The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-04-23
REVIEW Of THE
UTAH CON. MINE
Statement Made by President
BrOughtOn Is Received by
Western Interests.
GIVES THE BASIS
OF HIS CONTENTION
Recent Results Reported to Be
More Favorable Than
Those of Past.

Copies OF the statement issued by
President Urban II. Broughton OF the
Utah Consolidated company are now be-
Ing received out west, which statement
was Issued at the time OF the recent an
nual stockholders meeting. This state
ment, as contained In Financial America,
follows,
prior to 1908 the only adverse criti-
cism that had been made upon the man
agement was that il did not pay larger
dividends out of its profits. The COM
pany earned such large prohts In The
the stock was carried beyond reason. Al
the end OF 1907 the company's smelter
ceased TO operate and the management
was confronted with the problem OF shut
ting down Its mines Tor a period OF elgh-
teen months and spending s2:b00.oOO on
a new smelter or making contract with
the Garfield Smelling company. which
was made for a period of ono year. The
contract was not an unfavorablc one
TO the company. and II tho Garfield
Smelling company had made slight con
cessions, would have been renewed. but
as that company would not the man
agement became instrumental in Undue
ing others 10 build plant to treat the
comDany's ore, and a contract was there
fore entered into with the international
Smelling e Refining company for pc
riod of ten years, and / am of the opin-
producing company cannot be found,
THE principal adverse criticism OF the
management has been in Walkers
Weekly Copper Letter. conducted by the
party who is now leading the opposition
to the management.
On Tonnage Question.
"The main criticism against the man
agement is that in December last IT
materially reduced former estimate of
the ore reserves. When Mr. Charming
left, early In the year 1907, he estimated
the tonnage Of sulphide copper ore In
sight at 100000 tons. and am quite
sure that was his honest conclusion. He
admits that certain blocks Of ground
which were taken in that estimate, show
Ing ore on three sides and top and bot
tom. may have developed waste In the
corrections from time TO time should have
been made Mr.. RisQue. who succeeded
Mr.. Channing, was highly recommended
TO me. being then in the employ OF the
his first report on ore reserves, on March
4. 1908. lie estimated the tonnage at
Loo .a30 tons
THE results Of the company's oper-
atlons for the year 1909 were so disturb
ing TO me that l determined 10 take a
rather unusual course and send an indie
serves before issuing my annual report.
l selected John w Finch OF Denver,
whom | had not known previously except
by repute and the result OF his inyes-
tIgauons ! attached TO my annual re-
port. / consider that ] did everything
which could be reasonably expected to
ascertain what the ore reserves actually
were.
Course Selected
Later. Mr.. Risque resigned and Mr..
Claiming was appointed consulting en-
gineer In charge of mining erations,
and the first thing he did. after assum-
ing charge, was TO measure up the ore
reserves and report to me. ] also en-
ployed another independent engineer, G..
G. Burger Of New York. who spent over
month in making a full examination of
the property, when he confirmed Mr..
Charming, Burger. Risaue and Finch at
Salt Lake City, and. after a prolonged
discussion Messrs Risaue and Finch
failed. In my opinion, TO substsntiate
their estimates. Under these circum-
stances. though very distasteful. there
conclusions before the stockholders. which
/ did in my circular of December last,
sWith the belief. UP TO this time. that
there was plenty OF ore in reserve, / did
not consider there was the urgency for
pushing development work which then
became imperative. Since September last,
4,132 feet OF exploration and develop
ment work has been done, with favor
able results. The company has made
greater profits in the first three months
OF the present year. taking copper at
12s cents than 1t did during the whole
of 1910,
Since the issuance OF my last an
No 10 level has added To the ore reserves
then reported. and in addition, body OF
lead ore has been found In hitherto
uneXplored territory. To date an aver
age of five feet In width has been opened
for over 100 feet in length, with the face
mated will net the company s6 per ton
at present Drices'