The Wallace miner. [volume], May 02, 1907, Image 1

About The Wallace miner. [volume] (Wallace, Idaho) 1907-current

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THE WALLACE MINER
VOL. I, No. 11
WALLACE, IDAHO, THURSDAY, MAY 2,1907
Five Cents a Copy
ISE
Will Become Big Development Compa
ny-Bonds Control of Alameda
S'
¥
M
ANAGER SAMUELS announces that the Success Mining company
holds a thirty-day option on the control of the Alameda mine;
that it will exercise this option if the work now being done on the
Alameda opens up enough ore to justify the purchase at that time; that
it will offer for sale 200,000 shares, at a dollar a share, out of a newly
created treasury fund of 300,000 shares with which it will finance its op
eratiori3 outside of the Success mine; that this stock will draw, like the
rest of the capital stock of the Success company, dividends at the rate of
10 per cent, per annum and that all excess earnings will go into a fund
to be expended by the Success company in opening up for the benefit of
its shareholders new mines in the Coeur d'Alenes; that the 200,000
shares of treasury stock which are now offered for sale will participate in
all earnings from ore shipped after April 1; and finally that subscrip
tions will be accepted only from residents of the Coeur d'Alenes until
May 4.
, A Surprise for the Public
This announcement, involving as it does a most radical change in
the policy of the Success company, is a tremendous surprise to the pub
lic. It means primarily that the Success company proposes to put itself
as quickly as possible in the position of a great holding and operating
corporation instead of being merely the owner and operator of a compar-;
atively small producer. As a first step in this direction it is increasing
its milling capacity from 1,000 to 1,500 tons of dry concentrates a month.
The next step will be the acquisition of the control of the Alameda,
What the third step will lie no one can so much as surmise, though pos
sibly Manager Samuels has a pretty definite idea.
.
That the acquirement by the Success of the control of the Alameda
on these lines will be of great benefit to the latter company there can be
Good Thing for Alameda
no doubt. Whether it will at once make Alameda stock so desirable an
investment as it would have been if that company had been completely
consolidated with the Success is another question. The outcome willde
pend finally on how big a mine the Alameda makes. The tail cannot j
wag the dog.
That it will be a great thing for the Success is obvious.
It gives it
the control of a much larger area and this area shows every indication
of eventually developing much greater tonnage of equally valuable ore than
the Success itself contains.
i
!
A Splendid Investment
As to the price at which Success stock is offered it must be admitted
that Mr. Samuels has estimated its value very modestly. It is undoubt- j
edly a splendid investment. The stock will pay dividends of 10 per cent,
from the start. Owing to the well known worth of the Success itself,
the ore showings and possibilities of the Alameda and the further possi
bilities of enormous fortunes from other properties to be acquired out of
excess revenues, there can be little doubt that it will ultimately, and
probably at no distant date, command a price many times exceeding its
par value. Many of us have seen Hecla rise in a few years from 2 cents
to $4 with the prospect of soon being worth $10. Who can say what
Success will do under the program it has just initiated ?
Mr. Samuels' Statement
!
j
!
I
Wallace, Idaho, April 27, 1907.
To Whom It May Concern:
The Success Mining Company, Limited, is a corporation organized
and doing business under the laws of the state of Idaho, and 1s incorpo
rated for 1,500,000 shares at the par value of $1 per share, fully paid.
The said Success Mining Company, Limited, has recently taken an
option on the control of the capital stock of the Alameda Mining & Mill
ing Company, Limited, and if the development work, which is now be
ing pushed, opens up sufficient ore this option will be taken up.
The policy of the Success Mining Company, Limited, in addition to
mining and milling its ore from the Success mine, is to enter upon a
new field, towit: That of the purchase of prospects and developing them j
into new mines in the Coeur d'Alenes.
To provide funds for this new venture the stockholders of the said
Success Mining Company, Limited, have recently contributed 300,000
shares of their holdings of the said capital stock of the said company to
treasury fund, the proceeds from which are to be used in the purchase
of new mining properties in the Coeur d'Alenes.
