From New Guinea

New Guinea Goldfields Ltd.

The monthly returns of production and esti mated profits of New Guinea Goldfields Ltd., are as follows:

Sandy Creek Gold Sluicing Ltd.

The mine manager of Sandy Creek Gold Sluicing Ltd., New Guinea, reported on June 3 that during May 162 ounces of gold were recovered from 7350 cubic yards of material treated. The average value was approximately 3/3J4d. per cubic yard.

Edie Creek Gold Mining, N.L.

, , , , r , . „T«e legal manager of Edie Creek Gold Mining Co., N.L. (Mr. J. Hearnes) stated at the end of May that the liquidation of the company s affairs had shown that there would be no return of capital to shareholders. u, i Plans for the reconstruction of the company had not met the required support Tenders for purchase of the company s assets had been accepted, but after meeting liabilities there would be no balance for distribution. .n m i rAT n ATi¥t\ri*To »r t

Irowat Gold Alluvials, N.L.

Irowat Gold Alluvials, N.L., has received advice that sluicing operations began on the company’s New Guinea property on May 23. The company, which has leases at the junction of the Iroa Creek and Upper Watut River—is the latest of the more recently-formed New Guinea companies to reach the production stage. First returns will be awaited with interest.

A radio message received from the constructional engineer on the field stated that the hydraulic

scheme was completed early on May 23, and that sluicing operations commenced on that clate - The water 18 being diverted from the Iroa Creek by means of a composite diversion weir, and controlled by regulating gates placed at the en trance of an offtake race.

P e rac ? is an « nlin ed earthen one, having a sate carrying capacity of 50 cubic feet of water a second, and is approximately 13,000 feet long on a grade of one in 500. There are two drops in the r?ce each of about 50 feet, to negotiate terrace country on the ridge on which the race is located, , , At the bottom of each drop there is a concrete dissipator to absorb water shock. The water is conveye d over gullies by Armco fluming carried on timber trestles havi ' g a total ]en glh in six sec tions of about 500 ft. .

Concrete escape weirs have been constructed at various points along the race to provide safety for overflow in the event of an obstruction in the race during operations. The water will be drawn from the race through concrete regulators at three points and conveyed to the giant nozzles through steel pipes varying in diameter from 15 inches to nine inches. Provision is made for the operation of six nozzles at a pressure of 90 lb. a square inch, The aurifero us mat erial will be sluiced into steel launders containing ripples of various kinds for in tercepting the gold. Plans and designs for the

Alluvial— Feb.

Mar.

Apl, Fine gold, oz. .. 1,331 1,227 1,111 Fine silver, oz. .. 942 953 838 Golden Ridges Mill, Fine gold, oz. .. 1,363 1,426 1,489 Fine silver, oz. .. 829 971 828 Estimated profit— Jan.

Feb.

Mar.

Alluvial £6,045 £6,127 Golden Ridges Mill ... 3,937 4,995 6,605 Edie Creek Mill- Tons t3,42S t3,000 Fine gold, oz. ,. 1,095 1,153 1,172 Fine silver, oz. ., 2,715 3.818 3.249 * From February 14 to March 14. t From March 14 to April 14. t From April 14 to May 14.

Diamond drilling, Karuka vein, borehole No. 5 was drilled 199ft to 338ft in schist.

scheme were prepared by the managing director, Mr. D. J. McClelland.

The time occupied in construction was only about seven months, and approximately 500 native labourers under white supervision were employed.

Sunshine Gold Development Ltd.

Directors of Sunshine Gold Development Ltd., New Guinea, advise that a satisfactory method of remedying the trouble regarding the testing of the siphon line on the consolidated claims has been evolved. Arrangements have been made to put the work in hand immediately. The com mencement of sluicing operations has consequently been postponed temporarily. During testing opera tions the water traversed the entire length of the water race, inverted siphon, and hydrau lic pressure line, to the sluicing area at Goldfoil, thus demonstrating the efficacy of the water sup ply scheme.

The general manager has pegged out an addi tional area of 35 acres of alluvial flats and terraces

adjoining four leases of Bulolo Gold Dredging Lim ited. This additional area is practically a con tinuation of the consolidated claims on the eastern side of the Watut River. It has been decided to relinquish the option over the Sunshine claims.

The balance of the reserve shares of the Com pany have been issued. The issued capital is now £lOO,OOO, in 200,00(7 shares of 10/ each.

Bulolo Gold Dredging Ltd.

