The herald., 1897-04-17
OFFICE OF THE HERALD.

OFF1CE OF THE HEHAl<Ds
Los Angeles, April 16.
Facts and figures from an independent
source of information relative to min
Ing camps are always difficult to obtain,
with the added assurance that the In
formant is competent and trustworthy,
as we'll as independent. The informa-
tion published in the London Statist In
regard to the Cripple. Creek mines may,
however be perused with the confidence
that Mr.. Alexander Hay, who investi-
gated the district few months ago in
behalf of his journal. published nothing
but what was conservative and fair.
This article sSom which we make the
following quotation has been subjected
to criticism without any disparagement
resulting to the correctness Of his infor-
nation. He says:
A careful compilation Of statistics Of
production for this field shows a gross
ore value obtained from February 1891,
to February, 1897. amounting to 23.037,-
800. It is difficult thus early to obtain
thoroughly accurate figures showing the
output of the camp for 1896. but the sta
tlstics now available indicate that on a
conservative estimate Cripple Creek has
added $s,073, $40 to the worlds gold store
of the ore handled closely approximated
$50 per ton, and between 600 and 700
tons of a similar grade are now being
mined daily. The dividends which the
various public mining companies have
declared since 1891, including payments
made in January of this year. amount to
$685. 413. and represent an 1S per cent
return on a nominal capitalization of
q ha dtxrid
during 1896 by Cripple Creek mining COM
panies totaled 9S6,O0O. to which, how
ever, must be added sum of $460,000.
being the returns made by private mine
owners and corporations whose stock
is not quoted on the market Thus Grip
pie Creeks dividend production during
the year just completed was $1,446,000.
The money disbursed in order to place
mines and properties on the list of divi-
dend producers. and to bring the camp
to the state OF perfection at which 1t has
row arrived, is reckoned at $16.000,000
Taking that sum as basis for calcula-
.!cs, /. would indicate that the dividends
paid in 1896 are equivalent to a return
for the year over the whole camp of
per cent on the, entire development ex-
penditure since 1891 This may seem
to be a comparatively small and dispro-
portionate compensation for the risk in
volved; but 1t must not be lost sight OF
that the shares of only two of the divi-
dend-pa ying mines are quoted on change
above par value. Thus the majority of
these dividends, although here calcula-
ted as being paid on par value scrip,
are In reality payable on shares which
can be bought at large discount. Valua-
BILE stock may be procured at prices
which. on monthly dividend at 1 cent
a share. yield from 25 to 100 per cent per
annum on the amount actually invested.
"A somewhat later estimate of
Cripple Creek is made by the expert of
the Mining Investor of the 10th inst,
who says:
After careful consideration and compi-
lation. my figures show that the reduc-
tion plants now treating Cripple Creek
ores exclusively have capacity of $1,000
tons per month. and that the ores treat
ed by them have an average value OF
very close to $26 per ton, giving nearly
$4,000 as the total from low grade ores.
The smelter product is estimated at 5000
tons per month and the average value
OF the ore at 800 per ton, showing to-
tai of production of 81 ,015.000 per month.
1t is one thing to have pay ore. but quite
another to make it pay. There are
times, of course. when ore Is encountered
in such large bodies and has such high
average value that 1t is bound to make
q profit however extravagantly 1t is
handled. but although not as much profit
is being made out of it as might be done.
it is still earning dividends. and that is
sufficient. But this kind of thing can
not last. and the time will come when the
ore bodies will not be so large and so
rich and then the lack of economy will
be felt and the stockholders will howl
Referring to the recent scandalous
bank failure in Chicago the San Francis
co Chronicle pointedly says:
This country will never bring the num-
Der of it's bank failures down to rea-
sonable minimum until 1t obtains courts
that will look upon the bank wrecker
with no more auspicious eye than 1t does
upon the bank burglar. Bank burglars.
when caught, are not permitted to put
in an appearance" They are run into
Jail and brought to court, not to exhibit
sureties, but to show cause why they
should not be held for trial or indict-
ment. II convicted they get from twenty
to thirty years at hard labor. What does
the bank wrecker get? How many such
are In stripes today and how many are
living or travelling abroad? What is
there in his situation to cause any par
ticular misgiving to President Spald-
ing? They do these things better in
Europe. We do not otter hear of banks
being plundered by their officials In the
old world countries, where justice Is