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ata

alure,
A

32X

OUuf

TE2ADA

iRors MirvEs

BRITISH COLUMBIA.

PROPRIETORS:

Hon. HUGH NELSON, Ex M.P., / Moody's Mill

SEWELL P. MOODY. Es«.. Bu^^'i ,Hc

ROBERT P. RITHET. Bk|.. J.P., Victo.m. B.C.

AGENT :

FOR HALS or TKXAD* IRON MIN8«

Hon. a. DeC0SM03. M.P.
victoria, b.c.

Pail^tRD Sy THK LOVELL PRINTING AND PCBUSHING CO

1876.

3 /^P . 4.vc»^

TEXADA

IROIN MINES,

BRITISH COLUMBIA.

PROPRIETORS;

Hon. HUGH NELSON, Ex M.P., / Moody's Mill,

SEWELL P. MOODY, Esq., ) Burrard Inlet, B.C.

ROBERT P. RITHET, Esy., J.P., Victoria, B.C.

AGENT:

FOR SALB OF TEXAOA IRON MINES,

Hon. a. DeCOSMOS, M.P.

VICTORIA, B.C.

PRINTED BY THE LOVELL PRINTING AND PUBLISUING CO.

1875.

TEXADA IRON MINES.

Texada Iron Minos aro situated on the southern side near
the north-west end of Texada Island, in the Strait of Q-eorgia,
between Vancouver Island and the mainland of British
Columbia. See Map.

Those iron mines arc really an Iron Mountain where the
ore crops out in iron knobs, varying in area. One outcrop
is about 20U0 feet long by an average width of 400 feet. The
knobs or outcrops vary from^250 to 650 feet above the level
of the sea, and are only a few hundred yards distant from
safe anchorage.

The outcrop marked A in the Plan is about 110 yards
from the shore; B, 250 yards; C, 550 yanls with steep
incline ; D, 800 yards from lower end with easy grade ; E,
iron bluff. See Plan of Texada Iron Mines.

The property contains 656 acres, of which a compact
area of 496 acres includes the iron depo.sit. The 160 acres
at the head of Gillies Bay are supposed to belong to the
Productive Coal Measures. See Plan.

This valuable property is owned by the Hon. Hugh
Nelson and Sewell P. Moody, Esq., of Moody's Lumber
Mills, Burrard's Inlet, B.C., and Bobert P. Kithet, Esq.,
merchant, Victoria, B.C.

The title is indefeasible, — the Crown Grants having bcea
issued in 1874-5. The title deeds are now in the possession
of the Hon. A. DeCosmos, M.P., who holds a Power of
Attorney to sell the property.

Mr. tr. Hargreaves, Civil Engineer, who surveyed the

ir>7(;r.r.

property, roughly estimates that Toxada Iron Minos coi;-
tain 11,250,000 tons of iron oro. Sco llargroavon' Letter,
Page 13.

The ore is a black magnetic iron ore with coarse granular
structure; is very ricii in metal and of far more than
average (quality ; contains (j9 per contcm of metallic iron
according to Professor Chapman's analysis ; and is practi-
cally free from deleterious ingredients sucli as phosphorus,
sulphur, and titanium.

The pig metal obtained from it would bo eijual to the
boftt brands of Lancashire Ilemutitoor Bessemer Pig. Seo
Professor Chapman's Analysis and Letter, jiago 14 and 15;
also Dr. Harrington's Analysis, page 15.

No iron mines could be more favorably situated than
those on Texada Island, either as regards mining, smelting
or shipment. Thousands of toid of ore, loose and broken,
may be taken from the surface, find the solid dcj^sit need
only be quarried, — not mined. Limestone, in unlimited
quantities, in some cases carrying 20 per cent, of iron, may
be had at the mines. Wood, for making charcoal, abounds
on Toxad^ Island, on Vancouver Island, and on the main-
land of the continent. Coal might be found by boring on
the property at the head of Gillies Jiay. But if found tix)
dooji for profitable working at present, an abundant supjily
of coal may be had at Comox, or Bayncs' Sound within 18
or 20 miles by water from the Iron Mine^^, or at Nanaimo,
40 miles distant. Comox coal is suitable for all the pro-
cesses of iron-making. Anchorage is good on the shore lino
of Iron Mountain. Wharves may be cheaply built; chutes
for ore easily constructcil ; wheelbarrows oidy required to
carry ore to the chutes. Near where the wharf should bo
is a good site for a blast furnace. Unskilled labor — Indian,
Chinese, European — is obtainal)leHt moderate rates: 75 cents
to 81.50 per day ; skilled labor not exceeding 83 per day. (8eo
Eichardson's Report on Toxada Iron, page It!, and Watsoi 8-
Eeport, page 18.) ■ '

la Iron Minos coi;-
^argrouvoh' Lottor,

'ithconrso j^ranulnr
of far more than
m of motallic iroit^
^'si» ; and is practi-
uch as i)hoNi)horuf<,

il bo equal to tho
Boshomer Pig. Sec
3r, page 14 and 15;

al)ly situated than
Is mining, smelling
, I008O and broken,
I solid dcjwsit noe<l
tone, in unlimited
[■ cent, of iron, may
g charcoal, abounds
, and on tho main-
found by boring on
13ut if found too
m abundant supj)ly
Bs' Sound within 18
les, or at Nanaimo,
lo for all the pro-
i(k1 on tho shore line
oaply built ; chutes
vs only required to
ho wharf should bo
illed labor — Indian,
orate rates: 75 cents
ing 83 per dny. (See
20 ItJ, and VVatsoi »

Cost op Making Pio-Ibon.
The cobt of makino pio-iron in nRiTisn roi.rMniA and

WASHINdTON TERRITORV lu HET FORTH IN THE
FOLLOWING TABULAR HTATEMEMTS.

] Estimated cost of a ton of charcoal i»i<hron mapk at

TKXADA, COMOX OR HAYNF.s' SOCND, II. C, OR AT I'ORT
TOWNHEND, W. T., with a blast FURNACE MAKINO 10 TONS
I'ER DAY, OF 2,240 LBS. E.\CH.

SocRCiu or ExrivsK.

Mining, wlipeling and cliuting sufficient Ore

for 1 lonjiig I

Roasting, if rcqaircd, with fuel I

Crushing '

lt;0 Kiisiiels Charcoal (17 lUi. jier bushel)

ai 8 CIS. per bushel

Fuel for fciigine and Blast Slove, if gases

were insumcicnt

•Labor at Furnace, Euginc, &c

Freight of Ores fi>r 1 ton Pig-iron from

Texada to Comox or Baynes' Sound

Freight on ditto to Port Townscnd

Dut)'' on Ore for 1 ton Pig-iron at I'ort

Townsend

Total cost per ton.

• According to Mr. F. Rumpf, (see page 31)
the cost of labor with a S2 — ton furnace
niakiug 30 tons )icr day would be $1.30 j)er
ton, tiioij reducing above estimate $2."o per
ton, and leaving tnc total cost of 1 ton Char-
coal Pig at-

Tezada.

$0 50
.^0
25

12 80

50
4 00

$18 .1,'

$15 8J

^°'°"* I Port
Sound. ''"'*^-

$0 50
60
35

12 80

50
4 00

1 50

20 05

17 35

50
50
25

12 80

.'.O
4 00

2 50

00
21 C5

IS 95

^. / ■

ESTIMATRI) COST OF TON OP COAL PIO-IROW, MADE AT TEXADA,
COMOX OR MAYNKrt' SOt:ND, B. 0., OR AT PORT T0WN8END,
M'. J., WITH Hl.AST FtENACK MAIUNU 10 TONS, 2,240 LBS.
«ACH, PKB DAX. ,

UOCBOII OP EXPSMHI.

