Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1902-01-21
THE CANAL REPORT
Continued from page -

mama Canal Co, mainly on account OF
the construction of the pier at La Boca
Its liabilities, therefore, are 81 400,
9lS, not counting the sinking fund SUBJ
sidy bonds, of which the Colombian
government has received the benefit
and fer which it should make allow.
ance to the United States in>the nego-
tiations for the treaty rights. Its cash
assets. Jan. l. 1902, We're s43S, 569.
1t owns three passenger and freight
steamers of American registry, of ap-
proXimately 1000 tons net each. For the
past year it has operated line of char
tered steamers of American registry
between San Francisco and Panama.
These steamers on the Atlantic and
Pacific constitute the Panama Railroad
Steamship Line.
half interest in the islands Of Naos.
Culebra. Perico and Flamenco. in the
Bay of Panama, the Pacific Mail
Steamship Co. being the Joint owner.
Besides it's right of way, terminals.
Wharves and considerable areas of land
it owns nearly the whole of the town
of Colon. the houses there being con-
structed under leases. The Railroad
/
cannot be terminated in 80 days.
| The work of constructing the canal
| will largely increase the business of
the railroad and will enable it to pay
| off its liabilities in a very few wears.
After the completion of the canal it's
commercial profits will probably cease,
but it Will have value incidental to
tnat OF the operation of the canal
snaps. drawings and records-The
value of the maps, drawings and rec
ords in Paris. on the isthmus or else
where. all of which are to be trans
TERED to the United States, is placed
at S2000,000.
summing up the foregoing items, the
total value of the property is found to
he: Excavation done, $27, 474,O33; Pa
hama Railroad stock at par, Sc, $3.50, 800:
maps. drawings and records, $4,000, 900:
total. sS6.36O.333. to which add 10 per
cent. to cover omissions, SO, 639, 667; to-
| tai, $40, 0OO, 900.
Tile last item is intended to cover
any buildings, machinery, railroad
shares, additional excavation to date
of purchase, and other assets which
| may be of value to the United States
and have not been included in the
other items.
The estimated cost of constructing the
| Nicaragua canal is $45, $50, 7O4 more than
the cost of completing the Panama canal.
The estimated annual cost of mainten-
ance and operation is 81, 3O0, 900 greater a :
Nicaragua than at Panama
| The Panama route would be 1916 miles
shorter than the Nicaragua route from:
sea to sea with fewer locks and less curry.
! &lure Doth in degrees and miles. The
nf h.,
draft vessel through the Nicaragua canal
was placed at 80 hours as against y
Eours through the Panama canal these
estimates being The time of actual nav
CATION and not intending DELAYS for winds
currents or darkness.
If the passage We're made without ir-
corruption. about day could be saved b.
the Nicaragua route over the Panama
route, by ordinary steamers handlin..
commerce between our Pacific ports and
an Atlantic ports. and about two days
Dy steamers OF tie same class trading b.
tween our Gulf ports and north Pacific
ports. The advantages of the Nicaragu,
route in time would be less in case Of
fast, high-poweted steamers. the use of
| which is increasing Between AtIanti,
ports and the west coast of South Ameri-
ca the Panama route has the advanta ge
OF about two days. and between Gulf
ports and the west coast of South Ameri-
ca the Panama route has the advantage
OF about one day. The trade of the west
ern coast of South America is a very i'm
European hands.
The Panama route is an old highway of
commerce along which no considerable
Industrial development is likely to oc-
cur. During the construction of a canal
on the Nicaragua route business relations
would be established with Costa Rica and
Nicaragua which would be likely to con-
tinue. Existing conditions Indicate that
there would be hygenic advantages at
Nicaragua. though equally effective san
ltary measures must be taken in both
cases.
The offer from the new Panama Canal
Co. to convey all it's property including
all its interest in the Panama Railroad
to the United States will make the esti-
35S
The uansfer would give title to all of
the land now, held by both the Panama
Canal Co. and the Panama Railroad Co.
which covers nearly all lands required
Tor the construction of the canal. Thu
land held by private parties at Nicaragua
must be acquired and it's acquisition NAV
prove expensive.
The question whether the new Panama
canal co. can make valid title to a pur-
chaser tC the property formerly belonging
to the old company, its predecessor, has
been considered and answered in the for
mer reports OF the commission. But in
view of its importance. in connection with
the present offer. the results of the inves-
tigation which have been made will be
presented again. -.-
Besides the canal property which the
cid company acquired under a concession
from the Colombian government nearly
all of the shares of the Panama Railroad
Co, are owned by 1t. BY purchasing this
it obtained control of the concessions I'M
der which the road had been built The
latter concession will continue in force
IN 1866 the canal concession is to run for
81 years from the day on which the canal
shall be opened to public service and the
date for this in the concession. according
to its latest extension. is Oct. 81, 1910.
When these periods shall have expired
the different properties are to belong alb :
soutely to Colombia without compensa-
ton and the government is under no OBJ
legation to extend either concession.
The Canal 20. is absolutely prohibited
from ceding or mortgaging its rights I'M
der any consideration whatever to any
nation or foreign government under pen
atty of forfeiture. The contract with the
railroad company contains like prohibit
, ton and declares further that the pain OF
I forfeiture will be incurred by the mere
act of attempting to cede or transfer its
privilege to foreign government Such
an act Is, moreover, declared null and OF
10 value or effect.
Representative Hepburn of Iowa. ati-
thor of the Nicaragua canal bill which
raised the House. says that the report