The Birmingham age-herald., 1913-08-06
Holdings of Self Fluxing
Ore Company Change
Hands
CONSIDERATION is
ABOUT S75O,OOO
Purchase Is in Line With Announced
Policy of Standard Steel Co. to
Broaden Operations-Or to
Be Sent to Alabama City

In order to provide ore of excellent conf
position for its proposed new plants
the Standard Steel company has pur-
chased the holdings of the Self Fluxing
Ore company, consisting of 1000 acres.
According to w. H. Coverdale, a we'll
known engineer of New York, who was
here with e. L. iStckney, an attorney OF
that city to close up the options held, the
Standard Steel company will spend a
considerable amount of money on extern
sions to it's present operations. That the
ore to be mined at Oxmoor purchased
yesterday from the Self F'luxing company
would be shipped to Alabama City for
consumption in the plants there was the
opinion of Mr. Coverdale and others con-
nected with the trade.
The Standard Steel company, it is said,
will be able to ship the ore mined at
Oxmoor to Alabama City. use it there
and compete with other iron companies
for the reason that the Standard Steel
company will have no heavy bonded in
debtedness and will save large interest
rate even though the freight rate by
chance might be heavy.
Land Near Oxm0or
The ore land purchased lies near Ok
moor. 1t is said to be of the highest
self fiuxing character
The company that sold to the Standard
was organized here only a few months
ago and consisted of 'R. N. McDonough,
president; ]. II. McDonough vice presi-
dent; j. T. Robertson, treasurer; John
w. Sparkman, secretary; j. J. Shannon,
w. A. Porter, w. f. Aidrieh John w.
Sparkman. r. n. McDonough, j. H. Nc
Donough. John Towers, j. T. Robertson
and j. w. Minor, directors.
The price paid in cash was between
s16O 600 and 100000. The Standard pays
for preliminary work already performed,
assumes the bonds on the properties and
also gives some stock in the purchasing
company The total consideration is said
to have been between 100000 and $3.50 600
The Self Fluxing company has drilled
down about 100 feet and intended TO con-
tinue the work when the option was Sc
cured by the Standard Steel The experts
of this district, it is said. have tested
the ore ana have found that 1t was among
the best in this district. 1t is stated by
Mr.. McDonough that deeper drilling is
going on here now than is necessary to
get to the best of the self fuxing ore
sold to the Standard Steel
New Owners Reticent
The trade was booked several days
ago but the deed was not filed until
yesterday The new owners would not
discuss the purchase but referred ques-
TONERS to the Self FluXing organiza-
tion as they were the sellers. How
ever. Mr.. Coverdale, who has made an
exhaustive examination for the Stan
dard Steel, said the ore had been pur-
chased as the court records would
show. He intmated that the land
would not have been bought had not
the Standard Steel intended to broad
en- its operations and extend its work
considerably lie was asked If such
step would involve a large amount
of money. He answered in the affirm
ative but was unwilling to discuss the
projected improvements.
The purchase of this ore land, 1t is
said solves a very troublesome prob
lem for the Standard Steel company
That concern has been very much In
need of ore as are some other com
panies here and has been on the look
out some time for some ore properties.
The statement is made that with this
ore the Standard Steel with its other
holdings and it's finishing mills will
be ena bled to compete very satisfac-
torily with other industrial concerns
of this district The company has been
securing It's ore in various tields since
operations at Gadsden started some
time ago.
The Standard steel. as announced
Sunday. will change its name within
short time TO the Gulf states Steel
company and with that accomplished d
reorganization will be affected 1t is
believed in industrial and business
circles that the Standard does not in
tend to sell out to any company but
proposes to operate in this district
more widely than eyer.
Mr.. coverdale and Mr.. Stickney af-
ter enjoying a swim at the Y. Nj. c. A
yesterday afternoon with President
James Bowron of the Standard Steel
left over the Southern for New York
city.