The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-08-25

The recent heavy decline in lead quo
tations has been variously commented
upon in mining circles. and the general
opinion has been that lead producers
would be compelled to close down unless
they were the owners of properties in
winch large bodies of high-grade ga
lena ore had been uncovered.
The situation, to say the least, is
critical where the ore goes under 40 per
cent lead TO the ton, as it is then re-
stricted to the local market, and this
market is now generally well supplied;
and the smelters, to a certain extent,
are curtailing their purchases until such
a time as they can ascertain just how
much lower the quotations will drop.
on ores going over 40 per cent, how
ever. there is more latitude. as these
are in demand in the Denver, Pueblo
and Denver markets. and at better fig
ures, by far, than those offered by the
local smelters.
On this account mines producing hlgn
grade ores can afford to ship at the
present figure, but at very small prof
it's; while lower grade propositions viii
have to struggle to make both ends
meet; while a drop of few points more
would close them all down, and it is
predicted by one well-known operator
that the price of lead may drop TO $2.25.
Although lead has experienced heavy
slump, it is fortunate that silver is
holding its own fairly well, for with a
steady ana gradual decline in both met
ais, there is not silver-lead producer
in the west that could even hope to run
twenfy-four hours.
While the situation is a critical one,
a canvass among the leading lead pro-
ducers reveals she fact that as a gen
eral thing, they will continue to ship
for the present, at least, and if quota
lions remain stationery, the output will
remain about the same in the near fu-
ture as it has been for the past few
weeks
There are several reasons for this
condition of affairs, one of them being
that in many instances the lead ores are
of high grade, or carry we'll in silver,
or. because Of their character, are in
good demand at the smeltecs.
In Bingham, where there are q, great
many lessees shipments will be con-
tlnued as long as there is bread and
butter in it; and while the mine owners
would like TO close down, the leasers
will not give in until it is made appar-
ent that there is not dollar in it, OF
that they are working at a loss: and nj
one can blame them for taking this
course.
In Tintic. lead principally occurs as a
by-product, and therefore the slump in
the lead market does not affect this dis
trict as much as It does in other camps
or. if crude lead ore is shipped, it gen
orally runs so high in silver that the
49, IL,
out serious loss
In the Park the low grade lead ores
are being piled on the dump or remain
intact in the mine in anticipation of the
day when the new Peck concentratol
will begin operations, and 1t is believed
that the new plant viii be ready tc
start UP some time this fall.
Therefore, from all indications, lead
ore shipments, with a few exceptions
will remain about the same as they
have been.
There is one thing about the meta
quotations that is difficult to under.
stand, and this is the difference in the
New York quotations received daily by
the local ore buyers and the quotations
sent out by the United Press Associa.
ton, and the peculiar feature of this
difference. is that the press reports are
nearly always higher than those re
ceived by wire by the local ore buyers
For instance, the New York lead quota
ton yesterday, as given by Wells Far
go & Co. was $3.50, while the press quo.
tations were $3.50 to S2.67,b. This diff
ference, if applied to the local market
would be a great advantage to ore pro.
ducers, and if sales were based on tht
press quotations, there would be no oc
casion for the closing down of a single
mine in the state on account of tht
price of lead.
In order to ascertain just what The
lead producers of Utah were going tt
do on account Of the decline in leal
quotations, a Herald representative yes
terday interviewed a number of mine
owners, with the following result:
At the Mammoth mine in Tintic
lead is usually e by-pToduet, and thu
company is not materially affected bv
the slump Last month this min
shipped four carloads OF ore runriy1s
SIS ounces in silver and from % to 80 pc
cent lead TO the ton, and preraration,
are now being made to take out an
other shipment of this class of ore A,
the product OF this mine is general,
shipped in the way of gold and siivel
bullion, the gold predominating, TIL
condition of the lead market is a SEQ
ondaEy one 70 the company.
The Swansea mine. at Tintic. viii
also continue 70 ship, and its consign
ments now amount to about sixteen
carloads a month.
The South Swansea will make regl.