Gilpin observer., 1908-05-28
WILL EXTEND NEWH0USE
Agreement Completed Between the Tunnel Company and the
Mine Owners for the Driving Of the Tunnel Trough
Quartz and Gunnen Hls-Work Will Be
Commenced Within Short Time.

The best and most important news
that has reached this county in years
was received from Denver Tuesday af-
ternoon to the effect that all arrange
ments between the mine owners on
Quartz and Gunnell hills and the Argo
M. d. T. & T. company, driving the
Newhouse tunnel, had been completed
and the contract signed. To the agree
ment are attached the names of the
owners of the principal mines on the
hills mentioned. There are owners of
several small properties who have not
signed, but these will as soon as they
receive the papers. The commencement
of work will depend largely upon these
and the sooner their signatures are at
tached to the agreement the sooner
work will be started. However, as this
will not take more than two weeks at
the outside, it is safe to predict that the
proposition will be in shape so that the
tunnel company will begin driving the
big bore within months time.
The meeting of the mine owners and
the tunnel people was held in the Offices
of Manager George Collins Tuesday af-
ternoon. A majority of the mine own
ers on Quartz and Gunnell hills were
present and those residing in the east
had Representatives. Several hours were
required in preparing the contract so it
would be satisfactory to all concerned.
1t is most equitable agreement and
the stipulations can easily be lived up to
by both the mine owners and the tunnel
people. One clause that will be most
satisfactory to the county generally is
that which gives the mine operator the
right to transport his ore to the mills
through the tunnel. This virtually means
that all the ore will be shipped from the
surface and Idaho Springs which thought
that the bowels of Gilpin county would
have to be dragged through the tunnel
and the ore treated in their mills will be
disappointed. The tunnel appeals to
the owners of the big mines of the
Quartz hill section solely on account of
its drainage advantages and not as a
means for the transportation of ore.
The completion of the agreement be-
tween the mine owners and the tunnel
company is the successful outcome of
hard and persistent work put forth by
the chamber of commerce. Operations
in the tunnel were suspended year
ago last February because the mine
owners would not signify willingness
to pay for the drainage of their mines
by the tunnel The tunnel company for
some reason or other could not get them
to agree upon anything, not that the
mine owners were unreasonable but be-
cause there seemed to be no way of get
ting them together. In December the
board of directors of the chamber of
commerce called meeting of the resi-.
dent mine owners to see if some equit-
able arrangement could not be made be-
tween the mine owners and the tunnel
company for the extension of the tun-
mel. A contract was drawn up on the
same basis as the contracts of other
damage districts such as Cripple Greek
and Leadville and by going about the
matter with determination the sigma
lures of the property holders to the con-
tract were procured.
The essential stipulations in the agree
ment entered into between the tunnel
company and the mine owners on Quartz
and Gunnell hills are that the Newhouse
people commence driving the big bore
within a reasonable length of time, the
distance to be at least $50 feet month.
AS remuneration for drainage, the mines
are to pay the tunnel company royalty
of rs cents on every ton of milling ore
that is mined and $1.00 on every ton OF
smelling ore. Smelling ore is to NEAR
all ore that yields $2O.0 90 per ton or ovei
after the cost of transportation ant
treatment has been deducted. This
royalty is to be paid when the mining
company shall be drained of water by
means of the tunnel or relieved of in
coming water from other mines or the
enclosing rock. The mining company /.
to give perpetual right-of-way fol
purposes incidental to the business Of
the tunnel company through its prop
erty, to lay or maintain tracks, pipes
bitches, electric wires, etc. The tunne
company gives to the mines right-of
way through the tunnel where minei
operate through the tunnel. Provision
is also made by the tunnel company fol
property survey and surveying laterals
Another stipulation named in tn.