Butte semi-weekly miner. [volume] (Butte, Mont.) 1886-1890, 1888-12-22

of q Drop Now.
Most OF the people In Butte are already
familiar with the fact that the present Ia q
critical period in the copper market. The
San Francisco Chronicle, New York World,
Denver News, and other papers have pub.
lished articles OF a more or less sensational
import, tending to the general diffusion oil
the Information that the French syndicate
has accumulated already an enormous sur
plus and that the problem,to those outside
of the ring at least, is how the syndicate
can unload without general disaster to the
producing interests or how long it can con-
tinus to take the product offered it and
maintain prices. With a view to getting
the latest information on the subject, a re-
porter waited yesterday on Mr.. Wa Clark,
who has just returned from the East and
who ia a large dealer in the article himself.
Have you seen any of the articles in the
San Francisco .Chronicla or New York
World, Mr.. Clark. referring to the copper
.situation2n
az have not, but I presume | understand
what you have reference to. The amount
understood to he in the and OF the
French Syndicate is about 200, O0O, 600
pounds. This is not the result OF the sur
plus production OF the producers of copper
now held by the Syndicate since it went
into operation. It is about thirteen
months since it was organized, Lut at the
time it commenced operations, all the old
junk copper, old s%heathing and everything
else was gathered up and put into the stock
in the hands OF the Syndicate"
$50 that the surplus OF production dur.
- - ~.a.& ,,a,r a n ha q rroof 1oo1 lace
than one hundred thousand tons?"
Certainly. The syndicate holds all the
copper in the world in sight,"
"Well, at whatever rate it is accumulat-
ing. whether much or little, how long
can the syndicate continue to exist?"
They are now negotiating for an extern
sion of their existence for ten years be-
yond when the present contract expires.
1t runs for one or two years longer. The
means by which it proposes to maintain
itself is the great copper bank in Paris,
negotiations for the formation Of which are
now in progress. With q capital of
twenty millions the bank will
be able to back thu syndi-
cate in all its purchases. The
producers who contract with the syndicate
are to AVE a representation in the direc-
tory OF three-fourths OF it's number. The
syndicate will be able through this bank to
control all the-world's output with ease,
as they will have practically unlimited cap
ital to deal with"
"But eyen then they can't forever go OIL
locking up capital in copper"
II understand there is some arrange
ment. that enables the syndicate in the new
contract to limit the production 12H per
cent on each producers maximum as well
as reduce the price paid him. I don't know
whether this can be repeated or not, how.
ever, or can only be done once. OF course
they have calculated exactly what amount
vi copper each producer shall turn out a
year and made their arrangements accord.
ingly."
'There has been a slight tendency to.
| ward reduction exhibited by the market
in the last day or SO, has there not?"
Eyes, but it is only fractional. There
can be no reduction while the syndicate is
in existence. The price they pay is about
13 cents for lake-say LIZ for matte from
this district. The selling price is about IL
cents. A sale wal made the other day to a
company OF manufacturers of 20, 000, 0O0
pounds at 16h cents. That was a bona
tde transaction. No one can get any cop.
per now save through the syndicate, and il
they can complete this contract for ten
years more they will have made enough oil
money in that time to be Indifferent to
what the surplus is. The worlds consump.
tion is four hundred million pounds Of cop
per a year now, and the natural tendency
is to increase"
so that you look for no reduction in
price at present."
Certainly not now. OF course, no one
can tell what may happen at any time.
This new contract is not completed yet and
may not be-"
swell. if the syndicate had to unload this
amount on hand upon the market at any
time, the producers would have to shut
down for an indefinite time, would they
not?"
"They certainly would, and that is the
hold the syndicate has onthe producers. 1t
would mean ~serions times for Butte espec'
tally if the large surplus had to be thrown
on the. market audit cannot be ignored. But
there need be no apprehension of anything
of that nature at present. So long as the
syndicate lasts it good prices to the
producers"
But will there not hayeto be some limit
put on the producers?"
II suppose the syndicate have some un-
Outstanding about that with the producers.
They know the capacity of each one and
limit them accordingly"