Mining, whocling and dinting sufficient

Ore for one ton I'iK-iron

Roasting, if required^ with fuel

Crnshlng

Fuel, Engine and Blast Stov«, if gases

be insumciunt

•Labor at Furnace, Engine, &c

Freight of Ores for 1 toa Pig-iron from

Toxada

2| tons Coal at Chute of Coal Mine,

Comox or Baynes' Sound

Freight 2* tons Coal from Comox or

Bay nes' Sound

Duty on 21 tons Coal at PortTowuaenJ.
Duty on Ores for 1 ton Fig-iron at Port

Townsend

Comnx or
liayne's
Sound.

Total Coat Ton Coal Pig-iron.

•Taking cost of labor at Mr. R^m^l^8
estimate with 32-ton Furnaci , making
30 tons per day, vi7. .— $1.30, a ton Coal
Pig-iron would cost at

( eta.

50
50
25

50
4 00

1 50

7 50

14 75

12 05

Tei.ada.

t cts.

50
50
25

50
4 00

7 50
3 00

16 25

13 55

Port
Townsond.

$ cts.

50
23

60
4 00

2 50

7 50

7 50
1 87

25 72

23 02

Framing Estimates.

In framin<5 the above estimates, everything except coal
is calculated at the ordinary rate of labour and suppliert.
The price of coal is taken at the cost of mining and delivery
at the chute or Hhipping point of the Coal Mines, and
includes 12 per cent, per annum for wear and depreciation
of plant, and 12 per cent. j)or annum interest on the caj)ital
investo<i. The charge for mining iron ore is based on using
churn drills, ordinary jiowdor, picks, and conveying it in
wheel-barrows to ordinary timber chutes. Roast ',,:: it is

r TRXADA,
'0WN8END,
J, 240 LB8.

pupposed, will bo dor i- in kilns; and broakinj,' hj- Blako's
Crusher. Charcoal is put down at the. price of delivery at
the furnace.

Port
Townnaail.

$ eta.

50
25

60
4 00

2 50

7 50

1 87

25 72

23 02

ccopt coal
fluppliert.
d delivery
lines, and
prociation
he ca])ital
J on using
,'ing it in
t'iit it is

Pio-Iron Delivered at Sax Fr^vnohco.

The following tabular Htatemont Hhew.s the cij t of f liar-
coal or cr)al pig-iron delivered, duty uiid olmigos pa-d, at
San i'ru;it;i8eo.

Estimated cost op ton op charcoal ob coal pio, made at
texada, roMOx or baxnes' soi:nd, b. c, or at port

TOWNSEND, W. T., and delivered duty paid at SAN
PRANCISCO.

SomcKS or Expenbr..

One ton Pig-iron

Freight per ton to San Fran-
cisco airect

Duty per ton

CLarges '

•Toul Cost

•It Mr. Rumpfs egt'tnate
of cost of Inbur witli 3L'-ton
furnace, viz : $I.3i) per ton,
were taken instead of S4 per
ton for labor with 10-ton
furnace, the cost per ton,
delivered at Una Francisco,
would bo

Char-
coal.

2 S«o

Char-
coal.

$18 65

4 00
7 OOi

f 20 on

3 00
7 00
60

•a
c

Char-
coal.

$30 16j^$30 65

$27 45,827 96

$21 05
3 00

$25 25

Coal.

S16 25

4 00
7 00
6(J

$27 85

O B S

B ^^

Coal.

$14 75

3 00
7 00
tji)

!$25 35

S23 65 S25 '.5

S22 65

Coal.

$25 72
3 00

S'.'9 32

$26 62

Pio Iron.

Tho consumption of pig-iron on the Pacific Coast north
of Mexico, in 1874, was as nearly as can be ascertained as
follows :

Sandwich Islands tons 50

British Columbia " 60

Washington Territory " 60

Oregon " 1,000

California " 14,816

Total tons 15,980

See Jeffray's report re California, 1875, page 22.

Steel Rails.

