The Goldfield news. [volume] (Goldfield, Nev.) 1904-1911, 1905-08-25

Figures Prove That Mining Invest
ments Give Best Returns.

The general public is coming to real
ize the great opportunities Tor success
full investment in mining enterprises
The great strides made by the mining
industry in the last decade have given
golden proofs of the money 10 be made
in mining. Last year the gold and
! silver mines of the world distributed
close to $500. 100000 in wages and divi-
dends. These golden securities are the
proofs that mining pays. Especially
is this true of gold mining, and in no
place is mining more appreciated than
in the financial district of New York.
as the following editorial from the Wall
STREET "Journal" attests:
1.-THE greater part of the large for
tunes in this country were started
from investment in gold and silver
mines. From the time of discovery to
1903, the United States mas produced
so, 300, O00, 600 in gold; Mexico at least
$1S1 100000, and probably twice as
much, and British North America
$142, 00O, 900. The dividends paid by
gold and silver mines are greater than
the dividends paid by all the banks
in this country
Mining tor precious metals today is
the same as any other business and
must oe conducted along business me
thods. In order to make a successful
mining company the board of directors
bmust be good business men, who have
made SUCCESSFUL records as such. The
men who are to determine the eharac-
ter and the formation, the dips and
trend of the veins, and the process of
reduction can readily be hired to do
that work, but it is harder to find the
successful business man.
Where such boards exist they apply
the same business ideas and give the
same application of business principles
that would make q success in any other
undertaking. Under such circumstan-
ces, with good and thoroughly proved
properties of large extent, with good
a bHSDOI bdbipn 4dC-iIbiCos aER a tnN
able cost Of labor, there is no question
about success. Two mercantile agen-
eies known the world over, have de-
elared in authorized reports "that
more than so per cent of mining enter
prises succeed and only s per cent of
companies engaged in general business
prove successful. .
The abiding value Of any mining Sc
curity rests upon the ore reserves
which the stock represents. Most Of
the quick fortunes made in mining
come from investments in good mines
that are developing, and frequently
vast fortunes are made before ever the
mines have paid out a dollar on divi-
dends.
The regulation of the price OF the
stock is determined along the following
lines: First, there must be a good
prospect. BY the prospect is meant
a showing of ore on the surface, or in
a shaft, or by a preliminary tunnel,
sufficient to justify the expenditure of
money in determining the value and
extent of the ore bodies. When the
company is first formed shares are
sold at what appears to be a very
low price in order to prosecute that
work, and the stock naturally advanc-
es AZ development work prove that
the mine contains richness. From that
time ON it becomes a simple business
proposition of actual assets against in
vestment. frequently the ores uncov-
cred represent scores of times the en-
tire capitalization, and some instances
more than one hundred times the cap
itali8ation has been blocked out in ores
ready to be taken out and turned into
bullion. In such instances the shares
amount to many times par in the open
market, as was the case in the famous
Mizpah of Tonopah, with which the
Philaaelphians are 50 familiar and to
whom most of the profits of that mag
~niicent property have gone.
Some sales of stock in that mine
were made at fifteen times par before
a dividend was paid. That company
is in a position now to earn dividends
of not less than 100 per cent a year
for the next 100 years, and last year
it earned $S50,000. With such profits,
who can argue that mining shares of
that character are not safer than gov
eminent bonds; safer than money in
savings banks and scores of times as
Iremunerativef
Pennsylvania, SO distinguished for
the black wealth that is being taken
from her mines, has in Nevada the
state where white and yellow wealth
is being won from the earth in almost