Show -- er— Sunday Morning - jl J - - ' ’ r In preparation for production of zinc concentrate on a major scale to help meet Increasing defense demill of the mands the 140-tReduction and Davenport Mining has Ariz Chloride at company been converted into a selective flotation plant especially designed to make separate zinc concentrate Announcement of the change In he mill was contained In a report received by Salt Lake and Utah stockholders from headquarters of the company at Las Vegas Nev The Davenport Mining and Reduction company is successor to a former Utah corporation Ores of the district in whlchr the mill and properties of Davenport Mining and Reduction company are located run principally In silver-lea- d and zinc values with some Heretofore' the Davenport gold company’s mill 'has been turning out only one concentrate in which the zinc was carried more or less as a penalty element However rising prices have made this an important metal for recovery conOres of the Oro Plata mine trolled by the Davenport Mining and Reduction company run high in zinc values as do the ores of surrounding mines i To made the zinc content of these ores a profitable commercial product an especially designed flotation system was installed in the mill which enables the operators ' to make a separate concentrate of the conZinc from the centrate It la said The mill now being operated by a leaser serves not only the Oro Plata mine of the company but operates as a custom mill for numerous other mines of the district The company is preparing to start mining operations at the face of its Peach tunnel and in the gob” filled stopes above the 320 level where It Is said there are large tonnages of $7 ore left by early-da- y operators because there were nor mill facilities in the dis- NEW YORK pre-jmiu- I third-quart- ! m Royston Takes Over Nevada Mine Property er six-mon- th V ot ot - y -- ! ! trict The face of the Peach tunnel now in 2600 feet and connecting with the bottom of the Oro Plata haft is said to be In $30 ore run ning high in zinc The company announces that it plans to supply the mill with 1500 tons monthly of Oro" Plata ore until the present HerLeasers operating In the when the commill lease cules claim of tha Hercules Mining pany will expires the min on operate company near Stockton in Tooele company account expanding pro' i county have just made another duction from its own mine and r MILFORD — Walter James of shipment of ore from the recent dehandling ores from surrounding Biackrock early Milford pioneer velopment on the 250 level accord- mines under contract to H Ryan president George painted a vivid word picture of ing the early mining days in Frisco at Dooly block shipments by these leas the regular semimonthly meeting ersPrevious have shown net smelter returns of the Milford Mining association The association decided to invite of $70 'a "ton on the ore which Is speakers to' appear regularly to sorted The ore is being taken from discuaa the past history of mining RENO’ Nev —District Fedwinze below the Inclined shaft and ' in this district said be to as is makes it recent Norcross eral Frank re widening M Williams Judge John secretary The high grade is ly handed down a decision which ported the registry for the Mil- downward flanked by a lower grade ore which grants the Arizona Comstock Minford district is growing with is being stockpiled until road con- ing and Milling corporation of Vlr of mining reports ditions large number art favorable for han- ginla City the right to reorganize already received dling If the firm’s holdings with a remodi fled contract of sale The modified contract allows the Ore Shipments valuation of the company’s property to be raised from $600000 to Bingham and approves a contract $775000 ear SVton SIS Utah Coppar dally I average United State Smelting Refining of sale the company trustees enMining 733S tone Combined Metala tered into with A D Vencill last The Lehl Tintic Mining com’ and 832 Reduction National Tunnel and 800 American Smelting and Refin- November pany operating in the north Tin- Mlnaa jn 300 ing Terms bf the modified sale po tic mining district has encounter with a nice showing of steel galena tract depend on ore values holdTintic good silver and lead values accord' Tintic Standard 33 carloads Mammoth ing up ia the company’s mine bed 732-foLily 6 Eureka Lilly level and explorlng' to George Nichols