The Wallace miner. [volume], May 03, 1923, Image 1

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

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Metal Quotations
Stockholders
THE WALLACE MINER
WILL FIND MINING NEWS
AND COMPANY NOTICES
OF INTEREST TO THEM
IN THE WALLACE MINER
Lead, 7.62@775o.
Silver, 99 ( 40 .
Zinc.6.80@6.85c.
Copper, 16 i /2@16 3 4c.
NO. 14.
VOL. XVII.
WALLACE, IDAHO, THURSDAY. MAY 3. 1923.
FIVE CENTS THE COPY.
WILL il REDUIRE
A HIGHER TAX LEVY
PAY BONDS IN 10 YEARS
Situation Explained in Letter
from Commissioners to
Good Roads Association 31
AVING become convinced that
the cost of upkeep of the high
way across the county is so
great that it deprives other
sections of the county of road Im
provements to which they are entitl
ed; that this cost will continue to in
crease with the steadily increasing
traffic; that the money paid out in re
pairing the present road is in reality
a loss, since the county receives noth
ing in return of permanent value
while the expense must he met every
>ear in increasing volume, tile county
commissioners have reached the con
clusion that the only remedy for this
endless drain upon the treasury of tljp
county is to reconstruct the highway
across the county to conform to state
■specifications and to pave at least
that section of It which is subject to
the heaviest traffic, namely, between
Mullan and Kellogg,
eomplished the county will be forever
relieved of the cost of maintenance,
which will be assumed by the state,
thus making available a larger sum to
H
With this ac
be applied to road Improvements In
other parts of the county. In reach
ing this conclusion the commissioners
have given careful consideration to the
cost of the new highway and have
found that the bonded indebtedness
which would have to be incurred can
be paid, both interest and principal,
without increasing the tax levy, and
at the same live have more funds for
road extension and improvement 1 in
other parts of the county. The com
missioners also found that by taking
up the matter now the federal govern
ment would join in the enterprise and
pay more than half the expense, while
to delay action would mean that the
federal funds now available would be
diverted to other road projects and
the county would then he without fin
ancial assistance.
Call Special Bond Election.
All of these features of the propos
ed new highway enterprise are re
viewed in a letter from the commis
sioners to the Shoshone County Good
Roads association, which will be form
ally presented to that organization at
its annual meeting in this city next
Tuesday eVening.
of the Good Roads association is made
up of representative citizens from all
parts of the county, and the purpose
of the commissioners in submitting
the matter to that body is to get ' an
expression of the attitude of that body
toward the paved highway project. If
the Good Roads association gives the
enterprise its endorsement the com
missioners will accept that as reflect
ing the sentiment of the people of the
county in favor of the project and
will proceed to call a special election
to authorize the issuance of bonds of
the county to carry It through,
letter from the commissioners follows:
The membership
The
Growing Expense of Present System.
"Wallace, Idaho, May 2, 1923.
"Mr. F. K. Stone. Secretary Shoshone
County Good Roads Ass'n., Wallace,
Idaho. Dear Sir:
"In compliance with your
for a statement from
county commissioners,
their attitude on a question of a pro
posed issue of bonds for the purpose
of entering into a cooperative agree
ment with the state and federal gov
ernment for the construction of per
request
the board of
relative . to
submit herewith a brief outline of
-the proposition as we view it, together
with an estimate of the cost prepar
ed by Wm. J. Hall, commissioner of
public works and the engineers of his
we
department.
"It is quite apparent to us. as
must be to those of you who have oc
casion to use bur highways frequent
ly, that if we intend to rebuild and
highway system to
It
maintain
withstand the ever increasing traffic
them, some radical changes In
our
over
the system long in vogue in Shoshone
county must be made very shortly.
"A great deal of criticism has been
directed at the boards of county com
missioners during the past ten years,
the system of maintaining our
over
highways and many changes suggest
ed to them to reduce expenditures and
We have reach
provide better roads,
ed the conclusion that the principal
changes must be made In the hlgh
of malnte
not In the system
ways.
(Continued on Page 5.)
DOUGLAS MINING CO.
