The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1897-12-08

go SSN,A'No1 " W. ~eJ oS-OAS 49,
2ionaer ga~e employment TO sny
large FORCE u :nca, a,.a must now
again perform these necessary
functions. However, the men
who we're laid off at the Pioneer
by reason of its closing, cannot all
be given employment at the Chan
der, and the Zenith and ''26' have
about all the men they can work
sdyantageously. Some surely
must be out of work.
No reliable information can be
secured as to the cause of the
shutdown. Some, who should be
in position to know assert that the
whole proceeding is one large
'bluf' at the fee owners. How
bluff" at the fee owners can
help the company, those not on
the inside are at loss TO under
stand. According to all accounts
the fee owners are only too secure
in their position and can lose moth
ing. Should the Pioneer CON-
pany throw up their lease, the
fee owners can again lease and
should they keep it q royalty on
20, 900 tons must be paid yearly
so it is claimed. The fee owners
are DR.. w. j. Conan, Martin and
VIM. Psttison, of Superior, and
Robt. Whiteside.
The Pioneer. without doubt, is
one of the best mines in the Lake
Superior district snd will not long
remain idle. The mine has con-
stantly been developing under the
efficient management, first Of E.
j. Gilbert, but for the past three
iyears of 81. B. Sfurtevant, who
is at present In control. 1t adioins
1.-THE famous Chandler on the east.
1t is a well-equipped mine and at
present has large stockpile on
the dump.
The people of Ely are watching
the outcome of the business with
| considerable interest. The Dull
tuth Herald in commenting on the
Pioneer says the following:
1.-The annual meeting of the Pioneer
Mining company will be held in this
city Monday. The company, which
.. owns the lease Of the Pioneer mine al
Ely, has had a rather checked career
and while it has succeeded in develop
ling one of the greatest iron mining
properties in the world, it has not
turned out much ore, and its stock
holders have not received any diVi
dends.
In the development Of the mine
: large sums OF money have been ex
pended. A great deal Of valuable
time and an immense amount o
money have been wasted, When th'
mine should have been producing i
| was standing idle, and now, with
considerable debt hanging over it, thf
: life of the lease more than half gone
: and ore bringing low price in Thu
market, negotiations are pending TO
the transfer OF the leasehold. Ther'
: is. OF course. much more ore in sigh
than it would be possible to take on
before thu lease expires, and to efec
| a deal on advantageous terms TO tn
stockholders, an extension OF the leas
is necessary. So far all efforts TO reacl
. an agreement between the fee owner
I and leaseholders, by which an exten
: sion could be made on basis tina
would make the purchase OF the leas
hold an attractive proposition TO tn
Carnegie or other large corporation
that is in a position to operate tn
e mine on an extensive scale, have beel
s unsuccessful.
The fee owners have felt that if tn
g mine had been handled in an adyan
tageous manner. they would have re
! ceised much larger sums in royaltle
t than have been paid them, and the
: have been unwilling TO grant an extern
= sion of the lease 10 the company
|, except on payment of liberal bonus
On this bonus the two parties hay
/, been unable TO agree. The feeholder
] take position that at the end OF min
r years they will come into possessio
OF the property with allof its improve
!, ments, and that they can afford I
wait and realize a large sum the