Show silver king s annual report at the annual meeting of the silver king coalition coalition mines company with mines and works at park city utah comprehensive financial reports were submitted and managing director W mont ferrys ferlys report explained in more than usual detal results of the years operations including an explanation of the status of pending litigation the old board of directors was reelected as follows W S mccornick moylan C fox henry newell william G halloran james ivers david keith thomas F kearns W mont ferry and F J Weste westcott ott at the directors meeting which followed the following officers were reelected elected re for the ensuing year moylan C fox president W mont ferry vice president and managing director W S mccornick treasurer F J westcott secretary td J dailey mine manager forrest mathez superintendent As a result of an examination of the financial condition of the company the fact was developed that despite the large capital and extraordinary expense involved during the year as a result of the labor strike and litigation which totaled approximately a splendid increase in the cash balance had been made legal expenses and cost of litigation during the year were as follows conkling case keystone case diebold case arrascada case miscellaneous miscal laneous keystone settlement total managing director ferry reports A report of the companas comp anys activities in general was made by managing director ferry as follows the year 1919 was on the whole a successful one high prices for the metals gave a better net smelter return for the ore shipped than has been enjoyed for many years expenses have been heavy however due to the great increase in cost of all material incident to mining furthermore there has been a shortage of efficient steady labor which after all is one of the most important factors in mining the increased expenditure which has been made for repairs and replacements was deemed advisable in order that our plant might regain the physical condition which has been until the war period so marked a feature of our operations additional expenditures tures will be made during 1920 for this same general purpose although such expenditures tures will not in all probability be large after careful and comprehensive study of the geology of f the property development work has been undertaken which it is confidently fi believed will result in favorable ore disclosures this confidence is justified by reason of results already obtained for nearly eight weeks during may june and july the operations at the property were entirely suspended due to a labor strike the loss to the company by reason I 1 of this strike was indirect as well as direct as the organization of the mine and mill forces was entirely destroyed in june M J dailey was appointed general manager of operations at the mine and mill for the foregoing reasons the first six months operations were not so satisfactory as were the last six months of the year no recurrence of disturbing labor conditions is anticipated in the future and if the labor situation remains reasonably normal 1920 should prove to be a good year not only in immediate financial returns but what is of equal importance in the development of ore reserves litigation settled and pending during the year very important changes change have taken place in the status of the litigation in which this company is engaged all of which changes are of marked benefit to us in the case of the conkling mining company in which the circuit court of appeals found against us in a sum which with interest amounts to approximately a petition was filed with the united states supreme eburt court for a writ of certiorari this petition has been granted and it is probable that the case will be heard during the 1920 fall term of the supreme court the cases of the keystone mining company vs the kearns keith mining company I 1 et al and the silver king coalition mines company vs the keystone mining company and two collateral cases all involving rights growing out of disputed title to ore bodies contiguous to the crescent fissure have been settled and dismissed other potential litigation involving questions of great importance to this company were settled at the same time certain drainage and transportation rights have been acquired in connection with these settlements which should prove valuable to this company at the present we are more free from litigation both actual and potential than we have been in many years there being nothing before us but the final determination of the conk ling judgment mine condition and operations the output of the mine for the year 1919 was reported by manager dailey to have been as follows tons ons of first class ore sold for tons of second c class ore ore producing tons concentrates and sold for lessees lessels produced tons of ore irom from old st valued at the royalty for which amounted to during the past year particular effort has hai been made to increase the development work done on the property that is to endeavor to prospect the country with the idea of increasing the known or available ore reserves the total footage for the year was about lineal feet work heing confined principally to the 1100 and 1300 foot levels work on the so called M L M section 1300 foot level has resulted in the uncovering of large bodies of high grade ore there is still undeveloped on the strike of this vein system some lineal feet which should be productive of substantial tonnage for a considerable period of time on the jewell and whale fissures on this 1300 foot level a limited amount of development work has been performed and at present a small tonnage of high grade ore is being bein a extracted from the whale fissure with every indication of developing into a profitable ore body below the 1300 foot level on the 1100 foot level in what is known as the blood crosscut development wort work is being carried on by drifting to intersect the known mineralized obrien fissure zone occurring in this section small bunches of very high grade ore have already been bee encountered and we anticipate most satisfactory results from this prospect work there is still undeveloped territory on the strike of the so called obrien fissure in the ore bearing zone for a distance of some feet development of which is being undertaken at the present time on the 1100 foot level in the so I 1 called quartz drift preparations are being made to develop what is known as the mcgregor McGreg of fissure and the massachusetts fault zone in the park city formation an aggressive campaign in this is being started by drifting and by diamond drill work this part of the property is intersected by some of the best mineralized fissures in the district and remains undeveloped for foe a distance of at least feet on the strike of the fissures in the ore bearing lime 11 financial statement the earnings fron from ore sales show the following average per ton crude ore concentrates the balance sheet of the corn compan panY up to december 31 1919 is as follows ASSETS property alining S property zt at january 1 1919 00 50 5 50 E expended x 1910 mine plant and equipment 1919 55 additions 3 nry mill additions plant and equipment 1916 1919 oco VJ 56 Sani sampler equipment at january 1 1913 Tran tramway wraY equipment amen t at A may 1 1912 gsg miscellaneous Miscal laneous property at january 1 1914 total 0 30 O less reserve fot for depreciation total 18 inventory of f supplies u p p lies stocks owned fairview mining Coin company pany cost ag trustee stock as at january 1 1919 I 1 1 treasury stock as at january 1 1919 liberty bo bonds d at pai ore in transit at december 31 1919 71 accounts receivable cash Afe Cornick mck co rl 51 first national bank park city in hands of secretary secie tary 00 deferred ired cli charges arges prepaid insurance total liabilities vouchers payable 99 keystone mining alining company 00 reserve far compensation ingui ansur ance 65 CAPITAL STOCK AND SURPLUS capital stock authorized and issued see assets for stock owned 00 surplus at january 1 1919 add profits for year 1919 GG total 65 |