Mining boom

“ Mining operations are more susceptible of mechanical improvements than agricultural: the first great application of the steam-engine was to mining; and there are unlimited possibilities of improvement in the chemical processes by which the metals are extracted. There is another contingency, of no unfrequent occurrence, which avails to counterbalance the progress of all existing mines toward exhaustion: this is, the discovery of new ones, equal or superior in richness. ”

“ The price of gold, which is itself the standard of value, could not rise to offset growing mining costs and to maintain profits, as was the case with iron, copper, and the other metals,—with the result that the margin of profit in gold mining became so small as materially to affect exploration and production. Another important cause of decreased production was the actual exhaustion of certain mines, and the lowering of the grades of ore available in many others. ”

“ From all of which it will be seen that nearly $4,000,000 may be given as the product of the mines up to May, 1870.
Nor are the mines, as a whole, decreasing in value. The promise of the past is the promise of the future. If results ave been encouraging, they may be fabulous. There are fields above and below unoccupied. It needs, simply, that capital, energy, and practical mining experience combine, to make this second to no hydraulic region in the State. The wealth is here, and it remains to be seen whether the forces that produce it are to bless with their coming and successful working. ”

“ It must be remembered that mining, though often so profitable, is nevertheless a destructive industry, thus differing from agriculture, which is productive, and manufactures, which are constructive. Every ton of stone broken and treated from even the best gold mine in the world makes that mine the poorer by one ton of valuable material; thus, to buy a mining property on its past reputation for productiveness is, as a rule, questionable policy, unless you know there is sufficient good ore in sight to cover the purchase cost and leave a profit. ”

“ The want of capitalists in the mine country, and of practical skill in the boring, blasting, sinking shafts and galleries, oppose obstacles to the [Pg 160] successful progress of mining. There is but one regular hearth-furnace for smelting in the whole district; and that is on the modern plan of English furnaces. There are not over four or five regular shafts in about forty mines; there is not an engine, either by horse, steam, or water power, for removing water from the mines, several of which have been abandoned on this account, with rich prospects of ore in view. ”

“ In irregular and uncertain deposits this work of development should be kept at all times so far in advance of mining operations as to ensure a regular and uniform output. In some cases, where the barren areas are large, it may be necessary to have two or three years’ supply of ore thus blocked out in advance. A mine, however, may be over-developed, which results in loss of interest on the capital unnecessarily locked up for years by excessive development, and involves additional cost for the maintenance of such openings until they are needed for active mining operations. ”

“ This prevents many from engaging in mining on the public lands, and especially those who would be best able to prosecute the business; and of the number who take leases, a great proportion continue to pursue the desultory method of mining in alluvial [20] ground, introduced at an early period by the French, but which is attended with very great uncertainty.
Improvements remain also to be introduced in regard to the processes of mining, the furnaces employed, and the method of raising the ore. ”

“ Since the extension of the railway systems and the establishment of a stable government, mining is again attracting a great deal of attention. The government encourages foreign investments in the mines. Many of the old bonanzas have been taken over by new companies with both good and bad results for the investors. The introduction of modern machinery has so reduced the cost of mining that lower grade ores can be profitably worked. ”

“ The miners do not support the earth by timber or pillars, as they should; the result is that the whole plot of about two hundred acres is gradually sinking, and this will eventually ruin the industry in that part of the deposit. In another part of the same field, a French company has purchased forty acres, and it is mining the whole tract and hoisting through one shaft by steam power. In that shaft they have sunk to a depth of six hundred feet, and are troubled with water and petroleum. These they pump out very much the same way as in coal and other mines, worked in a scientific manner. ”

“ It is becoming more and more important for the active mining man to post himself upon the methods and economies of this latter-day mining practice. The development of this open or surface mining has introduced entirely new economic ideas. With no costs for timbering of mine passages, for ventilation, or for hoisting, and with a very material decrease in manual labor per ton mined, immense masses of rocks are now really ore, although a few years ago they were nothing but lean, country rock. ”

“ But then, again, it is becoming plain to many experts in mining that, in working downwards from the surface itself, the future of their industry offers a wide field for the extension of the open-cut system. In proportion as power becomes cheaper, the expense attendant upon the removal of clay, sand, and rock for the purpose of laying bare the cap of a lode at a moderate depth becomes less formidable when balanced against the economy introduced by methods which admit of the miner working in the open air, although at the bottom of a kind of deep quarry. ”

“ Further improvements in the processes of reduction will doubtless increase the mining area, by making it worth while to develop mines where the percentage of metal to rock is now too small to yield a dividend. Improvements, moreover, tend to accelerate the rate of production, and thereby to shorten the life of the mines; for the more profitable working becomes, the greater is the temptation to work as fast as possible and get out the maximum of ore. ”

“ When we have to use drainage tunnels for our mines we carry the water off from the mouth of the tunnel in a flume, placing quicksilver in the riffles, and if it is a copper mine we place scrap iron in the water and we also use the water for power to assist us in mining, so that at the present time we extract and reduce ore at a lower rate than in other parts of the world, for there is no wastefill management and no overproduction, for in all our mining operations we work those that cost the least, and we operate our coal mines in the same way. ”

