The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-11-07
GUGGENHEIMS IN COBALT.
Have Invested 100000 in Two
Weeks-Hammcnd' Report.

As result Of the recent trip of John
Hays Hammond and William B. Thomp-
son to Cobalt, the stock of the Nipissing
Mines Co. made a high record on the
New York curb yesterday (3D. On his
return to New York from Cobalt Mr.
Hammond advised the Guggenheim Elk
stock In less than two weeks the Gug-
senheims have purchased over So 600 600
worth Of Nipissing and this has been
ooversubscribed three or four times among
their friends in the London market. To-
day the Guggenheim Exploration COM
pany and allied interests control fully
two-thirds of the stock of the Nipissing
company. Kuhn, Loeb G. Co. have also
been heavy purchasers for foreign ac-
counts.
The Nipissing is the third large mining
property within the last six months in
which the Guggenheims have acquired
control through William B. Thompson of
New York. The first of these was the
CGmberland-Ely and the second the Ne
vada Consolidated. Both Of these last
mentioned properties are low-grade cop
per propositions in the Ely camp, Ne
vada. An ore-bearing vein fully 1000 feet
In surface width and several miles long
traverSeS both Of these properties, and
the completion of the Nevada Northern
railway (the property of the Nevada Con-
SOlidated company reduces transportation
cost to minimum MIN John Hays Ham
mond said: The NipiSSing is the most
extensive development for a very insig-
nificant amount of exploration work that
L have ever seen, and while the engi-
neer cannot as yet measure up enormous
quantities of ore in sight have no doubt
whatever that present development fully
Justiffes the present market price Of the
stock.
There Is a very strong probability that
future exploration will open up many
other valuable silver bearing veins on the
property. In other words, the Nipissing
Mines company. beyond having demon
strated to my mind the certainty of be-
Ing able 10 In dividends ire entire
present capitalization, has enormous pos
Sibilities in the other large areas of it's
properties which are as yet undeveloped
In view of the conditions I felt justified
in advising my company to make a large
investment"
Cobalt may well be termed a freak
mining camp. There is no question in my
mind as to the persistency of the silver
bearing veins in depth, but of course it is
unreasonable to expect the perSiStency of
very rich ore to indefinite depths. If
the present remarkable values persist to
even moderate depth the value of the
Niptssing property will go far beyond any
estimate which has yet been made of it.
II is very probable that some Of the rich
veins may grow poorer and some of the
poor veins richer in values as they are
developed
The amount of money that has been
made by few men out of the rise in
shares of the NipiSSing company is almost
staggering. II was only a few months
ago that the property was promoted, :
having cost the promoters $4,000, pay
ments to be made in instruments This
week at the high price of $34 per share
made on the New York curb the prop
erty had a selling value of $40, 100000
A few men have made millions so
quickly that their mental balance is
threatened. The 100000 shares which
went hard" around 50 per share have
been tempestuously sought for at above
$50 per share. The option TO the Guggen-
helms on 100000 shares at S25 per share
was exercised and the offering of the un-
derwriting to their friends was four or
five times oversubScribed.
The reason this silver property could
be brought so quickly from the position
of a prospect to property sending forth
net earnings of over $500.C00 per month
or s. per share on the stock is that it is
not mine-it is a find.