The Windham County reformer. (Battleboro, Vt.) 1876-1897, 1895-10-25
The kUtiir Gold Gamble.

{ disastrous panic would be pfcclpltatct
!; The shrinkagc in the shares of 30 {
!. the leading companies had amounte
within fortnight to $50, 900, 600, bu
the grand tumble which conservativ
observers have long expected, wa
, averted by the action Of Barnc
, Barnato who set his brokers to buying
heavily and nonchalantly announced
that he would loan 500, 600, 600 81
katiir shares il necessary to sustain
them. Barnato's career is a wonder
full one indeed. Only a few years age
he was Il iuggler and performer il
variety theatres, but he engaged il
the gold speculation soon after thu
first discoveries in South Africa ant
has kept at it until now his wealth il
variously estimated at from hundrco
to thousand millions: but il remains
to be seen. after the liquidation thai
must come, whether there is anything
of it but gas. He is the head man
now of one Of several different groups
of mining companies. each having an
"exploration and exploitation com
pany known as a parent undertake
| ing at its head. which owns the
claims. which it sells to subsidiary
companies to actually dig the gold.
| thus capitalizing values several times
over and by means of the speculative
craze that has been worked up.
marketing the stock at fabulous prices.
in some cases 500 for 81.
OF course there is but one end for
this sort of operations. But 1t still
remains true that the development of
the South African gold fields is one
of the great events of the century and
it has proceeded at rate little
realized here. Where was bowling
wilderness 10 years ago now stands the
city of Johannesburg of 1900 in
habitants AS IA result Of the horde of
adventurers that has poured in from
every nation. 1t was in 1884 that the
first discoveries Of the 'bankct'
formation in the lower part of the
country were made. and two years later
mining first began. The output has
increased enormously every year, last
year was S37, 9SS, 076 and this year is
estimated at so. 600, 600, or more than
that Of all the United States. There
are I; plenty of enthusiasts TO predict
that before the century ends IT will
reach Sl25. 600, 90 4 year. There are
now :2600 stamps in operation. There
is no limit to the crop of fabulous
tales. This week a company has been
formed to develop an alleged discovery
Of rich reefs underlying the city of
Cape Town itself. 1t is asserted that
shows workings more
than 1000 years old on deposits now
substantial buildings.
The blanket formation in which |
most of this South African gold is
found is altogether different from the |
placer mining and quartz crushing !
with which we are familiar It is IA |
long ridge of hard material. or an
inlay rather than ridge, much as if an !
surfaced plank had been |
forced, edgewise, deep into the earth.
It has been traced continuously for
ibout hundred miles. ii varies in
thickness. but is nowhere more thSn a
'cw feet. and borings in various
places TO the depth of twenty five hun
lred feet have failed TO reach any
bottom. Everywhere it is gold bearing,
md the successful application of the
.yanide process for extracting gold
rom ore makes its working enormously
profitable. Some engineering experts
believe that digging can be carried on
is far as 5000 vertical feet. or a dis
ancc Of several thousand feet more,
through the inclined strata. without
material increase in expenses. although
doubts are still raised as Ia the
certainty of finding the same richness
- III lllt Stlllltl dltS IlllIlfti near d
he surface.
These facts are likely to have a more
influence on the recent rise
n the price of silver at London than
he demand from China or any other
temporary cause Al least it is certain
hat if the South African output con-
inues at its present rate great while, ,
he gold value of silver must rise or [
he difference between them lessen,
'hich is the same thing. Thence Z
nay yet come solution of the world ;
monetary problem. And it is not /
that we may hear a rcpeti- : :
ion OF the demand, which monomet /;
lism began 80 odd years ago for the a
iscarlling of gold as money because {
it is getting too plenty" This was !.
ne fear of the great creditor interests 6
1 Europe after theCalifonia and Aus Q
ALA discoveries and Congress was 5
eld at BJus7ells To argue that silver !,
nght TO he made the sole money. :
nd the characterization demand c
lrncd against silver only after our Ne o
ada discoveries aud the tremendous in
ease Of production from them
II would hc curious development it II
lc neople who are now insisting on .,
he gold standard as the only sound G
ne. should in the next 10 wears d