Bisbee daily review., 1910-10-30

more limited in extent than would have been expected, has contributed somewhat to buliish confidence. The advance in the Lake Superior group of stocks came about on a very small volume of new buying, the floating supply being so limited as to prevent any considerable activity. As yet the very low priced coppers, .hose representing future mining prospects nalone, ihave shown little or no activity. This is due to the fact that the stocks of companies owning properties of deminstrated value and earning capacity are relatively cheaper just now. As the speculation in good copper stocks broadens. however, it may be expect. ed that those very low priced issues. which have good inning talent and Financial resources behind thpm, will also have substantial price ad- vances.
 On every slight reaction good cop pes' stocks should be bought. Prices | to be again for several years. Month ly metal statistics promise to be in. creasingly favorable for long per iod of time, assuring continued and
 growing speculative interest in cop per shades.
 Shannon is now making the best showing of copper costs :n its career Including expenses of every 6ind and charactef, its copper is said to coast nine cents pound at the smelter now, and only 10 1-2 cents laid down in New York, refined and sold. Partly as a result of getting in to high grade ore recently developed below it's main working tunnel level the average yield of all the ore treat ed is now about 65 pounds ot cop per to the ton. Th,s compares with as low as 52 to 5 pounds in the past
 After its own railroad construc ton was completed, little less than | year kgo. Shannon brought suit against connecting railroads demind ing lower rates on timber. coal and other supplies and on its bullion shipments. The matter was brought 7 before the interstate commerce Commission, but was settled out ol court with the approval of the Com mission As a result of this an agree
 ment was entered into which is say ing the Shannon company between si0,00Q and s50,000 annually on cut side freight rates.
 The ShTnnon company is ray,ns
 it's own railroad the sane price for hauling its ore that was charg,d ,d by other roads formerly. This i. giving the shannon railroad company
 sufficient net income t0 pay the in | terest on it's outstanding s600, ,Ji,t of bonds, and excellent surplus earn ings in addition. President Amstel I asserts that the Shannon railroa, will take care of its own bonds frcu | its current earnings without an! | difficulty All of the stock of th'
 railroad company is owned by tn l shannon Copper company.
 Very few people realize what th' 1 shannon company has accomplishe'
 in the past five or six years. It |
 estimated that through the purchas of new mining properties, the con \ struction of a water system, a ney
 furnace in ies smelter and by re
 modelling it's concentrator. it has ad
 ded approximately ss1 .0e0, ,ooe to it
 assets, without increasing it's out
 standing capital stock by the issu ! of a single share, payments for al
 these having been made from ne
 earnings. In the same period it ha paid off its original indebtedness
 which at one time amounted to $500
 900, until now only s59,000 remain outstanding. The water company
 which is owned by shannon, throug
 it's earnings and economies, is say
 ing the company about S15,OO0 ar nIally.
 ] At SIP a share, Shannon's capita
 stock is selling in the market fo
 s3,600.O00. The company's conceI
 trating and smelting plant and othe
 construction could npt be duplicate
 for s1,000y0O0, and it is understoo
 to have approximately s5e6,O0o aC
 ditional in liquid assests, over an above current liabilities
 IL Shannon is producing about IS 0O0000 pounds of copper annual, ! all but about 100000 pounds C
 which is from its own ore. Its prC J peTty hldings are not simply on mine, but several large groups c mining claims. Exploratory and d. velopment work is going on at man
 places, and developments are sue !, as to warrant the belief that Shanno
 will continue profitable produce [ of copper or generations to come. -