The approximate demand for steel rails for tho construc-
tion of the Western division of the Canadian Pacific Railwaj'
may bo gathered from the following data. The Western
division of the C. P. E.R. extends from Fort Edmonton to
Esquimalt, a distance of 1000 miles. This division will be
constructed by commencing on the Pacific and working
castwardly. Assuming that 100 miles will be the average
length of railway constructed every year, 9000 tons steel
rails will be req^uired eveiy year in British Columbia, making
a total in 10 years of 90,000 tons. Jn addition there will be*
required, within the ten years, for carriages, cars, car-wheels,
machine-shops, bridges, &c., at least 50,000 tons of iron of
all kinds, averaging 5000 tons per year.

If the rails and other iron were made in British Columbia
Government would not refuse to take it at the market price
and cost of transportation.

The profit on rails, &c., made in British Columbia could
not be loss than tho freight from England and incidental
chitrgos, say 815 per ton. Iron — making in that Province
will always have the protection afforded by the cost of
freight from Great Britain.

The annua! profit on the capital invested in making
enough pig-iron for the Engli.sh-s])caking portion of tho

Pacific Coast, and enough 8teol rails, &c., for the Canada

Pacific Railway, may be estimated as follows :

15,000 tons Pig-iron ^ $15 per ton profit $225,000

<J,000 " Steel rails ^ '• " " " 135,000

5,000 " Iron for C. P. R.R. ® $15 per ton profit 75,000

ToUl $435,000

Deduct $2* per ton on 29,000 tons iron for wear and
depreciation of plant at 12 per cent per annum, and
interest on capital invested at '2 per cent, per annum. $58,H00

Total annual profit on Iron made in British Columbia... $377,000

Coal Mine.

The Coal Mine most desirable to connect with Iron Works
is the Union Coal Mine, Comox, Vancouver Inland, of which
the chute will he distant fromTexada Iron Mines, 18 miles,
from Victoria, 160 miles ; from San Francisco, 900 miles.

The Union Coal Mining Co. have 1000 acres of coal lands in
all situated 5J miles from Comox or Port A ugusta harbor, and
alsiO 160 acres at the beach or harbor for depot, chutes,
wharves, &c., and town-site. Seam 2 is 7 feet 6 inches in
thickness, and it is estimated that it contains 10,000,000 tons
coal. There are besides number 2 seam ten others
varying from 4 feet 4 inches to 1 foot in thickness. In all
there is about 30 feet of good, clean, bright coal visible.
(See page 24 for description and section of Union Coal
Mine in llichaixlson's Report, Geological Survey, 1872-3 i
also page 28 Harrington's Analysis.)

No shafts noed be sunk ; but the coal may be mined simply
bj tunnelin^;. No pumps are required, as the mine can be
worked "level-free" — self-draining. Over 811,000 have been
expended in making ro.'id and opening mine.

The road from the beach at Port Augusta or Comex harbor
has been graded for 3J miles. The remainder of the road
line pa.sses over alevel country with easy grade but a little
swampy.

• Mr. Rumpfs estimate for Mr. Iluyoock wiih 32 ton furnace is : sinlfing
fund and repairs, $1 per ton ; interest on capital, 67 cents. Total, $1.67.

The property is owncvl b}' the Union Coal Mining Co.,
(Limited,) consisting of 11 nhareholders, capitiil $22,00('.
Title indefeasible, Crown Grant recently issued.

Shipping facilities are unexceptionable. Harlx)r is good.
Navigation to Victoria and San Francisco is easy. Iron in
found in connection with the coal. See Capt. Clarke's
letter, page 29.

Practical miners have offered to contract to deliver the
coal at the pit's mouth for 50 cents per ton, — which is 50
cents per ton less than is paid by the Vancouver Coai
Mining and Land Co. at Nanaihio, and the \\ollington
Mining Co. Dej)arture Bay.

AT 'departure bay.
To purcha.se the mine and supply plant for successful and
profitable working it will require $150,000 to $200,000.
Brit this statement is made on the assumption that 75,000
tons of coal would be required to make 30,000 tons iron
annually, and in addition 75,000 tons more of coal to supply
San Francisco and other markc^ts.

Annual Profit.

