II.-BOW RIVER COAL DISTRIOT.

Townships 19, 20, 21, Ranges 18, 19, West of Fourth Meridian.

66 20, 21, 22,

20, 21,

III.-BELLY RIVER COAL DISTRICT.

Townships 8, 9 and 10, Range 21;

Those portions of Townships 8 and 9 not included in the Blood Indian Reverse, and the whole of Township 10, in Range 22; those portions of Townships 8 and 9 not included in the Blood Indian Reserve, and the whole of Township 10, in Range 23, all West of the Fourth Meridian.

IV.—SOUTH SASKATCHEWAN RIVER COAL District.

Townships 11, 12, 13, Ranges 2, 3, 4, 5, 6, 7, 8, 9, 10, West of Fourth Meridian.

14, 15, 16,

V.-NORTH SASKATCHEWAN RIVER COAL DISTRICT.

Townships 50 and 51, and the South half of Township 52, Range 25,
50" 51, Range 26,

66

Fourth Meridian.

50 "51, 66 27,

50" 51, in the fractional portion of Range 28, all West of the

Also Townships 50 and 51, Range 1,

51,

66 2,

51,

66 3,

All West of the Fifth Meridian, in the Provisional District of Alberta.

All west of the Fifth Meridian, in the Provisional District of Alberta, but excluding therefrom that portion of the said described area which is covered by the right of way and station grounds of the Canadian Pacific Railway.

VII.-DISTRICT AT WOOD MOUNTAIN AND ITS VICINITY.

Townships 1, 2, 3, 4, 5, 6, 7, Ranges 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28. 29, 30, West of Second Meridian. 66 1, 2, 3, 4, 5, 6, 7, 1, 2, 3, 4, 5, 6, 7, 8, West of Third Meridian, 2nd. The surveys of the lands within the said Coal Districts will be completed as soon as possible, and thereafter the lands will be periodically offered for sale by tender or public auction-the lands within the "Cascade Coal District" at an upset price of $12.50 per acre, cash, and the lands within all the other Coal Districts at an upset price of $10 per acre, cash.

(a)-Not more than three hundred and twenty acres shall be sold to one appplicant. (b)-When there is more than one applicant for the same coal location, the Minister of the Interior may invite competition between the several applicants, or offer the land for sale at public competition by tender or by auction as he may think expedient, at the upset price of coal lands in the district in which such coal location is situated.

(c)-When applications are made to purchase coal locations situated outside of the organized Coal Districts, the Minister of the Interior may sell the same to the appplicants at the price and on the terms which would apply if the lands were within an organized Coal District, and with due regard to the quality of the coal which the said lands may be found to contain.

3rd. With respect to leases which have already been granted, each lessee who has fulfilled the conditions thereof may, within two years from the date of the Order in Council authorizing his lease, convert the leasehold into freehold, by paying in cash the upset price placed by the Minister of the Interior on the lands in the Coal District wherein the said leasehold is situated; but the lease shall be null and void in all cases where the conditions have not been fulfilled by the lessee, especially the conditions contained in Clause 5 of the said regulations, which is as follows: "That failure to commence active operations within one year and to work the mine within two years of the commencement of the term of the lease, or to pay the ground rent or royalty, shall subject the lessee to forfeiture of the lease and resumption of the land by the Crown."

4th. In cases where the Minister of the Interior satisfies himself that companies, or persons, have expended considerable sums of money in exploring for coal within the limit of any district for which they may have applied under the Regulations of the 17th December, 1881, the said lands may be sold to such companies or persons at the upset price fixed for lands in the Coal District in which such tract may be situated. 5th. The boundaries beneath the surface of coal mining locations shall be the vertical planes or lines in which their surface boundaries lie.

6th. The rights of lessees, and of persons in favor of whom Orders in Council authorizing leases have been passed, shall not be affected by these Regulations. A. M. BURGESS,

Deputy of the Minister of the Interior.

DEPARTMENT OF THE INTERIOR,

OTTAWA, 14th June, 1886.

REGULATIONS Governing the Disposal of Grazing Lands in Manitoba and the North◄ West Territories.

1. Leases of grazing lands in Manitoba and the North-West Territories can be granted only after public competition, except in the case of actual settlers to whom may be leased, without public competition, tracts of land not to exceed four sections and to be contiguous to the settler's homestead. Leases shall be for a period of not exceeding twenty-one years, and no single lease shall cover a greater area than 100,000 acres.

2. The lease shall be granted to the party offering the highest premium therefor in addition to the rental. The said premium to be paid before the issue of the lease. 3. In surveyed territory, the land embraced by the lease shall be described in townships and sections. In unsurveyed territory, the party to whom the lease may be promised shall, before the issue of the lease, cause a survey of the tract to be made, at his own expense, by a Dominion Lands Surveyor, under instructions from the Surveyor General; and the plan and field notes of such survey shall be deposited on record in the Department of the Interior.

4. The lessee shall pay an annual rental at the rate of $20 for every 1,000 acres embraced by his lease, and shall within each of the three years from the date of the Order in Council granting the lease, place upon the tract of land leased not less than one-third of the whole amount of the stock which he is required to place upon the said tract, namely, one head of cattle for every ten acres of land embraced by the lease, and shall during the rest of its term maintain cattle thereon in at least that proportion.

5. After placing the prescribed number of cattle upon the tract leased, the lessee may purchase land within his leasehold for a home farm and corral, paying therefor $2 per acre in cash.

6. The whole or any part of the lands leased shall be open to homestead and pre-emption entry, or to be purchased from the Government at the cash price of not less than $2.50 per acre, upon application being made therefor, and that as entries are granted, or purchases effected, the lease shall become void in respect of the land so entered or purchased.

7. Failure to fulfil any of the conditions of his lease shall subject the lessee to the forfeiture thereof.

SIR,-I have the honor to submit my annual report of the business transacted within the Winnipeg district for the year ended 31st October, 1887, to be read in connection with which are the following detailed statements, namely:

A.-Statement of revenue derived from timber dues and other sources. B.-Statement of saw mills operated under Government license in the Province of Manitoba, and in Assiniboia as far west as the third initial meridian, and in what is known as the "Disputed Territory," together with the quantities of material manufactured, sold and on hand, by each lessee respectively.

office.

C.-General office returns, and other information respecting the work of the

The revenue of this agency, for the year just closed, from all sources, amounts to $45,611, being $3,941.58 over that of the preceding year. That derived from timber cut under permits amounts to $16,678.81 as against $14,381.27 for the preceding year, showing an increased desire on the part of the settlers to comply with the regulations governing the cutting of timber on Dominion lands. And I have reason to anticipate a still further increase in the revenue from this source during the ensuing year. The settlers who in many cases have hitherto been without the means to improve their farms by building and fencing are now, owing to the abundant crops of last season, in a position to do so; and the lumbering interests of the country, which have suffered such severe depression during the last three or four years, are already beginning to feel the effects of the improved condition of the farmers, in the increased demand for lumber.

I took occasion in a previous report to advert to the advisability, where practicable, of preserving the growing timber in this district for the future needs of the settlers, and preventing, as far as possible, its destruction for speculative purposes. The necessity for these precautions is becoming year by year more apparent.

I find that since railway construction commenced in this country, about 9,000,000 ties have been used in the building and maintenance of our roads.