Show butte superior annual report president N bruce mackelvie of the butte S superior copper company of butte montana in his second annual report in part says the gross production of zinc in concentrates cen for the year was pounds contained in tons of concentrates cen averaging per cent zinc and 2419 ounces of silver there were also produced 2269 tons of lead concentrates averaging per cent lead 1972 per cent zinc land and ounces of silver the operating profits amounted to other income making the total net income 9 out of this total capital expenditures amounted for the year to a large arge proportion of which has been expended in n the acquisition of mining property and improvements on the mill of the total net income for the year was th the e net profit for the first six months it is therefore apparent that the he earnings for the last six months were at it the rate of over per annum and is is explained in the report of the consulting engineer mg ineer it was not until the last six months of f the year that the new mill was in normal aeration pe ration and the best results obtained both oth as to recovery of metal and costs construction work is now practically completed ted and there is every reason to a continuance of operations at the ame capacity as the plant had been op rating the latter part of the year during the year the tariff duty on was reduced from lc per pound 0 15 per cent ad va lorem which at the resent price of spelter to wit per aund represents a duty of c per pounds pound r a reduction of c per pound from the armer ormer rate the average price of spelter for the ear was per pound at st louis LS s compared with an average for the tenear period from 1902 to 1912 of n january 1913 spelter sold as high as 4 aper c per pound but declined as low as i june closing the year at at the close of the year the company lad ad outstanding the equivalent of hares ares of a par value of 10 and per cent convertible bonds of the out anding shares shares are the equiha nt on the basis of exchange of lares ares of the previous issue of 5 par that ave ve not yet been exchanged the company had a cash balance at e close of the year amounting to 4 with shipments in transit to the elters valued at with no out anding indebtedness except the current counts payable and pay roll director and consulting engineer D C jackling says during the year no attempt was made to block out an increase of ore reserves development work being confined strictly to that required in connection with current mining operations and principally to the workings above the 1300 1 foot level some additional tonnage was developed above the foot level but the total tonnage above this level is not great and will be worked out completely before the end of 1914 between the and 1300 foot levels considerable quantities of new ore were developed but as most of the tonnage mined during the year came from these levels such development did not keep pace with ore extraction and in terms of ore actually blocked out and measurable the portion of the mine above the 1300 foot level suffered depletion of blocked ore reserves during the year to the extent of about tons whereas the total ore mined for the year amounted to approximately tons very little development work was done on the west end of the property and in fact no effort was made or considered necessary to actually block out tonnage as rapidly as it was mined for as stated in last years report the ore reserves already b locked blocked were proportionately very large f for or this type of mine and additional development so sc far in advance of requirements only involves useless expense in in maintaining workings until such time as they are needed for actual mining I 1 notwithstanding standing the apparent depletion of ore reserves above the 1300 level however some additional work on tim tn 1400 level and between the 1300 and 1400 levels commenced toward the end of the year disclosed extensions of ore bodies near the eastern end of the black rock claim somewhat greater than had been expected taking these into consideration it may be said that developed ore reserves suffered no depletion during the year but rather that they were increased technical calculations of ore completely blocked out at the end of the year showed about tons as compared to I 1 tons as stated in the last annual report as of december 31 1912 As has been said however additional ore indicated on the 1400 level and not taken into these calculations of blocked reserves more than offsets all depletion and in fact the developed and definitely indicated tonnage of the mine was substantially greater at the close of the year 1913 0 than it was at the close of the previous year the average grade of the ore reserves actually blocked out and measurable remains approximately as stated in the report for 1912 at slightly over 21 per cent zinc accompanied by about 7 ounces of silver per ton the ore also contains very small quantities of gold copper and lead which nevertheless add quite substantially to the value of metal products |