Gilpin observer., 1905-02-16
NEWS FROM The MINES and MILLS
Portland company,s Reports.

Portland Company's Reports.
The annual stockholders meeting OF
the Portland Mining Company, operat-
ing at Victor in the Cripple Creek dis
trict, Colorado, convened at Council
Bluffs, Iowa, February 9th. On the
first day number of reports were sub
mitted.
Victor F. Hills, consulting engineer,
says in part:
"The economic feature of the labor
trouble has been great surprise to
me. With any change in the majority
of persons on the pay roll, or any v1o-
lent change in the policy of the man
agement, it is naturally expected that
the costs will suddenly rise, temporar-
lily, whatever may be the final result.
The raise in the cost of production
came in June, as was to be expected.
With an enterprise requiring some-
what complicated system of manage
ment and employing more than 500
men, l should have been willing to
grant full years time for the return
or normal conditions. Yet your man
agement, paying exactly the same
wages as before, succeeded in reduc-
ing the costs before October -four
months from the start of the trouble
mentioned), to point even lower than
before the change"
Mr.. Hills then gives figures for each
month in 1904, showing that while the
lowest cost per ton secured by Presi-
dent Burns for the six months preced-
ing June was $237O2 for crude ore and
SS.4150 shipped; his successors, de-
spite the change in management and
substitution of non-union men
throughout, managed in December to
reduce the cost to S2.10S7 for crude
ore and $7.1S41 shipped. In conclu-
sion, Engineer Hills says:
This, l think, reflects more than Or
dinary credit on the manager, superin-
tendent and corps of assistants. With
the possible exception of some small
properties which employ say less than
fifty men, l doubt whether any mine in
the district can show as good record
for the same period.
In accordance with your request |
have had an accurate survey made OF
the Cripple Creek canon in order to
show the cost and most favorable ele-
vations from which to start drainage
adit for the district. This report will
be submitted when completed.
With a substantial regular divi-
dend-paying output, and more ore in re-
serve than ever before in the history
of the property. and with reduced costs
of production, it is difficult to conceive
what more favorable condition could be
expected
The following statistics are pre-
sented in the report of Treasurer F. G..
Peck:
Ore produc tion. 1904. tons. -. 96.521
Total production, IL years.
Gross ore proceeds. 1904. s 2,59s, ,724.s4
Gross ore proceeds, IL yrs. 20,6I9.S63.54 Z
Net mine proceeds, 1904. 1,SS9.7 1886
Net mill profits .......... 153.S33.I3
Total net profits. 1904 36s.245.3 .35
vdends aar1ng ao jng l.0i T. iso
Cash on hand Jan. l, 1905. 691,1S4.00
Total cash assets ..... S26.31s.4t
The net mine profits of $s14.411.6 go,
together with $21, 1,O2G.47 interest and
bills receivable. and $157. .S34.30, made
a total of 81 ,559 ,SO2.4G received. There
was expended $72O,O0O for dividends.
s20,15 for securities. 81 900 for mining
property. $13,21S for automatic dump
cars and $113,250 for mill equipment
and construction.
The difference between the two ac-
counts after including the 1908 balance
of $500, 6,530.07, leaves cash balance
of SG91, ,1S4.46.
In addition the company owns $91.-
200 Short Line first mortgage bonds
Colorado Springs & Cripple Creek Dis
trict Railway Company and $44.135 in
stock, plaking total cash asset Of
sS2G, G,519.4G.
The mining statement shows a total
of s1,S02 ,247.24 expended, of which the
largest items follow:
Treatment, s702, ,SG0.36: railroad,
$12S. .522.3S: Portland Mine account
S137,S77.97; general expense. $685.
1887; pay roll, 5G7,715.42. Subtract
ing the total from the S2.59S. .724.S4
gross ore receipts and other minor
revenues, net profit of nearly 81 .000,-
600 is shown.
The total ore production of 9G,521
tons was the greatest in the mines
history. being more than 5000 tons
more than in 1903. With but one ex-
ception the Portland has steadily ad-
vanced in production since 1894. The
total gross value was about $4,000 less
than that of 1903, owing to the TEN.
porarily increased cost Immediately
following the change in management.