Evening star., 1947-03-02
Canada Strikes It Rich
By Harry +. Montgomery

The iron-bearing rocks are several
hundred miles in length and the
ore deposits have been found to out
crop In the southern part for .
length Of over 100 miles and for q
width of from Is to 20 miles. This
is the known size Of the field.
This is large by any standard. 1t
has financial as well as industrial
circles on the alert, but the reported
new financial groups. so far, are
keeping their identity secret. The
Quebec Provincial Legislature was
told by the Provincial Minister Of
Mines that at least three large min
ing companies" have sought conces-
sions adjoining areas already leased
The Northern Miner, leading
trade publication, reports that "sev-
eral wealthy groups have indicated
their interest,"" and although the
source Of this capital also remains
undisclosed, much of it Is understood
to be American.
The deposits are in two conces-
sions, one in Labrador, under the
Newfoundland government, and one
in Quebec, province Of Canada.
The Hollinger Consolidated Gold
Mines, operators Of the largest gold
mine In Canada, control both con-
cessions. with minority interest
held by the American M. A. Hanna
Co., firm which has. been in the
iron business for rs years and cur
rently operates as iron mines.
High Grade Ore.
The Labrador concession, the more
explored Of the two to date, covers
10000 square miles and IS unH"r
Hollinger's Labrador Mining d
Exploration Co. The Quebec side
is worked by the Hollinger North
Shore Exploration Co., which has
rights over 1900 square miles.
The Canadian governments Bu-
reau Of Statistics describes the
Quebec-Labrador field as "a major
potential source Of high-grade iron
ore' and adds that ut seems pos
sible" that the range will prove
to be comparable in Importance to
the Mesabi range of Minnesota, the
output from which Is so,00O. 900 tons
. year"
Comment in mining circles is even
more enthusiastic than that of ira
'ditionally cautious government stat
isticians. Members Of the Quebec
Provisional Legislature, in debate
on q bill which they passed grant,
ing rights to the Hollinger interests,
were told by Quebec government
officials that the company planned
eventually to spend 5000, 900 900 to
bring the field into production.
Jonathan Robinson, Quebec Min
lister of Mines, said the company
planned to build 350-mile railway
southwark along the Quebec-Lab-
rador boundary. roughly following
the Romaine River to the Gulf of
st. Lawrence, at cost Of SO, ,000, 900.
Power would come from the Great
Hamilton Falls, an undeveloped tor
rent Of water near the range in Lab
rador which drops ais feet, or 149
feet more than Niagara Falls. Dock
sites on the gulf, churches, schools
and whole new communities would
follow the development.
Government ofI,cials believe OPEN
pit mining could be carried on
throughout the winter without diff
ficulty, pointing out that this is
done In Norway and Sweden at
much higher latitudes.
There IS an immediate market
OF important dimensions alnog the
Atlantic Sesboard Of the United
States and Canada where the short
voyage and return cargoes Of coal
would give 1t an advantage said
one government mines ofiicial.
Wistsibutsd bs he Assoetsssd rrsnJ