San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-01-01
Nv EDWARD II. ROBBIE.
Metallurgical Editor Engineering and
Mining Journal-Press.

4 III IC-l anu NOAANANAShN
should continue to improve during the
coming months. Domestic demand for
practically all metals and minerals has
been as good as or better than it was
a year ago and foreign demand is slow
lly improving. Costs of production have
been less and prices have risen. Abnor-
nal stocks of copper, zinc and brass no
Ilonger exist, and those of some of the
minor metals no longer weigh so heavily
on the market as a year ago. Labor
is scarce and is retarding production
in some instances, but most mining dis
tricts have not yet been seriously incon-
venieuced from this case. The new tar
if so far has had little effect on condi-
tons in the mining industries.
Copper companies that were closed
down at the end OF 1921 have generally
resumed operation during the year. The
iporphyries reopened in the spring, the
announced resumption having bad eff
feet on prices, which fell from Is ID
cents delivered. in January 10 II ia
cents in March and April. But since
May the market has been exceedingly
steady at from 10 "a to ii cents de-
livered. Mergers of copper companies
and of copper and brass companies
have been in the air, but aside from
Anaconda assuming control OF the
American Brass Company, which took
place a year ago, none has been official
ly announced. 1t now seems likely
that Anaconda will also secure control
| of the Chile Copper Company, and thus
acquire what it has needed low-cost
producer. Settlement of flotation pa
tents suits with the Minerals Separation
| Company by all the large companies was
a most encouraging event of the year.
Competition Hurts Copper.
| To some who expected markedly high
| or prices the copper market in 1922 has
been disappointing. At no time up TO
the middle of December did it go above
IA cents delivered and early in April
it fell close to 12.jc. This has been the
result of the entire absence of any spirit
of cooperation in the marketing of cop
per-a dog-eat-dog competition between
| New York sales agencies to market their
current output week by week regard
! less of the attitude of consumers. A
slight shading of prices to favored buy
ers, or where the freight rate is low, has
been common. This state of affairs has
occurred despite the fact that consump-
ton has been greater than production
during the year. As result the year
ends with stocks OF refined copper re-
duced close to normal figures, probably
not far over 200,000,000 pounds, most
of which is sold for Harvard delivery
or otherwise allotted. This represents
a decrease of about 2jO,0O0,00O pounds
in the stock of copper compared with
a year ago. The stocks Of scrap brass
a heritage of the World WARFARE also
no longer a market factor.
As the stock of metal has approached
normal. production has been increased
to meet the demand so that for the
last quarter of 1922 the United States
monthly production has probably aver
aged about 105,0000O0 pounds, com
pared with an average monthly prOduc-
ton of 96.0O0,0O0 pounds in 1914. But
in that year imports only averaged 20,'
900 900 pounds monthly. whereas now
they are now about 5I,OOO,OOO pounds
As exports are not far from what they
we're in 1914-abOut 63,OOO,OOO pounds
monthly now, compared with 1O,OOOph
in 1914-it is easily seen that domestic
consumption Of copper has been highly
satisfactory. Even foreign demand has
been remarkably good considering tine
continued unsatisfactory economic con
, ditions abroad. Brass, wire and shee'
mills have been operating at or near ca
, pacity for many months and should con
tinue to do so for some time to CONF
with the large programs for electrical dc
, velOpment that are being considered
: But the domestic demand can hardly in
: crease greatly without additional manu-
: featuring facilities, and these are un
, likely to expand greatly. Increased con
: sumption is more to be expected from
abroad. There the potential demand
+ for copper for electrifying railroad
: narticuiarly. is great. France AM
). Italy have immense projects under way
{ It is purely a question of ability Z
= finance the needed purchases and thi
k. has already proved difficult.
t Gradual Improvement Expected.
S Sales of copper cannot therefore b
expected to increase greatly during tn
Y coming year, but there should be
: gradual improvement. With stocks nov
d reduced to normal, prices should Gel
G tainly advance. though the fact tina
4 production can easily be increased to
s considerable degree is deterrent fac
d tor. For example. Chile Copper is noN
e producing 14.OO0,OO0 pounds monthly
+ but could easily increase this to 1o,OOO
e 600. Anaconda, with 14,OOOOOO, coul
l. produce 23,000,0O0. Similarly, Uta
|. Copper. with 12,OO0.0OO, could tur
It out 1G.O00,O00. and Phelps Dodge. wit
d II 900. 900 could supply 14,OOO,OOO. Ur
IS til the demand is sufficient to absor
this latent production prices are III
likely to advance greatly. 1t would nc
e. be surprising to see copper prices han
IT around IA to 1Jc for some months
II come. though 16c within two or thre
n months is freely predicted by some.
l. Most of the large copper producer
70 can more than break even at preser
n prices. Some, as for example Utal
10 Phelps Dodge, United Verde, Calum'
N and Hecla. Miami, Calumet and Ar
,e iona, United Verde Extension, Ne
Cornelia. Mohawk, and Copper Rang
!" are paying dividends. Investors in col
lie per securities would seem to be well az
ee vised TO stick to the large low-cost PR
=, ducers.
III Price OF Lead Scars.
pr The lead market has scared beyon
ne / the dreams of the most optimistic. Coz
u" ditions at the beginning of the yeG
&c looked very favorable, but few though
~ the price would reach even cents du
nu ing 1922. The price held remarkabl
steady at 40 cents per pound, Ne
=. York, until the end of March, when SUI
y plies proved inadequate to meet the d
~ mand. Paint manufacturers continue
~ to work at capacity, lead for autom
rr bile batteries was in much greater d
u. nand. building was more active, ca
~ | fridge makers expected an unusual