president 7: North 4 United State Smelting Refining low the and general manager ation work willbe started from and Mining 3 Godlva 2 Utah Fir Cla (illlca) 2 Iron Bloaaom 2: Eureka Bui this depth soonU Since last August the company lion 1 Mountain View 1 American Star XT full realization of With Chief the has been drifting east ' from the 1 Chief Conaolidatad the (lime) 2 x leveL contract modified amount of the shaft at about the v some 1500 stockholders in the firm He said the ore was struck after Park City will receive a return of $175000 about 40 feet intersecting Silver King Coalition f concentrate) drifting BIS too: Perk Utah Conaolidatad 1558 over and above the company’s cur a north-sout- h fissure The shaft New 1385 Park City Conaolidatad Park Is 1100 feet deep rent indebtedness 1315 Park City Utah 165 i Pioneer Relates Frisco History - More Hercules Ore Shipped f ’ Arizona Comstock Reorganizes I - 1' if - Reported At Lelii Tintic - Conaolt-date- ot - ! Conaoli-data- 250-fo- j d ot ' J1 h- - i 'i i i V - - i ! Boss — 1 j t The seasoh for annual reports of mining companies and in come tax returns emphasizes the constantly-increasiburden of taxes being imposed upon mining regardless of size of op erations From time to time this column has called attention to he tax load carried by the larger mining corporations— indicat- t ing clearly that seme western state governments could not function without he heavy tax contributions made by those large j f mine corporations ng I I sis made by the management of a Too many medium sized and medium sized gold-silvsmall milling companies fail to tion in an adjoining state operaTha publish analyses of their tax1 prob- operation under discussion has lems of such importance when been treating ores which bring in legislatures and tax agencies are monthly bullion returns of a little considering ways and means for less than $100000 — an operation financing state governments re- grossing about $1000000 per year lief and the other seemingly never The analysis of taxes given out reduced cost of government by the management on its 1940 Therefore It is! of interest to operations includes the following note a tax and general cost analy- - enlightening figures Total taxes 1940 $6242300 Per cent taxes gross production i 1030 Per cent operating profit before depand depr 3490 Per cent profit after charges! 4 6140 Per cent net profit 9600 Per cent increase over 1939 local taxes 6300 Per cent increase over 1939 federal taxes 22000 Per cent increase over 1939 oper ating profit 7800 Taxes per ton ore milled 1940 71 Net profit per ton 1940 074 Comments on such tax figures seem superfluous but it is interGoing back to the tax figures esting to note that the tax per ton it will be noted that in round milled approaches the gross value numbers total taxes per ton in of ore being mined by more than one large scale underground gold 1940 were practically equal to the j operation extremely small profit of 74 cents But that is just part of the' story per ton milled Under such seAdded to the taxes paid to sup- vere taxation it would not require port government are the wages' very great changes in ore condipower and supply expenditures tions unlooked for development which do so much to keep com- troubles or tpo high wage scale munity and employment going demands to seriously threaten the This company’s analysis of ex- continuation of operations by the company in question penditures continues the followi There is little question but what ing significant information: continued oppressive tax policies Average men directly ' J - employed 1940 175 along with thoughtless SEC regulations will serve further to' Direct and indirect pay- roll payments! 1940 $324543 discourage investment in mining one of the basic industries of the MateriaL supplies pow- ' er costs 1940 United States 173269 er ’ ( t I Byhe Shift cents per pound compared with 997 cents the previous year ' Gross value of all metals' pro duced Including lessees' ore amounted to $232523 compared with $183254 In 1939 The combined operating profit of the mining department was $61921 before deductions for administration in surance taxes and general charges A total of 220479 tons of ore and waste and 75800 passengers were transported on a toll basis by the underground electric railway at an operating profit of $6943 compared with $4444 In 1939 Continue Research