Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1910-02-16
UPH0LDS THE UTAH
COPPER METHODS
Copper Authority Tells of Fairness of
Utah Method of Charging Up Its
Ovcrburdcn Account.

Among the things for which Utah
Coroer has been criticized has been
the method of charging up It's over
burdened charge against all the ore
blocked out instead OF against cur
rent expenses. This plan has been
adopted by many companies and re-
lative TO this and other affairs of the
Utah Copper George l. Walker a
Boston Copper expert has the follow
ing TO say:
Utah Copper has received about
$4,000 shares OF Nevada CONSOLIDATE
cd for exchange. on the basis OF two
and quarter for one, and none has
been withdrawn. and no request To
withdraw any OF IL has been received.
a Utah Copper director states that
the time for deposltng Nevada Con-
solidated stock will not be extended.
and that Utah Copper interests Will
not solicit holders of Nevada Consoli-
dated to make the exchange, The
olginal proposition for the consollda-
ton came from the Guggenheims and
not from Utah Copper interests The
latter feel that their company Is in
fully as strong position without
Nevada Consolidated as 1t would be
with il.
Provisions for new financing have
been made to Increase Utah Copper'S
production to between 130,000.0OO and
14o. 900, 600 pounds OF copper annually.
on an output of 10000. 900 pounds there
should be an annual profit OF $4,000 900
on q 13I cent copper market. II tho
company does not take over any Ne
vada Consolidated stock. its capitaliza-
ton. including Boston Consolidated.
Will be 111S,5O0 shares. on which
earnings should figure. after the pro-
posed increase In production, between
S5.75 and Sc per share annually. IL
Nevada Consolidated Is absorbed. In
full or in part, Utah Copper will in
crease its capitalization relatively, on
the basis of one for two and a quar-
ter shares. and the income from Ne
yada Consolidated stock so received
will maintain the rate of earnings I
have mcntined on such additional
Utah stock. It's capital will be made
up OF the 600 shares now outstand
ing. IS, 500 of new stock, which has been
underwrltten at $50 and is being Of
fered TO Utah stockholders at that
price, the 10000 shares exchanged for
Boston Consolldated's capital stock.
and such stock as may be or has been
issued in exchange for Nevada Con-
solidated shares.
The proceeds of the sale OF 13, 500
shares, less commission of ] per cent,
will be SO. 63S. $50, an amount which will
pay for 30 per cent increase in tho
capacity of the big mill of the Utah
Copper company at Garfield and Il
Ike enlargement OF the Boston Con-
solldated mill. and leave q considerable
sum TO be added TO the company's
working capital. At present Utah
Copper has about $l,6ooooo of cash and
quick assets over and above Its cur
| rent liabilities.
BIGGEST IN WORLD.
Utah Copper. with the Boston Con-
] soidatcd property Included. Is unques-
| tionnbly one OF the biggest copper
| mines in the world. 1t is reasonable
to estimate a total of 200 600 600 tons
| of orc In the consolidated property
| carrying an average of 1% per cent
| copper. The average yield in this ore
| should be at least 90 pounds OF copper
| to the ton, or a total OF 1900 0c0 900
pounds. Figuring an average profit of
| five cents per pound, the total profit
| TO come from the treatment OF all this
| ore one would amount to $3.50, ,0e0 300
| AS the company's l.11S.0G0 shares at