The Goldfield news and weekly tribune. [volume] (Goldfield, Nev.) 1911-1947, 1919-11-08
new CAPITAL ASSURES GLORY HOLINC'
OF FAMOUS Con. MINES OF G0LDF|ELD

grade ore throughout. Naturally
Kendall and his associates re-
stricted their mining efforts to the
production of shipping ore, ana
ore of the character which the
Goldfield Development company
will find it profitable to mine and
mill was rejected by them. Fol-
lowing the expiration of the Ken
dali lease the Goldfields Consoli-
dated went into this block and
mined a considerable tonnage OF
ore at a high profit.
On the Combination since February
of this year there have been a
number of 5O-ton carloads of ore
shipped by sub-lessees which aver
aged over 1920 a ton. Any num-
Der of instances can be recorded in
which conditions of this hind have
prevailed.
To summarize: 1t will be apparent
that by handling 100000 tons OF
ore assaying $3.50 per ton, which
is our lowest estimate of available
tonnage and value, the net assured
profit is $2,25O,000. In the event
the tonnage totals 100000 tons,
as roughly estimated. and the aver
age value is only $3.50 per ton.
net indicated profits should be
$3,000.0O0.
On the other hand if. as we think
we may anticipate. we are able to
''sweeten" the $3.50 ore with poe
sibly $50 ore in the ratio of 10
tons of high grade to 100 tons of
low grade, then the estimate of ne,
profits may be increased to ST.
100000.
1t will, of course. be noted that the
Goldfield Development company
does not own the property, bu,
holds it under lease. This lease
runs for five years from February
IL, -
On an output of 1000 tons per day,
as now projected. we may roughly
calculate on an annual output OF
600 900 tons. III the tonnage
proves to be only 100000, 1t
will require two and one-hal1
years to exhaust the ore. IL on the
other hand, the figure of 2,OOO,-
600 tons proves to he correct, thcn
it will take three years and four
months to exhaust the tonnage.
Since the lease runs until February
/, 1924, we have at this time four
years and three months from date
in which to mine and mill the ore.
Therefore,, there Is sufficient lee
way, that is to say. fully l months
before It will be necessary to
start operations on the basis of
1000 tons per day However. we
have no intention of delaying mat
tiers until that time.
Work on mill repair and constru.
tion has already commenced. 1t
is '85 per cent complete at the
present time for an output of G50
tons daily and completion of the
other Is per cent requires only 80
days. Naturally we. shall lose no
time in reaching a 1000 ton daily
output after the mill begins to
operate.
have been asked to describe in du
tail the activities of the Goldfield
Development company since its iu-
corporation and also to answer the
question as to how the interest Of
the Goldfield Consolidated stock
holders could have been conserved
in the giving of the lease on the
property to the Goldfield Develop
ment company.
The Goldfield Consolidated COM
pany will receive a royalty OF 10
per cent of the net profits.
When the Goldfield Development
company was Incorporated and an
initial stock offering was made,
every stockholder of Goldfield Con-
solidated was permitted to sub
scribe for stock of the Goldfield
Development company in the ratio
of one share of Goldfield Develop
ment for every two shares OF Gold
field Consolidated held. A large
proportion of all the Goldfield
Consolidated stockholders availed
themselves of this privilege.
The Goldfield Development COM
pany has spent approximatel,
100000 since last February in
ore development and construction
work. The work done since that
time has been of character that