Tonopah bonanza. [volume] (Butler City [i.e. Butler], Nev.) 1901-1909, 1908-02-01
LAWSON SYNDICATE
-
GETS GOOD PROPERTY


yesterday secured control of the
properties and smelling plants Of the
Consolidated Arizona Smelling Co.
of Humboldt, Ariz. Negotiations for
the purchase of the control of this
property have been pr~otracted and
the entire day yesterday was consum-
ed in fighting out the details involved
in the transfer of the property before
an agreement was finally reached.
While no mention is made of the
name of Thomas w. Lawson in the
transfer, 1t is known absolutely that
he was one of the big participants of
the syndicate, his end of the trans
action being represented by A. G..
Burrage of Boston.
The deal as agreed to by the
various principals calls for an
immediate payment of 100000 by the
purchasers, subsequent payments to
be made from time to time until
10000 will have been paid over
for control. In addition l400,00O
shares Of the company's 100000
shares of capital stock will be tied up
for over a year and deposited with
Strong, Sturgis & Co., members Of
the New York Stock Exchange.
The greatest difficulty in closing
the deal was experienced in getting
the large stock interests in the
present company to tie up their stock
for a definite length of time. Sigma
lures to this pooling agreement have
all been secured with the exception
of one of the company's promoters
who is now abroad. This individual
cabled yesterday that he was willing
to enter the agreement, and authoriz-
ed his representatives to sign. HIS
brokers, it seems, had not expected
him to consent to the option, and be-
fore hearing from him had dis
posed of his holdings. This has
placed them in an awkward position
and the haggling yesterday is under
stood to have centered around this
account.
The syndicate has undertaken IN
addition to its payments for the
stock control to place a 100000 ore
purchasing fund at the disposal of the
company, as lack of capital has here
tofore hindered its operations.
The Consolidated Arizona Co. has
been in the hands of the receiver for
over a month, and it is presumed that
the first step of the new interests VIII
be toward compromising the claims
outstanding against the company
and if those can be settled on an
equitable basis an immediate resump-
ton will be forthcoming. The plant
is believed to have been secured in
order to give the Nevada-Utah
company an outlet for its copper
sulphide ores
The smelter of the Consolidated
Arizona Smelling Co. is equipped
with two r~everberatory furnaces of a
daily capacity of 800 tons each and
one blast furnace of 300 ON a day
capacity, making in all 900 tons per
day. The company has likewise 4
lead stack which was never delivered
at the property, but which could be
of service for the treatment of the
Nevada-Utah company's lead-silver
ores at Phoebe, New.
The Consolidated company also
owns a large and well developed cop
per mine near Prescott whose past
tonnage. together with custom ores,
furnished the basis of it's smelling
operations. The plant up to last
December had been in operation
about twelve month, producing
$500. 900 pounds of copper in that
time. Its net profits were given at
$50, 900 a month. The slump in cop
per last year caught the company
heavily loaded with copper ore,
which it had bought from the
surrounding mines on a basis of from
25 to 22 cents per pound. When the
time came to sell this product the
market had declined to t6 cents, with
the result that a $350,O0O surplus
accumulated during the year was
wipedout. When copper dropped to II
cents the mines stopped shipping and
the smelter shut down. A receiver
was appointed later in compliance
with a petition from the creditors
New York Commercial.
NEIGHBORLY CORDIALITY.
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