THE GOLD-FIELDS.
TUAPEKA.
(from our own correspondent.) Wednesday, July 2nd.
The persons mentioned in one of my last week's letters as having discovered a quartz reef, came into Wetherstone's on Monday. They are still working on the reef, which shows better prospects than ever. It is their intention to procure stamping and crushing machinery from Victoria, which will be driven by water power. The locality of the quartz reef is in the neighborhood of the Junction, Waipori, and about a mile from the Camp on the Tuapeka road. The reef crosses the road and is visible on the surface for about 100 yards. The specimens brought in by these men on the present occasion are not particularly rich, but the gold is well through the stone, and would pay handsomely for crushing. In reference to the discovery of this reef by the Bendigo men, I have received a letter from a miner named Williamson, and as it gives a succinct account of the operations of himself and party during the month of March, I append it:—
Sir,— A party of six Victorian miners (Shetland men) found the reef in March; they found gold all over it on the surface, and commenced a paddock on the highest part of the reef, broke the stone as fine as they possibly could with picks, then washed with tub and cradle. They stripped twelve feet long by three feet deep, and followed the reef down, with a small shaft, about twelve feet deep, from which they got 7 ounces of gold for two weeks' work. The reef then became so hard they could not get the gold out of the stone; and, having no timber, with the surface water it commenced caving in; consequently, they gave it up, and shifted to another gully, which some of the parties had got a payable prospect in. They wrought there for some time, then separated, and only one of the originals is in the present company. The reef is from two to three feet wide, and visible on the surface for seventy or eighty yards, and gold all over it, wherever we have tried. It is situated on the leading range, between Waipori and Tuapeka, in a southerly direction, distant one mile from the Camp, Waipori. The Bendigo men you refer to know nothing about the reef whatever. I merely write this for your own information, as the Commissioner has been on the ground, and taken out specimens with his own hand this morning, and we have applied to the Government in town, through the Commissioner, on account of machinery, &c. Your obedient servant, Andrew W. Williamson.
From the foregoing, it would appear that the existence of this reef has been known tor some time, but that the difficulties of working it had caused it to be abandoned. It is to be hoped it will now receive a fair trial, for, if it proves, as I have every reason to believe it will, highly remunerative, we have as yet only obtained the faintest glimpse of the brilliant future of Otago. Having a plentiful supply of water, it will be possible to crush and make a profit out of stone that would have to be thrown away in Victoria. Indeed, I believe it will not cost, with water as the motive power, above 2s. 6d. a ton for crushing. -Otago Witness, 5/7/1862.
The Quartz Reef to which we have once or twice before referred, in the neighborhood of the Waipori, proves to be a fact. The prospectors, Messrs. Hosea Fraser and Andrew Williamson, have applied for a prospecting claim, on the following terms: — They undertake to put eleven men on, the first three months, and twenty to twenty-five men afterwards; to oeret machinery to the value, including labor, of £4000. The machinery to consist of three batteries of four stamps each, to be driven by water-power. The first battery to be completed within three months, the other two as soon as possible afterwards. The reef is described as situated on the leading ridge to Tuapeka, one mile in a southerly direction from the Waipori township. The prospectors state that the gold is finely interspersed in the stone, and that in one fortnight they obtained 7 ounces, by breaking up the quartz with picks, and washing the powder in a cradle. -Otago Witness, 26/7/1862.
Waipori
A work of some consequence has lately reached completion — the Shetland Quartz Reef Company having just finished a good road from the reef to the site of their quartz crushing mill, now in course of erection. It is anticipated that the machinery will be ready some time in December. About 200 ounces of gold were understood to be purchased by the bank during the week ending 10th November. -Colonist, 2/12/1862.
WANTED
Two Carpenters, to erect machinery for the Otago Pioneer Quartz M. Co, Waipori. Apply between 9 and 11 o'clock, a.m. W. Fulton, at W. Stavely and Co.'s, Walker street. -Otago Daily Times, 16/2/1864.
A specimen of gold-bearing quartz has been forwarded to the Government, which was taken from the newly discovered quartz reef at the Waipori. The specimens are only small, but apparently exceedingly rich, the gold appearing throughout and standing in relief from the surface of the stone. -Otago Daily Times, 12/4/1864.
QUARTZ MINING IN OTAGO
[communicated.]
Within a month of being two years ago, a party of miners camped on the south side of the leading range, opposite, and about a mile from the township of Waipori junction. Everything was bleak and cheerless, for it was during the unusually heavy snow fall that occurred here about that time, and which lay knee-deep for nearly three weeks, but, intent upon proving whether a block of quartz that cropped out on the surface, would, or would not run into a reef and become payable, these men heeded little, and cared less about the occasional severity of an Otagan winter. They were the first shareholders of what has been most appropriately styled "The Otago Pioneer Quartz Mining Company."
Up to the time in question, no auriferous quartz reef had been discovered in the Province, and few believed even in the existence of such a thing; but, strong in their faith, they put aside the senseless prejudice, and set themselves to grapple with the more material obstacles to their progress, and these were of no ordinary nature. Everyone who has had experience in quartz mining knows how tedious and expensive it is to thoroughly prospect a reef, even under the most favorable circumstances, and such only can form a conception of the difficulties this company encountered in its early stages.
Step by step, however, they advanced, and when it became apparent that the stone was payable, then, under the able superintendence of the engineer and manager, Mr Fulton, and working well together and with a will, the company set about building a dam, cutting a water-race, and erecting a wheel capable of driving a prospecting battery of four heads of stamps. But timber for the latter part of the work could be had in quantity only from the Waipori bush, a distance of eight miles, and there was no available track. No matter — creeks were bridged over, a track cut down into the heart of the bush, trees felled, sawn, and conveyed on sleighs to the plateau above the river — and so the timber was procured. From this time forward the success of the company became assured, and as a consequence, the value of shares - hitherto comparatively unsaleable — rapidly increased.
The period above alluded to may be looked upon as the dawning of the company's prosperity, for a well defined reef had been traced for a considerable distance, and the stone yielded satisfactorily, but patient and prudent they continued to prospect and ascertain the quality of the stone at a still greater depth before they would incur an outlay such as would be required for the erection of more permanent and efficient machinery. The stone found in the several shafts, sunk to test its value, exceeded their most sanguine expectations; their permanent machinery is completed; and the company made it the occasion for inviting a number of gentlemen to be present at its informal starting, and also to partake of what proved to be an excellent and savoury repast.
Starting from the new tunnel, entered at a leve1 of forty feet below the original workings, a stiff cutting, some three quarters of a mile in length, has been carried round the spurs, and a substanial tramway laid down, along which the stone is conveyed in trunks to the machinery and "tipped" into an inclined plane or shoot leading to the feeding boxes. The motive power in this, as it was in the company's prospecting- machinery, is water, acting on a wheel 21 feet in diameter, with a width of 4 feet and capable of being worked up to 35-horse power. The whole of the plant is from the works of Mr A. K. Smith, Carlton Foundry, North Melbourne, and is creditable to that gentleman as it is to Mr Fulton for the manner in which it has been put together. In neatness of finish, compactness, apparent durability, and absence of vibration, the writer of this has rarely seen it equalled and never surpassed in Victoria. There are two batteries of five revolving stamps, each stamp weighing, when mounted, 5 cwt., and a very marked improvement is noticeable in the substitution of a screw or thread, and keynut whereby to fix the discs instead of the old manner of having them keyed onto the stalk. The stamps are fed by hand, and the boxes have front, end, and back deliveries. The objection that water from the end and back deliveries creates a current, or is not equally spread over the tables, Mr Fulton has removed by the very simple contrivance of conveying of this water into a perforated gutter the width of the tables, thus securing its equal distribution over them, and in fact every recent improvement in quartz-crushing machinery has been introduced.
Charles Worthington, Esq. Warden of the district, performed in the usual manner the ceremony of starting the wheel, and hoped that each revolution it made would turn gold into the pockets of the shareholders — a sentiment received by those who were present with three as hearty cheers as ever made hill and dale ring again. The only blank face observed amongst the company was that of a drouthy subject who whispering to a neighbor, inquired if it could be possible the bottle did really contain veritable champagne, and being answered in the affirmative, remarked, with intense disgust pictured in his countenance, that by adroit manipulation a bottle of tea, capsuled so as to imitate the genuine article, would have served every purpose, and that then the nobler liquor could have been put to its more legitimate use.
The company now adjourned to the workshop, in itself a model of neatness and order, as indeed everything connected with the works is, bearing ample evidence that there is no slipshod or slovenly management about the concern, and also that the Manager must be cordially seconded and supported by his fellow-shareholders.
When the good things provided had been done ample justice to, Mr Worthington was voted to the chair, and the usual loyal toasts were received with a fervour sufficient to convince the most sceptical that the removal of Englishmen to the antipodes serves but to intensify their loyalty; and after the healths of his Honor J. Hyde Harris, Superintendent of the Province, and Vincent Pyke, Esq., Secretary or the Gold Fields, had been received with the honors, the Chairman called upon the company for a bumper, and proposed — ''Success to the Otago Pioneer Quartz Mining Company, coupled with the name of Mr Fulton, manager of the works." The Chairman said it afforded him an usual degree of pleasure to be there on that occasion, as, from personal observation, he could testify to the ability displayed in the management of the works, and to the energy and perseverance with which they have been carried out. The Otago Pioneer Company has established, beyond the possibility of doubt, that there existed in the Province a quartz reef which, if not equal in richness to some reefs elsewhere, promised results that could not be otherwise than satisfactory. By no means wishing to lessen the credit due to individual members of the company, he must still in a great measure ascribe their marked success to the competent management, unfailing zeal, and high engineering abilities of Mr Fulton. He hoped the day would be an era in the permanent prosperity of the. district, and that the shareholders were on the eve of gathering the fruits of their long and arduous labor.
Mr Fulton, in returning thanks, took little credit to himself, for if he had not been heartily seconded by the other shareholders he could have achieved little in the way of rendering their undertaking successful. He briefly sketched the prejudices they had to combat, and the difficulties they overcame, and concluded by asking leave - as no regular programme had been prepared — to propose a toast, and he would give "Chas. Worthington, Esq., R.M. of the district." Wr Worthington had been connected with the Waipori goldfields since shortly after it was opened, and it was unnecessary for him (Mr Fulton) to tell the present company, that that gentleman had succeeded in winning and retaining the respect and esteem of every man in the district.
The toast having been drunk with all the honors, Mr Worthington briefly returned thanks for the very warm and flattering manner in which it had been received.
Mr Greaves would avail himself of a remark made by Mr Fulton — namely, that no programme had been prepared, and with the chairman's permission he would propose "Success to quartz mining, coupled with the name of Mr John Goodall, of the Nuggetty Gully Quartz Mining Company.
Mr Goodall in responding stated that he had had experience in quartz mining during the last six years, and in a very neat speech he complimented the shareholders on the indomitable pluck they had displayed in overcoming difficulties that might have staggered even a Stephenson or a Brunel, with similar means at their command.
"The Commercial Interest of Waipori, coupled with the name of Mr Henry Cable, of the firm of H. Cable & Co" was responded to by that gentleman, and was also spoken to by Mr Whittington, of the firm of Whittington and Scanlon.
"The Mining Interests of Waipori, coupled with the name of Mr Henry McCay;" and "The Wardens of the Gold Fields," were each responded to, at which stage of the proceedings the Chapman informed the meeting that he must reluctantly vacate the chair, as he had to ride across country to Waitahuna, and had barely allowed himself time to do so before nightfall.
Mr Henry Cable having been moved to the chair, a number of other toasts were proposed, and that of "Our next merry meeting" wound up the proceedings of a day spent as pleasantly as the most confirmed pleasure-seeker could desire.
Evil-disposed people were heard to state on the following day that some persons "sung who never sung before " and one vile slanderer was malicious enough to say that a gentleman who was deprived of his personal liberty by having been inadvertently locked up in the workshop, was found occpying the place of croupier in the morning, endeavouring gravely to address an imaginary chairman in reply to some equally imaginary toast. To apply the mildest term to such slanderous peculations, the writer thinks they are pure fictions.
Waipori Junction, June 9th, 1864. -Otago Daily Times, 16/6/1864.
The Otago Pioneer Quartz Mining Company have commenced operations at Waipori with a water wheel of 32 horse power driving two batteries of five revolving stamps, each stamp weighing five cwt. -Wanganui Chronicle, 6/7/1864.
Legal Notices.
NEW ZEALAND. No. 8. Certificate of Incorporation of the Otago Pioneer Quartz Mining and Crushing Company (Limited), under "The Joint Stock Companies Act, I860."
I, ALFRED WILLIAM SMITH, Registrar of Joint Stock Companies, do hereby certify that the Otago Pioneer Quartz Mining and Crushing Company is incorporated under "The Joint Stock Companies Act, 1860," and that it is a limited company.
Given under my hand, at Dunedin, this 31st day of December, 1864.
(Signed) A. W. SMITH, Registrar of Joint Stock Companies for Otago and Southland. -Otago Daily Times, 4/1/1865.
The manager of the Otago Pioneer Quartz Crushing Co., Waipori, reports the following returns for the week ending Saturday, the 21st instant:— 73oz 8dwts 15grs of gold from 130 tons of quartz; value, L277 4s. The working expenses during the same period were L152 19s, leaving a balance of profit of L124 5s. -Otago Daily Times, 26/10/1865.
The shareholders of the Otago Pioneer Quartz Company (Waipori) are now in a fair way to reap the rewards of their enterprise and patience. Established some three years ago, the result of its operations has enabled it to pay for the whole of its plant, which has cost some £12,500; and according to Mr Shell’s (the agent for the company) report the crushing for the fortnight ending 18th inst., was as follows — l30 tons yielded 95oz 15dwt 12gr; value £361 10s 11d; working expenses, £147 18s; leaving a balance to credit of £213 12s l1d; enabling a dividend of £l0 for each twenty-fourth share, or £1 for each £50 certificate for the fortnight to be declared. -Evening Star, 23/11/1865.
Mining Intelligence
The fortnightly washing-up of the Otago Pioneer Quartz Crushing Company took place last week, with results the best yet obtained. Over 120 ounces were got on that occasion. The washings during the last eight weeks show a steady increase, and have gradually risen from 95 ounces to the present yield. The quantity of stuff passed through the stampers in the fortnight, averages about 130 tons. At present, they are working at a depth of 100 feet, with the reef at 174 feet thick. Last week they added a new amalgamator to the establishment, with which they propose to extract the gold from the stuff caught upon the blankets after it has passed over the ripples. This stuff is scraped off the blanket every fortnight and stored up. At present, they have a fifteen months' accumulation, which they intend to operate upon, so as to have the gold extracted therefrom, included in their next washing. -Evening Star, 26/12/1865.
Commercial
We may mention prices obtained for shares lately: — Otago Pioneer Quartz, we placed at L51, and subsequently at L50 (par). A good deal of business has been done in this scrip. -Otago Daily Times, 5/2/1866.
O.P.Q. CRUSHING COMPANY, LIMITED.
(From the Daily Times, March 19 )
The annual general meeting of the shareholders of the company was held at the works, Waipori, on the 16th inst. There were present — Messrs Gerrand, Farrer, Stewart, Mann, Foxcroft, (Directors); Barron and Grant, Cooper, Mackenzie, and Sholl. Upwards of three-fourths of the capital was found to he represented by shareholders present, and by proxy.
Mr H. N. Gerrand, one of the directors, was called to the chair. Mr Daniel Hunter, manager of the Company, produced the notice convening the meeting, and at the instance of the chairnan, read the following reports and statement of accounts: — First Annual Report of the Otago Pioneer Quartz Mining and Crushing Company, Limited. To the Shareholders: —
Gentlemen — In coming before you with their first annual report, your directors are much gratified in being able to state that the Company is in every respect in a thoroughly safe and prosperous position. The machinery is in first-rate working order and condition, works well and is thoroughly adapted for its purpose; the mine is being wrought in a systematic, creditable and workmanlike manner, and the yield of gold has been of late, and still continues, highly remunerative. In all these respects your directors see cause for congratulation, and the fact that the dividend declared sinceNovember last — a period of three months and a-half — have amounted to no less than L9 15s per L50 scrip, or equal to about 50 per cent, per annum on the present subscribed capital, will doubtless enable you to participate in the satisfaction they feel at the present position, and future prospects of the Company.
