Islands Mining

News

From New Guinea

Sunshine Gold Development, Ltd.

ANEW pressure pipe line connecting with the Reedy Creek water race, which, in addition to providing water for sluicing the, terrace claims, will carry water across the river to link up with the present workings to sluice shallow ground, had been completed out of current earn ings at a cost of £5,000. said the chairman, Mr. F. W. Torrington, at the annual meeting of Sunshine Gold Development, Ltd., on December 2i,;..

A scheme recommended by the general. man ager last year, including removal of over-burden from about five and a half acres, had been successfully accomplished, but at the expense of gold yield for the time being. The purchase of 40 acres from Bulolo Gold Dredging, Ltd., ad joining the Co.’s main working, had consolidated that section of the Watut River, and as the main pipe line passed within a few feet of the boundary of this area no costly plant extensions to work it would be necessary.

The increase in the gold price since the out break of war had been some benefit, but the gold excise tax deprived the Co. of half the in creased vsflue. Some increase in the cost, of working was expected because of the greater volume of wash to be treated from increased workings.

Clean-up for December yielded 364 oz. of gold.

Placer Development, Ltd.

The recent sale of 6,278 shares in Bulolo Gold Dredging, Ltd., realised 175,171 dollars, thereby reducing Placer Development’s holding to an even 300,000 shares, stated the managing director (Mr. C. A. Banks) at the annual meeting of the Co. in Vancouver in December. The value of this investment in the books was further reduced by transfer of 600,072 dollars from the special and general reserve.

Enterprise Of N.G. Gold And

Petroleum Development, N.L.

Directors of Enterprise of New Guinea Gold and Petroleum Development, N.L., were dis appointed with results from Surprise Creek, said the chairman (Mr. Edward Fay) at the annual meeting recently; but they hoped that better values might be obtained upstream. The ground was difficult to work because of numerous boulders.

It was also stated that at the end of 1939 18 Europeans and about 190 natives were em ployed by the Co.

Bulolo Gold Dredging, Ltd.

War had affected the operations of Bulolo Gold Dredging, Ltd., in many ways, declared Mr. C. A. Banks, managing director of the Co., at the annual meeting of shareholders in Vancouver recently. “On its outbreak”, he said, “the Commonwealth Government passed legis lation necessitating the disposal, in Australia, of the whole of bur gold. The excise duty in creases -as the value Of the Australian pound drops in relation to the United States dollar.

This would become very severe if the Australian exchange .took a sharp decline. The tax bears far more heavily on residents in U.S.A. and CanadqT—where the majority of the Co.’s share holders are—than on shareholders residing in Australia, who would, in terms of Australian currency, receive an increasing amount as the Australian pound drops”.

November production is compared with Sep tember and Oc|ob,er, in the following table: —

Estimated working profit for November, 9,325 ouficesT of fine gold., flowing for the new excise duty. ...

New Guinea Goldfields, Ltd.

After providing £16,918 for depreciation, New Guinea Goldfields, Ltd., earned a profit of £67,230 for the year ended September 30, 1939, compared with £50,486 for the previous year.

With £352,017 brought forward, there is avail able £419,247. Since the closing of the ac-t counts a dividend at an unchanged rate of 5 per cent. (3d. per share) has been announced, and will require £55;904. Cash at bank and on hand amounts to £ 166,596.

Income from mining and milling operations was normal during the year, the report states, but alluvial earnings were substantially less be cause of unavoidable delays in bringing Upper Edie Deep Lead and Koranga deep alluvial to the production stage. It is pointed out that the new Golden Ridges mill recovered 3,950 oz, ot fine gold more than the old mill would have extrasted from the same quantity and grade of ore. Expenditure totalling £85,031 was made with the object of bringing low-grade alluvial areas into production.

Pending the working of these areas, the pre paratory expenses have been charged to the redemption account, and will be recouped by charges against the working accounts when pro duction is commenoed. Until the partial re demption of these recent expenditures has built up cash reserves to approximately what they were at the beginning of the financial year, the directors feel that the dividend policy of the Co. should remain conservative.

Footages driven during the year were as follows: —Edie Creek, 2,229’; Golden Ridges, 2,460.

Total ore production from the Edie and Karuka veins was 37,727 tons, and from Upper Ridges, including Golden Ridges, 29,094 tons. Reserves of assured and probable ore for the Edie aTid Karuka veins at the end of the financial year were estimated at 46,818 tons, further possibilities amounting to about 26,000 tons. Reserves of assured and probable ore for the Upper Ridges mine, including Anderson’s Creek lode, are given at 103,600 tons.

Alluvial production from 270,775 c. yds. was 8,915 oz. of bullion, containing 4,916 oz. of fine gold and 3,744 oz. of silver. Tributers produced 7,839 oz. of fine gold and 5,351 oz. of silver.

Alluvial reserves are estimated at 1,222,000 c. yds. averaging between 4/- and 5/- per c. yd. They are located chiefly on Edie Creek and the Bulolo River. The Koranga or Wau deep alluvial re serves still stand at approximately 9,000,000 c. yds. of V- average’ value.

Production at both Edie Creek and the Ridges is expected to continue at the rate of approx!-* mately 3,000 tons a month. Alluvial production, it is added, will be enhanced by the working of the Upper Edie Cteek deep alluvial deposit, and

Sept.

Oct.

Nov.

Cubic yards ,. 1,589,000 1,646,000 1,619,000 Bullion, oz. 25,851 23,215 24,684 Gold, fine, nz. '.. 17,838 16,018 17,032

area W&U d,6eP alluvials ln the Koranga Creek A report issued by the Mining Trust, Ltd., consutlng engineers to N.G.G., Ltd., compares the production and profit for September, October and November:—

Sandy Creek Gold Sluicing, Ltd.

The manager of Sandy Creek Gold Sluicing, Ltd., New Guinea, reported early in January that the last four yields compared as follows:

From Fiji

Emperor Gold Mining Co.. Ltd.

p\EVELOPED ore reserves of Emperor Mines, Ltd -> were still some five years’ ahead of the mill, said the chairman (Mr. Wallace H.

Smith) at the annual meeting in December. The main Emperor ore body was standing up to the vigorous development programme of the Co., and work on the Regent and Cardigan lodes augured well for the future.

While the profit of £204,288 for 1938-39 was eminently satisfactory, results so far in the current year promised to eclipse that figure.

Plans were well forward to bring into opera tion by next April a new process to enable the Co. to mill semi-oxidised and sulphide ore by flotation. With a steady increase in volume of semi-oxidised and sulphide ore treated, the pre sent rate of profits could easily be maintained and there were prospects of progressive improve ment.

December production of the Emperor mine is compared with the three previous yields in the following table:

•In addition, recovered 1,145 oz. gold from treatment of accumulated concentrates, and an nual clean-up of accumulated slags and amal gum. Total production, 4,578 oz. Mill closed four days, Christmas holidays.

Mount Kasi Mines, Ltd.

Latest yields from the Mount Kasi mine at Vanua Levu. Fiji, are compared in the following table: -

Loloma (Fiji) Gold Mines, N.L.

The directors of Loloma (Fiji) Gold Mines, N.L., expect that the Co. will pay 4/- a year in dividends, and perhaps occasional bonuses, said the chairman (Mr. P. F. Cody) at the annual meeting in December.

If developments in the lower levels of the Co.’s mine in Fiji proved as extensive and favour able as in the present upper levels, the mine will be able to supply the mill with a greater tonnage than at present, he added. The direc tors may consider increasing production when the No. 4 and No. 5 levels have been opened up. The No. 3 level looks very promising and should add considerable quantities of high-grade ore to reserves when developed to its full ex tent.

Production for December is compared with the previous three months in the following table:—

•In addition, recovered 1,189 oz. from annual clean-up of accumulated slags and amalgum, and 490 oz. from devaluation of solution. Total pro duction, 5,036 oz. Mill closed four days at Christmas, but precipitation was carried on, ex cept on Christmas Day.

From Papua

Papuan Apinaipi Petroleum Co., Ltd.

THE general manager of Papuan Aplnalpi Petroleum Co., Ltd. (Mr. Launcelot Owen), reported at the end of December that, approxi mately, 150 tons of the deep drilling plant, hired to the Co. by the Commonwealth Government, had been landed at Olapu. This included the 40 h.p. tractor and trailer, which Is transport ing the plant to the drilling site without any difficulty. The foundations are ready, and the erection of the derrick is being proceeded with.

