The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1913-10-30

u
1t has strong bearing on future devel
opment and mining operations in tie
Occur dAlenes. The closing para
graph Of the report advises that the
policy OF expansion be continued 9th
er sections Of the report are interest
ing and may be taken I'D at another
time.-Ed)
AS indicated i'll previous reports.
your management has for some time
felt the necessity of the acquiremens
of new properties. During the past
year the following options and pur-
chases have been made:
Green Hi Cleveland.
AS foreshadoWed in my last repor..,
the option on 40 Of the Cleveland
group of the Idaho Investment com
pany was taken up at the time speci-
fed. Negotiations were then begun
for the acquisition Of the Green Hill
ground and the remaining $40 inter
est in the Cleveland group These ne !.
gotiations were successfully termn-
ated In the organization Of the Con-
solidated Green Hill -Ceveland Min
ing company TO which company Fed s.
eral decided its 7-1o interest in the
Cleveland group and the owners there
of decided their $40 interest in the
Cleveland group and also all of the
Green Hill ground Subsequently,
Federal leased to the Green Hill
Cleveland Mining company all of tie
mining and milling plant of the Mace
mines for an indefinite term until the
ores in the ground belonging to thu
new company are exhausted, receiving
therefor a rental of $lS0,0oo payable
out of the first profits of the new COM
pany, before any dividends were de-
clared Federal also sold to the new
company all operating materials and
supplies on hand, which were also
paid for before dividing profits own
ership of the Green Hill company lies
SO per cent with the Federal company
and so per cent With the Green Hill
interests.
The owners of each one-half inter
est share equally in the directorate
and In the management Of the new
corporation. g.
Operations under the auspices Of
Green Hill-Cleveland company were
begun November /, 1912.
Up to date Green Hill Cleveland
company has paid seven dividends of
20 cents per share each, amounting IN
all to $44S,O0 of which Federal has
received $224000, in addition to the
$1S0O0O rental and the value Of the
supplies furnished them. These re-
suits have proven very satisfactory to
all concerned.
The Mace plant is now being used
entirely for operations in Green Hlu
ground, no extraction being made
from Federal Mace mines
The entire cost Of the capital stock
of the Green Hill Cleveland company,
owned by the Federal company, has
been charged against the dividends
received from the Green Hill-CleVe-
land during the year.
Helena-Frsoo.
This property was purchased IL
January, 1913, for 100000 This conf
pany agrees to spend S15O,OoO III de-
watering the mine and equlpp'ng Il
for further active work. 1t IS then 10
take back out of the earnings OF the
mine $25O.o0O and thereafter is to ne
entitled TO one-half Of the balance.
going to the former owners success
full dewatering has been carried on
and the mine examined by MI H. T.
Smith, an expert mining engineer
whose conservative report SHOWS re-
serves Of 111,O00 tons, containing an
estimated net profit of $242,9 1895. Mr..
Smith further says: THE Esi'r anu
Cane Horn veins, which may prove 10
be one, are practically virgin al"
look promising. In conclusion II }'a!
be said that with reserves, when TAX
-, ont nm a basis of 300 tons per day
will supply a mill for about year 'o"
should give q profit OF $2a2's''' '''e, :
are sufficient opportunities Tor oeNe'
opment and reasonable charges sloi
successful enterprise"
Repairs started in February ana uh
watering was started March H. 1910
and completed July II, 1918 since
which date the time has been occupied
IN sampling and in timberihg anu
otherwise arranging for the saiely u
tho mine. Expenditures In 'hese
works up to August 81 1913, amount
cd to $1ts,i7643 It will be necese'''
10 rehabilitate the mill ana re''ni'''
some parts of the shaft,
The property has much potehtla,
value in having large territory s'ii'
subject to development Inc coi'i
n,nv in acquiring it is substantially
in the position Of having paid for !. ''
the ba sis Of the ore actually in sight
The Helena Frisco values consist
largely of zinc and 1t may be properly
described as a zinc mine rather 'iiah
a lead mine.
Star Group,
This group Immediately ad1olhs our
Warming mine on the west. It's own
ers have done sufficient work 10 aei"-
"