AN ALU
ALASKA
NEWSPAPER
HYDER WEEKLY HERALD
DEVOTED TO THE DEVELO PMENT OP ALASKA AND THE PORTLAND CANAL MINING DISTRICT.
SUBSCRIPTIONS
$5.00 PER YEAR
IN ADVANCE
VOL 4, NO. 37
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HYDER, ALASKA, SATURDAY, JUNE 2, 1928.
PRICE TEN CENTS
RICH ORE ON CANTU
Development work on the
Cantu group in the upper Sal
mon valley is making excel
lent progress, according to M.
J. Lee, who is directing ope rat
lins, on behalf of Portland in
terests headed by H. M. Col
by, who recently purchased
the property and are planning
to place it in production dur
ing the present season.
Activities are at present di
rected to exploring a high
grgde vein on which no work
had been done and which
promises to develop into a
valuable ore deposit. The vein,
showing only a few inches at
the surface, is widening rapid
ly and is being uncovered by
blasting away the precipitous
overburden. The work so far
done has revealed what is ap
parently the end of an ore
body of large dimension. The
ore is heavily mineralized and
carries high grade values.
A sample from the center of
the lead a few days ago gave
assay returns totaling $128, in
cluding $9.20 gold, $24 silver
and 72 per cent lead.
As low cost transportation is
the most important desiterat
um at present, Mr. Lee is also
carrying on extensive road
and trail building activities
along the valley between Can
tu Mountain and the Salmon
River road. The temporary
trail constructed two years ago
by the Premier Gold Mining
Company is being improved
and widened to permit hauling
by means Of a two horse wagon
with narrow wheel base until
such time as a substantial
trucking road can be construct
ed.
Thos. Robertson, mine super
intendent of the Adanac Com
pany, arrived from the south
Sunday, to inaugurate the seas
on’s development activities oi
the., Company’s large Fish
Creek holdings.
Mr. Robertson informed the
Herald that the Company di
rectorate, has decided to con
tinue development by hand
methods for at least another
season before installing a ma
chine plant, as was contem
plated during the winter. Mr.
Robertson states that although
an excellent ore deposit war
developed on the Lucky Boy
Extension claim last year, it h
considered advisable to prove
the vein at somewhat greater
dfepth through the low tunnel
started last fall. This should
cut the high grade ore located
in the winse in the upper tun
nel within a short distance oi
the present face.
---—-o
Fourteen local World war vet
erans were enrolled as mem
bers of the American Legion
during the visit of the delegat
ion of 30 Ketchikan Legion
naires last week.
The visitors arrived on the
motorship Akutan Saturday
afternoon and remained in
camp until Sunday afternoon.
The initiations were held in Pi
oneer Hall and were followed
by an enjoyable social session
and a luncheon served by the
Ideal Cafe.
Owing to rainy weather the
contemplated base ball game
between the visitors and a lo
cal team could not be played.
-O
Deputy U. S. Marshal Donald
E. Martin returned today from
§ visit in Ketchikan.
NEW MARMOT RIVER
UNIT SYNDICATE
IS LAUNCHED
The Oversight Mines Syndi
cate, a unit syndicate modeled
on lines almost identical with
the old Porter-Idaho syndicate,
was formally launched Thurs
day with the filing of a con
tract of unit interest and trust
agreement in the U. S. Com
missioner’s office.
The trustees of the new syn
dicate are A. N. McDonald,
well known mining man, Yael
Rozenstain, a leading merchant
of Hyder, and R. L. Stewart,
secretary of the recently form
ed Marmot .Engineer Mine
Syndicate.
The syndicate properties com
prise a group of 8 claims locat
ed on the south fork of Mar
mot River adjoining the Pa
tricia group and in close prox
imity to the Marmot Metals
and Marmot Consolidated
properties.
