The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1910-01-29
Strength Of Lake Superior Ores

Comparisons are naturally mads be-
tween the selling prices Of pig iron and
steel commodities az pr, sent and at the
time Lake Superior ores were last on
the present seasons oasis The new
prices constitute restoration Of the
1907 level. which was higher than that
Of 1906 or 1905 our table published a
fortnight $40. giving Lake Superior
ore prices for period Of q years.
with the dates OF the bnyIng move
ment and the concurrent prices OF
foundry and Bessemer pig iron in the
valleys, indicates that when the 1907
prices were established both Bes semer
and foundry iron were S2i 50. valley
furnace. present prices being several
dollars ton lower Nevertheless ore
has sold freely Substantially all the
Bessemer ORES for the coming season
being taken Mp with large proper
ton Of the non Bessemers The ore
has moved with almost a. much free.
dom as when similar prices were -.
tablished three years ago and when
pig iron was az a higher level
The comparison indicates the change
which has occurred merely in three
years. In the growing mold of Lake
Superior ores have on the trade.
The matter cannot be dismissed A.
merely one q supply and demand, for
supply and demand have both incieas-
"a IL Substantially the same ratio
There has been rapid growth ID ~
mand for pig iron and that demand
has been met chiefly by the erection Of
blast furnaces in the central west or
the - new furnaces blown Ia during
the past FIVE years. and the 20 now.be-
ing built. a total 81 10 furnaces. only
~ are not directly tributary q the
Lake Superior ore region The supply
has kept pace with the demand. for
while the 20. SIS. g0f tons moved out Of
the region. in1aD2 remained the record l
ior three years. the estimate for 1910 \
il rouudly 1900, 900 tons. ard 10 no
year has the physical capacity % /
mines and transportation facilities
been more than comfortably strained. /
High prices. relative 70 the cheap
a. dirt prices of most q the years ~
the nineties. have not served 10 cause
supply 70 outruu demand The estab- /
lishInent Of far valuation upon Lake
Superior ore in the ground has encour-
aged Development. which year by year
has required greatly increased capital I
TX would have been considered ont ~ \
the question 10 or Is years ago 70 I
spend anything Ike tue amount Of
money in developing properties which /
IL now appropriated willingly With I
ont the encouragement 81 fair prices I
for Lake Superior ore. the development
Of the region would have been held 4
back and the whole progress % the
American iron and steel industry re-
tarded
The strenuous chan p IN the amount
III capital involved iu Lake Superior
iron OF mining has made old cost com
parisons entirely ont % date The
capital tied up in plant and in defer
red charges T. operation involves q cost
per ton ~ ore which is n much more
importance than the mere cost Uf mir.
ing which 10 the early days represent
"a the chlef item in cost sheet The
Lake Superior ore trade has been put .
mon an entirely new basis II IL in
recognition of this change ~ coudi
tons Indicating the permanence Of
the trade, that the railroads have
found il desirable 70 make their heavy
expenditure in dock improvements
along Lake Erie IN countenancine
the appropriations for such works. the
railroad officials were PROBABLY III
fnenced more by the object lessou 81
the money the ore interests have had
10 spend 80 freely in developing their
mines than by any other consideration
Iron Trade Review N