Frostburg mining journal. [volume] (Frostburg, Md.) 1871-1913, 1884-02-23
The Future Of Bftunttnous Coal In the
East.

lie tlIHc HAS COUlc Wucu every u5cI
of steam within reasonable access of
tide-water or rail markets of coal
should face the question whether or
not it is wise to make such alterations
in his boilers as to fit them for the use
of bituminous coal. Until now, the
great bulk Of the consumption of coal
for raising steam in mills and factor
les in the eastern and middle States
has turned to anthracite-a fuel far
too precious for household purposes
to be dumped into blast furnaces, or
shoveled on the CRATES of boilers.
Until recently, however, the field OF
anthracite was little touched because
of the high prices of bituminous coal.
That obstacle is now being removed.
and it is a question well worthy of
frank discussion whether the decrease
in difference of prices between anthra-
cite and bituminous is likely to con-
tinue favorable to the latter. Ten
years ago the Cumberland region and
the company controlling its outlet by
rail to tide-water, the Baltimore and
Ohio railroad, had no competitor.
Overrating its capacity to crush any
rival, it allowed Clearfield operators,
with their powerful ally, the Pennsyl-
vanla railroad, to gain foothold.
Year by year the younger competitor
gained strength, sweeping the market
more thoroughly by concessions which
the backing of their carrier enabled
them to make. In 1888, some effort
was made to bring about an rnder-
standing between the Pennsylvania
and Baltimore and Ohio railroads, to
maintain the rates ostensibly agreed
upon and to abolish private drawback.
It failed, and before a number of the
Cumberland shippers had succeeded
in convincing their carrier Of the
gravity of the situation, their rivals
had secured most of the heavy con-
tracts. 1t appears that, though slow
to comprehend it, the managers of
the Baltimore and Ohio railroad have
been taught a lesson. Recent devel-
opments prove that they have fol-
lowed the example of their competi-
tors. They must have given their
shippers Of coal from the Cumberland
region ample assurances of support
in their efforts to secure a reasonable
share of the business this year, be-
cause there is no doubt that Cumber-
land coal has been offered at $3.50
per ton, t. o. b. at Baltimore, equiva-
lent to 1915 in this city, $500 at
Boston, and $3.50 at Sound ports.
These figures, of course, are for con-
tract lots, and it is useless to say
that they are met by the Clearield
operators. They prove beyond a
doubt that the published tariff on
rates on coal from Cumberland to
Baltimore are nominal. 1t is fact
which railroad managers appear
ready to admit that, under ordinary
conditions and with a heavy traffic,
a rate of three quarters of one cent
per ton per mile will leave a very
handsome profit for hauling coal
With Cumberland coal selling al
$3.50 at Baltimore, the carrier can
certainly reap a very large profit
and leave very satisfactory margin
to mining companies not burdened
with an excessive Indebtedness, The
same is true of producers and carriers
of Clearfield coal, provided the rail.
roads are willing to make reasonable
adjustment.
At the current low figures, the Goa
and railroad interests can live, and
some of them even thrive. The
future will, of course, depend upor
the action of the railroads. They
may reach the conclusion that they
would rather double their profit pei
ton and carry less coal by combining
to ask higher rates. We do not be-
lieve that such a course is proable
and we doubt its wisdom. They art
not now as absolute masters of the
situation as they were only year OIL
two ago. New lines are entering theil
preserves and new competitors are ap
pearing at tide-Water. The decline
in freight rates, which in leality il
almost entirely the cause of the fall
ing off in the prices of bitumi
nous coal on the Atlantic seaboard, i!
therefore likely to be permanent
The effect will be, we believe, one o
great benefit to the mining compan
les and operators, notably in the Cum
berland field. Already we have oc
casion to note almost weekly signs o
the capture of new territory. And i
consumers gain the conviction tina
there is no probability of a rise il
prices about their means, they will
begin generally to look with favol
upon bituminous coal as steam
making fuel. We feel convinced tina
they can be assured on this point.
We look forward, therefore, to ;
heavy increase in the demand fol
bituminous coal this year.-Engineer
ing and Mining Journal.