The morning call., 1893-05-13
A MINE OF MINES.
William Knox Tells of a
World=Beater.
He Comes to Buy American Ma
chinery The Late Financial
Crash in Australia.

William Knox. legal manager Of the
Broken Hill Proprietary silver mine Of
New South Wales. arrived here on the
Monowai yesterday.
MIR. Knox has managed the financial end
Of the Broken Hill mine ever since the
start some eight years ago, and has as
sisted to bring to its present stale this
marvellous mining property, which has
been the wonder of the times
The Broken Hill mine is the largest and
has paid better return than any mine liz
the world.
The monthly output is somewhere about
100000 ounces of silver and $500 tons Ct
lead. which yields at least e96, COO in divi-
dends to the shareholders. 1t gives en-
ployment to between 5000 and 1000 men.
MIR. Knox was found at the Palace Hotel
last night by CALL reporter. and was
looking very blue indeed, as he scanned
number of cable dispatches which he had
found awaiting his arrival. They an.
nounced the failure of nine of the prin-
cipal banks in Melbourne.
This is terrible" he said. 81 knew
that things were looking badly in Austria
liza when left, but had no conception 1t
would come to this. There is no end to
the ruin and misfortune which is conveyed
by these lew brief dispatches. Only about
three OF the banks are left standing, and
there is no knowing if they will be able to
weather the storm out"
DO you think that the great strike of
miners at the Broken Hill mine has done
much toward bringing about the present
crisis ?" asked the reporter.
II have no doubt that it is In a great
measure responsible, together with the
preceding strikes, for the crash. The
GOLFERS, sailors, shearers' and miners
strikes have all helped to drag Australian
dence in the country and withdrew their
capital from it, with the result that trade
grew bad, ana finally panic set in. The
men who brought it about will probably
suffer the most in the end.
Il account for the failure of the banks
by the fact that nothing but a Wild panic
has set in. Depositors have all rushed to
withdraw their money, and the banks
foreseeing the drain of gold have merely
shut their doors. ! feel sure that none Of
the institutions at present suspended will
fan to repay every cent 10 the depositors.
All the banks were practically as sound as
the Bank of England, but no financial
institution can stand against panic
"Of the banks that have failed the total
pald-up capital represents e6, 948, 538, the
reserve fund e3, 124, 100, and the uncalled
reserve 9l0,095. Co., so there is no doubt but
that they will meet all demands in full.
The crash has brought down about six
banks in London which are connected with
them.
II have just resigned from the secreta-
ryship Of the Broken Hill Proprietary and
accepted a seat upon the board of directors,
In addition TO which am managing di-
rector of the Mount Iyell mine in Tasma-
mia. This Is one of the best properties in
the colony. and is silver, gold and copper
mine all in one.
1--WE are making some very rich diseov-
cries in this mine lately, and in one chute
have found ore going 5000 ounces to the
ton.
THE object of my visit to this country
is 10 examine and report upon economic
machinery for the treatment of the combi-
nation of ores which we meet with both in
the Broken Hill and the Mount LvelI
mines. L shall go to the principal mining
centers in the United States and watch the
best machinery at work aud note the re-
suits.
ION Monday leave here for Butte CITY
and the Anaconda mines.
II specially intend to examine the best
running machinery shown at the Chicago
exposition, after which | shall go over to
London upon business of my companies.
when l expect to consummate a big deal,
of which will say nothing now"
rs 1t true, Mr.. Knox, that the Broken
Hill mine diSposes of 100000 ounces o
silver In this country every year, as was
recently stated by prominent silver
man?"
"No; I can assure you we don't find
such ready market In America. We send
about half our output of silver to India
where they use an immense amount in
the coinage. The lead we find market
for in ChinA
THE remaining bullion then goes to
England, where il is treated by the best
machinery, much cheaper than we can do
1t, and is then placed upon the European
market.
when l have decided upon the best
sort shall probably be a heavy purchaser
of refractory ore machinery and pyrilic
smelters in the United Sfates.''