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Show June 8. 1956 The Western Mineral Snrvey, Salt Lake City, Utah Page 4 Tests Prove Shumway Properties Shumway Brothers Enter Corp. Interest Companies Reports $60,000 As Joint May '56 Profits Shumway Uranium Mining Corp,. has made an agreement to purchase the interests of Shumway Brothers Mining Co., a private contract partnership, according to Trent J. Parker, president. Negotiations were conducted by a representative of New York interests in Shumway Corp., Parker said. Stockholders will be asked to vote on the agreement in the near future. The resultant corporation will combine several uranium producing mines and numerous claims now in development, Parker states. Mines include two Elk Ridge area producers in southern Utah the Sandy Five and Pay- fJ -s- ' day Mines. Parker states that the Shumway crews have completed a 1400 foot drift and is now producing 50 tons ' daily to the Monticello SEC ore buying station. Profits for the month of May, for Shumway Brothers and Shumway Uranium combined, are estimated at $60,000, Parker said. This is the first profit realized on the Sandy claims since completion of the new drift," he added. The may income was 100 percent over previous income from Sandy claims. He also reports that shipping schedules will be shipped up on .-. ' '0r; ' ; r ? ;r. 38? AvfiO. .NW.A Example of Shumways 50 man hours" of experience testing Sandy Ore. Company Buys Full July 1. Parker expressed enthusiasm at Interest Gunsite, El Paso Sign 20 Year Contract Gunsite Butte Uranim Co., Salt Lake City, and El Paso Natural Gas Co. this week entered a 20 year gas purchase contract, according to L. J. Fyans, general manager of Gunsite. Gunsite also acquired oil interest of Sundance Oil Co., Salt Lake City and of Caswell Silver and M. J. Florence, Albuquerque independents in their oil properties in Rio Arriba county, N.M. These parties held 50 per cent working interest in the Gunsite property. Under contract terms with El Paso, Gunsite will receive 10 cents per 1,000 cubic feet of gas. At present Gunsite has two wells in production on the 1,280 acres lease in the Picture Cliffs formation 80 miles southeast of Farmington. Gunsites income will be boosted approximately $9,500 per month from these two wells alone," Evans reports. 0 El Pasos first payment of was due June 1. According to the contract if El Paso extends $3,-00- their gas line to Gunsite properties by Sept. 1, Gunsite will pay back the $3,000 from production. the combining of the two companies. The Shumway Corp. management intends to exploit their 50 man most valuable asset of uranium years mining experience in the acquisition and development of additional mining properties," he said. One of the industrys oldest mining outfits, the Shumway brothers of Blanding, have staked innumerable claims in southern Utah since 1946. In addition to In February, 1955 report, Shum- way Uranium Mining listed 404 unpatented uranium, vanadium and torium claims located in San Juan and Sevier counties. Eight of their claims are subject to overriding royalties. The company shows a cash balance of $34,214 on Feb. 29, 1956. Shumway stock is holding firm on the Salt Lake markets at $1.62 bid; $187 asked. Company offices are located at East 5th South, Salt Lake City. Officers include, Parker, president; Walter Burdett Shumway, vice president; Howard Eugene Shumway, operating vice president and William F. Dickson, 65 $9 Million In Ore Told By UWM SANTA FE, N.M. Alva A. United of Jr., Simpson, president Western Minerals Co., has announced completion of 110,750 feet of rotary and core drilling on Sections 32, The drilling operation to date, according to Simpson, has blocked out 406,706 tons of ore on 100 foot centers, with an estimated gross value of over $9,600,000. This section is in the Ambrosia Lake area, McKinely County, NJtt. T-14- R-9- This U.W.M.C. holding is a state lease with a 5 per cent royalty. San Jacinto Petroleum Corp. is operator of the lease under a If the gasoline is not completed by deadline, Fyans said, El Paso payments to Gunsite will he in- their private partnership, the creased. brothers serve as directors of An estimated $2,294,440 in gas Shumway Uranium Mining Corp. reserves is placed on the Gunsite property, Fyans reports. The original estimate was prepared by More Or- ePaul H. Umbach, reservoir engineer, Boulder, Colo. In Gunsites second big transaction purchasing the outlyon their property, the interest ing company paid $55,000 down on a $200,000 contract with Sundance, farmout agreement with United Western, with Chapman & Wood, Albuquerque geologists and engineers, in charge of the operation. The remaining amount will be SANTA FE, N.M., June 7 paid out of 47 per cent of the gas United Western Minerals Comsales from the first two wells. pany announces it has received Under separate contract Gun- information on Section 22, Townsite made provision for Silver and ship 14 North, Range 10 West, Florence to purchase 1 million that the ore body exceeds 2,903,-00- 0 shares of company stock at 3 tons of .33 per cent uranium cents per share. oxide. This report came as a result of Gunsite is currently bid at 3 129,700 feet of cents; 4 cents asked on the Salt approximately on the number completed drilling Lake boards. one and two phases. Additional drilling on phase ent proven. Ore from this section will be committed for processing to the Foley Metals Corp. which has joined with United Western, Rio de Oro Uranium Mines, Inc., San Jacinto Petroleum Corp., White, United Western Has Largest N.M. Ore Body Silver and Florence. Painted Desert In Hunt Stage Ten-Mil- e tion. According to Simpson the drilling program will be continued and that holes sunk subsequent to figuring the above mentioned tonnage indicate that the ore body will be much larger than at pres- Weld & Co., and J. H. Whitney & Co. These companies are making application for a 700 to 1,000 ton uranium processing mill in the number three valued at total of Grants area. $96,350.00, will continue and it is anticipated that large additional At the present time Clyde neFoley Metals Corp., is reserves of ore will be blocked gotiating with AEC, Grand Juncout. On the completion of the third tion office, and aiding in metalur-gica- l tests on ore from Ambrosia phase, the sinking of a shaft and Lake properties. Dr. J. W. Pattermining program will be underson, Metalurgical Consultant to taken. United Western and farmout United Western, is assisting Mr. group own 15 per cent of the Osborn. working interest of this ore body. The Company-farmou- t interest is 0 estimated at approximately Advertise In The . . tons valued at approximately $30.00 a ton or gross value of WESTERN Os-bo- Painted Desert Uranium and Oil Co., Spokane, Wash, is planning exploration work on properties in the LaSal, Utah area. Company properties nine claims in the yon northwest of Moab. owns an undivided cent of the ore body. per U.W.M.C. is a privately owned and financed Delaware corporaU.W.M.C. 50 include can- The Spokane company also holds valuable claims in the Spo- 435,-45- $13,-063,50- 0. kane Indian Reservation area and This ore body is estimated to 1,000 acres in the Orient district be one of the largest ore bodies north of the reservation. in the Ambrosia Lake area. MINERAL SURVEY Beach an Interested market! m; |