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Show UTAH-APEX PAYS DIVIDEND In spite of the fact that the Utah-Apex Utah-Apex Mining company is spending something like $175,000 for improvements improve-ments this year, the old company continues con-tinues to pay dividends. Accompanying Accom-panying the order for dividend No. 20, is President Haffenreffer's statement state-ment to stockholders which is considered con-sidered by those directly in charge of operations at the mine to be a concise con-cise and conservative report of affairs af-fairs and conditions with the company com-pany at this time. The statement is as follows: "Dividend No. 20 of 25 cents per share, payable October 15, 1926, is paid from the company's cash reserve ' reducing the same to $917,943 before taxes. "Explorations has been carried on extensively and encouraging miner-aliation miner-aliation encountered. Small lenses of commercial ore have been developed devel-oped and prospects seem promising. The lead-zinc ores were mined from various working places, largely from between the 2000 and 24400 levels, but have been of lower grade than the intention of the directors that dividends di-vidends hereafter will not be paid quarterly or at any stated period, but will be paid according to the treasury treas-ury condition and the condition of ore reserves. This does not necessarily mean the suspension of dividends, but that they will hereafter be declared de-clared without draining the reserve? and with due regard to the maintenance mainten-ance of more and possibly richer ore reserves. "Although ithe prevent estimaited ore reserves as approximately 03,000 tons lead-zinc ore, estimated to contain con-tain 9 per cent lead and 5 per cent zinc, and 60,000 tons lead-copper ore, with 5 per cent lead and 4 per cent copper, it is felt that the results ef the development work have not increased in-creased the ore reserves to a degree that was expected; and, although tonnage ton-nage developed has kept pace with the mining operations, the metal values val-ues thereof are considerably reduced. The copper ore body included in our estimated ore reserves is known to extend below the 2400 level and indications in-dications are that it may increase in size And grade, but these bodies have heretofore, and are .therefore, not as profitable. I "A shaft has been sunk from the 2400, or the company's lowest present working level, to a 2500 level, and cutting of ore pockets and station on this level is being completed. Work has begun to drift toward the downward down-ward projection of the ore bodies, which point should be reached within with-in three months. The future of our property depends not only upon metal prices, but "vitally upon the discovery dis-covery of new ore bodies. As the bulk of ore which has been profitably mined was found near the Yampa. and Highland Boy limestones, this will mean exceedingly deep and more expensive exploration work in the properties recently acquired. "In order to assure a continuation of the same intensive develcpmeni and exploration in the future that we have maintained in the past profitable profit-able years, and keep our ore reserves well in advance of production, it is th eaim of the management, to rebuild the treasury reserve, so to speak, to at least $1,000,000. Therefore, it i3 I been found by experience to be erratic er-ratic as to production and grade, therefore no prediction with definite assurance can be made. "The company's mill will have a rafed capacity of 22,500 tons per month in 100 per cent running time, the newly installed crushing plant a capacityof 1000 tons per day, therefore there-fore greater ore reserves are essential. essen-tial. The completion and starting up of the new mill addition and filtering fil-tering plant have ben somwhat delayed de-layed owing to not receiving equipment equip-ment in accordance with contracts; but it is now expected to have these in operation by the middle of October. Octo-ber. This addition has been constructed construc-ted and equipped with the most modern mod-ern scientific appliances. Low-grade ores on hand, which heretofore could not be mined profitably, will now be saved; and by increasing the scale of operations, savings to be made will be sufficient to amortize these mill additions. Practically all additions and improvements have been paid for from operations." |