Commenting on the decrease In the cost of production Percy H Kittle president and general manager Dooly building said it was the direct result of better metal lurglcal practice "Research is continuously being carried on toward this end” he stated The margin of current cash as in sets over current liabilities creased $24782 during - the year and $13304 was expended for prop- erty additions and Improvements Current assets on December 31 totaled $90039 against $62025 the same date a year earlier The concentration plant treated j s ’ Editor’s note: This is No 258 of a series on the mining Industry and those who run it 1940 before depreciation and depletion of $43643 compared with a loss of $9074 In 1939 Total copper production amounted to 2207085 pounds an increase of 596190 pounds and was produced at an operating cost of 849 gold-silver-le- ad - 800-fo- Ohio Copper company of Utah ' Saturday reported net profit for i er Ter-willlg- I on Immediate effect was a slacken f Inc in demand In the custom smelter jsnd resale markets where copper has been available at a few for delivery within weeks Custom smelters charged 12 cents a pound and resale quarters from 13 cents a pound for early Coalition Mines Ltd delivery down to hasRoyston to purchase the contracted cents for late fourth about 12 Mabel group of mining claims in quarter Gold Range mining district of The leading primary producers the Mineral county Nev for $135000 fedmeanwhile working close to according to E A Rogers secretary-eral policy continued to allocate treasurer Boston building tonnages at the unchanged price Lake The Salt compaiy took ©f 12 cents over the option from C D Intimations that a celling for of Reno who held a con! might be established Wre tract with the West End ConsoliIn of the wen the annual report Mines corporation American Smelting St Refining dated of $10000 was A down company Ceilinga are maintained made the payment of the purremainder on a more or less voluntary basis chase be paid in to price at zinc 12 on copper at cenjls and installments out of royalties 7 cents a pound has been a con"This Simon Guggenheim A S A R tinuous property for many years" shipper president said: Rogers reported “"There are t “Lead so far has been allowed Mr of lessees operating the Its market price but probably will three setsand we believe they will not be permitted to exceed the property able to the royalty” be carry over cent price of 5 cents by of the ore are In Chief values and may not be allowed that much lead and gold increase depending on circum- 'silver Royston Coalition has levied an stances" of one cent delinquent assessment week Lead was priced during the 5 to finance sinking the main May Deat 5750530 cents a pound on the property 200- feet mand continued at a good rate shaft level i the drifting but some producers said theystill under thefrom 615 winze and raisNo were forced to maintain waiting level to connect the ’730-folists as hangovers from the heavy ing No 615 of the bottom with the weeks a ago buying of few The zinc supply situation re- winze Royston also owns mlnlhg propmained stringent but the price' was In Nye county Nev operated erty unchanged In recent years on a small scale InNew business In the steel lessees by dustry continued in excess of production and shipments Supplies of steel scrap appeared to be considerably below needs and scrap buyers had difficulty buying tonnages B7 Oliio Copper’s Heavy Tax Burden Forces Profit Moves Mediuiii-Size- d Mines to Up to $43643 Operate on Narrow Margin I i I i - Davenport to Make Zinc Concentrate March 22(AP)— The flow’ of government purchased copper from Latin America broadened this weelr ancf metal dealers aid chances of a' shortage in defense industries Within the next few months appeared slim l lj I j March 23 19 U Reduces Danger of U S Defense Shortage i Likelihood of Ceiling Soon for Price of Lead t v Receipt of Foreign AS&R President Sees rT'V r— $IjcSalt ffakcfUrilnme ) - a— ’ The Elton tunnil entered the home tiretch Saturday with successful completion of the giant mining project practically former milling operation and in about two months unless difficulties greater than any I duced 1294201 pounds of copper ch aren't likely— arise to slow down I encountered thus ' I tlons In July accounted for the Superintendent A W Filion and his crews 312784 pounds In ad- balance of of1 face the Saturday morning