The copper era. (Clifton, Graham County, Ariz.) 1899-1911, 1906-03-15

Silver mines, which are also in the
Butte district.
The Coalition company starts with
100000 in cash in its treasury. 1t
is at present producing at the rate
of 30,OOO,OOO pounds of copper per an
mum. This output will soon be in
creased to between 81, 100000 and 49,
100000 pounds annually. The Mon
tana Ore Purchasing smelter, which
it owns, will be enlarged and brought
up to date, and a concentrating mill
may be erected.
1t would appear that the usual
Cole plan of capitalizing new COM
panies at cost has been followed in
the case of the Coalition company,
and the startling advance in the
price of the stock from $15 to $45 in
two days is simply a reflection of the
fact that the properties are worth at
least three times the new company's
capitalization. 1t used to be esti-
mated that the United Copper prop
critics were worth S3O,OOO,OOO. With
all of the legal contests terminated,
however, and the privilege of open
ing up the several mines closed by
injunction, the exchange of frac-
tional claims with Amalgamted and
thus rounding out good mining areas,
these properties may have a value
of 100000, 900 or more.
AS pointed out in previous letters
the Greene Consolidated company
owns one of the largest deposits of
low grade ore in the world. Occur
ring with this low grade ore is a suffi-
cient proportion of high grade to
provide for satisfactory smelling re-
suits. The development and equip
ment of the property has been so
extremely rapid that many of the
opportunities for greater economy
have been overlooked and these are
now being supplied. Economy of
production from very large low grade
ore deposits is largely a matter of
equipment, process and systematiza-
tion of management. For example,
the Rio Tinto mine in Spain operates
one of the largest deposits of very
low grade ore in the world, and it
makes its copper at cost of about
81 cents per pound. There is every
reason for the belief that Greene |
will have its operating |
cost down to 8 cents per pound or |
lower within three or four years |
Seven years ago there were only half |
a dozen huts where the city of Can |
anea now stands. This city ranks |
well with the larger manufacturing |
towns of New England. Notwith- |
standing that the continued existence |
of many New England towns de-
pends upon the shoe and cotton
industries, which
could be carried on almost equally
well somewhere else, the bonds of
those towns are sought for invest
mentS at prices at which they yield
81 per cent. to per cent. Greene
owns a tremendous cop
per mining enterprise such as can
not be carried on at but compare
lively few points on the earth's sur
face. 1t is earning III per cent. on
the selling price of its stock and
paying nearly 9 per cent. Eventually
It will pay Is per cent. to 20 per cent.
IN its present price and it is there
fore, safer in some respects, as well
as a more profitable investment than
many municipal bonds. During the
past three or four weeks 1 have re-
;eived many letters from investors
who say they believe that Greene
stock is big purchase, but they ask
is to its compartive merits with
hose of other copper stock which
hey hold. To such 1 will say that l
would recommend the sale of such
stocks as Atlantic, Franklin, Isle
2oyale, Mohawk, Old Dominion, Par
-ot, Tamarack, Tennessee Copper and
United Copper at current prices and
he investment of the proceeds in
Greene Consolidated.
GEO. L. WALKER.