The company is now enlarging its mill, and it is expecting in a very
short time to be shipping at least 1,500 tons of silver, lead and zinc con
concentrates per month. The Success mine has already ore in reserve to i
run the mill for years and from the sale of this ore, the policy is to pay
dividends of 10 per cent, per annum op the par value of its stock, and all
profits in excess of this 10 per cent, in dividends are to be placed in a
a
STRIKE IN COPPER KING
The Crosscut from the Winze Has Broken Into
a Foot of Rich Ore
The crosscut from the 100 foot level of the shaft in the Copper
King mine near Mullan has broken into the ledge and shows some
thing over a foot of shipping ore. It is a similar mixture of galena
and chalcopyrite to that found in the No. 2 tunnel, but is of dis
tinctly better quality.
The winze was started on the east end ff the shoot and showed
about two feet of ore at the time. The dip of the vein and the inclin
ation of the shaft not being at the same angle the ore body dipped
out of the shaft when down about 15 feet. It then showed some 30
inches of the same mixed galena and chalcopyrite of shipping grade.
A crosscut from the shaft on the 35 foot level developed a similar
showing. Now on the 100 foot level the ledge has been tapped and
while full particulars of the strike are not obtainable the best infor
mation regarding it that we can get is as above.,
The fact that ore has been found at all without drifting is most
encouraging as the shoot is believed to pitch strongly to the west
and it was surmised that a short drift would be necessary to reach it.
The development so far thus indicates that the shoot is probably a
good deal richer and longer on the new level than it is in the No. 2
tunnel, just as in the Oom Pail where every additional 100 feet
of depth has shown a marked lengthening and strengthening of the
ore shoot.
THE NEXT DIVIDEND PAYER
Pittsburg Company Now in Position to Begin
Distribution of Profits
That the Pittsburg Lead Mining company could now begin the
payment of dividends if the management were so minded was the
most startling fact elicited at the stockholders' meeting of that com
pany held here on Saturday last. F. C. Park of Pittsburg, repre
senting the management, said that dividends would certainly be be
gun this summer and possibly as early as June. The management
is planning for more extensive development of the mine at a still
deeper level than the No.*4 tunnel and for this reason the date of the
first dividend is yet uncertain.
The directors elected at the meeting were: J. F. McClarren, J.
F. Byers, S. Severance, H. L. Collins, Christopher Murphy, Ralph
Longenceker, R. C. Patterson and G. B. Obey of Pittsburg and B.
F. O'Neil of Wallace.
T. S. Farrell of St. Louis, Mo., a considerable shareholder, ar
rived in Wallace on Sunday, just too late to pirticipate in the meet
ing. In the company of Mr. Park he went up to Monarch on Tues
day to inspect the mine and mill, but was denied admission pending
the arrival of Stanley A. Easton, the company's consulting engineer
and manager. Mr. Easton did not arrive from Wardner until the
evening and consequently Mr. Farrell, who had to leave for home
the next morning, did not have the satisfaction of seeing the mine.
This was pretty hard luck for him as he was naturally anxious
to see for himself the ore bodies recently opened up which had put
the Pittsburg squarely on its feet as a producer. On the occassion of
his last visit to Wallace he was very much discouraged because it
looked then as if the mine would soon be given up as a failure and his
investment lost. As a matter of fact the company was shortly after
wards advised by the local management to close down the mine and
the long sought for ore body was only broken into a couple of hours
before orders to that effect were received from the head office. These
orders were, of course, soon countermanded but it was a very close
rail for the shareholders.
treasury fund to be also expended in opening up new mines Jn this dis
trict.
The company now offers for sale 200,000 shares of its said capital
stock at its par value of $1 per share, the proceeds from which is to buy
new properties for the company. This stock shall receive its pro rata of
all dividends from all ore shipped from and after April 1st, 1907. This
stock is first offered to the citizens of the Coeur d Alenes. and what is
not subscribed May 4, 1907, will be offered for sale elsewhere, subscrip
tions will be received at the company's office, Wallace, Idaho.
The Success Mining Company, Limited, believes its new venture
will be a winner, and that, not only will it own the Success mine, which
is one of the great mines of the district, and take up the option on the
Alameda if development warrants it, but in a few years it will also own
many new and valuable properties.
SUCCESS MINING COMPANY, Limited.
By H. F. Samuels, President.
Success Mine Described
The success mine has been frequently described but as its resources
are now a matter of public interest a brief statement of its condition will
be timely.
It consists of a large group of claims on East Nine Mile creek of
which only those on the north side of the creek are at present important
by reason of their development. These claims are opened by three tun
nels. Above the No. 2 tunnel, which gives a depth of about 210 feet on
the main ore bodies, the galena ore has, with the exception of one shoot
in the north vein, been stoped out to the surface. This work was com
pleted 15 year3 ago and earned dividends of $600,000. Tremendous bodies
of zinc ore were left untouched at that time. These can now be mined
at great profit.
