are
apparently on the southern rim of the basin. The Main Reef Series, if
present and if the reefs are developed, will in all likelihood be found
to be poor in gold. I cannot, therefore, recommend negotiating with Mr.
Jacob-son, but during my next trip to Klerksdorp, should like to pay a
visit to these new discoveries so as to keep in touch with the latest
work and results there, and be able to form a definite opinion as to
their prospects.
♦ XXII ♦
The
year 1937 was an eventful one in Orange Free State developments.
First, Anglo American Corporation, on 23 January of that year, floated
the West Rand Investment Trust, which on 6 February 1937 took over
Merensky's options over the Wit. Extensions area in the Odendaalsrus
area. Secondly, as already mentioned, South African Townships—Sir Abe
Bailey's concern—floated Western Holdings on 19 February. The first
annual report of Western Holdings for the year ended 31 December 1937
listed freehold and mineral rights in the Hoopstad district (258
morgen) and options on mineral rights in the Ventersburg, Hoopstad,
Kroonstad, and Winburg areas covering 122,000 morgen. Further, Western
Holdings held participation rights in 'vendors' considerations' over
lands under option to other concerns totalling 324,000 morgen. The
concerns in question were Anglo American Corporation, West Rand
Investment Trust, Anglo Transvaal Consolidated, Far East Rand Areas (B)
and New Consolidated Gold Fields. All the lands concerned were
described as being in the 'northwestern Orange Free State'. As the
maps show, the original Western Holdings interest lay primarily in a
compact block between Hoopstad on the west and Wesselsbron on the east,
bounded north and south respectively by the Vaal and Sand Rivers (an
area originally held by Norvaal Investments); but there were also
detached areas north and south of Odendaalsrus.50 (Vide maps, page 528.)
50 In
May 1938 Western Holdings published the following announcement in the
Press: 'As a result of the encouraging information afforded by
geophysical work in areas held under option by our company in the
Odendaalsrust district of the Orange Free State, options over further
large adjoining areas were taken up to the south of the Sand River. The
total area consequently held by Western Holdings in this district was
so considerable that its efficient exploration presented a number of
difficulties. It was therefore considered advisable to conclude an
agreement with the Union Corporation Limited, whereby that corporation
would be responsible for all exploratory work and maintenance of
options on the area south of the Sand River. In any mining company
which may be formed within this area Western Holdings will have the
right to subscribe 30 per cent of the working capital. The Union
Corporation have in addition been granted subscription and underwriting
rights to the extent of 3 5 per cent in any mining company