As it will be your duty to-day to appoint a new Board of Management, your retiring directors desire to place on record their opinion on some matters connected with the Company which have come under their consideration, and which it has been deemed desirable to reserve, to be submitted at this meeting.
The manager is deserving or every favorable mention for the highly creditable and efficient manner in which he has conducted the mining operations under his charge. By his improved management, he has considerably lessened the cost of extracting the ore, has reduced the under-ground water to a much less quantity than previously, and has overcome other great difficulties which impeded his progress when first he undertook the office. Your directors therefore recommend, both as a matter of justice and policy, that his present salary be increased, and that the residence he has built adjoining the works be purchased by the Company.
The question of enlarging the machinery has been considered by the Board; but they would not at present recommend any outlay for that purpose, as the water power at command is not more than sufficient during six months of the year to work the present number of stampers. An increased supply of water would be in the highest degree advantageous and profitable to the Company, and your directors recommend that steps be taken to discover and obtain any available stream that can be brought in connection with the present race. Should such efforts be successful, the advantage of increasing the number of stampers would be solf-evident. It would aho be advisable that a more liberal remuneration be awarded to directors for their attendance at the works, as the di3tance of travelling, and the inhospitable nature of the country, have a tendency to reduce the attendance below the number fixed as a quorum.
In conclusion, your directors refer to the manager's report, which will give further particulars of the works in progress, as well as the accounts and balance sheet of the Company, which have been carefully audited by gentlemen unconnected with the Company, and properly qualified for the task.
(Signed) Alexander Stewart, M.D.
N. H. Gerrard.
W. E. Farrer, Chairman.
Waipori, 16th March, 1866.
Manager's Report to the Directors and Shareholders.
Gentlemen — At the time of the incorporation of this company the success of the undertaking appeared decided. The new machinery had been erected and in working order for about nine months, and the adit level had been completed, which would drain the surface water, and thus prevent it interfering with the workings below. The present shaft had also been commenced and sunk about 50 feet below the surface. Up to that time the quantity of gold obtained was 1773 oz, 8 dwt and 15 gr.
Since then the shaft has been sunk 110 feet, and at the depth of 94 feet a plat was cut, and a level driven upon the reef both north and south, to a length of 60 feet in each direction. In sinking the shaft a small vein had been cut through, which we determined to explore further; and accordingly, after driving the level the said distance, we commenced a rise or mill, in which we broke into the vein, which proved to be highly auriferous. Since then we drove two cross cuts to thoroughly test the vein, and subsequently drove 120 feet on what proved to be a reef equally rich as the main portion of the reef — this is now called the "top stone," from its overlaying the lower stone, at a distance of six or eight feet. At the upper level, these two portions of the reef unite, but diverge below, so that at the lower depth, there is consequently a much greater quantity of stone to be obtained. Since this discovery, all our workings have been on this "upper stone;" a rise or mill was driven to the upper level, to the south side of the shaft, and from this stopes were taken north and south to a length of 30 feet each way — the stopes at this point are now worked out to the upper or adit level. About a month ago a new rise or mill was commenced on the same "upper stone" to the north of the shaft, which is now complete. The reef for the lower 40 feet averaged 6 to 9 feet thick, and yielded 142 1/2 ounces of gold — viz., the crushing from the 2nd to the 16th of last month — so that, presuming that was a fair average of the reef, it being taken from 1 to 40, we may expect that the whole of the reef in this part of the mine is equally rich. It is to be observed that the stopes on the upper stone have only absorbed the part to the south of the shaft — an equal portion to the north being still available. The whole of the lower stone, or main reef from the 94 feet level to the adit level, is still intact, so that our raisings for a considerable time are thus secure.
The dam has lately been raised 5 feet, by which a more constant supply of water is secured. I have to congratulate the shareholders that there has been no accident or breakage of any moment since the commencemeut of my management, and the whole of the plant and machinery is in thorough working order. As regards the future working, I would recommend the shareholders —
1st. To continue the shaft to a further depth of at least 50 feet, so as to secure a continuous yield of stone for a lengthened period.
2nd. To commence operations at the north end of the claim, where we know the reef to be auriferous and promising. Should these workings turn out as satisfactory as I have reason to expect, I would then suggest the addition of ten heads to our present battery of stampers, which could at least be worked for a part, say six months, of the year without further outlay for water.
The following is a return of quartz crushed, viz: —
2354 tons, which produced 1612 ozs. 5 dwts, 18 gr3., and realized £6198 19s 5d.
To which are to be added, sundries as per balance sheet £28 0 6:- £6226 19 11
Less cost of mining (working expenses) for same period... £3747 11 9:- £2479 8 2
Which has been applied as follows: —
Balance to the Company's debit on the 20th May, 1865 £134 16 2.
Distributed as dividends between 20th November, 1865, and the 5th March, 1866, being three months and a-half £2340 0 0.
Balance in the Bank of New South Wales £4 12 a £2479 8 2.
Daniel Honter, Manager. Waipori, 16th March, 1866.
Balance Sheet of the Otago Pioneer Quartz Mining and Crushing Company, Limited.
Capital, L 12,500; from 20th May, 1865, to 9th March, 1866.
CR.
By amount of gold produced and sold £6198 19 5.
Transfer fees £17 0 6
Firewood sold £5 0 0.
Crushing stone for Canada Bush Reef Company £6 0 0.
Total: £6226 19 11
DE.
To balance (due by the Company) on 20th May, 1865 £134 16.
Wages. £2902 12.
Goods £844 19 4.
Dividends 20th November, 1865, to 5th March, 1866 (3 months and a-half) £2340 0 0.
Balance £4 12 0
Signed, Daniel Hunter, Manager.
We hereby certify that we have examined the accounts of the above company, compared the receipts and expenditure with the respective vouchers, and declare the above balance sheet to be correct.
Duncan Campbell, John C. Arbuckle, Auditors
In reply to questions put to the Chairman, it was elicited that the Company's title to the 16 acres of land on which the operations were being carried on, consisted of a lease of 10 acres for 15 years, which had been duly forwarded for execution, and a free grant of 6 acres from the late Superintendent; that the accessary survey and application had been properly made, and that the title was secured. With reference to the retiring directory, it was represented that the majority of the town shareholders were desirous of removing the administrative management of the Company from the works to Dunedin, and that it would be necessary to vary the present constitution of the Company to carry that object into effect. It also appeared that the Company was altogether free of liabilities, and that shares representing £500 of the capital were yet unissued and retained as a reserve.
The following resolutions were carried without dissent, viz: —
Proposed by Mr Barron, seconded by Mr Cooper — "That the directors' report and balance sheet, and the manager's report be adopted."
Proposed by Mr Turner, seconded by Mr Barron — "That Mr Arbuckle and Mr Langley be appointed auditors for the ensuing year."
Proposed by Mr Barron, seconded by Mr Cooper — "That regulation 44, Table B, of the "Joint Stock Act, 1860," be altered by substituting the words, "by the Shareholders at any annual general meeting," for the words, "by the subscribers to the articles of Association."
Proposed by Mr Sholl, seconded by Dr. Stewart — "That the number of directors for the ensuing year, be eight."
Proposed by Mr Barron, seconded by Mr Cooper — "That the registered office of the Company be removed to Dunedin."
Proposed by Mr Sholl, seconded by Dr Stewart — "That the fee on transfer of shares be two shillings and sixpence for each £50 certificate."
Proposed by Mr Sholl, seconded by Mr Barron — "That any shareholder desiring to sub-divide his scrip into twenty-five pound certificates shall be at liberty to do so, on paying the expense of such new certificates.
Proposed by Mr Barron, seconded by Mr Cooper — "That this meeting confirms the past acts of the directors, and gives powers tothe newly-elected directors to declare dividends, and to transact any other business which they are empowered to do under the Act, during their term of office."
Proposed by Mr Sholl, seconded by Mr Farrer — "That in consideration of the responsible position held by Mr Hunter, and the satisfactory manner in which he has acted for the Company, that his salary be increased from £6 to £7 per week, and that the suggestion contained in the Directors 'report that he be reimbursed for the cost of erecting his cottage, say, to the extent of £40, be recommended to the favorable consideration of the new Board.