The group contains a number
of promising silver lead show
ings from which assays as high
as $97 are said to have been
obtained. One lead on the
Mountain Girl claim, one of
the highest claims of the group,
has been traced for 200 feet
and has been shown by sur
face work to range up to 19
feet in width. The strike of the
veins is northwest-southeast,
following the trend of the min
| Jral belt extending from the
Prosperity and Porter Idaho
groups southward through the
Marmot Consolidated, Marmot
flold, Engineer, Washington
ind other prominent proper
ties.
me capital stocK ot tne syn
licate consists of 20,000 units
>f the par value of $10 per
mit. Twelve thousand units
are to be issued to the original
owners as the purchase price
>f the property and 3000 units
ire to be placed on the market
‘or financing development.
The remaining 8000 units will
je retained in the treasury.
L. & L. TUNNEL HAS
FULL FACE ORE
The work of continuing the
nain tunnel on the “Columbia”
/ein of the L. and L. property
s making excellent progress,
iccording to reports from the
nine during the past few days.
The tunnel is now in approxi
nately 310 feet and continues
to show a full face of ore, of
:he same character heretofore
encountered and which is said
to carry good working values
:hroughout the length of the
/ein as far as explored.
Funeral services were held
Monday afternoon for the late
Tom Perpich, Premier tram
ineman who died last week as
i result of injuries sustained
when struck by an ore bucket
it Angle Station 2. The final
-ites took place in Pioneer Hall
mder the auspices of the Loy
U Order of Moose, of which
iecease'd was a member. Rev.
Pr. LeRay preached the fune
ral sermon, which was follow
ed by the impressive burial rit
ual of the Moose order, after
which the remains were laid at
rest in Riverview Cemetery.
The services were attended
by numerous friends of the de
ceased and many handsome
floral offerings also attested
the high regard in which he
was held by those who knew
him
MILL ON WOODBINE
EXPECTED THIS YEAR
That plans for the erection of
a reduction plant on the prom
ising Woodbine property are
now under consideration and
that the mill is expected to be
completed in time to com
mence operation this year, is
outstanding statement of a cir
cular letter issued a few days
by J. B. Watson, president of
the Woodbine Gold Mining
Company.
According to Mr. Watson,
mine superintendent Malcolm
McKenzie estimates that there
are approximately 908,420
tons of ore in sight, including
the large tonnage definitely
blocked out. On the basis of
810 per ton the gross value of
this ore would approximate
89,084,200.
This, however, the statement
points out, is a very conserva
tive valuation, as average as
says of the ore range consider
ably higher than 810 per ton.
The present financial status of
the Woodbine is excellent, ac
cording to Mr. Watson’s state
ment. The company has cash
in bank and Domimion of Can
ada bonds, which are immedi
ately convertible into cash, tot
aling 8129,000 and in addition
there is an unpaid balance
amounting to 845,000 on the
recent sale of 500,000 Wood
bine shares in England. This
will be paid shortly in cash.
English interests also hold an
option on an additional 250,
1000 shares, which if exercise*^
will bring into the Company
! treasury nearly 8125,000 more.
n_it_i? _ i i
uic uauimico, uic
statement says “the Company
has no bills, notes, accounts or
any form of liability whatever
that is due and unpaid.”
The stock situation is equally
good. Of the original 5,000,
000 shares of no par value, 2,
870,000 shares are outstand
and 1,330,000 are in the treas
ury. In the event of the Eng
lish option being exercised,
there will still remain in the
treasury 1,080,000 shares for
such future financing as may
be required. The Company al
so holds in escrow until Decem
ber, 1929, 800,000 shares be
longing to the Premier Exten
sion Gold Mining Company,
Ltd., and the Alaska-Canadian
Consolidated Gold Mines, Ltd.
These 800,000 shares are in no
way a part of the 1,330,000
shares remaining in the treas
ury.
Mr. Watson’s statement also
includes the following relative
to recent mine development
from a report by mine super
intendent Malcolm McKenzie:
“The main drift is still for
ging ahead in the same general
south-westerly direction and
still appears to be drifting on
the formation. This formation
is a massive porphyry.
