The Washington herald., 1918-12-31
CHILEAN MINES
HOLD SCHWAB
Emergency Fleet Head Will
Resume Work Stopped
by War: Holland.

Charles NJ Schwab with his Gus
tnmarJ tact and Willingness to ac-
knoviedge all services given TO any
frfsreSS Of which he is the leader
referred "a Christmas address
To the cordiL and enthusiastic
support which the newspaper press
OF the United States has given to
every endesvor that has been made
by the shipping board under his
lendership Mr.. Schwab's modesty
cansed him to refrain from saying
that he himself had made IL possible
to furnish valuable and almost sem
satjonal news. in the best meaning
Of that term 50 that the newspa-
per press was influenced not only
by desire to serve the government.
but also by the fact that NJ.
Schuab was almost daily so acting
- 10 place under the eye of the
OWYsp~r mrn of the United States
matter which in the highest sense
Was news
Speedily Mr.. Schwab will return
to the management of the Bethle-
hem Steel Company prepared imme-
disteiJ TO take up some OF the great
sf non-war activity in the steel
plants of the United States with in
tent to produce products that are
useful and even vital in aiding IN
the restoration Of domestic indus
try of all kinds Presumably Mr..
Schvab viii turn his attention in
part to the great development in
the iron ore industry in Chile which
was established by him and which
was apparently suspended after the
war began
Has Chilean Interests.
Several years before the German
troops began their march towards
Paris Mr.. Schwab obtained conces-
sions from the government OF Chile
whereby he was able to begin the
mining of ore in one of the districts
of Chile. The deposits of ore there
are very large. Mr.. Schwab rea-
anna Canal for navigation he would
be able to mine the ore and transport
IL by way of the Pnama Canal to
some point on the Delaware River,
whence 1t could be conveniently and
inexpensiyely shipped to the Bethle-
hem Steel plant
To do this, however to the best ad-
vantage Mr.. Schwab was confident
thai he needed ships Of peculiar con-
struction. especially adapted for car
rying ore. Had il not been for our
navigation and shipping laws he un-
doubtedly would have caused these
ships to be built in the United States.
Economy compelled him to make
contracts with shipbuilding across the
sea- so that he would speedily have
steamships. The Chilean mines are
located so near the coast that it is
practicable. as we'll as economical, to
carry the ore from the mines to the
steamers by means OF gravity. In this
way Mr.. Scwab counted upon receiv-
ing at all times an adequate supply of
ore An adequate supply meant a
very large amount for at that time
Mr. Schwab was contemplating great
increase in production of steel prod
ucts and perhaps steel rails.
Then the European war began In
the twinkling of an eye. almost, Mr.
schwab found himself in touch with
Great Britain so that it was posi-
Bile for him to accept very large con-
tracts for certain munitions of war
of which England then stood in neeo-
The lack of ships and the danger Of
navigating the sea after the sub
marine war began interferred some
what with the development of the
Chilean iron mines. The presump-
ton now prevails in business circles
that one of the first things to whica
Mr.. Schwab will turn his attention
after he resumes active leadership III
the Bethlehem Steel Corporation is
the exploitation of the Chilan mines
and the bringing to the United States
of large amounts of ore.
Bethlehem Steel Rails.
The leaders in the steel industry
are convinced that there will speedily
come, in case prices are right, a large
demand for steel rails. A considera-
Bile part of this demand will be felt
by the Bethlehem Steel Company. To-
day the Bethlehem Company, as well
as the United States Steel CORPORA
ton. Is prepared to make steel rails
Weighing a hundred and ten pounds
to the yard and as perfect in quality
as modern science and manufacturing
genius have made it possible to secure.
Yet there was a time not long ago
when much embarrassment was felt
by the manufacturers of steel rails
because of complaints that the hun
dred and ten pound rails did not
wear as well a. the steel rail which
weighed only sixty pounds to the yard.
The Pennsylvania Railroad Company,
for instance, which was in the mar
ket for a large amount of the heavier
steel rails, refused to accept a ship
ment, stating that the rails did not
reach the needed qualities in order
to secure long wear. Then began one
Of the many romances associated with
our steel industry. Both the United
States Steel Corporation. under Judge
Gary, and the Bethlehem CORPORA
ton. under Mr.. Schwab. put before
their chemists and men Of science the
problem which can be stated in these
words: Why Is il that the heavy steel
rails are found to have less enduring
quality than the old sixty pound steel
rzlg The chemists and the men of
science made critical examination of