Proposed by Mr Cooper, seconded by Mr Barron — "That the thanks of the meeting be given to the retiring directors, for their assiduous attention to the affairs of the Company during the past year."
The meeting then proceeded to the election of directors with the following result: — Messrs W. E. Farrer, and Dr Stewart, (Waipori), Messrs N. H. Gerrand, Wm. McKenzie, A. S. Grant, Thornhill, Cooper, W. D. Inverarity, and D. F. Main.
After a vote of thanks to the Chairman the shareholders proceeded to view the works. -Otago Daily Times, 24/3/1866.
Messrs Sholl, Langley and Ball, agents for the O.P.Q. Company, Limited, Waipori, report the last crushing to have yielded 860z., value, L324 18s 7d, on which a dividend of L1 per L50 certificate, is now payable at the offices of the agents. -Otago Daily Times, 6/4/1866.
Despite the bright prospects outlined in the annual Report, the price of OPQ shares offered in Dunedin in the following months showed a downward trend. Fifty pound shares closed at £48 at the end of March, £46 on April 7, £42 at the end of the month. By June 23rd they were offered at £30. On August 11 they were at £22 10s, September 22, £16 10s. On October 13, 1866, a £50 share certificate was being offered for £8. Prices improved towards the end of the year, closing at £20 on December 1.
At Waipori, tho Otago Pioneer Quartz Company, finding it necessary to obtain an increase of power for efficiently draining the works, have erected a steam engine, of eight horse power, with all appliances required. The starting of the engine was celebrated by a meeting of the principal residents of the district, and, amid some demonstration, the engine was named the "Pioneer." -Otago Daily Times, 19/10/1867.
Resident Magistrate's Court.
Edward Kenwood v. W. Burrell. — A. claim of L10 4s. Mr. Mr Ward appeared for the defendant, and stated that the plaintiff was employed by the Otago Pioneer Quartz Mining Company (Limited). It was a company formed under the Joint Stock Companies Act, 1860, and the defendant had simply, as an employe of the company, given a certificate that such a sum was due to the plaintiff. The plaintiff stated that he and others looked upon the defendant as responsible, he had been asked by whom they were to be paid, and he stated that he (the defendant) was to pay them. The Magistrate stated that if the company were formed under the Limited Liability Act, the Manager might be sued; but, under the Joint Stock Companies Act, the plaintiff was bound to sue the Company. He could not sue the Manager. The form of action was wrong. The plan was to sue the Company, and to serve the summons at the registered office upon some person known to be a Director, Treasurer, Secretary, or other officer. Judgement for the defendant. -Otago Daily Times, 18/2/1868.
My knowledge of the financial ins-and-outs of commercial goldmining is not extensive - but the demanding of miners of their wages is often the first sign of the end of the company.
SUPREME COURT. — IN BANCO.
Wednesday, July 22nd. (Before His Honor, Mr Justice Chapman.)
WINDING UP. Mr Stewart applied on behalf of James Manning, for an order to wind up the Otago Pioneer Quartz Crushing Company. He had obtained an order that if the Company did not pay a certain sum within ten days, there should be a winding up; and the money had not been paid. An order for winding up the Company was granted; Mr J. S. Webb to be Official Liquidator. -Otago Daily Times, 24/7/1868.
Sales by Auction
PLANT OF OTAGO PIONEER QUARTZ MINING COMPANY, REGISTERED.
By order of Liquidator.
McLANDRESS, HEPBURN, and Co. are instructed by the Official Liquidator of the Otago Pioneer Quartz Mining Company, Registered, to sell by auction at their Rooms, Manse street, Dunedin, on Monday, 18th inst., at 2 o'clock afternoon.
The whole of the plant, &c, comprising
Double cylinder 12 horse-power portable steam engine, water-wheel 24 feet diameter, two batteries, five head stampers each, with tables complete, together with all the other appliances requisite for quartz crushing
Also, All right, title, and interest in the claim. Inventories can be seen and further information obtained by application to the Official Liquidator, S. S. Webb, Esq., or the Auctioneers.
Terms at sale. -Otago Daily Times, 9/4/1870.
Commercial
The plant of the Otago Pioneer Quartz Mining Company was sold to-day by Messrs McLandress, Hepburn and Co., for the sum of LI60. This price may be quoted as illustrating the present Commercial depression, as the plant originally cost upwards of L1600. -Evening Star, 25/4/1870.
From Waipori we learn that Mr Manning, the purchaser of the Otago Pioneer Quartz Mining Company's plant, is there at present, making arrangements for starting work again. He has engaged a dozen men, who are busy repairing the dam, shaft, and engine. It is believed that he will be amply rewarded for his outlay in the matter. -Otago Daily Times, 23/9/1870.
Lawrence
The O.P.Q. mine, Waipori, has. had a very good crushing, and the mine is in first rate working order. -Bruce Herald, 20/12/1871.
The last washing up of the O.P.Q. Company, Waipori, yielded 56 ozs. -Tuapeka Times, 1/8/1872.
Local and General
The last cleaning-up of the O.P.Q. Co, only yielded 57 ozs. It was anticipated that the return of gold would have been much larger, and there is no doubt that it would have been had not the machinery been deranged on several occasions. The first accident was the bursting of the valve of the engine. This was followed by the connecting rods of the pump being damaged, and the next day the shaft rope broke. At the time of the break, the cage, containing 1/4 ton of stone, was being handled up and through it falling down the shaft was considerably damaged. The 160 feet level is now about worked out, and in a few days it is intended to sink an additional 40 feet. At that depth it is expected that the top reef will join with the bottom one now being worked, in which case the stone is expected to become pretty good. Should there be no junction, however, the top reef is certain to be struck, and, as it has always proved much richer than the bottom one, the fortnightly cleanings-up may be expected to be much larger. The lower or bottom reef as it descends has, we may state, has been found to become richer. -Tuapeka Times, 19/9/1872.
The O.P.Q. Quartz Mining Company has been registered as a Limited Liability Company, under the name of Waipori Quartz Mining Company. -Tuapeka Times, 7/11/1872.
The Waipori correspondent of the ‘Tuapeka Times’ announces the discovery of a payable quartz lode in that district: — “Mr Hill has been for some time prospecting for the main line of reef, on behalf of the old O.P.Q. Company. This reef he has traced to a distance of 700 yards. It varies in thickness from four to eight feet; one part is laid bare at a depth of six feet. The stone is thickly impregnated with gold. I saw a splendid specimen with several specks of gold. This specimen was the size of a man’s thumb nail. In fact, a few tons could now be raised that would yield 8oz. to the ton. This reef, in my opinion, will be second to none in the Province. It is the promoters’ intention to bring water to work it.” -Evening star, 23/12/1873.
The successful prospecting of the O.P.Q. reef, at Waipori, has caused quite a quartz mania amongst the residents and others of that township. Large areas of ground are being pegged off daily. We trust this excitement will end in something good for Waipori, which has lately been in the shade. -Tuapeka Times, 27/12/1873.
WAIPORI QUARTZ MINING COMPANY (LIMITED).
Capital, £16,500, in Shares of £1 each, of which the present Proprietors take 6,000 paid up, and 1,500 with 10s. paid up; deposit on application, 2s. 6d.; on allotment, 2s. 6d.; remainder to be called up as required, subject to one month's notice, and no call to exceed 2s. 6d. each share.
PROVISIONAL DIRECTORS; Mr. Geo. Whittingham, Mr. R. Burns, Geo. W. Eliott, G. P. Farquhar, Geo. Turnbull, John Mitchell, John Davie
BANKERS: Bank of New Zealand.
LEGAL MANAGER: Mr. M. W. Hawkins, Princes-street.
The ground proposed to be worked by this Company is that lately occupied by the O.P.Q. Company at Waipori, together with further acquisitions since made by the present proprietors, consisting in all of about 31 acres, held under gold mining leases, and measuring along the course of the reef about 1,300 yards. From 150 to 200 yards had been partially worked by the O.P.Q. Company, and has since been worked by the present proprietors. The claim has lately been thoroughly and systematically prospected, and the reef has been cut in six places down the creek for 700 yards facing the township of Waipori; and shows in every case a well defined reef, having a width of 6 feet in the narrowest place; the greatest height from the level of the present lowest tunnel being about 200 feet.