SETTLES NET PROFIT
TAX BY COMPROMISE
Back in 1917 the Douglas Min
ing company derived a consider
able income through royalties paid
by the Anaconda company which
had the mine under lease, these
profits being promptly distribut
ed to the stockholders. That was
one of the years in which Uncle
Sam levied his heaviest tribute in
the form of net profits tax. and
the return made by the Douglas
company, which showed no net
profits, was not accepted by the
revenue authorities. On the con
trary, according to their system of
figuring, the Douglas company
was asked to come through with
the modest sum of $3629. The
Douglas officers protested and
have been protesting ever since,
contending with sound reason that
the amount received in royalties
was not profit, as contemplated by
the revenue law. but was proper
ly classed as a partial refund for
the large sum advanced by the
stockholders in the development
of the Douglas. The revenue bur
eau, however, persistently refus
ed to accept this view and w'as
about to proceed to enforce pay
ment. At this critical juncture
the assistance of Congressman
Addison T. Smith was enlisted in
behalf of the Douglas company
and he was successful in effecting
a compromise settlement, by which
the government agreed to accept
$500 in full settlement of the
claim. This has been paid, re
ceipt acknowledged, and Douglas
stockholders breathe freely once
more.
Net Profits of Coeur d'Alene Mines for the Year
1922
Compiled from Sworn Statements on File with the County Assessor
PRODUCTION AND NET PROFITS FOR 1922.
Coat
Extraction
$1,192,414.41
35,459.05
4S.404.56
1.166,984.38
1,499,041.07
84,911.26
30,595.01
682,118.09
338,434.04
39,755.60
103,111.43
Tons
Extracted
... 421,532
2,993
8,688
Gross
Value
$ 5,171,228.19
90,028.78
163,658.02
3,398,543.82
3,322,820.01
116,360.24
53,760.01
777,486.35
637,937.60
65,016.92
124,027.88
Freight and
Treatment
$1,838,685.02
35,432.45
48,055.15
791.371.29
1,301,082.88
34,251.90
17,666.64
185,954.10
146,076.85
Betterments
and Repairs
$224.759.29
Net Profits
•$1,667,523.28
19,137.28
57,198.31
1,311,645.40
481,457.18 -
Net Losses
Bunker Hill & Sullivan
Caledonia . » .
Sierra Nevada ...
Hecla . „ .
274,581
Federal (Morning mine).... 309,183
1,696
128,522.15
41,238.88
Federal (Mace mine)
Federal (Frisco mine)
Hercules .
Tamarack...
Mike Savage lease .
Yukon Gold (cu. yds.).1,204,611
$ 3,802.92
816
5,489.46
13,056
8,715
7,940.41
119,587.47
98,527.25
66,160.77
25,261.32
20,081.63
34.00
$13,809,856.82
$3,521,228.93
$4,399,409.18
Total
$522,048.20
$3,587,793.86
$168,490.94
* Includes $52,153.80 in royalties
PRODUCTION AND NET PROFITS FOR 1921.
Tons
Extracted
Federal (Morning) ... 356.773
Federal (Mace) _
Federal (Frisco) .
Sierra Nevada _
Caledonia ___
Hecla ...
Bunker Hill & Sullivan..
Yukon Gold Co., Cu. yds.
Cost
Extraction
$ 1,510,402.86
66,938.35
16,245.23
64,408.78
54,176.38
1,092,863.64
1,763,733.60
86,278.07
Freight and
Treatment
$ 1,128,170.32
26,645.46
11,498.91
86,300.65
110,036.61
797,713.06
1,916,850.54
808.09
Gross
Value
Betterments
and Repairs
$ 32,088.74
Net Profits
$ 299,651.56
Net Losses
$ 2,970,318.48
1,364
83,505.43
31,565.12
241,236.51
259,012.42
2,606,120.22
4,612,444.96
149,821.02
$10,078.48
60S
3,820.98
90,527.08
94,799.43
655,530.06
676.263.32 b
62,734.86
.. 12,909
9,102
.. 267,825
.. 426,530
.1,540,446
60,013.46
279,795.06 a
$4,655,046.91
(b)—Includes $24,187.66 royalties.
