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2. Mr. Gray, the manager for the Company, is engaged in sinking a shaft to a depth of 100 fathoms, where it is calculated an eleven-foot seam of coal will be struck.

9. This pit was commenced some years ago under the Labuan Coal Company, but abandoned after a depth of 35 fathoms had been reached.

4. The present Company having decided to proceed with the sinking of the pit, after certain preliminary operations necessary to carry on the main work, which wereTM commenced by Mr. Lumsden, the Company's former manager, and have been completed by Mr. Gray, the latter renewed the process of sinking through the solid on January 6 last.

5. In the early part of May he tapped a feeder of water, which was however subdued after a few days.

6. On the 18th June he had reached a depth of 59 fathoms, when he tapped another feeder of water, which he has not as yet succeeded in subduing.

He is able to keep the water down to a level of 14 fathoms from the bottom, but no lower; and he infers that this indicates the level of the source which supplies the water.

7. The means of subduing this, or any other flooding of the pit that may occur, are at present defective.

The engine now at work is a winding and not a pumping engine. The Company has in store an engine which is both a pumping and a winding engine, but it is not placed; and four months will probably be occupied in placing it, because being of greater power than the winding engine, it will be necessary to make new foundations for it, much stronger than those which now support the winding engine.

8. Mr. Gray does not yet abandon the hope that he may still subdue the water with the winding engine, but if this cannot be done he will be forced to wait till the pumping engine, by which the water would soon be raised, is fixed, and against this contingency he is already making preparations.

9. But even should be subdue the water on this occasion by means of the winding engine, it is to be hoped he will nevertheless proceed with the foundations for the pumping engine, so that he may be enabled to meet at once, and without delay, future difficulties of this nature, to which all coal mines are more or less exposed.

I have, &c.

(Signed) HENRY BULWER.

No. 22.

(No. 62.)

Governor Bulwer to the Earl of Kimberley.--(Received September 24.)

Government House, Labuan, July 17, 1872.

My Lord,

MR. GRAY, the manager for the Oriental Coal Company in this Island, pro- posing to continue and complete the construction of a wharf which was commenced by the Company two years back, on the land which they hold in Victoria Harbour, and being desirous to obtain for this purpose the assistance of the Public Works Department, I authorized Mr. Howard, the Surveyor-General, to ascertain the nature and extent of the assistance required from the Department, and to discuss with Mr. Gray the terms on which this assistance could be given.

2. After due consideration of the details of work to be executed, an agreement has, with my approval, been made between Mr. Howard and Mr. Gray, under which, the latter being bound to supply on the spot all the materials requisite for the further construction of the wharf, the Department has undertaken to supply the labour and the professional superintendence and direction necessary for its execution.

3. The Company's Manager provides the services of an English carpenter, who will act for the occasion as a foreman of works under the Department; and I have promoted this arrangement, not so much to obtain the professional assistance of a skilled carpenter as that, in the interests of the Company, he may watch the progress of the works, and his presence serve as a guarantee that the work is executed in all its details in a proper and workmanlike manner, obviating the possibility of future questions arising with respect to this.

4. The Department undertakes to complete the wharf within six months from the date of the agreement, and the Company engages to pay to the Department the sum of 2,100 dols.

5. The calculation upon which this estimate is framed is as follows:-It is computed that there are 9,090 cubic feet of wood-work to be done. We have put a charge of

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Bray, the manager for the Company, is engaged in sinking a shaft to a depth

where it is calculated an eleven-foot seam of coal will be struck.

was commenced some years ago under the Labuan Coal Company, but ☛ a depth of 35 fathoms had been reached.

present Company having decided to proceed with the sinking of the pit, after minary operations necessary to carry on the main work, which were by Mr. Lumsden, the Company's former manager, and have been completed the latter renewed the process of sinking through the solid on January 5

e early part of May he tapped a feeder of water, which was however subdued

18th June he had reached a depth of 59 fathoms, when he tapped another , which he has not as yet succeeded in subduing.

le to keep the water down to a level of 14 fathoms from the bottom, but no infers that this indicates the level of the source which supplies the water.

as of subduing this, or any other flooding of the pit that may occur, are Kibetive.

fine now at work is a winding and not a pumping engine. The Company an engine which is both a pumping and a winding engine, but it is not four months will probably be occupied in placing it, because being of greater he winding engine, it will be necessary to make new foundations for it, much

those which now support the winding engine.

Fray does not yet abandon the hope that he may still subdue the water with engine, but if this cannot be done he will be forced to wait till the pumping hich the water would soon be raised, is fixed, and against this contingency he king preparations.

wen should be subdue the water on this occasion by means of the winding to be hoped he will nevertheless proceed with the foundations for the ime, so that he may be enabled to meet at once, and without delay, future

this nature, to which all coal mines are more or less exposed.

(Signed)

1 have, &c.

HENRY BULWER.

No. 22.

wernor Bulwer to the Earl of Kimberley.—(Received September 24.)

Government House, Labuan, July 17, 1872. RAY, the manager for the Oriental Coal Company in this Island, pro- Minue and complete the construction of a wharf which was commenced by the years back, on the land which they hold in Victoria Harbour, and being btain for this purpose the assistance of the Public Works Department, I r. Howard, the Surveyor-General, to ascertain the nature and extent of the quired from the Department, and to discuss with Mr. Gray the terms on intance could be given.

due consideration of the details of work to be executed, an agreement haa, oval, been made between Mr. Howard and Mr. Gray, under which, the latter to supply on the spot all the materials requisite for the further construction the Department has undertaken to supply the labour and the professional Ice and direction necessary for its execution.

Company's Manager provides the services of an English carpenter, who will nion as a foreman of works under the Department; and I have promoted nt, not so much to obtain the professional assistance of a skilled carpenter interests of the Company, he may watch the progress of the works, and his and re as a guarantee that the work is executed in all its details in a proper manner, obviating the possibility of future questions arising with respect Department undertakes to complete the wharf within six months from the greement, and the Company engages to pay to the Department the sum of lculation upon which this estimate is framed is as follows:-It is computed te 9,000 cubic feet of wood-work to be done. We have put a charge of

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