mill dftionthe produced 362 ounces a costs over 000 Construction the tunnel was 22353 feet from period last year aver-- 1 I ° 8°w nd 3749 ounces of silver the portal slightly less than 1800 feet from the goal of 24100 feet aged $35 per foot Powder cost I Lessees Mine Ore The crews have been making has averaged $3235 per foot I A total of 3246 tons of good progress around 35 feet About 125 tons of rock are brokencrude ore was the every round and the crews work every 24 hours since one ofconand from a small shipped six shifts worst faults struck during average ing in three property struction was passed March 14 It founds every 24 hours Thirteen I1 £lock of £ company's ° part crew In men lesteei 18 in work the crews from February took the heading to fight foot by foot through the the face of the tunnel each shift £L5hich he company received 28 feet of water fine gravel and A bull gang of 12 men works a I2®® a11 Tunnel engineer is ”7m broken rock The men were day shift ?? 32910 expenditures John of Mangold working virtually in the face o $247444 Of each dol- 11 The tunnel is feet wide and a waterfall as the water poured or out of the fault at the rate of 600 2 feet high In this small space lar wa labor 29 24ce?u for Pad crews efficient keep gallons upward a minute Tons of ihe highly excelsior and iron rails were used blasting away at the rock which s almost impossible to break I?! cents for supplies 14 cents for A to dam the outpour I some Is times other and at times At present the tunnel Grimes-Payet- te going Mining company was incorporated in Utah expense And 5 cent! for ft r§4 through quartzite requiring oc- bo ioft and broken that j this week to the Grimes Creek Gold Mines Inc property efforts to I quizes superhuman casional timbering year were divided into 23 cents for in Boise basindevelop rLrr n wm 4$ifAiik if Boise county Idaho Difficult Ground move The the reflects opinion t veryloe g ”ds efcSJlc JoSiE The nature of the ground ever the operation of the majority of Grimes Creek tive flotation treatment The mill degrees of intensity through which the tunnel passes stockholders to terminatesthe past of capacity will be enFive drillers working at the has given the superintendent ennrtVSnl£Ltiv of a on larged same diffitime and some crews negoand pierce big policy giving options carriage gineers Officers and directors of the1 cult periods Four major faults the rock face of the tunnel in 35 I tiating with outside interests to new company and also of the old into ?hw develop the properties according have been crossed and numerous places The explosive is I Lake in addition to Mr Tayto company Salt of Herbert Taylor smaller ones according to Mr the holes After the blast W me-m lor are Fowles of Ogden Frank j In moves load to mucker chanical f more One City president1 Filion’ fairly large ' Stock in the new company is vice president H A Smith of Salt one probably will be encountered the 3 -- ton cars with amazing in the remaining ground he said speed The rails are moved up being given to stockholders in Lake City secretary-treasure- r’ ‘face to the the old company! share for share Cesare Rinetti of Salt Lake City the far was last made close) again The best footage but stock of the old company will and George Schumann of ' August when 1042 feet were cov- next drilling ‘Compressed sir and directors and D A Walnot be surrendered or canceled ventilation tubet I Ol ered This was the only month water hoses he said ' The new organization ton of Salt Lake City manager when the tunnel did not encoun- power lines— all have to be moved will raise money fdr developJl ter a fault the superintendent up also to keep pace with the! ment said Average progress is 35 feet drilling blasting and mucking levyingf small assessn A shipment of ore was ments byThe Some mineralization has been first! assessment of a day Rfeports cent per share will be delinWater flow at the present time encountered in driving the tun I made last week from the property The 21 is stock of the Is about 4300 gallons minute nel but the company going of Silver Prinee Mines company In quent April ore Dry canyon section of Ophir dia-i- n old company is nonassessable and The peak was 5514 jer gallons last after its original objective the be-1 will not be subject to assessments the Apex’ and Delaware December A new high will be Officials of Marsac Mining comtrict Nchola Morgan