Colonial Despatches

I have had the honor to receive your despatch No. 39 of the 8th July last, forwarding copies of a correspondence with the Lords Commissioners of Her Majesty's Treasury on thesubject subject of the proposed increase to the Staff of the Assay Department.

2. I may at once state that no alteration has yet been made in the personnel of the Establishment. The work still continues to be performed by one Chief Assayer and one Melter, the Staff authorized in the Duke of Newcastle's despatch, No. 41 of 31st July 1863. I beg, however, to enclose a Return of the Amount of Gold assayed during the eight months ending 1st September 1864,and and for a like period of 1865. This Return will show the correctness of Governor Seymour's statement that the business of the Department would probably be greatly extended during the present year.

3. In obedience to the instructions conveyed in your despatch, I shall be careful not to incur the additional expenditure proposed by Governor Seymour and voted in the Estimates for 1865, but should the amount ofgold gold brought to the Government Assay Office increase in the present ratio, I shall be compelled to give some temporary assistance without delay.

4. Your despatch does not convey any instructions in reference to Governor Seymour's proposal that the Assay Department be distinct and not as heretofore under the nominal superintendence of the Treasurer. I would beg strongly to recommend that I may be authorized to carry outGovernor Governor Seymour's suggestion. Mr Claudet has now been virtually superintendent of the Department for over five years and has gained the entire confidence of the mining community. The alteration will entail no additional charge on the Revenue and I am convinced that the Department will work more satisfactorily when under the sole superintendence of the Chief Assayer.