“No. 208 crosscut continues to
disclose magnificent looking
ore. At 137 feet from the com
mencement (after passing
through a zone of crushed
'quartz porhyry) another ore
body was encountered. To me
it appears to be high grade. Up
to last night 19 feet of this ore
has been passed through and
the end is not yet.”
As the annual meeting of the
Company was scheduled to be
held May 31st, it is probable
that interesting announcements
regarding future development
plans will be forthcoming
shortly.
QUICK ACTION
ON VIRGINIA
Mining operations are now in
full swing on the Virginia, Cas
cade and Border Groups of the
Premier Border Gold Mining
Company under the direction
mine superintendent William
Bunting.
The first round of holes was
drilled on the Virginia group
May 23. This was exactly 36
days after the work of shovel
ing out the snow covered
camp was first started. During
the interval a new camp was
erected to replace the building
crushed by the heavy snow a
dpy or two before work started
apd a new compressor house
was also constructed.
Mr. Bunting has also installed
an aerial tramway about 300
feet long between the black
smith shop and the tunnel for
transporting tools and other
mine supplies. This will save
much time and labor in hand
ling supplies and equipment
and may also be used for ore
transportation later.
The speed displayed in get
ting actual mining under way
is a most creditable testimoni
al to Mr. Bunting’s ability and
energy and entitles him to the
comendation of his superiors in
the company.
o
Results obtained from sluicing
by two outfits in two different
pieces of ground in the Good
News Bay district, were not
encouraging and failed to sub
stantiate claims of an import^
ant platinum discovery, accord
ing to a letter received by Ter
ritorial Treasurer Karl Thiele.
Experienced mining men who
have looked over the field are
not optimistic over the outlook
for successful development.
There is some platinum in the
area. From two areas mention
ed 14 ounces were recovered
and original estimates placed
the value at $103 per ounce.
However, returns showed the
recovery to have been but 41
per cent platinum, the remain
der being some other mineral
much less valuable, and black
sand. The cash value of the
entire cleanup is said to have
been less than $500.
-o
Drilling operations in the
Chickaloon oil field will be re
sumed early this spring, ac
cording to Oscar Anderson,
who returned to Anchorage re
cently from a visit to the
States. Mr. Anderson met Cap
tain Peterson in San Francis
co and was informed by him
that he would return to Alaska
during the early spring, and
would get things ready for an
other season’s work. The men
who are backing the enter
prise are satsified with the
progress thus far and are con
tinuing their support, with the
fullest confidence in Captain
Peterson and his drilling op
erations.
-o
Marking a steady increase
from month to month, there is
now on deposit in the postal
savings bank of the Fairbanks
post office $268,560. This a
growth in the last calendar
year of $28,104, and in the last
fiscal year of $20,253.
-o
S. P. Fitzgerald, head of the
Independence and Titan Com
panies, left Monday evening
I for Vancouver on a business
trip.
FLOOD RELIEF WORK
PROVES SUCCESSFUL
The splendid effort of the Ry
der Chamber of Commerce and
local citizens to overcome the
flood danger which for several
years has threatened the de
struction of the town was re
ward during the past week by
the successful diversion of a
large portion of the waters of
the turbulent Salmon River in
to the new channel on which
work has been in progress for
several weeks.
About one-third of the total
volume of water coming down
the river is now passing into
the old slough which parallels
the river channel a short dis
tance to the west, and the vol
ume is expected to increase
materially as the new course
is deepened by erosion.
Members of the committee in
charge of the work express the
view that but little more car,
be done as the funds available
are nearly exhausted, but
enough has been accomplished
to practically offset danger oi
a serious flood for some time
to come. It is pointed out that
although the river has not been
fully diverted from its course,
the new channel will carry oft
enough water to keep the main
stream well within its banks,
except, perhaps, during peri
ods of extremely high water.
It is also pointed out that the
work of removing the tangled
masses of roots, stumps and
other timber debris buried in
the numerous sand bars is a
difficult and costly process
which cannot be completely
accomplished without the ex
penditure of many times the
amount recently subscribed by
our public spirited citizens.