“ Access to the buried deposits is gained by vertical shafts. Actual mining is now done to a large extent by continuous miners, machines which bore or rip the potash ore from the face and load it into shuttle cars in one continuous operation. The shuttle cars then transport the ore to conveyor belts which move it to the shafts for hoisting. Working conditions and safety are excellent and have led to high productivity from these mines. ”

“ It is not my intention to detract anything from the dignity of agriculture, and that the profits of mining are less stable I will always and readily admit, for the veins do in time cease to yield metals, whereas the fields bring forth fruits every year. But though the business of mining may be less reliable it is more productive, so that in reckoning up, what is wanting in stability is found to be made up by productiveness. Indeed, the yearly profit of a lead mine in comparison with the fruitfulness of the best fields, is three times or at least twice as great. ”

“ Such companies, with superior mechanical facilities to do much labor, in a short space, will be enabled to go over the whole mineral field, although already dug over by individuals, and reap yet a rich reward of their efforts. And when there will be no more gold washing to be done, then a new era in the mining of the country will commence—we mean a regular system of mining by sinking shafts into the very bowels of the rocks will be entered upon. ”

“ The principal item in mining cost is that of labour, which is expended chiefly in breaking down the mineral, either by the use of hand tools or with the aid of powder. Labour is also expended in handling the mineral in the working places and in bringing it to the mine-cars in which it is brought to the surface. Narrow and contracted working-places are to be avoided, as in such places the cost of breaking ground is always large. Economy in handling makes it desirable to bring the mine-cars as near as may be to the point where the mineral is broken. ”

“ Indeed, this system of mining partakes of the nature of quarrying rather than that of mining in the ordinary sense, the ore being scooped from the surface of the ground. One naturally thinks of a mine as being subterranean; but in the great open-pit mines in the Lake Superior region, which are the largest mines in the world, all the mining is done at the surface of the earth. ”

“ Not so with silver and gold mines. They are most unreliable in both quality and quantity. Costly buildings and machinery are often erected to economize the mining of the ore, only to find no mine to operate by the time the buildings are completed and the machinery is working. ”

“ It may be taken as a safe axiom that to make gold mining in the mine as distinct from mining on the Stock Exchange really profitable the same system of economy, of practical supervision, and scientific knowledge which is now adopted in all other businesses must be applied to the raising and extraction of the metal. Then, and not till then, will genuine mining take the place to which it is entitled amongst our industries. ”

“ Mining may be said to begin whenever there is produced an output upon which there is some profit. Exploitation may be in valuable ground. If so, we may say that mining is in progress during the exploitation. The driving of levels or drifts in an ore body—or of entries in a bed of coal—produces the valuable products of the mine, and we may, therefore, consider that mining is taking place.
The driving of a crosscut through barren rock to reach an ore body is dead work; but the driving of a drift or level in a vein is either exploitation or mining. Dead work produces no ore. ”

“ All of these, and many other inventions, have constantly tended to decrease mining costs. Yet the industry is carried on to-day in so many out-of-the-way places, and under such varying conditions, that the cost per ton of the ore mined vacillates between wide extremes. As an example of what can be accomplished, working on a large scale, and where supplies are easily and quickly obtained, the Atlantic mine, in Michigan, may be mentioned. This mine produced, in 1898, 370,000 tons of ore, at a cost of sixty-six cents per ton. ”

“ The best opinion of mining men in this country is that our mineral resources have not yet been "skimmed" and that the mining ground of the Western country has not yet been well "scratched."
Therefore, the statement made in a newspaper which is supposedly devoted to the interests of investors, that it need not be expected that more copper mines are going to be discovered, is a snare calculated to trap the unwary. ”

“ Looked at in a large way, the returns from the mineral industry are commensurate with the effort put into discovery and development of mineral resources, even though the returns to lucky individuals have been excessive. In respect to the importance of the human energy element, the mining of minerals is not unlike the cropping of soils. Some interesting economic studies have been made of mining districts to ascertain whether the total return has been equal to the total investments by both successful and unsuccessful participants. ”

“ The limit, nevertheless, has been reached in many rich mining districts. Pumps of the most approved type, and driven by the largest and most economical steam-engines, have done their best in the struggle against the difficulty; and yet the water has beaten them. Rich as are the lodes which lie beneath the water, the mining engineer is compelled to confess that the metal value which they contain would not leave, after extraction, a sufficient margin to pay for the enormous cost of draining the shafts. ”

“ My father knows nothing about mining himself, and he has not even had an expert's opinion upon it. He goes entirely upon the Count's word, and what the Count chooses to show him. Why, the mine isn't being worked—hasn't been worked for thirty years."
"Perhaps," I suggested, "the Count hasn't the capital to work it. Labour out here's mighty cheap, but up-to-date mining takes a lot of money." ”

“ As the tide of emigration began to flow into the mining region, the lucky hits upon rich deposits, of course, began to grow scarcer, until, when an immense population was scattered throughout the whole golden country, the success of the mining operations began to depend more upon the amount of labour performed than upon the good fortune to strike into an unfurrowed soil, rich in gold. ”

“ There is a modern idea that has taken root in the minds of mining men of the last generation to the effect that the mines with rich ore are not necessarily the ones with big profits. There are many men looking for investments in mines whose contents are of low grade but in large bodies readily worked. If a mine with rich ore can be found and the ore abounds in such liberal amounts as to warrant the inauguration of a company with the essential working equipment, such a proposition will naturally not be turned down. ”