In 1861 George Raff a merchant in Queensland, seemingly of some standing between the years 1861 to 1869, represented the new company in his capacity as Chairman of Directors when called to appear before a Queensland Government Committee, in relation to the Queensland Steam Navigation Company bill which was going through the Colony’s Parliament.(1)

With the success of the bill, QSN was floated the same year and Captain Patullo, as Master and Engineer who had commanded ASN’s paddle steamers Brisbane and Ipswich, changed sides and was appointed to organise the procurement and running of the new ships. He was sent to England to supervise the construction of three new vessels. The QSN Company’s first vessel was built by Barclay, Curle & Company of Glasgow and named Queensland being duly launched on16th September 1861. She arrived in Brisbane on 3rd June 1862. The same year the Queensland Colonial Government signed a three year mail contract with QSN to carry the colony’s mails.(2) Within the year the QSN was getting so much support that a ship had to be chartered to carry wool from the northern ports, and thus the competition was such that ASN had to reduce their rates on freight in order to compete.

(1)‘Persons called before Queensland Government Committees (1860-1901)’ State Library of Queensland, on line at http://fhr.slq.qld.gov.au/committees/ra_re.htm [accessed 25th January, 2006]
2). Pixley, ‘The History of the A.U.S.N.Co.Ltd’ 98

A trade war became inevitable and in 1863 and 1864 there was fierce rivalry between QSN and ASN to the extent that, in 1863, QSN were again forced to cut their freight rates and fares by half.(3) In 1864, the face value of its £10 shares dropped to £7 whilst those of ASN Co.went up to £22. This fierce rates war continued and some measure of the damage caused is revealed in QSN’s half yearly accounts which in May 1865 showed a profit of only £669.5.8d.(4) The amount of competition and the strain it produced could not last, and both companies had to get together to agree to coming to friendly terms, with collective rates to Queensland ports.

(3). Photocopy, Cdr.N.D. Pixley letter to Mr. Bourne, Private No. 126/57 Historical Background to Macdonald Hamilton & Co. 19th November, 1957
(4). Ibid

Routes were extended, land was bought in order to provide wharves and sheds in Bundaberg, new sheds were also built in Sydney and Campbells Wharf at Circular Quay, Sydney, was acquired for £100,000 (6)

(5) Photocopy, Pixley letter to Mr. Bourne, Private No. 126/57 Historical Background to Macdonald Hamilton & Co. 19th November, 1957
(6). Pixley, ‘The History of the A.U.S.N.Co.Ltd.’ 983

The Emu is an iron vessel, and is the largest river steamer on the Brisbane . She was designed especially for the passenger trade between Brisbane and Ipswich by the late Mr. G. Patullo, the then engineer for the Q.S.N. Co. In her construction due regard has been shown to the requirements of the traffic for which she is intended - speed, light draught of water, and convenience; and as far as present appearances go, all these qualities seem to have been combined in the highest degree.

Courtesy of: 'Because Its Your Ipswich'
http://www.youripswich.com.au/history/Bremer_River_Transport.html