$10,954,019.16
$4,078,023.64
$371,897.26
Totals...
(a)—Includes mine and smelter.
$10,078.48
$1,883,337.29
PRODUCTION AND NET PROFITS FOR 1920.
Tons
Extracted
814,027
_ 2,686
3,486
Cost
Extraction
$ 1,654,657.29
97.838.46
143,668.90
12,636.05
70.145.30
78.631.47
1,091,272.60
1,289,261.34
891,770.64
1,979.251.20
793.655.02
1,707,667.66
79,154.27
Gross
Value
$ 3,293,721.06
181,933.44
216,170.64
26,077.74
248,860.76
481,932.95
1,876,974.63
3,181,966.37
1.711.668.76
6,337,360.72
1,236,782,24
6.915.140.76
96,331.81
- Freight and
Treatment
$ 1,161,748.69
67,439.05
67,728.61
12,860.39
78,949.89
179.930.06
452.444.67
720,344.79
621,462.86
2,172.193.94
312.199.02
2.828,164.49
493.78
Betterments
and Repairs
$ 19,847.17
Net Losses
Net Profits
$ 568,072.91
16,655.93
4,773.03
1,182.30
99,766.67
223,371.42
268,746.12
1,093,602.70
169,371.60
1,147,706.96
115.833.93
a2,693,089.17
16,688.76
Federal (Morning) ....
Fédéral (Frisco) -
Federal (Mace) -
Federal (Burke)
Sierra Nevada .
Caledonia .
Callahan ..
Hecla . ......
Tamarack & Custer —. 22,889
52,435
... 160,027
409.986
_ 10,877
_ 14,318
12,986
_ 229.893
64,611.34
78,766.64
29,063.66
38,208.62
16,048.27
356,446.18
Hercules .
Hunter .
Bunker Hill __
Yukon Gold Co. (cu. yds) „1,295,900
$24,804,860.78
$ 9,789,410.19
operations.
$ 8.165,456.14
$ 600,866.78
$ 6,318,856.40
Total .
(a)—Includes $69,226.74 received In royalties from leasing
CLEAR GRIT.
Company Will Crosscut Strongly Min
eralized Vein.
E. G. Gnaedinger, mining engineer,
went over to the Clear Grit last Sat
urday, his car probably being the first
to go over Dobson pass this season.
The Clear Grit company will soon
take up the development of its prop
erty and Mr. Gnaedinger's purpose in
going over was to determine
jthe work should be done.
, work was in a drift which followed a
whore
The last
I solid wall and the vein itself was more
j than the width of the tunnel, compos
!ed of quartz and gouge matter carry
ing values in gold, silver and a little
iead.
the vein to the other wall to deter
mine the extent of the mineralization
with a possibility of finding pay ore.
The Clear Grit is situated on Beaver
creek, about half way between Delta
and the North Fork, and contrary to
popular impression. It is In Burke
It is proposed now to crosscut
Net Profits of Coeur d'Alene Mines in
1922 Almost Double 1921—-Low
Lead Price First Half
HE MINER, following: its custom of many years, presents be
low in detail the statements filed by Coeur d'Alene mining:
companies showing the gross production, operating costs and
net profits or losses during the year 1922. These statements
are tiled with the county assessor as provided by the state law as a
means of arriving at the net protit of each company which is sub
ject to taxation. These statements give an interesting insight to
mining operations in this district entirely apart from.the purpose for
which they are tiled. They show that from the standpoint of the lo
cal resident and the state of Idaho in general, the outstanding fea
tures are the enormous disbursements under the headings cost of
extraction, freight and treatment and betterments and repairs. Pro
tiLs may dwindle and even disappear, but the community and state
are still the beneficiaries of the large expenditures made in the
course of operation.
In connection with the tabulation for 1922, the figures for 1921
It will be seen that
aggregating $1.983,337.29,
and that in 1922 these same companies, with the addition of one leas
ing company, returned an aggregate profit of $3,587,793,86, almost
double the record of the preceding year. This is a highly gratify
ing showing! especially considering the conditions that prevailed In
1922. The depression in the lead market winch caused three large
producers to suspend production In 1921 con inued throughout the
first half of 1922. In spite of these unfavo able conditions, the
Hecla, Morning (Federal) and Bunker Hill Sullivan continued in
uninterrupted operation. In the spring of 1 122 the price of lead be
gan an advance, and in July the Hercules and Tamarack resumed
operation, although it was a considerable time thereafter until ac
tual shipments begun. On November 1 the Callahan resumed oper
ations and during the month started shipping.
