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prove to be the case, I despatched explorers in that
direction, and the result was that Mr. Skeet blazed a
track up the Valley of the Tadmor, and down that
of a river which he called the Hope, to a point
where it joins the Buller, eight miles north-east of
the junction of the River Owen. Mr. Burnett was
despatched to report on this line, and found that,
though it was creditable to the explorer's skill,
it struck the Buller valley too far to the eastward
to have any advantage over the line already known
by way of Lake Arthur.

After this ill success, I resolved to fall back on the
better line and explored the valley of the track, at
once, from the Lake country, keeping as close as
practicable to the valley of the Buller, in order to
open the numerous valleys to the south of that river.
He succeeded in this work till he reached the Brunner
range, between the Maruia and Inangahua or Thack-
eray valleys; but here a most difficult rocky barrier,
already described by Mr. Brunner, opposed his fur-
ther progress.

3. Matters were at this point when a few months ago
   large deposits of gold were discovered in the valley of
   the Lyell, a tributary on the north of the Buller, and
   this, coupled with the well grounded expectation
   that other northern tributaries would prove as rich,
   induced me to make another effort to find a shorter
   route to the middle of the Buller, in the general di-
   rection already suggested by Mr. Haast, and still
   more definitely by Mr. Rochfort. I sent out Mr.
   Rochfort, whose previous acquaintance with that par-
   ticular district qualified him in an especial way for
   the service. His Reports on this important explora-
   tion, with a sketch map of the country he traversed,
   will be laid before you. The result promises to be
   of vital importance to the interests of the Province.
   Fair success has been obtained in the immediate
   object, and the Valley of the Karamea, which it is
   probable is highly auriferous, has moreover been
   made accessible from the land side. But the most
   important result has been the additional knowledge
   obtained of the extent of the West Coast Coal Field,
   which is found by Mr. Rochfort reaching to the
   source of the Wangapeka River, and perhaps even
   nearer Nelson, and occupying a position which he
   considers to be accessible from the port.

4. This leads me to another subject. In address-
   ing you last Session, I referred to examinations,
   then being made by Mr. Burnett, in the Grey Coal
   Field near the Buller River, and into the capabilities
   of the latter river as a port of shipment. During
   the Session, Mr. Burnett's preliminary Report was
   laid before you. He has since continued his exami-
   nations and surveyed another portion of the field at
   the river Mokihinui, still further north. His very full
   reports, with explanatory engravings, will be laid
   before you. To complete this inquiry into the means
   and the place for opening the Coal Field, the Provin-
   cial Engineer set out, as soon as his numerous and
   pressing duties were allow, to examine the line of
   tramway, proposed by Mr. Burnett, between the
   mine and the port at the Buller. The engineer's
   instructions were, after finishing this examination to
   return overland, inspecting on his way the track
   down the Buller Valley made by Mr. Skeet. Some
   little delay must, however, elapse before his reports
   can be laid before you.

Believing that you would concur with me in the
opinion that the Land Regulations referring to the
disposal of Mineral Lands must fail to secure a
fair share of this wealth for these purposes, and to
provide for speedily working these valuable mines, I
applied to the General Government for a Reserve of
this part of the Coal Field, and the land has been
accordingly granted, under the "Public Reserves
Act, 1836." It will be for you to determine the
principles and regulations under which this valuable
reserve shall be dealt with, and propositions respect-
ing it will be submitted to you early in the Session.

To make sure that the opening of the Coal Field
should be no longer delayed, I thought it right, in
the absence of sufficient available private capital, to
apply to His Excellency's Government to sanction
the introduction of a Loan Bill, under which a sum
of £50,000 might be raised for the necessary works
by the Provincial Government, and I have obtained
its assent.

5. Whilst awaiting the Engineer's Report on the
   Coal Field at the Buller, and on the practicability of
   making a road for general traffic along Mr. Skeet's
   line, I have thought it right to construct that part of
   the track nearest Nelson, in order to open several
   valleys adjacent to the occupied district, and to facili-
   tate the carriage of stores towards the auriferous
   country. This work is under the direction of Mr.
   Brunner, the Chief Surveyor, and is progressing
   satisfactorily. I thought that the attractions of the
   Western Gold Fields were very likely to bring a
   large number of diggers to the Province during the
   next few months, and already the influx has begun.
   Under these circumstances, I felt also justified in
   acting, at once, on the new topographical information
   which Mr. Rochfort's report supplies, and several
   tracks are being made on his suggestion in the
   Wangapeka, Lyell, and Karamea valleys, suitable
   through a considerable part of their length for pack-
   horses. Mr. Rochfort has charge of these works.
   By them not only will an alternative and more direct
   line to the Lower Buller be provided but a large
   field, in all probability auriferous, will be made at
   once available; so as to furnish occupation for a
   considerable digging population. I trust that in a
   month from this time the Lyell diggings will be con-
   nected with Nelson by this route; and that in six
   weeks or two months the Valley of the Karamea, and
   the level land on the mouth of that river, will cease
   to be isolated from the rest of the province.

I have also had a track cut from the end of the
main road at Collingwood to the mouth of the River
Heaphy, and further the satisfaction of in-
forming you that a track is open from the Amuri to
the Grey Plain, and has been used by two settlers,
thus: the established in the Grey district, who drove their
flocks of sheep across the river with trifling loss. The
means of communication inland between the town
of Nelson and the West Coast districts stand, then,
thus: the northern part can be reached by Colling-
wood and the Aorere Valley; the southern by the
Wairau Gorge, the Hanmer Plain, and valleys tribu-
tary to the Waiau-ua and Grey Rivers; whilst the
centre will be accessible in a few weeks at several
points through the Wangapeka pass. Nor am I
altogether without hope that a road by the Buller
valley itself will be found available, by the Provin-
cial Engineer's careful and laborious examination,
which already has overcome one of the great difficul-
ties of the line.

6. Under the circumstances, which I have now
   fully laid before you, it would be premature to intro-
   duce the contemplated Loan Bill, until reports and
   estimates shall have been furnished on the possibility
   and cost of approaching the newly discovered portion
   of the Coal Fields from the side of Nelson. The
   advantage of this, if practicable, is too obvious to be
   more than alluded to. In contemplation of the
   possibility of large works, including a railway of nar-
   row gauge, suited for locomotives, being undertaken
   on this side, in preference to those smaller ones pro-
   posed at the Buller, I have therefore already written
   to the General Government to sanction an increase