The Alaska daily empire., 1923-08-01
BID ON TIMBER
 UNIT SOUTH OF
 HERE SUBMITTED
San Francisco Firm Makes Formal Offer for Two
 Billion Feet Timber.
tContinued From rage one.D

fCOuLluuou EfOu Isko Ouo.J means of transportation tentatively arranged for. The groundwork for actual development has been care fully provided, II was stated.
 Starts Next Year.
 Actual development work will start about the first of next year and the first six months of 1924 will see the expenditure of at least $250,000 in preliminary construc- ton. according to Mr. Dougherty. This work will include driving of a tunnel, at the power site, l4,2oo feet long in three adits, the tunnel 10 be six be nine feet: construction of docks and wharfage activities, CT ection of a sawmill to get out neces- sary lumber or company buildings, and general preparatory work
 The development of the water power will be carried out first. It is planned to develop the site to it's full capacity of 30,000 horsepower. This work will be done by Thebo, Starr and Anderton, prominent San Francisco engineering firm.
 Development Continuous.
 The development program Will De continuous and follow generally the line on which similar plants have been erected The first equipment will be a ground-pulp mill having a daily capacity of 200 tons This will be followed by a sulphite mill of 75 or so tons daily capacity and then the first unit of the paper mill, 10 which additional units will be made until thes 300-ton capacity Is reached.
 No exact schedule can be given ; new for the completion of any of the. various stages of development, said MT. Dougherty, but he added that it was expected that the big plant will be completed within 27 to 30 months from the time that construction is initiated the first of next year.
 This is well within the time limits established in the contract covering the project which provides:
 That the purchaser shall estab- lish in Alaska not later than April I, 1926, lp-manufacturing plant CT plants with daily capacity of not less than 100 tons. which daily capacity shall be increased, not later than April 1. 1880, to a total of al least 200 tons. Failure of the pur- chaser to make the first installation by the date first above specified shall render this agreement subject to cancellation in the discretion of tho Forester; and failure to increase the daily capacity of the plant or plants by the second date above specified will render this agreement subject to such reduction in area and volume of timber as will, in the judgment of the Forester, be com mensurate with the manufacturing capacity established.
 Will Build Up Town.
 The completed plant will furnish employment from 1000 to 1,200 men, said Mir. Dougherty. The nec- essary housing facilities, clubhouses, gynasiums and other places of &C., commodation and recreation will be provided at the plant site and in- oluded in. the general development program As far as possible all local labor will be employed. The size of the construction force, which will not be extensive at the begin ming, will be increased as the pro- gram develops
 The plant site is said to be very advantageous with ample room for all necessary expansion and having a good deep-water. shelterd harbor that will accommodate large vessels. It is located on the mainland bor- dering Frederick Sound about 90 miles south of Juneau just off the steamer route between here and Pet ersburg south. Engineering ex- perts have reported the waterpowel site as being capable fo very econ omic development and 1t is regarded as one of the most attractive pro. jeets. in Alaska of it's size.
 The timber unit is divided into two tracts. One of these located on the east shore of Frederick Sound on the mainland. and on the south shore of Thomas Bay contains 43,- 900 acres of land having approxi- mately 74.000.000 cubic feet of pulp timber, Sitka spruce, hemolck and other species. No. tract has 300,- GOO acres lying on the north DOT tions of Kupeanof and Kuiu islands between Cape Bendel and Point Kingsmill and comprises about 260,. 100000 cubic feet of timber.
 The advertised minimum rates named by the Forest Service for the timber on the unit are: sixty cents per 100 cubic feet for Sitka spruce, Alaska and western red cedar and 30 cents for all other varieties.
 30-Year Contract Offered.
 The contract offered and for which the bid was rendered has life ex- tending over period of 30 years. The prices named hold good for five