The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1910-03-03
HAS NOVEL MINING PLAN
Englishman is Buying up Valuable
Properties in Hills-No Water
in the Capital Stock.

III II Capital STOCK.
Every person in the State of South
Dakota knows that the Black Hills
has the greatest gold mine in the
world-the Homestake. Everybody
also knows that there are a great
many mines out there that can be
made Homestakes by proper develop
ment. Practically every person in the
state either owns stock in the Black
Hills mines or has relatives or friends
who own stock. Many of these proper
ties have failed to make good, and as
a result the share holders think that
all mining stock is a poor investment.
In nine cases out of ten the reasons
for the failure of these properties
we're a shortage Of money for develop
ment and poor management,-not the
fault Of the mines.
Robert Bunce is an Englishman,
residing at London. He is a man of
means and is we'll known as a mining
financier of the South African gold
mines. Four years ago he came to
the DlacK Hills and Investigated the
mining condition. He brought with
aim H. S. Denny, of the Denny Bros,
London and Mexico City, n of the
worlds greatest mining engineers.
Several mines near Deadwood were
thoroughly examined and f%avorably
reported on. The last financial panic
temporarily delayed the financing of
the properties picked out by Mr..
Denny as a result of his first trip.
Last summer, Mr.. Bunce, with the
same engineer and two assistants,
spent four months completing the
examination of the Black Hills mines.
The result of this exhaustive exam
ination on the part of Mr.. Denny, is
that Mr.. Bunce is determined to make
a "tGraater Black Hills He has spent
four years in order to satisfy himself
of the possibility of other Home
stake mines being made, which has
cost ann a fortune, all being paid by
himself.
His plan Of operation is English in
every way. English mining enter
prises rarely fail because they are
conducted on business principles.
Eighty per cent of the dividend pay
ing mines of the world are owned by
Englishmen. Bunce is doing every
thing just opposite to the American
way. He has organized his company
for $3,50O,0O0, which is very low for
an American organization. The stock
is selling for its par value of one dol
lar per share, with only a five per
cent commission for agents, hence
nearly all of the dollar goes into the
ground. He is not paying cash for
the forty mines thus far acquired but
mas set aside 10000 shares of the
company's stock with which to buy
the properties. He has now taken
.Ot6I lOlly VI IuG USSI u11uSS III Tue
Hills, over 1000 acres, in eight diff
ferent camps or districts, and has
used only 100000 shares of the
stock. Fifteen Of these forty mines
were owned by organized stock COM
panies, whose total capitalization
was 45,0OO,0 On the same basis
the organization, the American way,
the other properties would have been
Incorporated for another $45,O0O,OO
or more, making a total of some
where near %$10O,O00,O 900 as the par
value of the stock. The Bunce plan
squeezss out all the water and boils
it down to $3,5oo,ooo, and gets a
title to all these excellent mines, with
of thousands of dollars