The late O.P.Q. Company having worked the mine entirely by means of shafts were obliged to discontinue work, mainly in consequence of the expense of pumping, and of hauling the stone from a depth of 180 feet, for which they had insufficient machinery.
The present proprietors having erected complete steam pumping machinery and winding gear, continued to work the mine in the same way; but ultimately found it desirable to suspend operations in consequence of the great expense of fuel, which including carriage to the reef, cost nearly £4 per ton.
Instead of continuing to work the mine from shafts and by steam power, it is proposed to carry on the mining operations by means of tunnels, and to use water power. For this purpose the proprietors have acquired the water rights for 20 heads of water, lately owned by the Golden Point Water Race Company. This race has been surveyed, and the levels checked by Mr. Adams, District Engineer and Surveyor, who estimates the cost will be about £3000. Under the Public Works Act the Government have agreed to advance the sum of £1000 towards the cost of its construction. When these works are completed, the Company will have an abundant supply of water, and will derive a revenue from the surplus water.
The rough diary of the manager of the O.P.Q. Company, containing a record of the crushings of the Company since January, 1863, to 1867, shows that there was 8,514 tons crushed, which yielded 5,111 oz., or an average of 12 dwts. to the ton. This diary may be inspected at the office of M. W. Hawkins, Princes-street, Dunedin.
The present proprietors, during the ten months they carried on the work, obtained 1,297 ozs. from 3,015 tons, or an average of over 8 dwts. per ton. The aggregate average over all is 11 1/4 dwts. per ton.
The proprietors have agreed that the price of the plant shall be fixed by arbitration, and value their interest in the mine and water rights at £6,750, which they will take up in shares as follows: — 6,000 shares fully paid up; 1,500 shares, 10s. paid up. The present proprietors of this valuable claim offer the property to the public on the foregoing liberal terms, with the view of obtaining additional capital only. They have for the past six years tenaciously held to it, and as a guarantee of their bona fides they will, if required by the shareholders, undertake not to sell any part of their shares in the Company until dividends shall have been declared.
The proprietors invite an inspection of the works and plant by intending shareholders, and their manager on the works is instructed to afford every facility and information to visitors for that purpose.
The share list will close on the 31st May.
Applications for Shares, accompanied by deposits of 2s. 6d. per share, to be made to H. L. SQUIRES, Ross Place, Lawrence. -Tuapeka Times, 22/4/1874.
WAIPORI
Quartz-mining promises to become a permanent industry at Waipori. The Waipori Gold-Mining Co., Limited — capital, L16,000 : L6,000 paid-up: Mr E. Hill, manager — own a leased area of 35 acres, part of which was the old O.P.Q. Co.'s ground. They are engaged opening up the reef in an entire new place on the northern slope of the range towards Waipori. The reef cuts through the range from north to south, and dips at an angle of about one in one to the eastward. It is what in mining phraseology is termed a black reef, and will average about 7ft in width of stone between the walls.
The blocks of stone are of course cut out every now and then by mullock. They appear to occur with great regularity about every 200 yards, and continue intact for that distance, running about 220 ft in vertical depth, or about 350ft, including the underlay. The main tunnel is being driven in along the course of the reef between the walls. It is about 200 ft in length. No stone has been struck, but to all appearance, quartz will soon take the place of the mullock. An open cutting, 200 yards south of the tunnel, connecting by a branch tramway leading to the machinery-house, discloses some very good stone. It is, however, rather inclined to be mullocky and broken in the centre. A width of 1ft in the hanging wall and 2ft in the bottom wall shows gold pretty freely — a small patch of stone taken from the latter (about a dishful) yielded eight ounces of gold. Three hundred yards farther south again, and about 200 feet above this level an extensive run of quartz, at least 200 yards in length, shows upon the surface, and from which a trial crushing of two tons yielded 15dwts. With a little labour a large supply of stone could be obtained from here at once. Calculating the distance between this and the lower level or adit, the "back" of stone would be about 400 feet in perpendicular height. The company have just completed the erection of their crushing-plant, which consists of a ten-stamper battery driven by a turbine wheel. The machinery is by Kincaid and McQueen, of Dunedin. As soon as some additional piping arrives from Dunedin, the company intend starting their crushing. There is no present or immediate hurry for this; as the only stone available is that in the open cutting. A race 22 miles in length supplies the water. The amalgamating-tables have been made upon the design supplied by Mr Ulric.
Messrs Thomson, Sharp, and Co., about half a mile south on the same line, on the opposite fall of the hill towards Waitahuna, and some 500 yards from the old O.P.Q. Company's boundary have struck a very promising run of stone, almost all on the surface. Three shafts have been sunk along the line, striking the reef between eight and thirteen feet in thickness: The best of the stone seems to be on the hanging and lower walls. A trial of two tons made at the old O. P. Q. Company's battery gave a result of 2ozs. to the ton.. This party are just erecting crushing machinery. They have a splendid overshot wheel 24ft. by 4ft. Sin. clear between the rims; the buckets, rims, and centres are all iron. The wheel was made by Mr A. K. Smith of Melbourne, and could not be placed upon the ground under £500. Messrs Thomson purchased it of the Waipori Company for £100. The water for the present is applied at a little under three-quarters breast, but it can be increased sufficiently in height for an overshot. The parties are only erecting at present a sort of makeshift battery of four stampers, so as to prove the reef, but the shifting frames and foundations for the stamper boxes are made to accommodate ten heavy heads of the same calibre as those erected by the Waipori Company. The company will require to drain their mine by pumping, nevertheless its prospects look exceedingly promising. With six heads of water applied on the overshot principle to the wheel it should represent 20-horse power.
About eight miles south from this, under a steep range called the Waitahuna Faces, the alluvial workers in a gully miming close by frequently obtained considerable quantities of cinnabar in a granulated state. One man for his day's work obtained 141bs weight. Some of the pieces were as large as horse beans. In some sandstone veins of a greyish brown colour tried in the face, thin sections of cinnabar; about the thickness of a knife-blade, were found between the foliations of the stone, but nothing further could be traced. In a direction running north-west from this, and over a space of many miles, cinnabar has been traced by parties searching for alluvial gold. A lode evidently exists in the neighbourhood. Cinnabar is worth 4s per pound—besides being the basis of quicksilver, vermilion red paint is obtained from it. -Otago Daily Times, 3/5/1875.
WAIPORI
Both claims on the O.P.Q. line of reef are working. Thompson and party (the Nil Desperandnm) are sinking their shaft another 50 feet, and will then open out a new level. Their prospects are good, but capital is required to fully develop the mine. The death of Mr. Manning, a large shareholder in the Waipori Goldmining Co., has retarded operations on that lease. Mr. Manning's demise will be a serious loss to Waipori, as he has always been a leading spirit in mining ventures there.
The business people are again complaining about the Chinese "pak-a-pu," a game which is largely played at the Tuapeka Chinese Camp, and think that the police ought to endeavor to stop it. It is said that the travelling agent for "the game" takes £10 per day out of Waipori. -Tuapeka Times, 20/12/1876.
MINING AT WAIPORI.
(from our own correspondent:)
The known alluvial ground being nearly exhausted, more attention is being given to our quartz reefs and mineral lodes. The old O.P.Q. Company's reef has been taken in hand by Cotton and party, who are putting down a shaft to work the reef at a good depth. Pumping and winding gear are being erected, the water-wheel and battery are being removed from the old site, and re-erected near the new shaft; by so doing one wheel will drive the pump, winding-machinery, and battery. In a few months the shaft will be finished, and crushing commenced. Considerable bodies of good stone are known to exist in the reef, and the prospectors are sanguine that with new appliances and systematic working the reef will yield good returns.
Cox s party arc being getting out stone from their reef, which is not very thick, but rich and manages to keep the battery going half-time. Being in private hands the result is not known, but it is generally believed they are doing very well.
From a reef lying between the O.P.Q. and Waitahuna Gully a parcel of stone has been sent to one of the cement batteries to be tested, and if the result is half as good as is expected, machinery will be erected, as the reef is large and very easily worked, and a good supply of water at hand.