Hercules and Tamarack show a loss for the year, and
doubtless be true of the Callahan, although no report has been tiled.
Other companies which were active part or all of last year and
which have not yet filed are the Success and Western Union, and
these are hardly expected to show a profit, as earnings have been
absorbed in carrying out extensive development plans. The Hunter
was inactive throughout the year with the exception of leasing op
erations.
T
and 1920 are also reproduced for comparison,
in 1921 seven companies reported profits
The reports of the
this will
quartzite formation. It has a remark
ably fine surface showLig, galena be
ing found in the outcrop, and all con
ditions seem favorable for finding an
ore body of importance.
CANADIAN OIL.
Leases covering 12,000 acres of oil
land in the vicinity of Medicine Hat,
Alberta, have been taken over by the
Canadtan-American Oil & Gas com
pany, the organization of which has
recently been completed In this cits
jThe officers and directors are Judge
A. H. Featherstone, president; Dr. M.
T. Smith, vice president: Ben L. Coi
lins, secretary: N. C. Sheridan, treas
of Medicine Hat. The company is
said to be amply financed and an
nouncement Is made by Russell F.
Collins, who recently returned from
the field, that drilling will begin wlth
In 30 days.
Hirer, and Russell F Collins, all of Wal
lace; F. S. Ratcliff and C. V. Drazan,
TO THE OIL FIELDS.
Wallace Shareholders to Inspect Well
at Shelby, Montana.
James F. McCarthy and Donald A.
Callahan left yesterday morning on
the O.-W. R. & N. for Spokane, where
they joined other stockholders in the
Hecla Oil company and proceeded on
the Great Northern to Shelby. Mont.,
to inspect the property and operations
of the company. The trip was arrang
ed by Earl Greenough, organizer and
manager of the company, who accom
panied the party. Shelby is the center
of the most recent oil excitement and
reports indicate that the field of which
it Is the center will prove to be won
derfully rich in "liquid gold." The
field is in northern Montana and ex
tends across the Canadian line. Quite
a large number of Wallace people are
Interested in Hecla Oil. as well as In
other companies operating in that sec
tion of Montana.
FEDERAL COMPANY HELPS
MULLAN PEOPLE PROVIDE
PUBLIC SWIMMING POOL
Tile people of Million aie going
to have a public swimming pool,
something that
hiu
be
to
regarded as
adjunct
in every pi agressive Community
It is estimated that
the requirements will cost
than $2000. independent of Hu
cost of facilities for warming the
water, and the committee having
the financial end of the enterprise
in charge have
a
I.» les
liberal
eeeived
support not alone
pie of Miilli n, but also from em
ployes of the Morning mine and
mill. But if was left for the man
agement of the Federal Mining A
Smelting company, which owns
the Morning to clinch the success
of the enterprise When the paper
was Ju-csenled to Frederick
bulge, general manager of the
Federal, he promptly subscribed
$ 11 X 10 , practically half the cost of
The location of the pool
has not been definitely decided up
on. but it is probable that it will
he placed near the Morning club
and arrangements made for heal
ing (lie water by connecting with
the club he; ting plant. The in
terest felt by the management of
Hie Federal company In the wel
fare of its employes and of the
people of I lie community who are
dependent upon the operations
(he company was demonstrated n
few years ago when the company
built the magnificent Morning
from the
Bin -
the pool.
of
club at a cost of almost $100,000.
Further evidence of the company's
interest is now shown in this lib
eral contribution
the public
b
swimming pool.
PUBLIC URGED TO ATTEND
COUNTY GOOD ROADS MEE
The annual meeting of the Sho
shone County Good Roads associ
ation will be held in the Liberty
theatre at 8:00 o'clock Tuesday
evening. At this meeting the
question of getting back of the
proposition from the county com
missioners to standardize and pave
the main highway across the
county will be acted upon. It
matters not whether you are a
member of the Good Roads asso
ciation or not. you are invited and
urged to attend this meeting, and
this means women as well as men,
for it is realized that women are
equally interested in building bet
ter roads.
