Show REPUBLIC M M COMPANY I 1 the republic M M company of hurley new mexico operating at hanover same state has issued its second annual report to its stockholders judging from the report the company is in a prosperous condition financially and otherwise and the success it is achieving will be of especial interest to residents of this intermountain country owing to the fact that that its president mr 0 wiser was formerly with the utah copper company at bingham as millman before leaving for the south the report says this report covers the operations of your company for the fiscal year january 1 1918 to january 1 1919 operations were continuous throughout the year and were confined exclusively to the welch group of claims located near the town of hanover new mexico on the A T S F R R the small revenue of your company during the early part of the year was derived from the sale of treasury stock and operations were limited to one shift up to june 1 after which time revenues from the sales of ores began coming in and two shifts were employed for the remainder of the year the property oro perty holdings of your company are the same as for previous year excepting that your board of directors acquired for a cash consideration a five acre fractional claim to the east and contiguous to the welch group of claims this makes approximately ninety acres in the welch group the patenting of the welch group is still in process it was delayed in order that the fraction purchased could be patented under the same survey with the welch group all AH papers are now in the hands of the surveyor general the outstanding and issued capital stock of your company is now shares leaving shares remaining which have not been issued there is no treasury stock at the present time the unsold portion of such stock was withdrawn from the treasury by your b oard board of directors at the time revenues coming in from ore sales were ample to carry on the operations the total footage of work done on your pro property perty beginning october 1 1916 and ending january 1 1919 was as follows for total reported fiscal to last year 1918 date shafts feet drifts feet 1124 raises feet none total feet 1586 no work was done in the drift to the northeast on the foot level of 0 the no 1 shaft the face of this drift is now in a body of magnetic iron oxide assaying 54 per cent iron 2 per cent zinc and 34 per cen sulphur this body of magnetic iron crops on the surface for a distance of feet and has a width varying from fifty to seventy five feet no effort was made to ship iron from the cro cropping aping in 1918 while this body of iron ore is not fully developed there are tons indicated one half of which should be a marketable ore assaying 58 to 62 per cent iron in the last annual report notation was made of no 1 ore body triangular in shape which was cut at the 65 foot level in the no 1 shaft and remained in the shaft for a vertical distance of eighty five feet this ore body dipped out of the shaft below the foot level it appears to be a true contact ore body between the porphyry and such silicates as garnet and pyroxene there is a small core of pure white marble passing up through the center of the ore body this ore body was developed on the foot level in 1917 nothing was done in 1918 to prove its exi existence on other levels with the same dimensions on the and foot levels as are proven on the foot level this ore body will contain better than tons of ore assaying 1612 16 per cent zinc during the year 1918 the main drift on the foot level was advanced thirty feet in a southerly direction giving a total length of feet the face of the drift is in pure white lime or marble with the ore to the left the total width of the two contact ore bodies on the foot level is thirty five feet assaying about 14 per cent zinc their length has not been proven A raise was driven from the foot level to the foot level to be used to draw the ore from the high grade on the foot level the raise passed through fifteen feet of ore good milling grade seventeen feet of waste and then eighteen feet of ore containing about 40 per cent zinc the last eighteen feet was a part of the high grade ore body on the foot level which will be discussed later the drift to the northwest on foot level was advanced forty feet during the year 1918 making eighty feet total the last ten feet of this drift is in ore of excellent mill grade average 15 per cent zinc on november 15 a prospect shaft called no 3 shaft was started at a point about feet south of no 1 shaft at the end of the year this shaft was sixty feet deep with the bottom in pure white lime we passed through an ore body twelve feet thick between the thirty five and forty seven body levels containing 15 per cent zinc it is the intention of the management to continue sinking this shaft to the foot level at which point a drift will be started north to connect with the foot level of no 1 shaft crosscuts Cross cuts will also be driven to the lime porphyry contacts contado both to the east and west where ore is anticipated in the previous annual report it was stated that a sulphide ore body was just being entered at the close of the fiscal year 1917 at a point feet south of the no 1 shaft on the foot level nearly all of the work done by your company in the year 1918 was done in extracting ore from this body at the end of the fiscal year 1918 this ore body had been opened with drifts raises and crosscuts cross cuts to the extent of feet in length fifty feet in width and thirty five feet in thickness using the above dimensions men the ore actually blocked out in this body at the end of the year was tons with tons indicated none of the dimensions have been fully determined the general average of the whole ore body is 35 per cent zinc A system of screening and sorting has been devised whereby about 30 per cent of the total ore extracted can be shipped direct to the smelter during 1918 about tons were shipped and smelter returns show 44 per cent zinc content about tons more are blocked out which can be shipped during the year 1918 there was tons of mill ore placed on the dump making a total of tons of dump ore which has no value to your company until it is milled in the last annual report it was stated that your company had tons of indicated ore at the end of the present fiscal year we estimate tons blocked out in the mine assaying 20 per cent zinc and 6 tons on the dump assaying 20 per cent zinc making total ore containing 20 per cent zinc your directors feel confident that tons additional ore can be placed in sight during the year 1919 with very little effort there is every indication that we will have tons of ore provided the various exposures not developed prove up as well as those already developed the quality of ore we now have actually developed is sufficient to supply a mill of fifty tons daily capacity for a period of two and one half years the directors of your company have discussed the advisability of beginning mill construction as soon as the treasury of the company is in condition to stand the expense thus far we have found no adequate water supply for milling purposes in the immediate vicinity of the mine during the year your company installed a cubic foot air compressor of the oil driven type with a suitable building over same this machine will care for our requirements quire ments up to fifty tons per day A good secondhand second hand oil driven hoist was also acquired for prospect use near the end of the year construction work was started on two cottages for the use of those in charge at the property all labor and supplies entering into the operation of mining were fully 30 per cent higher than for previous year the efficiency of our labor was fair throughout ahe year your company has subscribed liberally to all the relief funds for war work and has also subscribed for liberty bonds amounting to the statement of assets and liabilities of your company after the final closing of books on december 31 1918 1018 and the statement of operations for the year ending de statement of assets and liabilities december 31 1918 are herewith given STATEMENT OF ASSETS AND liabilities december 31 1918 assets mining property original purchased and assessment asses sn ent work M mine ine development mine building machinery and equipment less reserve for depreciation residences and sundries surface improvements and equipment stock in other corporations and liberty bonds ore in transit cash liabilities capital stock reserve for freight on ore reserve for taxes surplus and reserve for depletion |