While the Taté diggers were pursuing their work and Baines his explorations, a Natalian named Button went, with an experienced Californian miner named Sutherland, to prospect for gold in the north-east of the Transvaal. They found it near Lydenburg, and companies were rapidly formed in Natal to work it. Such big nuggets were sent down that men hurried up, until soon there were some fifteen hundred actively at work on the Lydenburg field. The operations were fairly profitable, but the outbreak of the Zulu war, and then the Boer war, put an end to them for some years.

And now we come to one of the most romantic chapters in the golden history of South Africa, a history which was marked by hard and disheartening days what time the lucky diamond-seekers at Kimberley were swilling champagne, as if it were water, out of pewter beer-pots. There is more attraction for adventurers, however, in gold-seeking than in diamond-mining, for gold can be valued and realised at once, whereas diamonds may not be diamonds after all, and may be spoilt, lost, or stolen, before they can find a purchaser.

It is to be noted that much as the Transvaal Republic has benefited from gold-mining, the Boers were at first much averse to it, and threw all the obstacles they could in the way of the miners. And it was this attitude of the Boers, especially towards the Lydenburg pioneers, that led to the next development.

One of the tributaries of the Crocodile River (which flows into Delagoa Bay) is the Kaap River, called also the River of the Little Crocodile, which waters a wide deep valley into which projects the spur of a hill which the Dutch pioneers called De Kaap (the cape). Beyond this cape-like spur the hills rise to a height of three thousand feet, and carry a wide plateau covered with innumerable boulders of fantastic shape—the Duivel's Kantoor. The mists gather in the valley and dash themselves against De Kaap like surf upon a headland; and the face of the hills is broken with caves and galleries as if by the action of the sea, but really by the action of the weather. Upon the high-lying plateau of the Duivel's Kantoor were a number of farms, the chief of which was held by one G. P. Moodie.

One day a Natal trader named Tom M'Laughlin had occasion to cross this plateau in the course of a long trek, and he picked up with curiosity some of the bits of quartz he passed, or kicked aside, on the way. On reaching Natal he showed these to an old Australian miner, who instantly started up-country and found more. The place was rich in gold, and machinery was as quickly as possible got up from Natal, on to Moodie's farm. On this farm was found the famous Pioneer Reef, and Moodie, who at one time would gladly have parted with his farm for a few hundreds, sold his holding to a Natal company for something like a quarter of a million. Then there was a rush of diggers and prospectors back from the Lydenburg district, and the De Kaap 'boom' set in. The beginning was in 1883, and two years later the whole Kaap valley and Kantoor plateau was declared a public gold-field. Two brothers called Barber came up and formed the centre of a settlement, now the town of Barberton. Every new reef sighted or vein discovered was the signal for launching a new company—not now in Natal only, but also in London, to which the gold-fever began to spread (but was checked again by the De Kaap reverses).

Some fifteen Natalians formed a syndicate to 'exploit' this country on their own account. Some were storekeepers in the colony, some wagon-traders, and some merely waiters on fortune. Only eleven of them had any money, and they supplied the wherewithal for the other four, who were sent up to prospect and dig. After six months of fruitless toil, the money was all done, and word was sent to the four that no more aid could be sent to them. They were 'down on their luck,' when as they returned to camp on what was intended to be their last evening there, one Edwin Bray savagely dug his pick into the rock as they walked gloomily along. But with one swing which he made came a turn in the fortunes of the band, and of the land, for he knocked off a bit of quartz so richly veined with gold as to betoken the existence of something superexcellent in the way of a 'reef.' All now turned on the rock with passionate eagerness, and in a very short time pegged out what was destined to be known as 'Bray's Golden Hole.'

But the syndicate were by this time pretty well cleaned out, and capital was needed to work the reef, and provide machinery, &c. So a small company was formed in Natal under the name of the Sheba Reef Gold-mining Company, divided into 15,000 shares of £1 each, the capital of £15,000 being equitably allotted among the fifteen members of the syndicate. Upon these shares they raised enough money on loan to pay for the crushing of 200 tons of quartz, which yielded eight ounces of gold to the ton, and at once provided them with working capital. Within a very few months the mine yielded 10,000 ounces of gold, and the original shares of £1 each ran up by leaps and bounds until they were eagerly competed for at £100 each. Within a year, the small share-capital (£15,000) of the original syndicate was worth in the market a million and a half sterling. This wonderful success led to the floating of a vast number of hopeless or bogus enterprises, and worthless properties were landed on the shoulders of the British public at fabulous prices. Yet, surrounded as it was by a crowd of fraudulent imitators, the great Sheba Mine has continued as one of the most wonderfully productive mines in South Africa. Millions have been lost in swindling and impossible undertakings in De Kaap, but the Sheba Mountain, in which was Bray's Golden Hole, has really proved a mountain of gold.

The De Kaap gold-field had sunk again under a cloud of suspicion, by reason of the company-swindling and share-gambling which followed upon the Sheba success, when another startling incident gave a fresh impetus to the golden madness.

Among the settlers in the Transvaal in the later seventies were two brothers called Struben, who had had some experience, though not much success, with the gold-seekers at Lydenburg, and who took up in 1884 the farm of Sterkfontein in the Witwatersrandt district. While attending to the farm they kept their eyes open for gold, and one day one of the brothers came upon gold-bearing conglomerates, which they followed up until they struck the famous 'Confidence Reef.' This remarkable reef at one time yielded as much as a thousand ounces of gold and silver to the ton of ore, and then suddenly gave out, being in reality not a 'reef' but a 'shoot.' There were other prospectors in the district, but none had struck it so rich as the Strubens, who purchased the adjacent farm to their own, and set up a battery to crush quartz, both for themselves and for the other gold-hunters. The farms were worth little in those days, being only suitable for grazing; but when prospectors and company promoters began to appear, first by units, then by tens, and then by hundreds, the Boers put up their prices, and speedily realised for their holdings ten and twenty times what they would have thought fabulous a year or two previously. And it was on one of these farms that the city of Johannesburg was destined to arise as if under a magician's wand, from a collection of huts, in eight years, to a city covering an area three miles by one and a half, with suburbs stretching many miles beyond, with handsome streets and luxurious houses, in the very heart of the desert.