All the casing required for deep drilling has reached Sydney, freight having been arranged.

It will be shipped to Papua shortly.

A later report, on January 10, stated that the whole of the major drilling plant had been landed at Oiapu, and the Commonwealth Drilling

Edie Creek mill— Sept.

Oct.

Nov.

Ore, tons Gold, oz., fine ..

Silver, oz., fine .. .. 2,360 646 5,364 3,009 891 7,321 2,703 748 6,108 Alluvial— Gold, oz., fine ..

Silver, oz., fine .. .. — 1,734 1,224 1,763 1,216 Golden Ridges mill— Tons treated ..

Gold, oz., fine ..

Silver, oz., fine 2,744 1,367 1,513 2,336 971 1,070 2,500 1,186 1,363 Operating profit— Edie Creek, £ ..

Alluvial, £ Golden Ridges. £ .. •Loss. •178 3,746 5,382 1,226 5,788 1,644 •144 5,236 3,440

Sept.

Oct.

Nov.

Dec.

Cubic yards .. . 26,153 24,238 18,920 14,267 Gold, oz 396 255 243 240 Per cubic yard . 2/3'4 1/7 1/11 2/6 % Working cost .. , . /ioy 2 /II 1/ —

Four weeks ended Oct. Nov. Nov. *Dec. 4. 1. 29. 27.

Ore treated, tons . . 12.655 13,386 12.400 10 563 Head, value, dwt. . 6.8 7.2 7.1 7 25 Gold, oz. fine . . . 3.838 4,312 3,963 3 433 Residues, dwt. . .. 0.67 0.70 0.70 0 70

Pour weeks ended Oct.

Nov.

Nov. Dec.

Ore. 4. 1. 29. 27. tons 3,547 3,520 3,058 3,044 Gold, tine, oz. . 657 707 710 683 Value. £A . . . 6.570 7,070 7.100 6,830

Pour weeks ended Oct.

Nov.

Nov. *Dec. 4. 1. 29. 27.

Tons treated ., . 2,540 2,532 2,520 2,220 Gold, oz., fine 3,277 3,330 3,780 3,357 Residue, dwt. .. 1.0 1.2 1.5 1.38

Inspector (Mr. E. A. Kodyen) was on the site supervising the layout of the plant.

Yodda Goldfields, Ltd.

Yodda Goldfields, Limited, reported early in January that the gold yield for December was 76 ounces 2 dwt.

Cuthbert’S Misima Goldmine, Ltd.

Figures for the December clean-up from Cuth bert’s mine on Misima Island, Eastern Papua, compared with the two previous yields as follows: —

Mandated Alluvials, N.L.

Directors of Mandated Alluvials, N.L., in their report, issued in December, for the year ended July 31, state that the smelter plant ran for 112 days, and produced 376 tons of copper-gold matte containing 3,544 oz. fine gold, 8,212 oz. silver, and 131.5 tons copper. The total value was £37,606 from 6,216 tons of oxidised ore, and 3,396 tons of sulphide ore.

Considerable development work is in progress, the report states. The Laloki property contains more than 400,000 tons of sulphide ore. In creased plant will be required. Interim dividend of 3d. a share was paid on September 26, and £ 1,325 was written off mine development ac count in respect of certain abandoned options.

Oil Search. Ltd.

Oil Search, Ltd., has accepted an offer from its shareholding partners, D’Arcy Exploration Co., Ltd., and Vacuum Oil Co. Pty., Ltd., to re purchase 100,000 shares in Australian Petroleum Co., stated the chairman (Mr. W. A. Freeman) at the annual meeting in Sydney on December 20. The right to purchase must be exercised within five days of the general meeting of Aus tralian Petroleum Co., to be called for the authorising of the next share issue. The price per share to be paid shall be the amount paid up on the shares, plus interest at 5 per cent.

The regional district where the first deep test well in Papua will be located has been selected and active drilling operations are contemplated within the next few months.

Oct. Nov . Dec.

Mill treated, tons .. .. 3.208 3,260 3,300 Bullion, oz 3,018 2,914 3,265 Gold, fine oz 788 824 832 Silver, line oz 2,170 2,030 2,370 Estimated value .. £6,347 £6,710 £6,775 Value per ton of ore .. 39/7 41/2 41/1