Possible Help From Subsidy

Outlook For Ng Gold

Producers

rHERE is interest for all gold producers in New Guinea in the following statements made ly the chairman at the annual neeting of New Guinea Goldfields jtd. on January 28:

Gold Sales On Premium Market

The premium in excess of the statutory price for all gold marketed by NGG, Ltd., amounted to £1,066 (in the year ended 30/9/54) compared with £13,616 in the preceding year.

A report by the Gold Producers’ Asso ciation Ltd. informed the Co. that “the last sale of gold made by the Associa tion was in June and was on account of gold which had been lodged by mem bers prior to the end of April, 1954.

Since then it has been found impossible to sell gold at a profit, and as there appears very little prospect of any im provement in the immediate future your Committee has decided that the Associa tion should suspend operations for the present. . , .”

On May 1, 1954, the Commonwealth Bank increased the price of gold to £l5/12/6 from £l5/9/10, thus bringing the new price to the equivalent of the dollar price per fine ounce.

Gold-Mining Industry Assistance

Act, 1954

As a result of representations to the Commonwealth Government by the Chambers of Mines of Western Australia, Victoria and Queensland an “Act to pro vide for Assistance to the Gold-Mining Industry” was passed by Parliament and assented to on November 18, 1954.

Subject to various terms and condi tions, including wide discretionary powers delegated to the Treasurer, the Act pro vides for a subsidy payable in respect of bullion produced in a year by a Com pany which is a large producer, the amount of which is ascertained by multi plying— (a) an amount equal to three-quarters of the excess of the cost of pro •

duction per fine ounce of gold over thirteen pounds ten shillings; or (b) two pounds, whichever is the lesser, by the number of ounces of fine gold produced from the bullion.

The subsidy payable under this Act should prove advantageous to this Com pany, during the current period, if the cost of production per fine ounce of gold exceeds £ 13/10/0. (Last year, NGG Ltd. produced 12,780 oz. of gold and 16,103 oz. of silver.) Suva residents were treated to a

display of brilliant gymnastics by

a team of 30 Danish men and women gymnasts who gave several indoor and outdoor performances

in January.