The herald., 1897-04-25

about 81, 900, 900 of capital to purchase the
ore to keep the works busy. 1t would
be necessary for the smelling company
to keep on hand a sixty days run of ore,
or about 5000 tons. If this ore were
valuable, or worth say $10O per ton, this
would require $500, 900; il more valuable,
more money, until nearly the entire mil
lion would be required in the purchase.
But the works would clean up their
silver every week, and their gold every
three or four weeks, according to cir
Gums tances, and the refined uncoined
gold and silver would very rapidly re-
place the coined gold and silver ad-
vanced to purchase the ores TO be
treated.
The.eight clearing house banks of this
city should take hold of this question
and solve it. They have on deposit at
the present time about $S,0OOOOO, and
they have in cash on hand and due from
other banks 3,947, ,003. %, or at least they
had that amount on the Sth of this
month. AS a business proposition, the
banks of this city are more deeply inter-
ested in this subject than any other
class OF people, and all the business men
and property owners of the city are In
terested. If the bankers of this city
would use their united influence with
moneyed men the works could easily
be established.
AS business investment 1t Is well
known fact that smelters. when started
with enough capital to rum them in "a
busln ess-like way, are always good pay
ing properties, and just as safe as in-
vestments az anything can be.
The bulk OF the capital used In the
business is utilized in buying ores and
bullion. This is. just as safe as buying
wheat on warehouse receipts, and more
so. for the wheat might be damaged by
fire, whereas the ores would be i'm
proved by the same element.
The smelling company would pur-
chase ore on assays, paying therefor 80
per cent OF the assay value, less stated
price for treating the ore.
A miner gets out one hundred tons or
ore; he brings II TO Los Angeles, and
delivers ii to the smelling works. Three
days thereafter he knows just what his
ores are worth; he takes check for the
amount, makes his purchases of sup
plies and goes back to his mine for more
ore.
AS an aid TO the banking business no
kind of a factory is half so valuable as
smelter neither is it half so safe.
A smelter having capacity of one
hundred tons of ore per day would re-
quire a 125-horse power engine, or its
equivalent in other power, with re-
serve of 15-horse power more. This
power, mere Ill lOS AHScics, COulu piob-
ably be had from one of the many water
power electrical companies that have
turned their attention in this direction.
We We're told during the late campaign
that there was pleny of idle capital for
any good, safe, legitimate business en-
terprise. Here is a chance for some of
it, and The Herald will submit the ques-
tion to committee of eight men, COM
posed OF the presidents of the eight
~. k,,, rn = nfc nff . n
a smelling and refining works
in Los Angeles city. under a conserva-
tive business management-Such
as il is easy to obtain
would rot be good, safe and legitimate
business enterprise.
Los Angeles city has enough wealthy
men who have idle capital now ON hand
for which they have no immediate use
to build such works, and the banks of the
city could furnish the funds to purchase
the ore and keep the smelter busy.
II these business men will investigate
The matter carefully they will find that
the dividends paid by these smelling
works in Colorado are much more en-
ticing than are those of almost any other
class of business enterprises in the coun-
try.
The Manufacturers and Producers
associa ton of this city has a direct inter-
est in this question, and now that
Greater Los Angeles has attained to
the dignity of city of over 100000 popu-
lation. and is growing at rate not
equaled by any city of it's size in the
United States, our capitalists and busi-
ness men have it in their power to make
Los Angeles the Swansea of the Pacific
coast and to lay the fourGat ton deep
and solid for making Los Angeles the
metropolis of the coast and putting the
city in a shape to no longer play second
fiddle to any other city west of the
Rocky mountains.