No. 185
               
            
            
            
            
               The latest intelligence received from 
Mr Sanders the Assistant
               Gold Commissioner for the district of 
Fort Yale is very interesting
               and of a cheering character.
               
               2.  That gentleman in his last report dated the 
28th June
               states
states that the accounts from 
Prince Alberts Flat continue to be
               favourable, and the Miners who have taken up claims there, assure him
               that the pay streak yields five cents to the pan, which they consider
               a fair return for their labour, and 
Mr Sanders is of opinion that,
               the Flat which is of great extent will afford profitable employment
               to hundreds of Miners for years to come.
               
               3.  A Mining Bar about seven miles above 
Yale, commonly known as
               
Sailors Bar which is occupied by a person named 
Mead
Mead and another, who
               are the sole grantees of two springs yielding sufficient water to supply
               three sluice heads are making, according to their own statement
               fifty dollars to the man a day.  In consequence of the small supply of
               water on this extensive Bar it is unavoidably monopolized by these two
               men, and will afford them employment at the same rate of remuneration
               for many years to come.
               
               4.  Some Chinese Miners have settled on an elevated Bank on 
Fraser's
                  River beyond 
Spuzzum, and as there is no water on the spot, and 
their
their
               own small means are insufficient to bring in an artificial supply from
               the neighbouring mountains, they convey the soil for washing in wheel
               barrows to the rivers edge, a fact which goes far to prove the
               extensive richness of the deposit.
               
               5.  These elevated banks have long been known to be rich, but there
               being, on many of them, no natural supply of water, it will require a
               considerable capital to bring in supplies of that indispensable element.
               
            
            
               6.  The Ditch on Emorys Bar 
has
has been moved back, in order to
               facilitate the working of the Bank, which has however not proved so
               productive as expected.
               
               7.  The Miners on 
Hills Bar are sinking shafts in the mountains,
               in rear of the Bar, but when 
Mr Sanders last visited the spot on the
               
21st June, they had not attained to a sufficient depth, to determine
               the value of the auriferous soil with any degree of positiveness;  the
               Miners were however quite satisfied from the indications of the beds
               of earth, that their endeavours were likely to prove successful.
               
               8.  
Mr Sanders laments 
the
the great loss of gold arising from
               careless
               working and the want of proper means to retain the "rusty gold", and
               remarks that one half at least of the fine gold escapes on the surface
               of the water used in washing, nor will "rusty gold" amalgamate with
               quick silver, and he states, in proof of the superficial, ineffective
               manner in which the diggings are worked, that an experienced and well
               informed Ditch owner, assured him that he would have no hesitation,
               in undertaking to work over again those parts of 
Hills Bar, which are
               supposed to be exhausted, with a certainty of realizing from six to
               eight ($6 to $8)
               
dollars
dollars a day for each man employed, yet, on this Bar many Miners
               have taken out of a twenty five foot claim as much as six and seven
               thousand dollars ($7,000)
               exclusive of cost of labour, water, and subsistence.
               
               9.  The miners are full of confidence in the resources of the
               country, and are looking forward to great discoveries in 
British
                  Columbia.  They seem to think that parties should be organized to
               prospect the interior, and good miners have offered their services for
               that object, on condition of being furnished with food, and rewarded
               in the event of success 
with
with grants of mineral land, or a quartz-land
               claim.
               
               10.  
Mr Sanders further reports that the accounts from the upper
               districts of 
Frasers River are most encouraging, rich alluvial diggings
               having been found in the neighbourhood of 
Ft Alexandria, and
               extensive and rich dry diggings near 
Lytton.
               
               11.  
Mr Sanders had also been informed, that silver has been
               discovered to the Eastward of 
Sailors Bar, and he promises to procure
               and forward specimens next week.  It is also reported that quicksilver
               had been discovered, but the Commissioner thought 
it
it not impossible,
               that the discoverer, had mistaken Red Sandstone for "Cinnabar" the
               mineral which contains Quicksilver.
               
