eye

In the Lower Coal Measures, eight seams, five of which with a
total thickness of 34 feet, while the other three seams and also a
number of smaller seams and other seams insufficiently tested
nearly double this thickness.

Assays of the coal show: Fixed Carbon... 74.00% to 86.74%

(from the mixed samples Volatile ........ 3.0 (lS. ol
obtained in 1911) Sulpmur....: 3 ao 02 - 1.0
VAS toa renee 5.0 ee oO
Hyd. Water... =. 3,9 eS 4.5

The samples tested in 1911 were taken from moist and dirty
surface workings, and were not so good in analysis as those ex-
amined in 1910, which will, it is expected, be equalled or exeelled
when the property is operated. But even the worst of these sam-
ples gives far more fixed carbon than the best of the bituminous
eoal mined in Canada, which as a rule gives less than 53 per cent.
of fixed carbon.

Since the examination by Mr. McEvoy the Company’s property
has also been examined by Mr. Gustav Grossmann, a distinguished
Mining Engineer of Pennsylvania, whose report confirming, as far
as the extent of his examination would allow, the reports of Messrs.
Campbell-Johnston, Monckton and McEvoy, will be found annexed.

The claims are held under lease from the Government of Brit-
ish Columbia subject to the mining laws of the Province and to the
payment of an annual rental of $4700 ($100 per claim) and to a
royalty of 10 cents per ton of coal mined.

The mining act of the Province permits the purchase of the
land instead of its lease, at any time, upon payment of $5 per acre,
for coal, or $10 per acre, for coal and surface rights.

The coal deposit is on the Skeena River 150 miles north of
Hazelton which is on the Grand Trunk Pacific Railway. Hazelton
is 180 miles from Prince Rupert, the Pacific coast terminal of the
G. T. P. The Skeena is navigable for hght draught river steamers
from Hazelton to Prince Rupert.

The engineers are of opinion, after examination of the country,
that a good line for a railway can be had from the coal deposit to
ocean navigation at the mouth of the Naas River—about 50 miles
north of Prince Rupert. This line would be about 200 miles long,
but it will have very little adverse grade against the hauling of the
coal, from its elevation of 3,600 feet to tidewater; it will develop a