New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-04-25
4 "COAL BARON'S" CONFESSION.
THE QUESTION OF PRICES OF THE ANTHRA'
CITE PRODUCT-ITS APPROACHING
EXHAUSTION


Sir: The term coal baron seems to have been
adopted by common consent as properly desgnat-
ing the modern representatives OF Captain hiods
pratcal followers and their "stand-and-deiiver
brethren OF terra frma. Their business places are
the ''robber stronghods": their meetings, II they
dare hold any, are unlawful assemblies 10 devise
means for swoopng upon the prey or to divide the
rlunder when secured Even their donations 10
benevolent objects often regarded as III the
nature Of pententla offerings to secure peace Tor
the conscience and repose for the soul
The subscriber. who has for some years peeh
subordinate member Of this plratical brotherhood
now proposes at the risk Of determination ana
the wrath OF his comrades, to turn States evil
dence" and reveal the manner in which these gentry
rob the public and fill their overfowing corners with
gotten gains
A few prosaic details necessary as preliminary
There are "barons" and 'barons." But the genuine
cold-booded specimen is the miner ana shipper OIL
anthracite coal There Is much Of the bituminous
variety for the owner thereof to become very high
handed and opp essive As Is known to most news
paper readers. all the hard" or anthracite coal
east of the Mississippi is within district compris-
ing only few thousands of square miles, and some
half a dozen Pennsylvania counties. This limited
acreage has been the cause OF strife between the
<.Terent interests to secure much as possible.
And when obtained. the cost has been SO erea'
f.at the excessive interest account has generally
compelled development, for the purpose OF secur-
from Cd, Vo,O0 to 65.OO0O0 tons. and a market for
only 5000 Co., a condition OF affairs not very differ
ent from that prevailing during the last few years
In other branches of business. But there Is great
difference between this business and all others II
is this While the market for anthracite is contin-
ually widening. the possible output can never be
considerably increased beyond the figures named
, In 1850 100000 tons OF anthracite were sold. In
1895 the market took &C. 600 Thus the demand has
Just doubled I'm fifteen years did In the previous
fifteen At any like rate of increase, it will only
be few year. before the question will be. How
much can be produced? instead Of. How much can
be sold?
Just how soon the capacity will begin to fall
below the present possibility OF production cannot
be predicted positively. but certainly within ten
or fifteen years Anthracite coal will within
| comparatively short time become luxury, even
at points as near the mining regions New-York.
| II any one believes that the writer Is making the
| time of unlimited supply too short. let him ex-
anime the field In the Lacka wanna and wyoming
| regions. which now produce about s. per cent OF
| the total output there are many collieres now
| large producers that will be silent the grave
within years, and nearly all the others VIII be
shipping much less than their present capacity
| And there is Lttle undeveoped territory from
| which TO supply the loss 1t can be done partially
by extensions In the Schuylkill region, but only at
| a largely increased cost for mining and preparing
So the question arises. in this time Of combina-
grown or Manufactured. whether agreements to
prevent the premature mining and wasting OF this
| valuable product that can never be replaced are
criminal Have they not features that render
| them far more jushable than combinations IN
| sugar wheat tobacco. starch. hardware or otner
| commodities that be produced In ever-ncreas-
| ing quantities long as the world endures! Is
| there any legal or moral requirement compelling
! the owner o, this necessary and limited fuel TO
furnish 1t without profit. or at a loss to himself?
That this has beeFA done. during recent years az
least Will appear later.
| Coal shippers may be divided into two general
casses-the large corporation. owning both mines
and TRANSFORMATION and the individual OPERATOR IN
| Guiding the smaller mining corporation The lat
| ter Is frequently good specimen OF tHe fhouet"
| spirit OF enterprise and business daring. He hnds
one or more tracts OF land not yet developed ana
| in private hands HIS first work Is 10 OBTAIN
grant or lease" 1t Is called OF the anthracite
| coal under these lands for term OF years. or
| until exhaustion These leases are at hxed rate
| n ton The rates prevailing are from ~ 10 W
or even g. cents ton for the larger Sizes accord
ing TO location quality OF coal. thickness Of veins.
| etc There Is also Invariably a fixed annual MINI
| mum quantity to be mined paid for, with strong
provisions for absolute forfeiture OF the lease In
| case OF failure to comply.
| The leases being closed the heavy royalty pay
| ments compel prompt action. Owing to the limited
ouantity OF territory su undeveloped. any neigh
| boring railway company VIII bN'''"'''
to carry the coal to market and OFTEN also agree
70 furnish portion Of the funds necessary for de-
| veopment.
So the shafts are sunk. the breakers. engine and
| boler-houses. with the numerous other appliances
| are erected This cqu.res generally about TWO
| wears The expenditure varies from N5Vp 10
| ,ao opo for a single coery. 1t would be con-
| servatiye estimate to put the average expenditure
at each as $3.50 Co before everything is READY io'
" ner ready The situation OF affairs is this The
| operator has To meet an annual royaS oas III, on
his compulsory minimum that noth.mg pu, ,sa i'm
fires or serious faults IN the mines WI eXuse MN III
from He has also an nyes' M non Tl Extensive
renairs earn not only the interest on ths Dut also
nearly the total capital nyeS,ss coal is Exhausted
his total investment will not realze one'en0m i!s
or useless breakers that If worked-9ut coliery
viii realize 10 per cent OF It's hrst cost IL Is aois
annual Output OF. cay. 10000 tons. must pay him
Considerable profit or his enterprise Is 'o's'
Has fla. the result generally been profitable? ,rb
wo"y every Vacant tract OF coal land has been
bought or leased and developed There haT e heu
b bn' always been OF short duration, Just long
though 70 cause the operators to hope for more OF
the SAM ,ns 1872 when have made McLcods name
dear to every individual operator, there was 5Son a
I,J ,o Is cents ton. The average would certainly
not exceed . cents tbs surely sa as hG' such s
intel product and must from y reduce ms capisa
account, as well as earn 'a wss nm Experience
W., 10 never had before and Is not likely TO see
repeated careful estimate satisiss the wrtssr
M, ~ s2rOGn have not during at least seven
years OF the last ten realized an average prom
io,ked that the Individual operators ship nearly
onaNthird OF the total anthracite tonnage III the
Nr swnJersey Central and the Pennsyyanla Coal
~cmnanv have realized any larger pront, IL mas
I'm phec,se owning their coal lands. they have
had no royalty to pay. But their capital or re al
estate account has been continually decreasing III
vo,ne 10 n corresponding amount. 49,,
During the last year. owing to COMPROMISING anu
sn.,i,7v n bad management. the business mas
hem PARTICULARLY Improbable. As an example, let
-" % Tho actual results at one coliery, where
Hie 10, o,o o. an has been expended In improve
wen,s and nearly seven hundred men and boys are
employed: