Crittenden record=press. [volume] (Marion, Ky.) 1907-1909, 1909-08-05
MINING As AN INVESTMENT OR As A
GAMBLE.

teu uecryihS tue iuuucemcuee tnat are
held out to lead investors into mining
enterprises. We should not do so
did we not think it to the advantage
of the real mining industry to have
correct understanding of the CEN
ditI1us. This is distinctly to the
advantage Of the engineering profess
sion and the class of operators who
are engaged in serious mining, who
are the members of the mining in
dustry that we specially represent.
They and We are anxious to see min
ing regarded in the same way that
manufacturing and real estate enter
prises are considered, conducted and
valued. We waut to see the elimin-
alton of the irresponsible and ignor-
ant promoters, takers and Missionaries.
If the public does not squander its
money among them there will be more
for Legitimate purposes.
The offerings of mining investments
TO the public may be classified under
five heads, as follows:
l. Developed mines, whereof the
ore bodies actually disclose, promise
definitely a return of the principal
and an adequate interest lat least 6
per cent. upon itin the meanwhile,
the data as to ore reserves being fur
nished by engineering reports Of the
highest character. Individuals or
small partnerships are seldom able to
afford the expense of developing
such properties, or the engineering
advice that Is required, and in pei
forming those things the develop.
ment companies and banking houses
perform a useful function for which
they are: legitimately entitled to
profit.
Mining investments offered under
such auspices are of the highest clas-
and are especially attractive inasmuch
as the ore.bodies are seldom delimi.
ted and there is frequently a chance
for enhancement in the value Of the
principal. Nevada Consolidated and
Miami we're shining examples of this
kind of mining investment.
81 Developed mines, whereof the
bodies promise good dividends for
longer or shorter time, but whereof
the return Of the principal is slurrsd
over, or not talked about at all-per-
haPs on the theory that the devil
will take the hind .most-the chief
purpose Of the promoters, hackers
and managers being to affect a dis
tribution of the stock. We refrain
from citing any examples Of this
class, but feel free to express the
opinion that the majority Of the
names that are we'll known in Boston
and New York come under it.
3. Good prospects, whereof no.
thing definite can be said except that
there are promising chances for max
ing a mine. Sometimes the hopes
are realized and we have Trimoun.
tain or Ahmeek, which pay the ORR
ginal investors so or 100 for /. Such
returns are those to feel proudest
about, but they are conspicuous by
their iufrequency. The development
of the good prospects usually falls in
to the hands of the development
companies and banking houses and
they are eventually present to the
public under class l.
4. Developed mines of doubtful
profit, (There are many operators
who are honestly Ignorant that there
mines are really losing money, all
things considered.) Some OF these
are good little properties when re
garded on proper basis of capitali-
cation. Mines of this class from the
investment standpoint merge into
hose of class 2
3. Wildcats. These are adver-
Used in the newspapers, and present
eckless claims and glitteriug gener-
.lties. Reports by reputable engia-
'ers are always absent. The blooi
u ~ ~ n. ( u.