Gilpin observer., 1908-01-09
REMARKABLE PROSPERITY Is
FOLLOWED BY RELAXATION
AND DEPRESSION.
OUTPUT IS INCREASED
GENERAL REVIEW OF METAL
PRODUCTION IN THE UNITED
STATES.

,ered by the mining industry for its
six months of unusual prosperity,
three months of relaxation and three
months of surprising depression,
writes c. c. Schnatterback of the Min
ing World, New York.
The value of the mineral and metal
products of the United States for 1907
amounted to the large total of $780,
100000, establishing a new high record.
Compared with the total of LOLA 1885,
705 for 1899, the year of unprecedented
activity in high finance" and indus
trial combinations, the value of the
mineral and metal products for 1907
shows an increase Of $1,0S5, ,644 ,295, or
lot per cent.
A comparison with a quarter OF
century ago Is even more remarkable,
Tor 1t illustrates that the growth in
production has been no less than $40
per cent
Today the value Of the mineral pro-
ducts Of the United States is nearly
iour times greater than that of Great
Britain.
Only six times in the last twenty
five years lin 1883, 1854, 1891, 1898,
1896. and 1000 has the mining indus
try Of America recorded falling off
in the value OF its output. 1t is equally
surprising that after each year of de-
preston there has come unusual ac-
tivity, which has resulted in an in,
creased production, and in recent
years the recovery has more than
made up for any decrease.
Nearly one-half 1855. 5.i34, ,151) of the
total dividends of $175,512,717 collected
by investors in the mining and metal
lurgical industry during 1907 came
from ia gold, silver, copper, lead and
quicksilver mines and works.
The dividends paid by these prop
critics in 1907 were fully $12,000.000
more than the previous year, due prin-
cipally to the higher market prices of
the commercial metals in the second
nalf Of 1906 and the first half of 1907.
Since their incorporation these ia
metal mines and works have paid their
shareholders the enormous total OF
$542, ,26B.80S which is equivalent to
about lis per cent on the issued capi-
talization of $471. .101 .99e.
In addition to these dividends there
have been declared by six securities
holding corporations $14,5O6,O91 for
1907. making their total $71,21S,660 for
nine or ten years on an outstanding
capitalization of S242, ,72G 600 Among
these securities holding corporations
are the Amalgamated Copper Com
pany, which is largely interested in
Montana mines; the Copper Range
Consolidated Company, in the Lake
Superior copper region, and the Am
erican Smelters Securities Company
which is closely associated with the
'smelter trust"
In 1906 and 1907. years of high
prices and large consumption a con-
siderable part of the profits reported
by mines and works was earned as
result Of the economic treatment of So
called waste material. The model
metal mine today is not. as is popu-
larly supposed. the one which is work
ing an ore deposit that averages from
500 to $500 in gold or silver per ton,
nor fifteen to twenty-five per cent
600 to 500 pounds) of copper per ton,
but the low grade proposition, fairly
capitalized. which must work on ad-
vanoed economic principles, employ
ing from 100 to 1000 stamps, huge
concentration or smelter, and must
win profits from ore which yields an
average of $2.15 to $35 in gold per ton,
or only one to two and one-half per
cent GO to so pounds of copper.
There are a number of these low.
grade properties that have, by reason
of their technical and shrewd man,
agement. more than repaid their cap
italization.
Again, the gold output OF the United
States has made new high record at
about $100.000.000 for 1907. Had there
rot occurred labor troubles, notably in
Nevada. South Dakota and Alaska, the
increase for 1907 would have been
more than $6.000,OO0 as compared with
1906. II this country continues to mul.
t'ply its production of gold at the ratio
1t has In the last seven years, that is,
from $6.O0O.0O0 to $S,000,00O per an
mum, 1t Will not be long before the
Transvaal will have to forfeit first
place. At present the United States
contributes nearly one-quarter Of the
worlds supply of gold annually.
Ten years ago. in 1897, this country
reported n gold output of $59,21O,795,
showing an increase in 1907 of about
seventy.nine per cent. In short, this
conntry's production OF gold in 1907
was more than the total for the world
in the ten years from 1891 to 1880.
Since Its discovery up to the end Of
1907 the United States has yielded In
gold the surprising total of 1850, ,G35.-
5ll. In weight this amount is equiv
alent to 144,201 .031 ounces troy. or.
say. COOS tons OF fine gold. The do.
mand for gold. by the way, is in ex.
cess Of the supply.
The Camp Bird, In Colorado, classi.
fled as one of the great gold mines
or the world, and largely controlled
by British capital. In Six months re.
Gently has treated ore OF an average
value Of $34.99 per ton at a cost of
H1.19. In 1907 the Camp Bird mine
paid dividends at the rate of about
nineteen per cent on its outstanding
capitalization Of $4.100, 900, and has de-
clared to date $3.821.204, showing n
return OF more than ninety-three per
cent. 'N'
A branch of gold mining which ia