Frostburg mining journal. [volume] (Frostburg, Md.) 1871-1913, 1871-11-04
Progress of the Northern Pacific Rail.


MeSSrS. Jay Cooke " Co., the hnanclai
agents of the Northern Pacific Railroad
furnish the following facts regarding the
satisfactory progress of this great national
work:
The track is now about completed across
the State of Minnesota, $50 miles, the grade
being wholly finished, and the track-laycrs
approaching the Red River at the rate of
three miles day. Regular trains are run
ming over the completed sections.
Last week contracts were let for the con-
structon of the Dakota division, extending
200 miles westward, from the crossing of the
Red River to the crossing of the Missouri,
in Central Dakota. This division is tn be
finished b. the first day of July next, and
50 miles are to be graded before the begin
ming Of winter. In the meantime, section
of 65 miles is under construction between
the Columbia River and Puget Sound, in
Washington Territory, where track-laylng
Is rapidly progressing.
1t will be remembered that the Northern
Pacific Company last year purchased both
| the Main Line and Branch of the st. Paul
and Pacific Road. Within the last three
months, the Main Line has been completed
through a noble country, through the Red
| River at Breckenridge. Contracts were last
week let for the continuation of the Branch,
| from its present terminus, at Watab, on the
| Mississippi River, 10 miles northward, to
|
of the Northern Pacific Finally, contracts
have been let for the construction of Il
| branch road from st. Cloud as miles north
| of st. Paul., to Pcmbina, on the British
| border, a distance OF 375 miles. This line
is to be completed within fifteen months of
| the present time. Il VIII drain the richest
portions of the Red River Valley, open
| direct communication with the British set
| Elements of Winnipeg and the rich Sas-
katchewnn Basin. 1t will also serve as the
| southeastern arm of the Northern Pacific
| Road, reaching to ST. Paul and Minneapolis,
and thus connecting with Chicago and the
! trunk lines to the east.
| The completion of these contracts will
| give the Northern Pacific Company at the
| close of next year, 900 miles of road i'll the
| fertile and prosperous State of Minnesota
it will carry the trunk line of the great
thoroug htare nearly one-third of its distance
across the continent, and will bring to the
Northern Pacific road the large and profit
able traffic of Montana and the Government
transportation of the Upper Missouri.
1t is antcip ated that this business alone,
without waiting for through trade, will
meet the interest on the cost of the finished
portion of the road. The Hudson Bay Com
| pany has already leased docks and ware
houses at Duluth, preparatory to doing the
| whole of its immense business over the
| Northern Pacific lin.
| Settlers are occupying the lands along
the route with surprising and gratifying
rapdity.
| About the first of January next nearly
| two million acres of the finest lands in Min
nesota will be placed in market by the
Northern Pacific Railroad Company, and
the proceeds of their sale will be used to
| purchase and cancel the company's $50
| bonds. The company's land in Minnesota
will much more than pay the cost of build
| ing the Minnesota Division of the road, and
| their sale will be rapid-indeed many
thousand acres have already been sold to
actual settlers, in advance of being offered
| The company's lands west of Minnesota,
through Dakota, prove to be of superb
character, and will speedily come into
| market.
Owing to the rigid economy and perfect
integrity with which all departments of the
| enterprise are managed, and the great re-
| duction in cost OF material within the last
! few years, the cost of construction and
| equipment proves to be considerably less
| per mile than the orgina estimates. For
| example, locomotives which cost $50 900
| each when the Union and Central Pacific
| roads were built, now sold at $4,000 !;
| best American rails, which during the war
| sold at about 800 per ton, now cost the
Northern Pacific Company only about $40
per ton right of way, and stone and tinb r
| material, which arc usually large items in
| the cost OF a new road, are furnished to the
Northern Pacific grntuitously from the Gov
eminent domain. The bearing that this
greatly diminished cost of construction
must have on the value and security of the
company's 7-30 bonds, will be apparent to
any one.
The money is being furnished for the
early completion Of the Northern Pacific
Road by the now rapid sale of its first
Mortgage 7-30 Bonds. Nearly 81 800 900
were taken by investors in the month of
September, and at the present rate of in
crease of sales the Company will! soon be
enabled to reduce the rate of interest on the
remainder of the loan. These bonds have
| established their character as a first class
security, good evidence of which is the fact
that they are being largely taken as an in
vestment by many of the Savings Banks of
New England and conservative monied in
stitutons of other States Since the success
of the United States Five Per Cent Loan.
very many holders of Five-Twenties have
taken advantage of the favorable opportu-
nifty to exchange their Government Bonds
for Northern Pacifics, at large profit
These exchanges are increasing in volume
in ali parts of the country.