The copper era., 1909-03-25
Meeting of the Greene Cananea Co.

pany) covering operations tor the | fiscal year ended December 31, 1908, | the second year under the COle-Ryan management, and incidentally a | period of renovation and reconstruc- | tion, shows in detail the work of Dr. | Ricketts, the general manager, and | the resultant low costs of operation. |
 As the previous report covered a l period of seventeen months and the current report but six months of actual production, comparison is of little value. The income account of the Cananea Consolidated Copper company, the operating company, every share of which is lodged in the Greene Consolidated treasury, shows:
 Total earnings and copper, gold and silver and net from miscellane- ous sources 8, ,427, ,336.
 Total expenditures account copper, gold and silver SI, ,S21, ,O3O.
 Net profit for year $I,6O6, ,3O6.
 Sundry expenses, including shut down costs, etc SS20, AT.
 Deficit for year SPA, HI.
 President w. D. Shorten says:
 Stopper production by the Cananea Consolidated Copper company for the year was 15,679,6S pounds, of which S,265, I'll pounds were sold during the year at an average price of 13.8136 cents, and 7,4l4,5l6 pounds were car ried oyer at an inventory price of I3 1-2 cents, which was well below the market price at the time the books were closed at Cananea.
 "Cananea Consolidated is still hold ing 75 per cent. of the capital stock of the Sierra Madre Land and Lum- Der company as collateral for the sale of its 51 per cent. Previous to the suspension of operations by the Lumber company the Cananea con- pany loaned the Sierra Madre and Pacific railroad company S400,000 and took as security a first mortgage up- on all it's property. The railroad company owns about forty miles of standard gauge track connecting with the lumber company with the Chi huahua and Pacific railroad at Te- mosachic and as there are no bonds or indebtedness ahead of this mort gage, the security IS considered ample. It was hoped that this loan would enable the Lumber company to continue operating, but as conditions got worse they were compelled to close down and at the present time operations are entirely suspe nded, with no plan for resumption. The Lumber company has failed to meet bond interest and some of the credit ors, having attached, are now in possession of the mills. No plans for reorganization have developed as yet"
 Cts. per ID. Gross cost f. O. b. Cananea. a............. 9.92751 Freight to New York ,ex. taxes refining
 market, int, etc. .......-... 1.6S6l2 Total cost .6l393 Credit precious metal values. es............. 105i46 Miscellaneous revenue Cananea. .752O6 Total cost fine copper sold. 9.sO711 Construction not charged to operation. 7053s Cost including every expenditure ...... 1O.5l324
 The company is charged railroad rates that in the aggregate amount to about one per cent. per pound of copper in excess of what companies in the same location, but across the line, are obliged to pay.
 Ia his report Dr. Ricketts says: The cost of mining for the total ton mage was $2.1 per wet ton. For fif- teen months, ended October l, 1907, it was S328 and for the year 1905-6 it was S3.85. I have little doubt that we will be able to improve upon these costs in spite of the tremend- ously increased amount of develop ment work we propose to do. Changes in power will, if carried out, entail expenditure of Sl2O,OOO. Cost of concentrating domestic ore was 94 cents ton A dam is being built for the storage of nearly 2,O0O,00O tons ot tailiugs, hitherto thrown away.
 A new shelter has been built on the site of the old one and nothing remains but a portion of the steel structure. All the furnaces are new, five stands of converters, etc. Boil CTS at the power house have all been equipped with oil burning apparatus.
 Average daily payrolls at the shelter was formerly SlS24; during past six months it was S764. Ef- ficiency in blast in converting has been raised from 43 to 64 per cent, and the same in proportion at the furnaces. The reverberatory ran l50 furnace days and treated B, 275 tons at Sl.S3 a ton net, allowing a credit of sixty cents per ton for steam gen erated in reverberatory furnaces. Recently smelling cost is $l.37 a ton and cost Of power was reduced 10 10 per cent A contract was let with the Texas company for two years up to 35,000 barrels a month. Three barrels of this oil is equivalent to about one ton of run of mine coal. Actual net yield of ore benefciated was 51.25 pounds per ton, against 46.5S pounds in fifteen months ended October 31, 1907. The state govern ment has exempted for twenty years from export tax all copper bullion