The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1897-03-24
THE ORE MARKET.
A Harmonious Solution of the
Mesaba Problem Looked For.
From Iron Trade Review,a


semer ore producers meeting is taken
To Indicate progress toward har-
mcnious solution of the Mesabi prob
lem. 1t is quite probable that the
Minnesota Iron Co. and the Lake Su-
oerior Consolidated Iron Mines will
agree on d tonnage basis that will
keep their mines in the association
and prevent price-cutting that might
extend from ore to rail freights. An
other question that may be settled in
"A different way from what has been
counted upon all along is the status
of the Carnegie-Oliyer interest in
respect to the pool. Though it has
mot been represented in the confer
ences since the first session, there are
some considerations that may yet
bring the Oliver and Mountain Iron
mines under the provisions of an
agreement. The advantage of mine
ownership by a steel company is
lessened by an open ore market. The
question that now comes up, there
fore. is whether the lessees Of the
Oliver and Mountain Iron would not
be compensated by a maintained
price. for restrictions on their ton
mage, even to the point OF surrender
ing portion of their minimum out
put, and paying royalty upon it. On
the other hand, the sentiment among
Bessemer ore producers who have no
consuming connections is such as to
prevent prices being fixed on a level
aligh enough to lodge in the hands of
the producing-consuming companies
: advantages out of proportion to the
size of their investments and the
other risks of ownership. Last year
the Oliver mine had an allotment of
!50G 900 tons of ore below OF phos-
phorus, yet it produced sos, 900 tons,
the 30S, 900 tons being ore above .07 in
phosphorus. The very considerable
tonnage of off ore that must be taken
out at both properties, would tend to
neutralize other advantages. with
competition open and every mine
struggling to market a maximum OUT
put. The more the situation is
studied, the more sides appear to the
proposition for an agreement taking
in all producers of Bessemer ore on all
ranges.
If prices were the sole criterion,
10 Of ~ 1,o
found in the iron market foI the
week. But iron and steel manufact-
urers can get encouragement from the
presentation of tariff bill which
should give the American market for
tin plates very largely to home manu-
facturers and insure the baling of our
cotton with ties from American mills
Textile and sugar-making machinery
will be in larger demand under the
Dingley bill, and in scores of ways it
means widening market for home
products in iron and steel. Not least
of the good features in connection
with it is the practical assurances
that it will become speedily operative.
Six weeks more may find the country
on the eve of its enforcement. 1t is a
coincidence, too, that six weeks more
will bring us to the month which has
been associated in many predictions
with the beginnings of marked ac-
tivity. If the heavy rail orders have
not been followed as yet by the an
ticipated business in other lines, there
are at least the FIRST signs of secondary
effects. The options taken by some
OF the railroads cover loosely what
ever they may require in 1897, in
addition to specified amount. 1t is
evident that certain rail mills will be
even more fully occupied than seemed
likely few weeks ago. AtPittsburg,
inquiries have been made for billets
this week, to the total of more than
$4,000 tons under circumstances in
-dicating that portions OF the big con-
tracts closed soon after the billet pool
collapsed will come on the market
again. In what way arrangements
have been made by which the seller
Is left free to concentrate two plants
ON rails is not so much to the point as
the probability that an unexpected
demand for soft steel may be met in
the next month or two. Pittsburg
mill quotations are firmer at SIC, and
the lower quotations Of week age
are not repeated in connection with
the large inquiries that have just
come up. Bessemer pig has done