Bisbee daily review., 1919-11-16
COAL WALKOUT DEPARTMENT TO
 COPPER SALES

Had it not been for the steel
 strike and on top of that the coal strike close observers of the copper metal are of the opinion that heavy buying movement would now be un- der way in the copper market The | coal strike has brought domestic
 buying of copper to a standstill, con-
 sumers being unwilling to commit themselves while their ability to continue operations is in question.
 When the belated copper buying movement does start and the copper shares strengthen, the lower-priced coppers should come in for a great deal of attention. In that group | Shannon Copper, now selling at around $2 share.
 At present price the stock does not 1 begin to reflect the values behind the shares, but in a copper buying movement those values would prob ably be more fully appreciated. To i day Shannon has $470,000 of cash in l it's treasury and no debts. The cash which the company is closely hus- banding is equivalent to $1.57 share on the 100000 shares of outstanding stock
 ] As to just what will be done with this cash has not been definitely de- cided That it will be spent in the best interests of the stockholders there can be no doubt, because the management is able and progressive, and has the interests of its stock holders always to the front.
 There is a possibility that part of this $470,000 will be used in the 1 development of some oil lands in Texas or Louisiana. According to i President Amster the directors have | so far come to no definite conclu- sion on that point. President Ans ter, however, has recently returned l from visit to Texas, where he put ! in many days looking over leases of | fered to the company. He says some have possibilities, while others he was not favorably impressed with. But sooner or later it is the opinion that Shannon Copper will probably l follow the suit of Helxetia, South western Miami and East Butte and enter the oil business. If Shannon
 does, it's $47O,,, ,,OOO will go long ways in the development of oil
 leases.
 Durings the war the government urged copper producers to push pro | duction to the limit in order to sup
 ply the large demand for the metal
 for intuition purposes. Shannon on
 instructions from government authori-
 ties, increased wages to point
 where it was actually turninf out its metal at a loss. That loss will prob 1 ably sooner or later be made good by the government, if Washington stands back of the promises of its
 accredited representative. Indica tions are that a settlement may be
 expected shortly. That would near
 approximately $3SO,OOO to Shannon
 which would increase it's cash ac
 count to $S50, 1000, equivalent to $2.8;
 share.
 President Amster considers tho
 Gleeson mine has great possibilities
 This property, he says, could be oper ated at a profit today if it had
 shelter. A prominent engineer i
 now making an examination of tn
 mine and on his reports depends tt
 considerable extent the future O
 this mine. If the engineer report that it cannot be profitably operate, in conjunction with the Yaeger mine
 it will probably be sold. If solc President Amster is of the opinio I that it will bring between 600,0O and $S00,000. If the company dt f cides to sell that property and ' realizes close \to the above sums, f would mean between $2 and $2.70 l share for the stock.
 ,- The assets back of Shannon, ther' . fore, figure out to a much greate I value than the present selling priC n of the stock. Really Shannon Ina |, the equivalent to $5.54 share q assets, as follows: $1.57 share
 cash in it's treasury, $1.27 a shar I representing it's claim against tt n government, and $270 q share tl n company could realize today if n sold it's Gleeson mine.
 II President Amster is very optimist 7. over the outlook for Shannon due 3. the assets back of the stock. n