The No. 3 tunnel is 440 feet lower.
It is connected with the upper,
workings by two upraises. On each 100 foot level the intervening ground
is more or less extensively prospected by means of drifts and crosscuts.
equally large ore body. The average grade of the ore is 30 per cent, zinc,
\2 per cent lead and 10 ounces of silver to the ton. The ore reserves
ca i cu i ate d to contain $2,000,000 worth of
,
tons of dry concentrates a month- This is now being enlarged by the
addition of jigs and Wilfley tables to a capacity of 1,500 tons of concen
trates a month,
. R A ... ..
use ' 01 b an 8 ta ^ ac y '
B°th mill and compressor are actuated by water power, the compa
ny owning two of the best water rights on Nine Mile creek. These
ter rights develop 175 horse power,
The aggregate result of these workings is to prove the persistence of two
ore shoots, each about 300 feet long, in what are known as the north
and south veins. Connecting them are one big and several small trans
verse veins.
Both the north and south ledges show ore bodies that are as wide as
30 feet for considerable distances and the big cross ledge shows an almost
are
ore.
The mine is equipped with a new mill of a present capacity of 1,000
There is also a new 10-drill compressor and an old one, not now in
wa
Flotation a Groat Success
Though the first notice that Success stock would be offered for pub
lic subscription was gi,ven out Monday evening it is already apparent
that the flotation is going to lie a great success and it is now entirely
probable that the issue of 200,000 shares will lie over subscribed by Sat
urday evening. Last evening over 60,000 shares had been applied for
by Wallace people. Apparently the only chance for any outsider to
cure any of the stock is to get some Coeur d'Alener to apply for it for
him.
se
Star Cuts Second Lodge
The long lower crosscut tunnel on
the Star group, adjoining the Morn
ing mine at Mullan on the west,
has cut the second ledge which it
was Ix'ing driven to tap. The vein
is strong, well defined and fully
eight feet wide. The ledge matter
is very lively looking but shows no
ore so far; No drifting has been
done on either of the veins yet and
none will be done until the Morning
vein is reached'
Mia soul* Has Big Vain
At the Missoula they are now
drifting to the west on an enormous
ledge. The crosscut has proved it
to be at least 40 feet wide. Thi
whole mass is copper stained and
the drift shows a little ore. The
Missoula lies just north of and ad
joining the Independent on the
Snow Storm ore zone. Thos G.
Kennedy of Mullan is secretary
and manager.
Transcontinental Strikes Ledge
The Transcontinental company®
which owns a promising group of
claims above Mullan, tapped its
ledge last week with its crosscut
tunnel and is now drifting in a full
face of very fine looking quartz that
carries a good deal of iron and tt
little copper. It is a most
iging showing. George E. Marlowe
is secretary and manager.
encour
i
)
Five Big Dividend Payers Cleared That
Sum in 1906
S WORN returns have now been received by County Assessor Jones from
all of the companies operating in the Coeur d'Alenes whose opera
tions for the year 1906 showed a net profit. Though only such compa
nies as realized a net profit are required by law to make returns some
others have done so and their figures are published for information.
These returns show that the five big dividend paying companies be
tween them realized a net profit of $6,436,756. Their dividend distribu
tions during the same period of time were $5,610,000. The balance is
accounted for by increases in the treasury reserves of the various com
panies.
SWORN RETURNS OF PROFIT AND LOSS
TONS OKB
OK CON
CENTIl'TH
GROSS
VALl'E
COST EX*
TRACTION
TRAN8P. A
SMELTING
BETTER
MENT
NET PROF
IT OR LORI
Federal.
Ilunker H1U
Hercules.
Hocla.
Snow Storm
Gold Hunter
Tamarack ...
Frisco .
933,657
338,879
17,712
103,260
82,679
41,358
17,775,770
4,771,748
1,650,225
12,755,868
050,482
158,086
308,582
307,195
106,816
17,703
38.141
12,215.815
1,655,422
298,443
*118,873
201,454
306.162
47,796
96,041
82,667
122,021
*2,685,214
2,264,389
787,534
555,296
144,323
1,249,680
338.007
1.069,324
221,555
19,590
59,709
521.765
82,243
6,690
16,930
-89
323
-10.234
-117.390
5,430
778
FEDERAL MINES IN DETAIL
TONSURE
OR CON
CENTH'TS
GROSS
VALUE
COST EX
TRACTION
TRANSP. A
SMELTING
BETTER
MENT
NET PROP
IT OR LOSE
Mace:.