Jr j on the new stock j f recorded when the tunnel drains fore exploring the tunnel ore pos-- 1 retary-treasurcon-1 Satur reported About 80 men are The new company has acquired pany operating tha old American the Utah Apex mine one of the an nected with the tunnel of four the project day operating lease and option Flag mine In Park City report a principal purposes bore under the inside the tunnel and in the main- - I The ore was taken from a raise contract on the mining property promising ore development In a shops end about 400 feet in from the by stockholders of 'the north drift from the 1300-levOqulrrh mountains from Tooele oftiSr portal approved old company t valley to upper Bingham o the main development tunnel The' tunnel was started In May According to word received at The new company) plans to start j Plan Drain Holes 1937 but two shutdowns lasted I he stated Assays indicated that it work immediately !to open up the company’s office Beeson buildore in the Coon ing the drift which is In about CO average value of At 23600 feet the National Tun- a total of Pearly nine months If should run B o of an a has to ton No was around excellent record is main entry on feet has opened a vein of ore that tunnel it $35 $45 which safety Dog nel and Mines company fatalities and few injuries the Coon Dog section of the prop- is approximately two feet in width ported driving the tunnel and which £$ a The Silver Prince Is leasing erty The Grimes-Payet- te prop- The ore is said to be making both Copoer subsidiary of Anaconda to above and below the drift Assays diacomincludes from several mines other the ground erty Ophir Queen Mining company plans pany and is mining in the upper including the old Independence qphe ore iqgicate values around mond drill several holes a distance of 80 or 85 feet on an angle beddings which produced some rich Homestake and Miller properties 70ounces silver and 14 in gold it I ore in the Ophir Queen and other Ore found in the' mine carry is reported from the tunnel level to! the 2500 The company reports that It mines of the district in early days values in gold silver copper lead level of the Utah Apex mine The j Mr Morgan reported that devel and zinc shipped a car of ore from the south water level in the mine Is now last week A mill on the site in which the drift on the opment work to the left of the in-- 8 the 1800 leveL While the mine is has an interest! will be and has shipped four cars from draining to the- - tunnel level Transfer to K P M Inc - I dined shaft in Treasure HUl Mines company through these holes work in the Utah corporation of the unit op- j company’s Madison lease is making used to make a bulk concentrate this development In the past " tunnel will be suspended by the eratorshlp on the Wyoming anti- - tisfact°ry progress and the in- - of the ores which will be shipped month James B Allen Is president 'I I dications are the flow dipping ore bed-di- to Utah custom plant for selec of the company The tunnel will connect with No 298unit agreement 1 section dlng posed in the shaft should from Miller Robert Tay- be opened by the winze for producthe Rood shaft of the Utah Apex at the 2475 leveL The Utah Dela- lor has been approved by Secre tion operations To the right of the ware mine also owned by Na- tary Ickes department of the in' shaft prospecting work is being tional Tunnel and Mines has terior Brigham Krause president I carried on ha said workings connecting with the Of K P M Inc Utah Oil build Apex and also will be drained Ipg said Saturday to K P M purchased the rights The Apex was worked down J 1 the 3300 level in the past until recently from Taylor Salt Lake 22 CP)— During ’ smelting The industry pays apBOISE I March metal low and the cost of pumping 1940 Idaho produced gold silver proximately $2000000 each year in prices forced a halt Large tonlead zinc and copper valued at taxes” J lead cline silver of copper gold nages development G- - M Paulson president of the $37652600 Mines Inspector Arthuf "The Wyoming anticline a sold- zinc ores are blocked out in the Campbell added most of the prolower levels of the Apex and hlocked unitized area of over 8000 Treasure HUl Mines company re- CampbeU declared Saturday In hii duction for the past 80 years— acres is one of the last major un-- 1 P°ris that the company has re- annual report Information and since gold was discovered at Pierce Delaware