The Copper Company are busy getting out foundations for machinery. The precipitous nature of the ground near the mine renders the work very heavy, the whole of the cutting being in rock. They have a face 30 feet deep cut through solid rock, thousands of yards of which have been removed. So heavy were the shots that many of the blocks shifted had to be re-blasted before they could be cleared away. By means of a tramway the blocks are run to the river, and made to form a protection for the shaft and machinery. I hear that instructions have been given to commence mining on the cross lode as soon as the machine site is cleared. The main shaft has been raised some 20 feet above the river, double-timbered, and puddled in between. It must have cost a lot of money, but it is certainly a substantial job— perhaps the finest shaft in Otago. A surveyor has been on the ground lately laying off the water-race, which I understand is to be done by contract. As an instance of the faith that people have in this undertaking I may mention that one party has put up a store and stocked it well with general merchandise; another is putting up a bakery.
As soon as the snow was off the mountains the Antimony Company sent up a number of men to commence operations afresh. They have a long summer before them, and a large quantity of ore will no doubt be raised, as there are vast quantities of ore in sight. The present pumping gear being too light, an overshot water-wheel and more powerful pumps are being made. Mr Glass, the manager, expects to have the new gear in full working order in a month. Mr Glass is new to this district, having been engaged by the Company on account of his special knowledge of antimony mining, having been for years manager of one of the Victorian antimony mines. He speaks highly of the prospects of the Waipori lode. -Otago Daily Times, 27/10/1881.
WAIPORI MINING NOTES.
February 6. There are at present five parties engaged in quartz mining in the neighbourhood of the township. The operations, however, are not of a very extensive nature, there being not more than two or three men employed on a shift in each case. Three of the parties have taken up areas on the line of the old Victory reef, while the other two are engaged on a reef prospected some years ago by a party of Chinese, and appropriately named the Canton. A couple of thousand was sunk in this enterprise at the time by the Celestials, but through some misadventure the lode was missed after driving the lower level.
Eaton Brothers and party are now down some 25ft with an underlay shaft, and are driving on the stone, which at present is rather of a slatey or mullocky nature, but contains a good prospect of loose gold. About 40 tons have been raised, and crushing was commenced to-day.
An adjoining claim on the same line of reef has been taken up by Wilkinson and Macledowney, who are sinking with a vertical shaft to catch the hanging wall, and which is now down about 30ft. Several splendid specimens thickly studded with gold were obtained from the cap of this reef a short time ago. The three parties on the Victory reef are respectively Thomson and Baptiste, Hill and Ritchie, and Porter and Carpenter. The last mentioned have lately come off victorious in the Warden's Court in a dispute regarding their claim with Cotton, one of the shareholders in a former company which had allowed its license to lapse.
Porter and Carpenter have out a crushing of about 50 tons, which is being carted to the Nuggety Gully battery, a distance of some three miles. This means, as I am informed, an extra charge on the proceeds of about 6s per ton.
The Victory reef, or, as it at one period was styled, the Nil Desperandum, is quite interesting in an historical sense. It is none other than the first lode mine ever worked in New Zealand, and its original name attests the fact — The Otago Pioneer Quartz Mining Company (Limited). In a future note I may briefly recount the vicissitudes of the mine. -Otago Witness, 10/2/1888.
MISCELLANEOUS
Mr L. O. Beal, mining engineer, is preparing plans of the claims on the O.P.Q. reef, Waipori, with a view of having them placed on the London market. -Otago Witness, 22/6/1888.
TUAPEKA NOTES.
|From Our Own Correspondent.]
According to the local paper, the owners of the quartz mines on the line of the old O.P.Q. reef at Waipori received a cablegram a few days ago from Captain Pearse (who is at present in London) offering them L10,000 (these days, about $2.2 million) and 5,000 scrip (equivalent to L5,000) for their interest in the mines. Some of the shareholders were favorable to accepting the offer, but others held out for L15,000 cash and 15,000 scrip. The general verdict is that the parties interested were very foolish in not falling in with the captain's offer. The property, however, is a very valuable one, and on that account it can well be understood that some of the local men do not care to part with it unless they get something like fair value for their interests. Dr Black analysed several parcels of stone taken promiscuously from different parts of the property, and his report was a most glowing affair. The yield varied from 3oz to l0oz to the ton, and as there was an almost inexhaustible supply of similar gold-bearing stone, he computed that the returns would exceed L40,000 (about $9 million now) annually! It is a great pity that an effort was not made to float the property in New Zealand, instead of sending it Home. A mine that will yield a profit of L40,000 per annum should not be allowed to go a-begging in London for the sake of a paltry L30,000! One would think it would not be a difficult matter to raise that amount in Dunedin, let alone the colony. The Minister of Mines should have the power to prevent valuable properties like these being hawked to London, when there are so many thousands of pounds in the colony awaiting investment in such really good things! Is it not a monstrous shame that the local residents were not offered a chance to invest in this fabulously rich mining property? -Evening Star, 20/11/1888.
THE O.P.Q. REEF.
TO THE EDITOR. Sir, —You have recently in your mining columns given particulars of exceedingly satisfactory results obtained by several of the small parties working in this line of reef. From these reports the parties seem to have done remarkably well, especially taking into account the drawback of having had to convey their quartz some distance to one small battery. Your information has, I presume, been supplied by your Tuapeka correspondent, and as the yield of gold can be verified by the bank receipts I have no doubt his information is reliable. Apparently the same correspondent in last night's Star, referring to the rumor of an unfavorable report having been made by an expert acting for a London syndicate, adds: "Disinterested parties will not be the least surprised to near this." I am not a shareholder in the O.P.Q., but I have been struck with the persistent animosity displayed by your correspondent from time to time towards the undertaking, and have wondered what could be the cause. I am aware there are some disappointed parties owning portions of the line of reef who were left out in the cold when the amalgamation of interests was negotiated, owing to the exorbitant price they demanded for their claim. Can it be that your correspondent reflects the opinions of some of these "sour grape" men? I am quite certain, if he is a practical man, and will go and examine for himself the line of reef now opened out, he will no longer allow himself to be made a tool of.
Referring to the rumors of the unfavorable report made by an expert acting under instructions from one of the banks here, from inquiries I have made, I assert that no one openly and honestly went through the mine and examined it for himself. If such a report has been made, it must have been written from hearsay, and by one who, I have little hesitation in saying, made it a condition that his name was never to be mentioned.
— I am, etc., Fair Play. Dunedin, January 9. -Evening Star, 10/1/1899.
More Capital Coming
Private advices by mail report the successful floating of the O.P.Q. mine at Waipori for £30,000, one-third in scrip, two-thirds in cash. The Chairman of the Board is Mr E. Pontiffex. Mr B. Molloy, M.P., one of the directors, leaves for the colony next month. -South Canterbury Times, 23/1/1889.
THE O.P.Q. COMPANY AT HOME. ("European Mail.")
What are the chances of the "O.P.Q.?" This is a question which is just now being asked in city circles. The "O.P.Q." is a new gold mining company — the Otago Pioneer Quartz — which has just been launched here with a capital of £100,000 in shares of £1 each. It has a strong directorate, including Mr Edmund A. Pontifex, A. M.I.C.E.; Mr Henry Weld Blundell (director of the Cumberland Gold Mining Company); Mr Archibald Fairlie, C.E. (director of the Tal-Tal Nitrate Company); Sir Samuel Canning, M.I.C.E. (director of the Royal Silver Mines of Potosi); and Mr Mark Helmore (director of McNamara and Company); and the property, which is situated at Waipori, in the province of Otago, has been favourably reported upon by Professor Black, Mr L. O. Beal, junr., C.E., of Otago, and Mr C. C. Rawlins, M.E., of Melbourne. The "O.P.Q." is said to be the master reef of the district. Intending investors are informed that it will show a yield of gold averaging l0dwt to 11dwt per ton, and that in addition to the ordinary quartz and mullock considerable bodies of stone (hundreds of tons in some cases) will be met with which will yield from loz to 3oz and even more per ton. Professor Black's lowest estimate of the net profit is £38,750 per annum — equal to 38 3/4 per cent. per annum upon the entire capital of the company. Mr Rawlins' lowest estimate is £47,588 - equal to about 47 1/2 per cent. per annum upon the entire capital of the company, while Professor Black's higher estimate and Mr Seal's estimate are given at L77,500 per annum — equal to 77 1/2 per cent. per annum upon the entire capital of the company! The Colonial Bank of New Zealand are floating the company. -Tuapeka Times, 9/3/1889.
