Bisbee daily review., 1907-10-17
POCKETS LOSS OF S2O,OOO AND
 SMILES
Phoenix I Man Man Was Bitten Hard in the Famous Salted Mine of Wyoming, But Is Trying to Forget It

PHOENIX, Oct. 16.-I. T. Hosey of
 Phoenix. who owned one-tenth inter
 est in the Red Canyon company of
 Wyoming. which has just collapsed through the discovery that their placer claims in Red Canyon were salted and yalueless after an expenditure of over
 S200,0 900 in diyerting the channel of river Tor the purpose of using tine
 waters to wash their gold, has just
 returned to his home in Phoenix after a trip to the gold fields of Wyoming, which have turned out to be a fraud ulent prospect and with not enough gold to plate a watch.
 MT. Hosey is loser in the enterprise to the extent of about S20,000, which he has pocketed and Is cheerful in spite of his heavy loss.
 The Red Canyon company, which was to exploit the alleged fabulous placer fields. has not yet been organ iZed and not one cent of stock had been sold when the bubble was pricked and all the hopes of the promoters fell to the ground
 We had options on about 1000 acres Of surrounding ranches and had purchased 15,O0O acres of land which We had secured from the Fremont Placer company. said Mir. Hosey last night at his hotel. The placer grounds have been in our possession for over a year and before We purchased it we had three different experts examine the ground and they all pronounced the values to be fabulous.
 Tn this same neighborhoOd many
 thousand Of dollars of gold was re. ported to have been taken from ad-
 joining canyons by washing with snow
 water. Water was the main draw
 back, as we saw it, to develop the property, and when the property was offered to us at a nominal sum and after the report of our mining experts We naturally jumped at the proposition and purchased it outright.
 We began work by diverting the water from the river to wash our 1 dirt, and just as this was about com ] Ipleted, and after we had expended over S2O0,0OO We discovered beyond l the possibility of a doubt that there : was no gold there except what had i been planted for our especial benefit [ A number of people had washed sand ] in this canyon and all had secured ] fabulous values, but after the bubble ]! was apparently pricked we began tC investigate by shaft and in only one shaft did we get so much as a color and this ran very low in gold We were offered S2,50O,00O for the property less than a month ago by | Chicago parties who had made ar investigation of the property, but re l jected the offer because we had more
 than that in sight and the work on thc
 water project already almost com pleted to get it out.
 Besides myself interested in the property were J. H. Howard of Phoe nix and others of the state of Wash. ingtOn. The loss will fall upon us entirely"
 MT. Hosey is a good loser and make:
 no whimDer over his considerable loss.
 Resides this mining vdature Mr Hosey is extensively interested in
 mines in Arizona He is one of the officers of the Montana-Arizona Min 1 ing company. which is now developing mine in Yuma county on the Bill Williams fork of the Colorado river and about thirty-five miles from Boise We had four lodges well leached
 
 ] from our superintendent the other day in which he said that the character ot the ground was changing and the in dications were strong for water. WheT
 water is reached suIphides will be en countered which will run high and be very valuable.
 "A number of cars of shipping ore is already on the dump and when tho sulphides are encountered, which We expect almost any day, We will begin active shipping operations.
 We believe that this mine is des tined to be one of the most valuable
 in Arizona. A strong company is back Of the enterprise and so confident are we of the prospect that We are going to almost any length to develop it."
 The property Is copper, gold and silver one in district of big mines