for mining within few month after the “tunnel is developed structures in southwest-- 1 umed sinking of the main inclined statistics on mines and mining City in 1860— has been In gold silera Wyoming located some 30 shaft to explore the formations at mineral resources pt the state and ver lead zinc and copper completed the capital structure of companies "However many of the The tunnel passes beneath part miles north of Kemmerer and JI greater depth and to facilitate 10 miles southwest of the ing the ore opened by the shaft doing business Ur Idaho are con- ‘strategic minerals’ which have of the International Smqjtlng and smel- LaBarge oil field” Mr Krause Jut above the tained together with a review of been described by the army and Refining company’s Tooele ' I Shaft work was halted at 1010 the production of gold ilyr cop- navy munitions board as being of ter International also is!J an Ana- said f first importance in event of war f "The K P M property Is ade- conda subsidiary depth when the ©re develop-quate- per lead and zinc) occur was and in Idaho were made and "The drifts entire develops an with Jment history Water from the tunnel will be equipped Used for irrigatidn of Isemiarld standard rig tools machinery I started both directions from the ment of the stata bf Idaho has a "Among these ‘ are aluminum in the form of kaolinlte days Tooele valley Mr Filion esti bunk houses and other equipment I shaft the drift to the left being background of mining” Campbell found in ' Latah and Payette counties wrote r mated the steady flow from the to completely test the structure I designed to open up the ore "At present mining Is the second antimony found near Stlbnlte and well Is drilled to a depth of posit fdr mining operations tunnel after completion will be 2082 feet with a hole through the medium of a winze largest industry Ur the state and Yellow1 Pine in Valfey county about 3500 gallons a minute Mr Filion who has bossed con- Last fall when the property was II However It was decided to con-sh- the source of livelihood for more manganese in- Lemhi Bannock down for the winter a sand tlnue th© inclined shaft to greater than 50000 persons lt is the! prin- and Benewah counties mica destruction of a number of railroad SupportJ pt many posits in Latah Adams' and Cassia aqueduct and mining! tunnels had Juat been encountered but was J depth then open and stope upward cipal industrial counties quicksilver In Valley and communities as on most ore economical the a the has about distance of States drilled for United thriving the only throughout and satisfactory method of han “Wages and salaries paid by the Washington counties and tungbeen superintendent of the Elton three inches "K P M contemplates the com- - j dling it industry each year amount to apt sten in Lemhi county tunnel project since September 1 ’’ e "One of th® m It is reported that the shaft proximately $9000600 It expends 1939 At that time the tunnel pletion of the well at the earliest rr®‘: in I r tc was In 9000 feet possible date The pipeline running j which is now 1020 feet In depth is more than $5000000 for materialU po:its of entire world occur- - In t? When completed the tunnel will to Salt Lake City is located about apparently coming Into a cross- and supplies Anotheif $6000000 1 and eaatern ora for fissure portion of the stae” transportation have 'cost approximately $1250' eight miles from the well site” spent I j pro-assur- ed uJnplwhrcheuma far-4whf- 4 1 Six-mo- nth low-gra- 1 de lead-copper-g- 1 1 New Company Formed to Developrf Grimes Creek ’ 1 Prr ‘ ““ - 10-t- on Silver Prince Tre-mont-on ’ oUlljS WlG J 60-to- Marsac - Development sec-sibilit- ies er ' and-a-half-m- ile el V J I i j ztnc-copper-l- re-n- Oil Firm Gels TT7) Operatorsliip h) 7G73 f ©IP younr cnrjimcG 4 1300-lev- el r ne r k - ‘ word to 1 - Hill Sinks Shaft 2&&2R knock-of- f I i s - 4 t- V 1 1 -' min-abo- ut so-call- ed 1000-leve- L r i Idaho Mines Provide Living For 5006b! Persons i reaSlire ' re your engines working you? Or are you working your engines? If it’s “Caterpillar” Diesel Power you have the answer is: YOU’RE THE BOSS Because this power gets going when your and keeps going till you pass the tell it ilo ' ( ly 82-fo-ot de-T- he TRACTOR and EQUIPMENT C CO I T Salt Lake Distributor of "Caterpillar” Diesel Engines 1 Track-Typ- e t Tractors Road Machinery i i -- 12-in- ch I - ut -- !: I pho-ph- -- |