The Birmingham age-herald., 1907-05-26

1 CTS. Consequently at 37 the average earn Ing power and undivided equities belong l Ing to the common stock are equivalent
 to an investment yield of about 4O5a per l cent. We are fully convinced that as
 these facts gain more general apprecia-
 ton Steel common will enhance in price
 and that the permanent holder of the
 shares will profit handsomely. An ln- i crease of the dividend rate to per cent l Is not unlikely but aside from thls the
 stock is a purchase"
 The copper miners are still talking high
 CT prices for the metal They think the i liquidation in mining stocks has been i largely sentimental One leading mining
 capitalist says Copper Is going to i cents a pound, and you can't stop 1t. l am Tn no hurry to get my copper to mar l Set, because 1 know that I can get as
 good as 25 cents pound for it any ] time within two years. The metal situa- ] ton was never so strong as it is today l The idea that We are going to have substitute for copper has been given Up. 1 There is no substitute for copper, and
 there Is not going to be any. The de-
 mand for copper is increasing every day. 1 The rapid growth of the electric industry .n this country alone calls for an enor- Hously increased amount of copper. All over the world, copper Is coming into l rapid use. They need it in India China,
 Japan, in the dark continent. The mines
 of the world cannot keep up with the
 consumption. There isn't as much copper In sight today as there was ten years ago. It's all very well to tell about the new copper deposits that are being opened up in this country. in Peru, and in Africa, but the increased output from
 these new districts will not keep up with the increased demand. I don't think you will ever see copper back at the old low prices. Those prices are gone for ever. l think 20 cents a pound will be considered a cheap price from now on." All the copper producers make a point of the fact that 1t takes years to develop new copper district into a big producer
 Ely is cited as an example. The work there has gone on very rapidly, and new records have been made in sinking shafts and opening up ore bodies. The Guggen- helms have gone in there with $15,000 O00 to S20,0o1,000 of capital and are rushing their work. Half a dozen big companies in Ely are. working night and day 10 get their copper into the market. But the work at Ely has already been going on for three years. and the most enthu- siastic prediction is that the camp will begin shipping ore next year. The Gug- genhems have planned for a 10000 ton plant but all that they will have ready next year will be a 1000 ton unit. The situation up in Butte is much the same.
 
 began new companies have been organized in the Butte district week after week The really good companies have been at work many months sinking shafts and blocking out ore but the output from the Butte district Is not as large today as it was some time ago. It is going to increase, of course, but the increase. ae- eording to copper men who are confident of a period of high prices for the metal | will not keep up with the increased de- | mand.
 Great predictions, say the copper men, were made for the Cerro de Pasco mines in Peru, that were going to produce so | much copper that they would break the market. The Haggn-Morgan syndicate l has already SIP .000000 into this property, l and the preliminary work has been going | on for some years. But the ore from | these mines hasn't yet startled the world. | There was talk in the beginning about 10,000 ton production. but this has dwin- 1 died down to 100o tons. Some day, of course, the Cerro de Pasco may be one | of the great copper producers of the | world. but this will not be tomorrow or l the next day. There is a big English syn l dicate developing enormous copper de- | posits on a 2O00 square mile area in1 Rhodesia, near the Congo Free State | boundary, under the name of the Tan | ganyilSa Concessions, Ltd. The London | newspapers a year or two ago predicted | that the TanganyilSa ore would break the | metal market. but there are no signs of l this up to the present. The men who | own big copper mines and who predict | that we are to have high prices for q 1 long time, say that these new mines can not be developed fast enough to flood the | copper market.
 It is said that the selling of Mitchell | Mining the past few days has been for the account of a large owner of the stock who needs funds. IL is understood that he took options on several blocks of the | stock and that he has had difficulty re- gently in raising the cash to exercise an 1 option now falling due. The stock thrown over in the market by this holder has | been absorbed largely by insiders in the property Mining capitalists who have been on the property down in Guerrero | seem willing to take any stock offered | around A They figure out that the mine Is lntrinsically cheap under 4 a share. It is said that George Mitchell himself | has been one of the largest buyers of the stock lately. He has probably been supporting the market for the purpose of making the raising of further capital less difficult. The company needs more capital to bring its production up to point where it can pay dividends, but it Is understood that only a moderate amount of new capital is needed-some thino like So5O