The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1897-11-29
AFRICAN GOLD FIELDS.
Hopes Shattered by the Reckless
MeHhnds of Prn11a nta1.e

hopes SnaLIeIeO py itne RECKLESS
Methods of Promoters.
Johannesburg Letter in London Tele-
graph: "Under existing conditions, 100
mines will have to close down." This
sentence from the report of the industrial
commission 1 quote as a clew to the
mystery which hangs over the bewitch-
ing gold field of the Rand. Our circum-
stances are paradox. Amid all the evil
dences of prosperity, we are threatened
with ruin. Never before was the gold
output so large, or the working OF the
mines SO economical. Well-informed peo-
pie predict that the yield will spring at
one bound this year from f8,6OO,OOO to
something like f12, 100000, and to such an
extent, director assures me, have ex-
penses been cut down, that dividends all
talk of our being on the doWn-grade to
disaster? Why is johannesburg going
through an acute crisis, business par
alyzed, credit gone, property deprecated
labor unemployed?
The solution TO the paradox is that a
great part of this E2,000000 worth OF the
precious metal has cost as much TO bring
it to the surface as it is worth, and while
the more profitable working of a few
properties will benefit their lucky share
holders, it will not make up to the COM
munity for the closing down OF twice as
many. There were 1873 gold mines at work
in the Transvaal last year: 10 were pro-
ducing gold, but of these only 25-less
than one-third-paid any dividend, while
veloped or equipped, and a considerable
number have since closed. Confluence
has vanished, no new mines are being
opened, and claims are being surrendered
We have got into the extraordinary posi-
ton that while the fortunate investors
in Ferreira Bonanza, Crown Deep, Wem-
mer, Worcester. Meyer and Charlton,
Henry Nourse, Pioneer, Jubilee and a few
mill no 1-Olli in q
urious profits, the owners of over 100 con-
Germs. closed or nearly hopeless, will be
like Mother Hubbard's dog on that MIS-
toric occasion when she went to the cup
board with most benevolent purpose; they
will not get even the bare bone OF diyi-
dend
There is no mystery about it. For ten
years the Transyaal has been living like
the heir to rich fortune. With Youth
at the Prov and Imprudence at the helm,
why think of tomorrow? Let the future
pay for the present. Those We're roseate
times when Europe was pouring her mil
lions into this republic; the sun set every
night in a golden cloud of glory; and rosy
fingers opened the gates of day every
Mr. Goldman, chat had only 100000 in
those days" L verify believe there are
several persons of my acquaintance in
this city who have not even that f2OO 900
now. Yet nothing is changed in the in
trinsic situation, only confidence is gone.
Millions of hard-earned European money
have been practically confscated by
monstrous imposts, so that rich mines
alone are paying. Two or three miles of
reef are fulfilling their promises magnif-
icently. They are returning splendid divi-
dends, and will continue to pour out a
rich stream from horn of plenty, until,
one by one, they are exhausted They
may dwindle to one-fourth its present
size: the langushing trade of South At
RIGA may fail off one-half; the govern
ment of Pretoria may see it's revenue
shrinking year by year, like the shanks
of old age; yet these returns will be as
sure as any human thing can be. So one
would have said. at any rate. until this
morning: but President Kruger's speech
remaining shred of confidence. He told
the people there that the rich mines
must be made to assist the government
in supporting the poor ones which OBJ
which [ foreshadowed four months ago.