Daily Arizona silver belt. (Globe, Gila County, Ariz.) 1906-1929, 1908-01-10
GREENE CANANEA
WILL NOT RESUME
TILL COPPER IS IS
BOSTON NEWS BUREAU rs AU
THoRITY FOR STATEMENT RE-
GARDING CANANEA PLANT.
Costs is Cents to Produce Metal There
--Intimation That Cole-Ryan People
Arc Not Satisfied With Their
Merger Deal.

Until the price Of copper reaches at
least Is cents per pound, there is little
probability of the Greene Cananea prop
erty resuming operations, says the Bos.
ton News Bureau. 1t has been demon.
strated that with the present smelling
plant even though reconstructed
Greene Cananea cannot now mine its
low grade ore, and 80 per cent of it is
low grade, concentrate it and convert
it into blister copper (upon which the
latter company has to pay bullion
tax to the Mexican government for
less than 1874 cents per pound. Then
the company has to pay an additional
] " cents for freight, refining and sell.
ing.
1t was in recognition of this fact,
and also of the fact that a Decent
copper market was not to be expected
for some months, that the Greene man
agement shut down its plant and dis
charged all of its men, a very radical
step considering the difficulty of again
assembling force.
When the Greene Cananea company
was formed, it was provided with S..
100000 cash. Some of the money was
used to pay off old debts, some for the
purchase of supplies, of which the com
pany has on hand about $4,000, 900
worth, and 100000 was provided
for the building of new smelling
plant, plans for which are understood
to have been prepared. Why the com
pany has not taken advantage of the
past six months to start the erection
of its new plant is a question which
stockholders would like to have answer.
ed.
The Greene company will never be a
low cost producer. With new smelter
however, and with the high grade upper
level ores from the Cananea Central
and the Cananea Duluth properties,
now part of the Greene Cananea com
pany, il should be able to produce its
copper in the neighborhood of IL cents
per pound. Low grade ores in the
southwest which are not self-fuxing
and carry no gold and silver values of
any moment, are not productive of very
substantial earnings for company
which has capital stock of 2,500,0 900
shares, Notwithstanding the great ex.
tent of the ore bodies.
The Cole-Ryan interests are not very
happy in their ownership of Greene
Cananea for since they purchased con
troll and gave Colonel Greene $50 per
share for his entire holdings they have
learned good many things about the
property of which they were ignorant
when they first bought in.
They would probably never have
gone into Cananea had there not been
a desire upon the part of the people
"higher up" to retire Colonel Greene
from the copper mining and smelling
field and retain the sale by the United
Metals Selling company, Of an annual
product of 50,000,000 pounds of cop
per. The courts may yet have to de-
eide who will sell the Greene copper
output when the company has more to
sell, for the American Metal company.
interests, who hold fve-year contract
with the company, will take the matter
to the courts. Since the change in
ownership the United Metals Selling
company has refused to turn the sale
of the copper over to the American
company.