The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1912-05-07
MINING
UTAH COPPER.
It's Report Shows a Record Of Con-
sistent Improvement.


Utah Copper's report is net only a
record of consistent Improvement in
operation, under generally depressing
copper conditions. but unlike that Of al
most any other large producer in the
country, it holds out assurance Of still
greater accomplishments in the future
say Hayden, Stone & Co.
1t is difficult to summarize, briefly
report so replete with interesting in
formation. Perhaps the most import
ant features, however, are, first the
consistent Improvement i'm operating
efficiency; the larger production and
lower cost of production last gear
were obtained from an ore of even a
lower grade than in the previous year
1910 as against 1870. and this was
made possible by a higher recovery
69.53Go against 66.55ee and n lower
milling cost.
Stripping operations were carried on
at a very heavy rate. the total area
over which such operations had been
conducted UP TO Jan. /, 1912. being
1924 acres. The total yardage removed
from both areas represents the equi-
valent of completely stripping S67s
acres. 1t is interesting and import
ant 20 note that the overhurden re-
moved TO date represents the equiva-
lent of completely stripping over 12l,-
100000 tons Of ore, while of this guam
tity only 15,ss5,521 tons, or about 1870
have been mined and shipped to the
mill
1t should be further noted that this
cost of stripping or prepared ore re-
serves" has been written off against
undivided profits ON the books to but a
comparatively small amount.
or equal importance with the inn
proving operations is the tremendous
Increase in the ore reserves of prac-
tically 50%, from about 20O,000.000 to
col 100000 tons. This gives the prop
erty an assured life OF over forty years,
with possibilities of still further eX-
tending its reserves, and l. should be
noted that the average grade of this
vast body of ore is estimated at 1929
copper, or little higher than the
average grade treated last year.
Impressive as are all these figures
relating To present conditions of the
property, of perhaps still greater i'm
portance, from the stockholders stand
point is the assurance that the report
holds out of still better performances
in the future.
The companys new railroad, for in
stance, was completed only in Septem-
Der and, Of course, had little effect
on the years results. 1t is stated,
however, that this should reduce the
cost of production. indirectly. by three
quarters Of cent a pound.
by the middle of the summer also,
the enlargement of the Arthur mill
viii have been completed and the two
plants will. at that time, be i'm n posi-
tion to treat 21,OOO tons of ore per day,
as against an average for the last year
of little under $4,000.
The combination Of this increased
output and lower cost means undoubt-
edly that well before the end of this
year Utah Copper will be producing at
the rate of between 100000 and
1b0,000,0O0 pounds OF copper per an
mum, at a cost of close to &c a pound,
and it is very simple matter to figure
what its earning power will Zoe, includ-
ing it's share OF Nevada Consolidated's
income, on anything like Ice. copper
Summarizing the report. then, Utah
Copper in 1911:
/. Produced the largest amount of
copper in its history.
>. Obtained the lowest cost, not
withstanding the ore was of the low
est grade ever treated.
3 Increased its ore reserves 500
extending the assured life of the mine
by fourteen years.
Z. Did a larger amount of stripping
than ever before and brought down
the cost of this investment on its books
to very small figure.
5. Gave further proof of its ability
to better even this performance in the
future.
Nevada Consolidated reports for the
VI 81 1lhi vi VI lil' Nttti an output Oh
17,j1S,450 lbs, and a profit from op
erations of S1,23376S After deduct
ing substantial depreciation and ore
exXtinguishment charges, there was
surplus for the quarter after the pay
ment Of dividends of $212,OOO For
and March the output was
over 100000 pounds. but fell Oft i'm
February, owing TO the lack of wa
ter, defect that will be permanently
remcdicd. Explanations are made of
the ore cxtinguishment charge. and
with respect TO stripping expenses car
ried TO deferred charges. it is interest
ing to note that at the Eureka, one of
It's two principal steam shovel opera
lions. the point has been reached at
which the charge for stripping actually
exceeds the expense.
I'm other words, the investment pre-
vjously made at this point for strip
ping will, from now on. be gradually |
absorbed.
Arranging Flowers.