, 1880-02-09
in mining stocks before many months

What IS the matter with the San
Francisco Stock Excbange?" asked the
reporter. p ices seem absurdly low
compared with what they were two
years SINCE"
Well, You see it is nearly two years
sicce any bonanzas have been struck.
The Comstock lode from its very ma
ture is the greatest gambling property in
the world. It has thousands of feet OF
quartz entirely barren of pay ore.
Then suddenly it developed what are
called bonanzas, which are enormously
large. thick and rich deposits of gold
and silver. Stock which have sold for
81 have run up to over $500. This has
happened several times, fact which
appeals strongly to the cupidity of
men who like to take chances. The
same impulse which makes man take
a share in lottery, where he has one
chance in ten thousand, induces the
people OF California to dea! heavily in
stocks on the Comstock lode. But it is
a serious matter to hold stocks on the
Pacific Coast, for they are assessable,
and if bOnanzas are not found the
shareholder is treated to what are
known as Irish dividends those on
which he pays an assessment instead of
receiving bonus. The people of Cal
ifornia have been paying over $12, ,0OO,-
900 per annum to companies on this
Comstock lode, and 50 far they have
developed no new bonanzas. 1 have
an abiding faith they will strike one
some time, but hope deferred makes
the heart sick, and then the active
competition of New York taking away
so many dividend paying mines is in
juring California. Another setback
is the development of other districts.
For instance, the Bodie region, which
is on the borders of Nevada. It has
suddenly loomed up as great gold
producing territory, and it is as yet in
its infancy, and will give great ac-
count of itself before the close of the
year 1880. Then there are the gold
mines of the Black Hills, in Dakota.
They are attracting deserved attention
on account of their mines, which are
of an enormous extent, though the
grade of ore is very low; SO much so that
people are beginning to be afraid to
handle new properties in that region,
as the machinery required is very ex-
pensive and the profits very small. Ex-
Senator Spencer told me that he did
not believe that the ore in the Black
Hills would average more than 81
ton. and this fact is telling against the
market value OF the mines"
Chow about Colorado?" asked the
reporter.
"Well, that is now the favorite re-
gion for New Workers. Indeed, one
distinguished Senator from the Pacific
Coast told me the other day that he be-
lieved the greatest mines of the coun-
try would yet be discovered in Colora-
do, and that it would entirely outstrip
the mines of the Pacific coast. The
mountains are higher there, volcanic
action has evidently been more intense,
and there seems to be greater variety
of deposits of the precious metals than
in any other place on earth. Then
there is new region in Arkansas which
is very promising. I hear the most
glowing accounts from there, and yet
that field is entirely virgin. The new
mines are located near the Hot Springs.
and. by the way, all the great mineral
fields are near hot springs. But this new
region, is to-day in the situation that
Leadville was two years ago-full of
promise, but undeveloped, and prices
as yet very low
How about Arizona?"
"a wonderful region, but as yet too
far of. When the Southern Pacific
road is built. and when the Atchison
and Sante Fe runs to the Pacific on the
line of the thirty fifth parallel we will
then see Arizona, Southern Utah, New
Mexico and the regions adjacent de-
veloped. Undoubtedly the mineral
wealth of the country these roads will
traverse is something enormous. There
has been in times past great deal of
prejudice against mining enterprises.
People regarded them as dangerous and
but really it is as legitimate
a business as any other. We are to-
day the greatest producers of gold and
silver of any nation on earth, and [ am
surprised that the press of New York
has not paid more attention to this i'm
portant matter. An industry has come
W uS W give cupAOy AoAO w JUL CaPiIaA
and profit to our investors without any
active help from our newspapers"
Will the demonetizing of silver
hurt the mining interests of the country,
Mr.. Croly?'
eyes. If it was possible to demone-
tize silver and use only gold it would
put stop to about two-thirds of the
o;lvor inoo of tho Initial Gkotoc hut
there is no danger of that. The great
bulk of mankind use silver and will
continue to use it. As Professor New
berry said, in his lecture before the
Bullion Club, more than half of the
world use silver exclusively, while less
than 200, 900, 900 people on the globe
use gold exclusively. Even in gold
countries tha nonnlar coinage for retail