The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1916-07-06

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anybody had talked about them
Among the major metals zine has
been the most spectacular: among the
minor metals aluminium, antirAony and
tungsten have been the star perform
aaers. OF late there has been sharp
declining tendency in the markets for
zinc, anthony and tungsten that pro-
badly foreshadows the return of those
metals to normal levels. There is
nothing mysterious or malevolent in
the recent behavior of these markets
On the contrary their action is pre-
cisely what ought to be and what has
been expected all along
The cycle is obvious. Extraordinary
and insistent demand elevates price
High price stimulates new production
Sooner or later the time comes when
the supply outstrips the demand,
whereupon the price declines, even
tually reaching the normal level at
which the business may be conducted
with the ordinary percentage of profit.
The time of such cycle is determined
primarily by the facility with which
new production may be organized
In spelter the deficiency was never
of ore supply, but rather of smelling
capacity. During the last year new
smelling capacity has been provided
in rapid and even romantic manner
Since the first of 1916 the reports of
the organization of new smelling COM
panies have been SO frequent that it
became a good deal of a job to keep
track of them. Similarly has the pro-
duction of antimony ore and tungsten
ore been stimulated in all parts of the
world, but especially in the United
States. Let anybody run over the
weekly record of mining news in the
Journal and note the number of new
antimony and tungsten mines being
worked in all quarters. Even the old
antimony mines of Arkansas and the
old tungsten mine of Connecticut have
been reopened. Declines in prices We're
inevitable. !
llC saint lllllSS Will CNGHludlly ldp-
pen in the cases of copper, lead and
aluminium. That it has not already |
happened with those metals is due to
the facts that the production of them
could not be increased so quickly and
moreover, the business in those metals
is more concentrated and better or
ganized than in other cases, and for |
the reason, partly, the advances in
them were not SO extravagant.
The alarming thing about the re-
turn to normal conditions is that so |
many people have forgotten what nor
NAL conditions are. Tungsten miners
their industry arising from a decline
of the price for ore to $50 a unit.
Previous to the war tungsten ore was
worth about $6@$7 per unit. In the
Joplin district there is resentment re-
specting the fall in the price of zinc
ore to $S5 per ton. Previous to the
war it was worth about $40@$45.
Both in the tungsten and zinc districts
slider what steps should be taken to
relieve the suffering miners, threats
are being made to the effect that ore
win be held back until smelters pay
what it is worth, the mines will be
closed down if necessary, that the
wages for labor will be reduced, that
there will be steps to secure a tariff 4
that will keep ore prices up to what
they ought to be, namely, the maxi
mum attained during the war period.
This exhibition of greed is human,
but nevertheless is mortifying by rea-
son of its childishness. However, there
is no doubt that many people are going
to lose money in the further decline
of prices for ores and metals from
levels that even now are extravaganza
ly high. High prices had the natural
effect of bringing into production
mines and works that normally could
not pay. Mines were equipped and
new works were built. The pheno
menal profits that were expected were
sadly eaten into by the Unsuitable de-
mands of labor and the increasing in
efficiency of labor. When some people
talk about being unable to produce ,
zinc ore for less than SIS or $50 per {
ton they are probably telling the
truth. Deposits yielding only to IL /,
per cent zinc have been opened in the I
Joplin district. |
Those miners and smelters who
started early and have recouped
themselves will prepare to go out of {
business when the bell rings. This
will relieve the labor situation and
will pave the way for the reduction
in wages and wedding out of the in +
efficient that is inevitable. It is to
be hoped that this will come about
with no great disturbance, but it will
not come about until there is a sur
plus of men and the good ones are
anxious to keep their jobs. There will
be, of course, good many mines and
smelters which started late and will
never recoup their investments. This
will happen to many who bought pro-
perties at high prices from the far (
seeing who cashed in early. They
will have to console themselves with