               12.  
Mr Sander's report contains nothing further of importance.
               
               13.  The opening of roads through the mountainous districts of
               
British Columbia into the interior, is now the object which has the
               strongest claim upon our attention.  A party of Royal Engineers are
               now employed in making the road from 
Fort Hope to 
Boston Bar, and a
               detachment of Royal Engineers and Royal Marines, exceeding one 
hundred
hundred
               (100)
               men are employed in widening and improving the Harrison Lillooet road.
               
               14.  The transport by that road into the interior is already very
               great.  About one hundred (100)
               pack mules leave 
Douglas weekly with freight
               for 
Bridge river;  From returns made up at 
Douglas it appears that
               Three Thousand six hundred (3,600)
               tons of provisions have been carried over
               that road since it was first opened in the month of 
November last.
               The rate of freight by that route, rose at one time last winter to
               Thirty seven (37) cents a pound a state of 
things
things induced by the want of
               competition, and by the severity of the weather, but it is now
               reduced to 10 cents a pound all through from 
Douglas to 
Bridge River,
               and from this place (
Victoria) to 
Douglas 1 1/7 cents making the
               whole expense of freight from this place to 
Bridge River a distance
               of Three hundred and sixteen (316)
               miles of inland transport 11 1/7 cents
               a pound, which is reasonable compared with what the charge once was;
               though still susceptive of reduction.
               
               15.  The regular settlement 
of
of the country by a class of
               industrious cultivators is an object of the utmost importance to
               the Colony, which is at present dependant for every necessary of life,
               even to the food of the people on importation from abroad.
               
               16.  It is thus drained of its wealth and its progress retarded:
               evils which must exercise a depressing influence on the country at
               large, until it possesses a fixed population, and produce of its own.
               
            
            
               17.  The mining population are proverbially migratory and unsettled
               in their habits, seldom engaging in any other than 
their
their own absorbing
               pursuits, and therefore, it is he who tills the soil, the industrious
               farmer, who must clear the forest, bring the land into cultivation,
               and build up the permanent interests and prosperity of the Colony.
               
               18.  We are for that reason most anxious to encourage the actual
               settlement of the Country and that the process should commence on the
               sea coast, and spread from thence as much as possible, continuously
               along the course of the great rivers into the interior.
               
            
            
               19.  There are considerable tracts of level land, and some Prairie
               land on 
Frasers River. 
The
The country on 
Harrisons River and 
lake is
               less favourable for settlement, the lake about 35 miles in length,
               being on all sides bounded to the waters edge, by precipitous
               mountains, and not comprising, I believe, throughout its whole extent,
               Five hundred (500) acres of land fit for cultivation.  The valley of
               
Harrisons River does contain some level land, but the quality of the
               soil is arid and stony.
               
               20.  Nothing however can surpass the imposing beauty of the
               
               mountain masses and deafening cataracts of those 
two
two districts, the
               admiration of every lover of the sublime and picturesque in scenery.
               
               21.  They are moreover not without value in other respects,
               possessing, as they eminently do in boundless extent, fine forests
               of the largest growth and finest quality, with an almost unlimited
               amount of water power, readily applicable for propelling machinery at
               the smallest expense.
               
            
            
               22.  With the further advantage of a safe water communication to
               the sea, the inhabitants of those Districts, will doubtless turn their
               attention 
to
to the export of spars and deals, which can be rafted at
               little cost, to 
Queensborough and thence shipped to all parts of the
               world, a trade that must eventually become a great source of wealth
               to the country.
               
               23.  The geological phenomena observed on the banks of 
Harrisons
                  River, favour the belief that the district is auriferous, and this
               opinion received corroboration from the fact that a party of French
               miners, have worked the gravel beds of that river with a marked degree
               of success, their joint earnings 
having
having averaged about seven dollars ($7)
               a day to the man, and they are now making earnest preparations for
               renewing the operation as soon as the River abates.
               