Bulolo Gold Dredging Limited, New Guinea, has declared an interim dividend for the year ended May 31, 1936, of 1 dollar 40 cents (Canadian) a share, payable on July 2. Transfer books closed on June 10. Payment from the Sydney office will be made in Australian currency, calculated at the rate of exchange ruling on June 12. The dividend payable to non-residents of Canada will be subject to Dominion of Canada absentee tax of 5 per cent.

Production for the company’s four dredges, for May, compares with that of the previous two periods as follows: —

Placer Development Ltd.

Placer Development Limited has declared an in terim dividend for the year ended April 20, of 50 cents (Canadian) per fully paid share, payable June 2. Transfer books closed on June 10. Pay ment will be made in Australia in a similar fashion to Bulolo Gold Dredging Limited, and will be subject to the Canadian tax of 5 per cent.

Guinea Gold N.L.

A dividend of a share has been declared by Guinea Gold N.L.. payable July 10. Transfer books will close from July 3 to July 10, inclusive.

The company holds 63,500 shares in Bulolo Gold Dredging Limited, and the dividend is subject to any variation in the present rate of exchange be tween Vancouver and Sydney.

Upper Watut Gold Alluvials, N.L

The management of Upper Watut Gold Alluv ials, N.L., New Guinea, advises that the latest report from the company’s constructional engi neer stated that, with the exception of the lay ing of siphon and pressure line pipes, all bulk work was completed by the end of May.

The engineer’s report also contains the follow • ing: ‘‘The lining of all tunnels has been completed.

All inlets and outlets to tunnels, except outlet to No. 1 tunnel, completed. Flume super structure, six trestles and approximately 200 ft. of bearers to

complete. Fluming, approximately 300 ft. to be erected. Diversion weir complete. Pressure pipe line and power station —excavation in hand; 2000 ft. concrete lining of race to complete. Surge tank completed.”

Enterprise Of New Guinea N.L.

Reporting on the progress of operations for the period April 19 to May 13, Mr. Harold Taylour, general manager of Enterprise of New Guinea N.L., advises that in the Surprise Creek area, saw milling and preparation of timber for flume construction has been in progress, also the erec tion of flume trestles. The diversion weir at the main water race intake has been completed. A steep section of the water race has been stone paved to prevent scour. Small scale box sluicing has also been under way.

At Oriabanda, work consisted principally of repairing flood damage and getting ready for a resumption of sluicing. A succession of floods has delayed the work in this area. Several encour aging native gold prospects were obtained in small creeks and traced to slip country.

Prospecting and geological surveying has been hampered by wet weather. The search for pay able deposits will continue when the rainy season eases off. For the month ended April 30 10 oz. 19 dwt. of retorted gold was produced from 641 cubic yards treated.

Upper Sepik Gold Syndicate

Directors of Upper Sepik Gold Syndicate N.L. met in Melbourne on May 26. Messrs. W. W.

Robertson, J. L. Ellis and R. E. Tracey were ap pointed to the board. They will act with Messrs.

E. F. S. England (chairman) and R. M. Boyd.

Mr. K. W. Steedman, legal manager, who has returned from New Guinea, presented his report to the board in regard to option secured. He stated that acting on the advice of the syndicate’s engineers, Messrs. Spence and Smith, an option was secured over Theobald and Hyde’s D.S.C. No. 287, known as the Rising Sun, and comprising 325 acres. This property is situated on the Upper Watut River, adjacent to the property of Irowat Gold Alluvials N.L., and takes in five miles of the Watut River. In addition to Messrs. Spence and Smith’s recommendation that this property should be tested by pitting and boring, other fav ourable reports on the merits of the property were placed before the directorate. Before leaving New Guinea, Mr. Steedman, under instructions from his board, made arrangements for Messrs. Spence and Smith to proceed immediately with the test ing of this property. They notified that they com menced testing operations on May 15.

The other option secured by the syndicate is Messrs. J. and M. Leahy’s amalgamated dredg ing lease No. 69, comprising 250 acres, and situ ated on, and taking in three miles of the Upper Watut River, between the leases of Bulolo Gold Dredging Limited and Upper Watut Gold Alluvials N.L. The testing of the lease will not be pro ceeded with until work on D.S.CL 287 is com pleted. This particular lease, the management re ports, has been profitably worked by tributers, and is believed to contain a considerable yardage of wash.

March. April. May.

Cubic yards 955,800 974,800 1,051,500 Bullion, oz 16,005 17,398 15,815 Gold, fine, oz 11,203 12,265 11,196

Value-

Aust. currency* £98,026 £107,318 £97,965 Per cubic yard .. /24.61 /26.42 Z22.36 Working profit £ 70.253 £73,931 £66,797}^ * At £A8/15/ per fine ounce.