Those in charge of the work
as well as those employed have
done all that was possible with
the means at hand. The work
has been of the most difficult
and arduous character and all
connected therewith are entit
led to the fullest thanks of the
community for their efforts.
-o
Wm. G. Strench, district Di
rector of Immigration arrived
from Ketchikan today on busi
ness connected with his depart
ment.
W. B. Foshay, Minneapolis
financier, has purchased for
$2,000,000, a number of the
largest and most important in
dustries in Ketchikan.
The acquisitions include the
Citizen’s Light, Power & Wat
er Co., Northland Transportat
ion Co., owners of the motoi*
ship Norco and Bellingham;
the Ketchikan Cold Storage
Co. and the Northland Invest
ment Co., which holds title to
valuable business and realty
interests in Ketchikan.
The purchaser has announced
that his Ketchikan holdings
would be combined with a
group of other public utilities
in the United States, the total
assets of which will approxi
mate $9,000,000.
-o
The mining ground of the old
St. Louis Mining & Trading
Co., consisting of 40 claims
four miles above Hope, on
Turnagain Arm, has been
leased by Charles Harper. Mr.
Harper expects to employ
about nine men by the first of
June, at which time he expects
to be ready to commence hy
draulic operations.
SENATE REJECTS
ADAMS AS JUDGE
THIS DIVISION
By a close vote the Senate on
May 29, rejected the nominat
ion of Edgar J. Adams as fed
eral district judge of the first
Alaska division. The rejection
was made on the ground that
Adams is not a resident of the
Territory of Alaska, according
to press reports.
The confirmation of the ap
pointment of Adams, who once
was secretary to former Sena
tor Stanfield of Oregon, was
opposed hy Delegate Dan
Sutherland, who urged that
Alaska judges be selected.
——-o-—
MAHOOD GAINS
CONTROL OF BUSH
CONSOLIDATED
A keen battle which has been
waged for some weeks for the
J. P. Kendall interest and opt
ions in the Bush Consolidated
Gold Mines is reported in Mon
treal press dispatches to have
resulted in a victory for Grant
Mahood, well known promoter.
As a result of the consummat
ion of this deal Mahood is said
to have secured outright 300,
000 shares of Bush Consoli
dated and option on 1,820,000
additional shares .representing
about one-third of the total
Bush capitalization. Mr. Ma
hood is now negotiating for ad
ditional Bush holdings which
will give his latest company,
the Alexander Gold Mines, a
51 per cent interest in the
Bush.
The reports say Mr. Bush has
retained Thos. E. Davey, M. E.,
as managing director of his en
terprises and plans to install a
modern plant on the Bush and
push its exploration.
-o
Under a recent amendment
io the postal laws, registered
mail indemnities have been in
creased from the former maxi
mum of $100 to a maximum of
? 1,000. In other words a lettei
or parcel can now be register
ed for any amount up to and
including $1,000.
Charges for this form of mail
insurance under the new sched
ule range from 15 cents for
any amount not exceeding $50
to $1 for $1,000. Following is
the complete schedule
charges.
“For registry indemnity not
exceeding $50, 15 cents.
“For registry indemnity ex
ceeding $50 and not exceeding
$100, 20 cents.
“For registry indemnity ex
ceeding $100 and not exceed
ing $200, 30 cents.
“For registry indemnity ex
ceeding $200 and not exceed
ing $300, 40 cents.
“For registry indemnity ex
ceeding $300 and not exceed
ing $400, 50 cents.
“For registry indemnity ex
ceeding $400 and not exceed
ing $500, 60 cents.
“For registry indemnity ex
ceeding $500 and not exceed
$600, 70 cents.
“For registry indemnity ex
ceeding $600 and not exceed
ing $700, 80 cents.
“For registry indemnity ex
ceeding $700 and not exceed
ing $800, 90 cents.
“For registry indemnity ex
ceeding $800 and not exceed
ing $1,000, $1.