               24.  The present white population of 
Douglas is about one hundred
               and fifty (150)
               souls.  I was much pleased with their conduct when recently
               on a visit to that place, they came forward in the most liberal manner,
               after an address from me on the subject, to tender a subscription of
               about Three hundred dollars ($300), and the offer of an assessment of 
ten
ten
               per cent on the value of their property, in aid of the road to Bridge
               river.  I thanked them for the support thus tendered, and promised
               to make honorable mention of their act to Her Majesty's Government.
               
               25.  A Water power saw mill of great capacity, with a planing
               and grooving Machine attached, has been lately erected on one of the
               Mountain Streams that sweep through the town of 
Douglas and I have
               no doubt that the enterprise of 
Mr McDonald the spirited proprietor,
               will meet with a rich 
reward
reward.
               
               26. 
Colonel Moody is making great efforts to bring surveying
               parties rapidly into the field but the survey of the site of
               
Queensborough, and other necessary work, has led to unavoidable delays,
               and no country land has as yet been brought into market.  There is
               much popular clamour on that account, and should the pressure for land
               be great, I think it will be advisable, to meet the emergency by
               establishing some temporary system of occupation, which would enable
               settlers to 
hold
hold and improve certain specified tracts of land under
               a preemption right until the surveys are completed, when it might
               cease to be in force.
               
               27.  The declared value of Imports into 
British Columbia for the
               quarter ending the 
30th June amounts to Two Hundred and Forty seven
               thousand, seven hundred and fifty-five dollars, sixty-six cents
               ($247,755.66) and the revenue derived from Customs duties for the same
               period amounts to Four thousand one hundred and thirty-three pounds
               
sixteen
sixteen shillings (£4133.16).
               
               28.  There is some excitement at present about the gold diggings
               of 
Queen Charlotte's Island, and application has been made to me for
               aid and protection on the part of the Government.
               
               29.  If a party of sufficient strength for self protection, can
               be united for the purpose of exploring that Island and developing its
               mineral resources (which I believe to be valuable) and thus form the
               nucleus of a settlement, I will at once enter into 
communication
communication with
               the Senior Naval Officer present, requesting him if possible to detach
               one of Her Majesty's Ships now here, to accompany and give the party
               such aid and assistance as may be requisite on their first landing and
               to remain near them until they can construct works for their protection
               against the Native, who are numerous and troublesome.
               
               30.  I have only further to report the 
general
general tranquillity and
               welfare of the Colony.  The numbers of the Victoria Gazette mentioned
               in the margin
               
               
               are herewith enclosed.
               
               
               
               Minutes by CO staff
               
                
                  
                  
                     Mr Merivale
                     The delay in bringing the country lands into the market (see
                     par 26) is a serious evil.  Perhaps the E. Comm
rs might offer
                     some suggestions on the subject.  A large number of the Royal
                     Engineers are employed on the Harrison River Road and without some
                     temporary measure such as the Governor suggests being resorted to
                     there would 

seem to be only a remote prospect of the land being
                     made available.  It is probable too that the R. Engineers are not
                     very rapid surveyors.
                     
 
                  
                  
                     The customs duties for the quarter to 30 June are £4133.
                     
                  
                  
                     Acknowledge receipt of the report.
                     
                  
                  
                  
                  
                  
                     Send to Em Com
n in the first instance, with reference
                     especially to par. 26, which as 
Mr Irving truly points out, raises
                     a question of very great importance to the future welfare of the
                     colony.  The admission of squatters to preemption rights (American
                     fashion) is an evil if it can be avoided, but difficult or impossible
                     to avoid under such circumstances.
                     
 
               
               
                  
                  
                     I believe we
                     must resort to the American fashion.  The very
                     neighbourhood to U.S. territory renders it next to impossible to
                     maintain the present system.
                     
                  
                  
                  
                   
                
            
            
               Other documents included in the file
               
                
                  
                  
                     Draft, 
Merivale to Emigration Commissioners, 
2 September 1859,
                     forwarding copy of the despatch for consideration.