Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1916-10-20
EVGELS COPPER
Co. IS TO MAKE
new STOCKISSUE
CONTINUED nom page one,

ing probably 10 per cent copper The
diamond drill work on the upper
group Is also showing good results, an
entirely new large body OF ore having
been disclosed for over 900 feet.
Following a recent visit to the
property the directors OF this compa-
my have decided TO begin the erection
OF the large mill referred to in my
last report by installing the first 800
ton unit thereof as soon as practi-
cable. The best modern practise in
large mills is to build the same In
units OF about 500 tons each. which
provides flexiDflity IN operation and
permits increase OF capacity by adj
ding more units as the development
Of the mine may Justify.
plans for the new mill are now
being made. and orders for the neces-
sary machinery will be placed in the
near future, but it viii be. several
months before the same can be ship
|ped. owing to the congested condition
OF the Eastern factories In the mean-
time the development Of the Superior
mine viii be rushed, as Ii will require
al least l2 months hard work to open
/ the mine so that 500 tons per day
can be drawn therefrom economically.
but as the No. 6 tunnel on the Engels
PrnnD VIII be COMPLETED within the
next six months the ore supply for
the new mill can be supplemented
from the upper mine, II necessary. We
will. of course. continue to run our
present mill at full capacity, the plan
being eventually to concentrate all
milling operations at the Lower Camp
after the first one or two units are
In oDeration.
"The first mill unit, together with
the necessary camp equipment, water
supply, land for tailings. assay office,
new mining machinery, ETC., will cost
about $4,000. The cost Of additional
units win be less proportionately, as
the camps, water supply, ETC., viii
have been provided.
In order to provide funds for the
proposed improvements, and also for
further additions as the same may be
required In the future, the directors
will recommend to the stockholders at
meeting to be held on November
%, 1916, that the capital stock OF the
company be increased from $780, 900
10 s2.D00.0O0. and that s150,000 par
value OF said stock be offered to the
stockholders pro rata, at par, the to-
tai amount to be sold being approxir
mately 10 per cent Of the total amount
OF stock outstanding, payment In full
| for same to be made not later than
january 90. 1917. The remainder OF
the new stock will be held in treasury
to be sold when necessary for further
additions to equipment
at Is expected that in the mean
time the earnings from the present
mill will be sufficient to complete the
indian Valley Railroad. carry on ex.
tensive mine development, and main
tain the present rate of dividend dur
/ ing 1917, even If there should be q
material decline in the price of cop
per. When the proposed mill addition
Is completed the earnings VIII be fully
doubled, and should insure very sat
isfactory dividend at average price
CT the metal.
| Formal offer Of the new shares
viii be made as soon as the issue is
authorized by the stockholders and
also by the commissioner of corpora
tons Of this state. the purpose of this
communication being to notify the
| stockholders of the proposed allot.
ment as far in advance as possible.
Very respectfully,
-ELMER E. PAXTON.
Manager, Engels Copper Mining
Company"