TUAPEKA NOTES.
[From Our Own Correspondent.]
THE O.P.Q. MINES, WAIPORI.
A month or two ago I incurred the displeasure of one of your correspondents, because I made a far from flattering reference to the O.P.Q. mines at Waipori, which at that time had been offered to a syndicate in London, who refused to complete the negotiations they had entered into owing to the receipt of an unfavorable report. Later on, however, news came to hand that the party entrusted with the sale of the property had found a purchaser, who undertook to plank down L30,000, conditionally that one-third of that amount was accepted in paid-up scrip. These terms were accepted by the local owners, who rejoiced exceedingly at their good fortune in getting so much cash for their interests. So far so good. By the San Francisco mail to hand last week copies of the prospectus of the O.P.Q. Gold Mining Company reached here. It has been my privilege to receive a copy, and I must say, after a careful perusal thereof, that it makes me feel proud to think that this district contains such a valuable mining property within its borders; for let me tell you that there are scores — nay, hundreds — of men who have resided here for years, some of whom have actually mined in the vicinity of the O.P.Q. reef, who had not the slightest idea that this property was so rich in the precious metal. Some there are, indeed, who cannot even yet — notwithstanding that Professor Black and Mr L. O. Beal, jun., have both reported on the property —realise that this O.P.Q. mine, abandoned for so many years, and so long regarded as a non-paying concern, will return a net profit to the fortunate shareholders of L77.500 per annum; or, in other words, 77 1/2 per cent, per annum on the entire capital of the company.
But the numerous readers of the Star, many of whom know something about the Waipori quartz reefs, including the O.P.Q., will be anxious for a few details. First and foremost, the capital of the company is L100,000, in 100,000 shares of L1 each, of which 33,000 will be allotted as fully paid to the vendors, who, in addition, will receive cash to the tune of L37,000. The property is described as being in the centre of the most celebrated goldfield of New Zealand, and includes over one mile of the well-known gold-bearing reef known as the O.P.Q. reef, the “Master Reef” of the district. Professor Black, in the course of a very lengthy report, states that he took 500 samples of stone from different parts of the reef, all of which he assayed, some of the samples giving as high as 8oz 6dwt to the ton, while others (mixtures of stone and mullock) only gave at the rate of I7dwt 12gr to the ton! The Professor estimated that the reef is capable of yielding 1,000 tons of stone per week for ten years of fifty weeks, equal to 500,000 tons, giving an average yield of lldwt to the ton, or 275,000oz of gold. At L3 17s 6d per ounce, this would amount to L1,065,625 sterling. He deducts 3dwt per ton for working expenses on 500,000 tons, which gives 1,500,000dwt, or 75,0000z, which, at L3 l7s 6d per ounce, equals L290,625 sterling. This, it will be seen, leaves a net profit for ten years of L775,000 sterling. Divided by ten, this exactly gives the lucky shareholders L77,500 a year clear profit, or 77 1/2 per cent. per annum on the entire capital of the company. There is hardly any call for me to refer to the reports of Mr Beal, jun., and Mr C. C. Rawlins, M.E., F.G.S., who admits that he has no data to go upon except that furnished by Professor Black!
Some time ago, when referring to the fact that steps were being taken to launch this company on the London market, I made the remark that it was a great pity a property so valuable — so rich in golden treasure - should be hawked to London while this colony was teeming with capital awaiting investment. I repeat this remark with still greater emphasis, and would go so far as to say that I think criminal proceedings should be instituted against those who are primarily responsible for this state of things. To say that a paltry L20,000 could not be raised in New Zealand! Why, there would have been very little difficulty in raising the amount even in this district. And to part with a property that, according to Professor Black, one of the least sanguine of mortals, will return L775,000 sterling clear profit in ten years — at the rate of L77,500 per annum — for the price of an old song is an injustice that colonial mining investors will never survive. Cannot Professor Black be induced to throw the Home investors overboard, so that the colonists of New Zealand may have an opportunity of scooping in the dividends that the O.P.Q. mine will return? I’ve got a few hundreds which I wouldn’t mind investing at 77 1/2 per cent, instead of at 5 per cent., the bank rate. -Evening Star, 12/3/1889.
The O.P.Q. Mining Company has finally collapsed. When Pontifex took it up its prospects for a moment brightened, and the shares were even quoted at 3s 8d premium. Some hitch, however, occurred, the brokers repudiated their bargains, and now the money subscribed has been returned to the shareholders. This means, I’m told, that the promoters will lose L5,000 or so. -Evening Star, 9/5/1889.
We were all sorry here, you may be sure, to hear of the collapse of the O.P.Q. Company. Had the mine been successfully carried through,it would have done some good for the place in the way of circulating money. At the same time, I, for one, knowing the circumstances, never believed that the Company would become an established fact. We can condole with each other now; you people have the Blue Spur and we, unfortunately, have the O.P.Q. — two very disastrous failures, though, to my thinking, you have by far the worst of the bargain; and, indeed, so have the London shareholders. -Tuapeka Times, 13/4/1889.
Commercial
Contrary to general expectation, Captain Pearce did not on Monday bring with him the cash that was promised the owners of the O.P.Q mine, though he assured them that everything would work out all right in the course of a month or two. The miners, apparently, were well satisfied with the captain’s statement. -Evening Star, 18/5/1889.
Waipori Reefing Notes
The O.P.Q. reef, from which such great things have been expected, has been nearly idle for several months past. Hill and party have had some disagreement with the battery owners, and this, combined with the danger of losing gold when crushing in frosty weather, is why working in their part of the reef has not been pushed on. They have a splendid show of stone, and about sixty tons at grass, and will shortly start their old business of turning out cakes. Thomson and party would have to put in dead work to reach payable stone, and as there is still a prospect of the claim being taken over by the London syndicate, the time for which expires about the end of the present month, they are averse to doing anything in the meantime. -Tuapeka Times, 7/9/1889.
WAIPORI MINING NOTES.
(From our own Correspondent.)
Messrs Hill and party have again commenced work in their claim on the O.P.Q. line of reef, having withdrawn from the arrangement entered into with Captain Pearse, whose time for floating the amalgamated claims on the London market expired last month. Messrs Hill and party have a good payable claim, which carries from 10ft to 12ft of gold-bearing quartz. -Tuapeka Times, 9/10/1889.
Yesterday's Telegrams
The option of the O.P.Q. reefs (Otago Pioneer Quartz Company) was acquired some time ago by the New Zealand Minerals Company, and as announced by cable has been floated on the London market. It is proposed to use electricity as the motive power at the mine. The O.P.Q., though not the first quartz reef discovered, was the first reef worked in Otago in the early days. -South Canterbury Times, 8/4/1897.
The Waipori Valley is interesting, in other than its dredging aspects. As is well known, it is the site of the Otago Pioneer Quartz Mining Company's claim, lately acquired by a London syndicate, who are now busy opening up the mine on a scale not hitherto attempted in the valley. Mr W. Inder, the well-known mine manager, is conducting the works. Close to the township is situated one of Mr W. J. Farrell's consolidated mines. It is on the hydraulic elevating principle, and is one of the most successful ventures in New Zealand. In addition to this, rumour has it, that in one place the main bottom of the valley has been touched, and that coarse gold in highly payable quantities has been found upon it. There are other possibilities in the near future before Waipori, which all point to it as the most permanent and richest gold mining district in Otago. -Otago Daily Times, 18/7/1899.
OBITUARY.
Mr J. T. JOHNSON.
