optimistic outlook for the future of gold-mining by shareholders in operating and idle mining ventures. Prospecting for quartz reefs or alluvial deposits dropped to the lowest point recorded in the past decade. Five companies bored forty-eight holes totalling a depth of 3,547 ft., but more vigorous efforts are anticipated in the coming year, and the diamond drill may play a prominent part in future operations. Fatal Accidents One fatal accident occurred during the year as follows : Kaka Clay-pit, Kaka. — l On 18th July, 1945, Jack Wilfred Barker, miner, was seriously injured by a fall of roof clay in Polglaze's Clay-pit at Kaka, Nelson. The injuries later proved fatal. Serious Non-fatal Accidents Two serious non-fatal accidents occurred during the year : Dredges.—On 16th May, 1945, David Cornelius Jellie, electrical superintendent, Arahura Dredge, suffered a severe injury to his right eye following an explosion of electrical power factor meter. The eye was later removed. On 14th July, 1945, J. H. Werner, dredgemaster, Waipuna Dredge, while crossing a mooring-line which struck a small manuka stump, was caught by the rope and received compound fracture of left leg, broken right arm, fractured shoulder-blade, and severe shock. Prosecutions under the Mining Act Nil. SOUTHERN INSPECTION DISTRICT (T. McMillan, Inspector of Mines) Quartz and Alluvial Mining Waitaki County Sluicing operations have been carried out in the auriferous gravels of the Livingstone and Maerewhenua Goldfields. Waihemo County The major portion of the plant and buildings of the Golden Point Gold and Scheelite Mining Co. has been sold and removed from Deep Dell. Gallery Party, Deep Dell, Macrae's.—-Prospecting and development work has been carried out on both sides of Round Hill. A considerable area has also been stoped, and 126 tons of ore has been treated at the Deep Dell Battery. Maniototo County The alluvial mines at Naseby, Kyeburn, St. Bathans, Cambrians, and Patearoa have operated steadily whenever water was available. Tuapeka County Mining operations have been continued at the Sailor's Gully tribute mine, Waitahuna Gully> by the Hore party. The Blue Spur and Gabriel's Gully party only operated for a short period at the beginning of the year. Southland County Sluicing operations have been carried out in the auriferous areas of Waikaia and Nokomai. Wallace County Sluicing operations have been carried on regularly in the Orepuki old township workings. The Round Hill Gold-mining Co. has had to operate with one shift daily, the staff being reduced to eight men, with the result that operations have been again reduced. Three acres of ground have been stripped to a depth of 30 ft., and half an acre has been worked to a further depth of 30 ft. The 30 ft. of stripping contained about 20 ft. of buried timber .and about 3 ft. of low-grade auriferous gravels. The lower 30 ft. has consisted mainly of hard lenses of clay which had to be drilled and blasted. Shortage of labour and difficult conditions have slowed up operations very considerably. The water-supply has been good.

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