It was in September 1909, that the company decided to abandon gold mining in Ashanti and devote attention to tin mining in Northern Nigeria. What were described as “very extensive alluvial tin areas” were acquired on September 20. In a circular to the shareholders, dated October 6, it was stated that the work carried on by the Niger Company, and the investigations of mining engineers in the district had “proved the existence of very rich alluvial ground, and already upwards of 1,000 tons of black tin, won by means of calabashes and sluice boxes, had been shipped.” It was further stated that on one of the properties, over which the company had exclusive rights, there was a waterfall of 480 feet, which would secure cheap and ample power; that the properties were situated some 3,500 feet above sea-level, and the climate was good; that the district was thickly populated, and the natives willing and anxious to work.

The first members of the staff sailed for Northern Nigeria on October 6, and were followed a month later by Mr. Charles G. Lush, the well-known expert on the working of alluvial tin deposits. Mr. Lush was to advise as to the best method of developing the company’s property, which was then stated to be 13 square miles in extent. Parenthetically it may be mentioned that other suitable areas were afterwards taken up and several handed over to subsidiary concerns. Mr. Lush first went to the Juga and Sub-Juga properties, and the first communication received from him was the following cable, dated Bauchi, December 17: “Have visited Juga, am very favourably impressed. Up to the present time proved alluvial extends over 200 acres and averages 9 feet; alluvial contains 4s. per cubic yard; the value of stream tin, £600,000. I will visit Sub-Juga this week.” On December 22 he again cabled as follows: “Sub-Juga—Have visited, am very favourably impressed. I consider admirably adapted for the Australian method of working. It will be necessary to erect a dam; will make survey and report upon. Alluvial extends over 500 acres and averages 9 feet. Estimated value of stream tin, 2s. 6d. per cubic yard.” From these and other communications subsequently received it was evident that Mr. Lush had been most favourably impressed with the field generally, and with the value of the Champion Gold Reefs property in particular.

Four subsidiary companies have been formed to date, viz.:

The Naraguta (Nigeria) Tin Mines is not only a productive concern, but one that has already entered the dividend list, 1s. per share having been distributed. The property was originally five square miles in extent, but the area has since been extended. It was held under option by Champion Gold Reefs, who transferred their option to the present company. The purchase consideration paid to the Niger Company was £50,000, payable as to £30,000 in cash and £20,000 in fully-paid shares. The Government and the Niger Company are together entitled to a royalty of 10 per cent. on the profits. Before the present company was formed the Niger Company obtained from the Naraguta property over 1,000 tons of tin concentrates, and it is stated that in one square mile of the property, which has been systematically tested by pits, there are 10,000 tons of black tin awaiting extraction. Up to the present time, the ground treated has produced tin to the value of £3,000 per acre, whereas in other countries, such as Australia and the Malay Peninsula, £1,000 per acre is considered phenomenal. Some of the ground gives fully 5 lbs. of tin to the cubic yard. There can be no doubt that Naraguta is going to be one of the “gems” of the district.

The Lucky Chance Mines, Ltd., was originally formed in May, 1905, to acquire property in New Zealand, but at the end of 1908 only seven shares had been issued, and the paid-up capital was £5 5s., the company having no assets or liabilities. Towards the end of last year, however, it was placed on its financial legs by the Champion Gold Reefs of West Africa. The latter company sold certain of its tin areas to the Lucky Chance Company for 200,000 shares, and agreed to procure the subscription of 8,000 further shares. To-day the Lucky Chance Company is a robust and ably-controlled enterprise, with excellent prospects of development. Its properties comprise nearly 12,000 acres. The South Juga property has recently been sold to the Juga (Nigeria) Tin and Power Company for £10,000.

The Juga (Nigeria) Tin and Power Company owns what is known as the Juga property, which is situated on a plateau 3,280 feet above sea-level, having a total area of 1,600 acres, and the Sub-Juga property, which lies upon the lower plateau immediately below Juga, the area in this case being 6,720 acres. As already remarked, the South Juga property has recently been added. Mr. Lush estimates that 200 acres of the Juga property will be highly payable. For the purposes of his estimate, he took the average depth as 9 feet, which, extending over 200 acres, equals 2,904,000 cubic yards, each cubic yard containing 6 lbs. “In valuing the ground at 6 lbs. per cubic yard,” Mr. Lush said, “I am not taking into account only the high results obtained from some of the bottom wash, but am reckoning it as a whole. I do this because working results may prove that the wash does not extend over the whole 200 acres, but the gravel does, and I feel confident will average what I state.” In a similar way he estimated that the Sub-Juga property would yield 3 lbs. per cubic yard over 5,808,000 cubic yards.

Tin Fields of Northern Nigeria, Ltd., is a company owning eight square miles at Federri and nine square miles near Dila River, both in the Bauchi Province.

In addition to having floated these companies—in which, of course, Champion Gold Reefs retains a large interest—the company has also large holdings in the following concerns: