description than that taken from the bars, some of the pieces found in these tunnels being reported to weigh from 10 dwts. to 1 oz. each. At the junction of the Manuherikia with the Clutha is the claim of the Government prospecting party, hereinafter more particularly referred to, and from that point to within a few miles of the boundary of the Tuapeka Gold-field, the borders of several of the streams running into the Clutha have recently been tried and found to contain gold in payable quantities. The latest known discovery in this direction is on the Taylor, from which locality some miners report that they have obtained 23 ounces of gold for four days work. The Chief Harbour Master, during his recent exploratory trip up the Clutha River, found a party of ten men washing out on the bars of the river, below the junction of the Beaumont-burn, all evidently satisfied with the result of their labour. One of them informed Captain Thomson that he had washed out an ounce during his stay of two-and-a-half hours. A deposit of very fine gold, mixed with iron sand, was found on the upper side of the bars in this portion of the river wherever they were tried.

A continuous Gold-field may now, therefore, be said to extend in a general northerly direction, from Tokomairiro to the valley of the Upper Clutha—a distance exceeding 100 miles, as the crow flies.

The Nokomai Gold-field has not yet been sufficiently developed to admit of any very decided expression of opinion as to its value. The following extracts from the very able Report of the Commissioner of Police, Mr. St. John Brannigan, comprises all the information obtainable to this date:—

“Moa Creek, or Victoria Gully—the scene of the gold workings—rises in a large range of mountains, of which the steeple is the highest point, and empties itself into the Nokomai. It is about three miles long, and varies from 200 to 600 yards in width. The prospectors continue to do remarkably well. Kelsey’s party had washed 6 ounces 11 dwts. from about two loads of washing stuff. Coulson’s party had washed about an ounce to the first tin dish. If the same fortune experienced by the miners whom I saw at work, attends the remainder, the field will prove rich, permanent, and extensive.”

Gold mining operations in Otago are entirely confined to alluvial and river workings. In quartz-reefing little or nothing has yet been done, and it is at least problematical whether rich lodes such as those of Australia will be found here.

The first reported reef was discovered at the Highlay in May, 1862. Gold in minute specks, as fine as points of needles, is discernable in the specimens obtained from the “cap,” or crown of the reef. The stone is, however, of an unpromising appearance generally. A lease of a portion of this reef was to have been granted by the Government to the prospector, on condition of adequate machinery being erected, but up to the present time no further action appears to have been taken in the matter.

Auriferous Quartz has also been found at Waipori. The stone from this reef is of a compact ferruginous nature, containing water-worn gold of a somewhat heavier description than that from the Highlay reef. The discoverers have been allotted a full prospecting claim, and they propose to erect a battery of 4 stamps, to be worked by water-power, of which there is abundance in the vicinity.

A quartz-reef has also been reported as having been discovered at Canada Bush, between the main branches of the Tokomairiro River.

Perhaps one of the most peculiar conditions under which gold has been developed in Otago, is presented by the Coast workings, near the township of Hampden, on the Moeraki Beach. Very fine gold is there found amongst the detritus of the sea shore, intermixed with iron sand, fragments of crystals, and minute gems, chiefly garnets and zircons. Samples, tested by competent metallurgists, have yielded at the rate of from 50 to 100 ounces to the ton of sand. The quantities operated upon have been small, and the results are consequently indecisive, but the particles of gold are generally diffused through the sand as to leave no doubt of its remunerative character, if subjected to proper scientific treatment.

These sands are found along the coast, from the mouth of the Big Kauri stream to Vulcan Point, and similar deposits have been discovered beneath the soil, in the adjacent creeks and gullies.

The character of the gold produced on the various fields differs very considerably. That obtained at Tuapeka is generally fine and of good quality. The Clutha river gold is still finer, consisting principally of thin scales, greatly resembling bran—to quote the original comparison of Mr. Garvie—but it is of inferior quality. The Moeraki beach gold is the purest and best of any.

Coarse rough gold, intermixed with fragments of quartz, is found at Waipori, and in some parts of the Highlay District.