Separate

My last communication to your Grace was dated "Camp
Chilwhayhook District, 31st May."

2. During the few hours I remained at "Douglas," whither
the River Steamer which conveyed my party from Chilwhayhook
was bound I had merely time to observe the increasing size
of the Town, the improved style of the newer buildings, and
the evident attention paid to comfort and stability in their
arrangement and

construction, indicating the growing wealth
of the inhabitants, and their confidence in the progress of the Town.

Its business facilities have lately been much improved
by the construction of two substantial wharves which afford
ample accommodation for all shipping which visits the Port.

3. I met Captain

Grant R.E. at Douglas who reports very
favourably of the progress of the detachment of Royal Engineers
and civilian labourers employed under his command in forming
the waggon road from Douglas to the lesser Lillooet Lake,
which he expects to finish before the close of summer.

4. Our steamer having a full cargo

on board, was detained
at Douglas in landing goods from the hour of her arrival, at
six o'Clock in the evening, till four the following morning,
when she was again under weigh, steaming full power in the
direction of Hope, and arrived there at nine o'clock the same
evening, the distance being 90 miles, during 40 miles of
which she

had to stem the current of Frasers River, now
almost at its greatest force and height.

5. At a public meeting of the inhabitants of Hope, held
soon after my arrival there, I entered into an exposition of
the state and prospects of the country, and more particularly
directed the attention of the meeting to the importance of
opening lines of road

without delay into various parts of the
Country, but especially a line leading into the valley of the
Shimilkameen, and shewing that the immediate and direct effect
to the Country would be a vast reduction in the cost of transport
and a great accession of Trade to the Town and District of Hope.

6. The valley of the Shimilkameen has many

attractive
features, no part of British Columbia being more beautiful as
a country or offering greater inducements to settlers.

The whole of that District is watered by running streams,
possesses a great deal of arable land, and is diversified by
wood land and meadow. The climate is pleasant and healthy,
the winters mild, and the capabilities of the District for
raising and

pasturing stock are very great. There is moreover
satisfactory evidence that the Rivers and Soil are auriferous
and that gold will become a chief article of export and source
of wealth. The settlement of that fine district has been
retarded by want of roads, and there is no doubt that people
will flock thither as soon as it is accessible to travel.

7. A cutting of 60 miles through the mountains will connect
it with the Town of Hope. I entreated the meeting to give
the subject their earnest attention, and to recommend such
financial measures as might raise the funds requisite for
carrying that great work into effect. The people cordially
agreed with

the views expressed, and promised their hearty
aid and support in providing money for the occasion.

8. The day following I called a meeting of the Miners in
the Hope District, and in the course of a long interview
ascertained that they had no grievances to lay before me,
and that they were satisfied with the existing "Gold Fields"

Act. I spoke to them about the probable existence of gold
in the Shimilkameen, and recommended that they should at once
form a party selected by themselves, and composed of experienced
miners, and of men on whose energy and judgement they could
rely to prospect the Shimilkameen Country, and I agreed on
the

part of the Government to furnish the party with food,
and to allow a bonus of Four pounds Sterling in money to each
of the men employed in prospecting provided they succeeded in
finding gold. The proposal was received with evident marks of
satisfaction by the whole Company of Miners and they proceeded
at once to select a party of nine

men out of a large number of
those present, who volunteered for the service, and this choice
band will start in a few days time, or as soon as the freshets
which now fill the rivers to over-flowing have somewhat abated,
and travelling becomes a less dangerous undertaking.

9. The despatch of a party to re-open and improve the
road

leading direct from Hope to Quayome, or Boston Bar, was at
once undertaken and carried into effect, but the improvement of
the other routes is left for the present and cannot be undertaken
until my return from Yale when I will report further.

10. I annex a Return exhibiting the average number of Miners
employed on

the several Bars of the Fort Hope District, together
with the average earnings of each man per diem, which I have
no doubt will be interesting to your Grace.