Gilpin observer., 1913-03-13
CONTRACT WITH NEWHousE
TUNNEL PEOPLE VOID

general public regarding the contro-
versy Of the Argo M. D. T. G T. Co..
operators of the Newhouse tunnel,
and this paper, relative to an article
published in the Observer ON Feb
ruary Goth, would not be amiss at
this time. Rens E. Schirmer, manager
of said company, in an open letter
makes the following statements, re-
ferring to the work of the Phoenix
Ophir company in their endeavor to
drain their property through the
workings of the Newhouse tunnel.
"Since the diamond drill holes have
been put up from the tunnel level,
the flow of water from the lateral
has at no time exceeded 65 gallons
per minute. It is evident to anyone
at ALL familiar with conditions in
Quartz hill that this hardly exceeds,
if it equals, the steady drainage from
the district, without some steps to
increase this flow, the complete un-
watering of the Kansas-Burroughs
mines will be delayed almost indef-
initely."
Quoting from a tunnel drainage
contract under date of June, 1908,
we note the following language.
land thereupon extend the breast Of
the Newhouse tunnel in a general
northwesterly direction until it shall
shall have intercepted a vertical
plane passing through a line drawn
east and west through the center
of the Eureka main shaft but I'm
the event the said tunnel company
shall fail to drive said tunnel so as
to dntersect said vertical plane, on
OF before three (3) years from and
after the date hereof, then. and in
such event, the said party of the
second part may, at its option, de-
clare a forfeiture Of this contract.
''2. The said party of the. second
part shall pay to said tunnel com
pany drainage royalty of 25 cents
on every ton OF milling ore. and $1.00
per ton on every ton of smelling ore
extracted or removed from the said
mining claims, or from any other
claims or property at any time ac-
quired or controlled by the said
party Of the second part (This might
mean in Alaska, Arizona or Hades.)
The above royalty shall become due
and payable whenever the said min
oho1 h.
stantially drained of water. directly
or Indirectly 1t is Furthermore agreed
that in case of any dispute as to
whether such property shall have
been substantially drained under the
terms Of this agreement, sucn dispute
shall be referred to arbitration by
the commission provided for i'm clause
IA hereof" Quoting from section
We note the following. 1T Is the
intention of this agreement that the
said tunnel company shall receive
the said charges from all properties
drained or ventilated, (note this new
one, ventilated) either directly or in-
directly, the said party of the sec
ond part agrees that Il will not.
without specific permission in writ
ing from said tunnel company, make,
or permit to be made, any connec-
ton or opening for drainage or ven-
tilation, with the property or work.
ings of any other person or persons
who shall not have entered into an
agreement with the tunnel company
OF purport similar to the present
agreement; and that should any such
connection or opening exist. 1t will
permit the said tunnel company to
close and block up the same in amy
manner 1t may desire, at the expense
OF the tunnel company" Sounds like
an edict OF the inquisition OF the 18th
century. Evidently this clause should
be Investigated by the humane soct
ety.) "And the said party OF the sec
ond part covenants and agrees that
the royalties and payments herein
before covenanted to be paid for
drainage shall be perpetual aden
charge and claim upon the premises
Of said party Of the second part. as
we'll as upon all interests to be here
after acquired, and shall bind the
SUCCESSORS and assigns Of the said
party Of the second part" (Thds
clause appears to be q mortgage on
the party Of the second parts seat
in heaven. Note; that there Is no
80 year limitation in this article.)
"13. It is expressly understood and
agreed that this agreement shall ex-
tend for q term Of 30 years from and
otter the date hereof. IA. For the
purpose Of carrying out the conni-
lions Of the foregoing agreement. a