The Egyptians took to glass making
in 1500 B. C.
Spanish labor agitators arc being
deported from Mexico.
1
50 CENTS PER SHARE
$750,000.00 THIS YEAR
Drifting on Wide West Vein
Soon Start Sinking From
2000 Level
H alf a milijon dollar«
bo distributed
will
Hecla
among
on June 15, this
being the dividend for the sec
tiM-k bidders
"nd quarter at tli
( per share,
idend
rate
5i)
it
cents
div
Announcement
f liu
ias made
last
Tuesday
James F. McCarthy, of this city.
Ident of Hie Hecla Mining
In the first quarter the dividend
by
pres
company.
was
J25 cents per share, or $25», 001), and the
payment on June
will
16
therefore
make the total for the first half of the
year $750,000 and the grand total for
the mine $10,955,000.
ment also includes a change of date
of dividend payments,
ments having heretofore been made
The announce
the dlsburve
ui
Hi« 2-Slh day of the last month of the
quarter. Beginning next month the
date will be the 15th of June, Septem
ber. December and March.
Silver and Lead.
The metal situation introduces
element of uncertainty" regarding the
future earnings of Hecla. as well
that of all other lead-silver mines of
un
as
Hie Coeur d'Alene district, and it
hardly to be expected
indicated by the current dividend
is
that the late
cun
Le continued in view of the early ter
mination of silver purchases by the
\
government at $1 per ounce under the
1'ittman act together with the recent
drop in the price of lead,
going to happen
What is
to silver when the
government completes
purchases is a matter upon which au
thorities disagree, some
will drop several points below (he
Hie Pittman
holding that
it
present foreign price and then grad
ually return to the present level, while
t that there is
others point
a world shortage*
ctu
of silver and
that the tendency will inevitably be
for the price of the metal to advance
above the present foreign price. But
in any event the end of the Pittman
purchases will result
decrease in the earnings of
d'Alene lead-silver mines. Dining the
past two weeks lead has dropped from
S.25c to 7.75c. It is possible that the
price may go lower. In view of the
threatened importation of Spanish
lead which it is said can be laid down
in New York at 7.50c; but it is not
in a material
Coeur
believed that it will go much if any
below that figure, as there is a strong
demand for lead witli no prospect of
an increased domestic supply.
Wide West Vein.
Drifting is now in progress on the
Wide West vein from the crosscut re
cently driven 600 feet below the up
per tunnel. After cutting the vein
this crosscut was extended a consid
erable distance to prospect the adja
cent ground and did cut another par
allel vein, which, however, can-led no
mineral values. The drift is being ex
tended east the vein being about two
feet wide and carrying about the
same amount and grade of ore dis
closed at the point of intersection. In
the upper tunnel the ore shoot
developed for 160 feet or more, the
ore being of good grade and varying
from a few inches to three feet in
width. Should the development of the
Wide West result In showing up suf
ficient ore to justify it, the Hecla
management has announced that a
mill would be provided for its treat
ment
was
Sink From 2000.
There has been some delay in pre
parations to sink from the 2000 level
of the Hecla mine, announcement of
which was made some time ago in
the Miner. The station is now prac
tically completed and it is expected
that the new electric hoist will be in
stalled and everything in readiness to
begin sinking in about six weeks. The
plans contemplate sinking 400 feet
and then crosscutting to the vein. If
the ore showing and other conditions
are found satisfactory, the shaft will
be continued another 400 feet, from
which the vein will again be explored.
If the great ore shoot is found con
tinuous on this deep level, 2800 feet,
the main shaft will be extended to the
new level and provide a permanent
outlet for the deep workings,
carrying out of this plan means a
tremendous addition to the known ore
Reserves of the Hecla. On December
31 last year, according to the annual
report of the general manager, the
ore reserves were
tons, enough to keep the mine oper
ating at present capacity for seven
years.
The
placed at 2.057,777