Savannah morning news. [volume] (Savannah) 1868-1887, 1885-07-06
HARRY MElGus' RAILROAD.

HARRY biEtGUS' RAILROAD.
The splendid Purchase Of Mayor Grace
ana 1918 Partner Brother Ia Peru.
Lima Peyi.) Letter 90 HE San Fc5nojscJ Eo-
dnHer.
Michael Z. Grace, OF New York, tine
brother and partner Of Mayor Grace, has
Just concluded Tie purchase from the gov
crumeBt Of Peru the wonderful Oroy
Railroad, the construction OF which made
Henry Meiggs, the California fugitive,
not ouly rich, but famous. This road has
been counted as the eighth wonder Of the
world, for their is nothing ia the Rocky
Mountains or the Alps which compares
with it as an example of engineer
ing science Orprescnts subhmer scenery.
But neither scenic grandeur nor
engineering genius alone can make
railroad pay, particularly II IL
goes where. IN this instance the
money gave out when the road was
partially completed, there remaining but
30 miles between the present terminus,
Chica, and the point which WIS aimed
lt-the mines OF Cerro del Pascn, pTOba-
bly, the richest ana most extensive silver
deposit IN the world. Most of the grading
and tunnels between Chicl8 and the mines
have been completed, and 1t only remains
TO lay the ties and rails and put In the
bridges TO send a locomotive over the
Andes into the great valley which
stretches north ANA south between
the two Cordilleras. This Mr.. Grace has
agreed TO do The completion Of the line
10 the mining regions viii cost SO, 900, 600,
but the portion Of the line already con
structed ana in operation, with it's roll
ing stock, station houses. and equip
lnents OF every sort, he gets for practi-
caliy nothing, as under the conditions OF
a 99-year lease he has the use of the rail
road and all that belongs with il for moth
ing for the first seven years, and pays but
$4,000 per year rental for the property
during the remainder Of the term In
other words, Mr. Grace gets property
which cost S27 600, 900-SG miles of rail-
road already equipped and in operation,
DO miles OF the most expensive tunneling
and grading IN the wOrld-for nothing
provided he Will complete the line.
And more than this, he gets the Cefro
hel Pasco silver mines, which were dis
covered POO years ago 10y the Jesuits, and
have yielded hundreds of millions of dol
lars. even under the primitive system of
working which have been applied TO them
by the monks and the native Indians.
Peru its fame for mineral wealth, and
competent engineers assert that it con
talns the richest silver deposit ia the
world. The silver Is not in assure
veins, but IN an enormous mass OF ore,
similar 10 the caTbonates Of Leadyille,
yielding from $40 to 500 per ton, and
worked AT the cost of SD per ton. Even
the tutliugs, which the priests and In
disns have left during the two and q halt
centuries they have been digging away in
their rude manner, can be shipped "a
New York at profit, and they amount TO
millions of tons, with silver enough in
them 20 pay the cost Of constructing the
road aud af0rding IL "a business that will
pay the expense at operation.
About 10 per cent. 81 the Cerro del Pas
co district is now occupied by native
miners, who are pegging along ia the Old
fashioned way, losing more silver than
they win In their operations and securing
about one-quarter OF the profit they could
gain by the use Of improved machinery.
Their mines are constantly flooded win
water and have 20 be abandoned greater
part Of.the year. There are also number
Of old mines, which were worked first by
the JesuIts and then by the government,
but which We're long since given up and
allowed 70 fill with water. These abnn-
dOned mines Mr.. trace agrees to pump
and place in working order. and when they
are cleared be has the privilege Of working
them TO his own profit for 800 years. The
local miners have agreed 10 give him 20
per cent. Of their gross product for intro
ducing pumping machinery and operating
1t. The same set oi pumps will serve the
whole district, and the revenue which
will be derived from the native miners
will pay the expense OF keeping IN order
the mines which Nj. Grace will operate.
II Is estimated that 100000 will clean up
the property aud pay for the necessary
machinery 70 DO thorough work, aud the
profits cannot he oyerestimated II all that
% told Of the mines rs true. will not ne.
peat the fables and traditions about
these mines, Of which the air Is mll.
The III Dorado, for which the world
was hunting two centuries ago. was
but shadow Of the substance said TO
have been found here. Away ia The heart
Of the Andes, almost beyond the reach of
men, involving an enormous cost for
transportation ana 1871 expense Of OpcfD.
ton which miners Of modern times would
consider Improbable, the priests and
monks iu past centuries have found uu-
told tons 0f treasure. The One.ifth which
was always set apart for The King Of
spin, ana 0f which a record was scrr.
pul0usly kept By the Nicer0ys. reached
ihb' tu" HlllhHNnt Hhu lht UtNtA WhlcN
were paid % the church amounted 90 mill
lions moro. During the last few decades
The mines have scarcely been worried. for
as large d product OF silver az Peru could
consume Uas found IN more convenient
localities.
The railroad was begun by Mr.. Meipgs
Ia 1870. Starting from the sea, 30 ascends
the narrow valley Of toe once sacred Ri
mac, rising 5000 feet iu the fret lG miles
70 beautiful valley. where the people of
Lima have found un attractive summer
resort; then 10 follows "a winding. giddv
pathway along the edge of precipices ana
over bridges that seem suspended In the
air. tunnels the Andes at an altitude of
1880 icet--the most elevated spot in the
world where a piston rod Is moved bv