Wardner
Hurke ...
Morning
*3,969,911
1,473,512
680,875
1.651,441
834,403
168,608
117,476
313,070
*1,042,963
600,721
409,635
702.548
*1,013,242
432.175
185,374
585,023
*1.161
*1,912,576
436.961
80.439
255,238
3,655
5,42 f
106,631'
There are many interesting features in the above returns. Their
publication will enable us to revise and correct our estimates of produc
tion for last year. This will be done in our next issue. Our estimate
does not seem to have contained any material mistake except with
gard to the Hercules whose production (and dividends as well, appar
ently) have been magnified by rumor out of all semblance to the
return of production and profit.
A surprising fact disclosed by these returns is that the Mace mine of
the Federal company produced profits of only $351,783 less than the
great Bunker Hill mine.
Another interesting fact is that the Hunter mine at Mullan, despite
its expenditure of $32,577 in deep development and equipment, lost only
$89 on the year's operations. It will certainly become a dividend payer
this year.
re
sworn
The only reason that Tamarack and Frisco appear among the
panies declaring a net loss on the season's operations is because the for
mer naturally charged up all its development work against its slight pro
duction and the latter expended no less a sum than $122,021 in putting
its property into shape to resume production on a large scale from its
long flooded lower levels. Both properties will be among the large profit
earners and possibly dividend payers this year.
No returns are given for the Success, Pittsburg, Callahan, Stewart,
Monitor, Custer, Bear Top, Pilot, Stanley, Rex or Golden Chest for the
reason that, like the Tamarack, their year's operations do not show a
profit on the whole.
com
IDORA WILL SHIP
Contract for 300 Ton* of Ore Lot to the
Panhandle Smelter
The Idora company will start
shipping as soon as the condition of
the wagon road to the mine will
permit, a contract having been let to
the Panhandle Smelting company
of Sand Point for the treatment of
300 tons of ore.
The company has just issued a
report and financial statement to its
shareholders. The former sets forth
the development work accomplished
and describes the ore showings in
the mine as heretofore described in
the Miner. It also states that work
will soon be pushed in the No. 3
crosscut tunnel which is consider
able lower than the No. 2 where
the main ore showings now are.
The financial statement gives de
tails of the expenditure of $17,679.
29, of which $12,000 is on account
of payment for the property, and
shows a cash balance on hand
March 30 of $8,931.78.
on
TAMARACK TO SHIP LARGELY
All Bins Are Filled to Their Capacity with
Firstclass Ore
The Tamarack mine will resume shipments in a few days and
from that time on it will be enrolled among the permanent pro
ducers. It now has in its bins 300 tons of first class ore worth
$25,000 and as the ore bins are full the force at the mine has been
reduced to four men until that situation can be relieved by steady
teaming. The road will be in shape for heavy traffic within a week
or two at the outside.
Since the mine passed under the control of the Days its working
tunnel has been straightened, enlarged and retimbered and good ven
tilation provided by means of an upraise. Many other improvements
both above and below ground have also been made and the property
now in first class shape for economical operation and steady pro
duction.
18
The work has been financed by the Days who purchased two
blocks of treasury stock—one several months ago at a dollar a share
and another quite recently at $1.25 a share. The company is said to
have 200,000 shares still in its treasury. Its capital is only $1,000,
000. It has developed as fine an ore shoot as can be found in any
mine in the Coeur d'Alenes and should become a dividend payer
before the year is out.
1
CHARLES DICKENS SHUT DOWN
Accident to Mill Cauaea Temporary Cea
aation of Operatione
Owing to defective work in the
construction of the foundation of
the Charles Dickens company's mill
and the consequent unsafe condi
tion of the building the concentrat
or has had to be closed down and
the mine has also been closed. The
shut down, it is hoped, will not
ceed six or eight weeks, though the
mill may have to be practically
built.
There is a report also to the effect
that the concentrator was not doing
satisfactory work but this was pro
bably owing as much as anything
to defects in its construction which
can be easily remedied.
No Strilu in Gertie
Reports of another strike on the
Gertie are said by L. W. Hutton to
be without other foundation except
that a small pocket of carbonate
ore ore was encountered.
ex
re-