Another of Tuapeka's old pioneers passed peacefully away in the person of Mr J. T. Johnson, who died at his daughter's residence at St. Clair on the 19th inst. Deceased was a native of Haroldswick, Shetland Isles, and like many of his countrymen joined the Royal Navy in which he served his time throughout as an A.B. in the gunboat Barracouta. His first experience in her was in 1852 when she was despatched to convoy one of the numerous Arctic expeditions in search of Sir John Franklin. The boats were scattered in a storm and several returned to British ports. The Barracouta, however, held on her way convoying the relief ships "Diligence" and "Breadalbain" well into Arctic waters and then returned to Plymouth several months after they were given up for lost. They were despatched at once to the China Seas, en route touching at Cape Colony where the Kaffir war was in progress. They were detained there transporting troops from point to point to suit the progress of operations for a while, and then went on their way to the China station where the gunboats "Barracouta" and "Winchester" were engaged in exterminating the pirates who infested the islands off[ the China coast, and in protecting European settlement during the rebellion in China.
While engaged in this work they received news of the declaration of' the Russian war and were ordered to cruise in latitude 51 N. off the Siberian coast and await orders. Cruisers and gunboats collected there until the flagship arrived with sealed orders when their objective was found to be an attack on the Russian fleet. The fleet eluded them, but the warships hunted the coast and succeeded in capturing and sinking forts and ships in all directions, the scene of operations being the Sea of Okhotsk and the Amur River. After some time there the Barracouta was despatchcd to the Black Sea and took part in the final work in the tragedy of the Crimea. With the completion of the Crimean war the Barracouta was sent home and the men paid off, Mr Johnson being offered a recommendation by his captain for a warrant officer's position in the Coast Guard.
The fame and excitement of the Victorian goldfields carried him away and with many of his navy mates he found his way to several of the more famous of the Victorian goldfields where he met with considerable success. The rumours of Gabriels Gully rush reached him and he left for New Zealand, arriving at Gabriels Gully with a party of eight, all Shetland men. The party were successful in securing a profitable claim at Wetherstones, but soon found the claim could be worked more profitably by four than by the eight, and after discussion arranged that four, including Mr Johnson, should stay and work the claim, and finance the remaining four, who were to proceed to Waipori and give that field a trial. The four who went to Waipori were the "Shetland party" who discovered and named the Otago Pioneer Quartz Reef, abreviated into the O.P.Q. of the present day. and the Wetherstones section of the party were soon in concert with their mates in developing the find. This brought Mr Johnson to Waipori where he continued storekeeping and mining. The deceased succeeded in locating the deep lead on the Lammerlaw, putting down the first prospecting shafts on the lead. Though unsuccessful in getting gold he located the lead afterwards successfully worked by others. The Hokitika rush drew him away for a few years but he returnel to Waipori later.
Mr Johnson met with varying success, and when he had accumulated considerable wealth he went "home" to the Shetland Isles where he married, returning with his wife to New Zealand. As family cares accumulated he settled down in Dunedin where he was for a number of years foreman of works for the Otago Harbour Board. He was a deeply religious man and all his spare time was devoted to religious and church work. He was an officer of St. Andrew's Presbyterian congregation almost from the founding of that church, and was its oldest elder at the time of his death. He is survived by his widow and three daughters. Mrs Ruhin (St Clair), Mrs W. B. Hayward (Dunedin), Miss Johnson, Timaru, and four sons, Mr A. G. Johnson, Timaru (now in the United States), Mr J. J. S. Johnson (of Ferguson and Mitchell's, Dunedin), W. H. Johnson (Invercargill), and Mr J. T. Johnson (Waipori). -Tuapeka Times, 23/4/1910.
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| Southern Cemetery, Dunedin. DCC photo. |
CORRESPONDENCE
MINING AT WAIPORI.
TO THE EDITOR. Sir, — At the last meeting of the City Council it was decided to object to application for prospecting rights over certain lands in the Waipori watershed. If this applies to the O.P.Q. reef the council are not acting in the best interests of the town and country.
It may be safely said that no quartzmining venture in Otago offers greater possibilities for the successful employment of a large amount of labour and payable production of gold than does the O.P.Q. (Otago Pioneer Quartz Mine). The prospecting would in no way affect the corporation’s water supply, and the actual working of the mine would be easily and cheaply arranged so as not to interfere. There is therefore no reason why this work should not he allowed to go on. The possibilities are immense, and instead of the opening of the mine being hampered it should be encouraged in every way. The mine is sufficiently extensive if proved payable to warrant the employment of a hundred or more men perhaps for scores of years.
Gold is badly needed and work is needed. Here is a splendid chance to supply both these wants.
This reef is the main quartz lode of an extensive and rich gold-bearing district. It is estimated that the yield of gold of Waipori amounted to £3,000,000, and it is known that the gold dredges, after the ground had been worked by the old gold-diggers, obtained £300,000 worth.
Cr Clark’s remarks were to the point when he said that “he thought the committee’s recommendation was a very dangerous one. He thought they were adopting a dog-in-the-manger attitude. If the council’s statutory rights could be preserved, it was their duty, as a public body, to provide money in this province, and if gold could be found there without serious interference with the corporation’s work, he thought they should do all in their power to encourage the industry.”
The mayor stated that the application would most likely be withdrawn. It is to be hoped that the council’s objection will not have this effect. If it does, it would be well for the council to negotiate with the applicants, with a view of reopening the case. Or, if the council objects to private mining enterprise, why not open up the mine itself and use some of the surplus labour which at present is wasted on almost useless works?
The general question of stopping mining in Waipori, particularly at places miles away from the corporation dam, deserves the attention of the Chamber of Commerce, trade organisations, and individual traders of Dunedin. It is of great importance to them.
— I am, etc., F. W. Knight. February 8. -Evening Star, 8/2/1932.
What is left now of the OPQ mine? Visitors can find the shaft, mullock heap beside and the foundation of the structure which supported the winding gear. From there you can walk down the line of the tramway, past the manager's house. The tramway line soon becomes covered in thick broom and it is easier to walk around the hillside to find the site of the stamping battery. It is easily found, as is the water race supplying it. A selection of recent photos can be found here.
Saving goldmining’s relics
Because goldmining played an important part in the history of Otago and New Zealand, dwellings, machinery, and hydraulic systems that are still in reasonable condition should be protected and preserved, according to a preliminary report made to the Historic Places Trust.
The report was made by archaeologists working on the Waipori Station, near Alexandra. Mr B. A. Vincent, Mr D. Still, Miss J. McArthur, and Miss M. Philips recorded archaeological sites in the Lands and Survey Department farm development block at Waipori.
The work was done for the Historic Places Trust as part of its continuing scheme to survey and record archaeological sites throughout New Zealand.
Extensive and numerous gold workings, with associated living and processing sites, were found and recorded. More than 200 water-races, and the remains of nearly 100 houses, were found in association with gold workings.
More than 70 dams and reservoirs were also found, along with quartz crushing batteries, and many large water pipes as much as 38cm in diameter. The sites were of different types — sluicings, ponded areas left by hydraulic elevators, quartz mining, and small-claim areas probably worked by shovel and cradle.
Some rock shelters were used by goldminers, but there was no evidence anywhere of pre-European settlement of the area by the Otago Maoris.
There were traces of old cart roads, stock or horticultural enclosures, tunnels, diversion channels, and bridges and causeways.
The water-races ranged in length from a few metres to 25 kilometres but the average length was 2.5 km. A total of 650 kilometres of water-races was surveyed and recorded. The largest race belonged to the Otago Pioneer Quartz Company, and measured 2.5 metres wide by one metre deep.
Most house remains were of sod-wall construction, only five being of stone construction. Early photographs of the area showed that thatched roofs were favoured. Many of the sites suggested for preservation were fortunately within the area of the proposed Otago Goldfields Park, but several others of importance were not included and should be carefully looked at, said the report.
In the Devil’s Stream area, at an altitude nearing 900 metres, is a worked area with associated dwelling sites covering about six hectares, reputed to have been worked by Chinese goldminers.
South-west of the proposed park is a hydraulic complex containing reservoirs, dams, water-races, and sluiced areas in good condition. These provide an excellent illustration of the gold-working technology of the area, says the report.
The whole area surveyed was being used for hydro-electric storage and high-country grazing, with a low stocking capacity.
Old roads had reverted to farm tracks, and once settled areas were now small isolated pockets in a high-country farm, said Mr Jim McKinlay, the trusts senior archaeologist. Oversowing of grass and new afforestation would mean the deterioration and loss of many sites, including those in good condition. -Press, 15/4/1978.
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