The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1917-12-13

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25 years. except that II after April /
1914, the plaintiff should pay for a
majority Of its ores in the Coeui
d'Alene a better rate than it's then ex-
listing contract with defendant, then
after that date the same better rates
should apply to tonnage in excess OF
any shipped to Tacoma and should
change. accordingly from time to time
during the remainder ofsthe contract
but in nos case to be worse for the de-
PENDANT than its then existing contract
with the plaintiff. which did not cover
any ore of 40 per cent and under and
20 per cent and over.
The negotiations continued until
March 20, 1905, when 1t was agreed
i've after the fixed 5-year period expir-
ing June l, 1910, for all ores, concen-
trates and shines between 30 per ceAi
and. Is per cent, including the tonnage
to the Tacoma smelter as well. with
the understanding that defendant vas
always to receive thereafter at least
+ as good rates as those provided for In
the fixed Swear period and in addition
/ thereto was to receive from time u
time any and all benefits established
by competition.
/ II was finally agreed that the es-
sence of the contracts with the min
! ing companies was to be continual
/ ton of the then existing terms for five
years, with the provision that after
4 the expiration of the fixed 5-year per-
iod, the Alaska companies and the de-
4 PENDANT were each and all to obtain
the benefit of competition, and para
graph ~ was inserted in defendant
contract Exhibit B to the complaint)
and paragraph was inserted in the
Alaska companies contracts (Exhib-
its c, d, f to the complaint). 1t was
recognized that the Tacoma smeltcr
was the only practicable outlet for tbs
concentrates of the Alaska companies,
and that If they secured any competi-
ton at all they would have to create
it; but nothing whatever was said at
the time about the cyanide process,
and it was not in my mind and not
talked of by any of the negotiators
that it would be feasible or possible
for the Alaska companies to create
their own competition. This was ,n,y
accomplished after some three years
of experimental work begun in 1908.
This work resulted in the following
notice:
San Francisco, Nov. 4, 1910.
Tacoma Smelling company, Tacoma,
Washington.
Gentlemen: We inform you that
we are now able to treat the products
of our mine in such manner that The
profits will be greater than by selling
you the concentrates, in that we can
treat the concentrates at Douglas Is
land Alaska, for cost not exceeding
IS per ton, and will save $2.S9 per ton
on freight, insurance, and other
charges, and the extraction will be
SO per cent and considerable value in
cyanide residues for their iron and
sulphur contents, and we would have
the immediate use of money for the
concentrates, which would be equiva-
lent to interest on their value for from
80 to 60 days.
We hereby notify you that if, after
a period of three months from the
date of this notice, you refuse to ac-
cept- the concentrates agreed to be de-
1ivered under our agreement dated
March 90. 1905, and to make returns
and render accounts therefor at such
prices as win give and yield us as
great net returns for such concentrates
as can be obtained by us by our pres
ent method of treating them at Doug
las Island. without cost of freight, in
surance and other charges. and loss Of
interest and loss of iron and sulphur
contents, we will. upon the expiration
of said notice, forthwith terminate
such agreement and cease to ship and
deliver to you any concentrates under
1t.
I'VE inform you that we are keep
ing an account of tonnage for final ad-
justment with you in event that YOU
refuse to take the concentrates as
stated in our agreement and in this
notice.
Very respectfully,
ALASKA TREADwELL GOLD MI
MING COMPANY,
'(Signed) H. H. TAYLOR.
President"
With the Everett smelter secured by |
he Federal Mining & Smelling COM
,any, and with the control of this |
company secured by the same control
hat was securing the Tacoma an,
selby smelters, I knew that great
monopoly was being built up in the
cad smelling business and that the
for defendants ore then be-
ng negotiated must provide for de-
endant being able 10 market its s,-
ire output; but was willing to have
he exclusion OF the products Of 80 per
ent and under and rs per cent and
yer because low grade lead product
vas always especially sought after by
earby "smelters and the special rcs-
rvation Of ores carrying 81 to 81 tons
Of H. lsf. L.