It is estimated that, after paj'ing 12 per cent, per annum

interest on the capital investe<l in the coal mine and works>

and after allowing 12 per cent, per annum on the capita

investefJ for wear, tear, and depreciation of plant, the coal

could be supplied at the chute to the Iron Works at 62.60 per

ton. The balance of the annual out-put of coal, 75,000 tons,

could be sold, delivered on shij>board at the chute at current

rate $5.50 per ton or at $3 per ton protit. The annua! profit

would therefore be as follows :

$200,000 capital invested in Coal .\lino and plant ^ 12 per ct... $24,000

75,000 tons coal sold for Sau Francisco and ottier uiarkuts tS) $3

profit 225,000

Total Coal Profit $24^,000

Screw Colliers.
If the carrying of the coal to market were monopolized
by the owners of the Coal Mine, a very large profit could bo

J-.

made in addition. For instance, two screw colliers, 200O
tons burthen would deliver 75,000 tons coal annually in San
Francisco, on which the freight would be $4 per ton. The
two colliers would cost $150,000. The tc^tal receipts then on
the carrying trade would be as follows : —

75,000 tons Coal /© $4 per ton delivered at San Francisco $300,000

Extra freight and passengers 50,000

S350,00O

Deduct : Interest m 6 per cent, on $150,000 89.000

Expenses 2 Kcrew Colliers per month ® $2000 each,

'or 12 months 48,000 57,000

Total Annual Profit on Freight S293,000

Recapitulation — Coal Profits.

Total Annual Profits on Sale of Coal §249,000

Total do do on Freighting Coal 293,000

Total coal profit S542,000

Recapitulation — Coal and Iron Profits.

Total annual profit on making Iron in B. C $377,000

Do do do on Coal 542,000

Total profit $919,000

Town-site.

Another source of revenue would be the sale of the town-site
where the coal could be shipped and the iron works erected-
The return from the sale of town lots in two or three years
may safely be put down at SI 50,000, besides reserved town
lots that a few years later would be very valuable. The
town-site receiptsj would help materially in providing for
outlay on works.

There seems to be no doubt, but the Canada Pacific liail-
way will pass through Comox to Bute Inlet ; and thence
castwardly across the continent.

Branch Iron Works.

At eome desirable spot in Washington Territory, Iron and
Steel of all kinds could be manufactured profitably from
Texada Iron ore and Comox coal or charcoal ; cheaply
enough, in fact, to control the entire Iron and Steel trade of
California, Oregon, Nevada, and contiguous Territorioa.

Imports of Iron.

The imports, in 1874, into San Francisco, of American and
Foreign Iror. and Steel were very large ; but the quantity
reported (see page 32) does not include Eastern American,
as no entry is m de at the Customs of domestic iron and
bteel. See page

Nails, too, are imiwrtcd from the Eastern States. Not a
pound is made on the Pacific Coast. See page

Taking the imports into San Francisco, the supply market
for the Pacific Coast — of Iron, Steel and Nails, the profits
on the sameif manufacture<J in Washington Territory, may
be e.^timated as follows : —

.^000 tons Iron, wrought, /<? 1 cent, per lb, profit $100,000

2BI ,000 kegs Xails and .-pikes 'ft fl per keg do 216,000

1,000 tons Steel, all kind-, '?2 5 cenU per lb. do 100,000

10,000 tons Steel or Iron rails /a $15 per lb. do 150,000

Total annaal profit..

$56(5,000

Recapitulation.

Annual Profit on mrking Iron in British Columbia $377,000

Do do do C lal, .sold to Iron Works 24,000

do do soM and exported 225,000

do do freight 293,000

do making Iron, Washington lerritory 566,000

Toul Annual Profit $1,485,000

In the last total, the receipts from the pale of town-site in
Comox and another in Wa,«hington Territory are not
ir)clude<l; and in fiveyear« after the works were started the
minimum return would not be less than 8300,000.

Data.

The preceding statements are based on carefully collected
data.

Four Comiames or One:

Were satisfactory arrangements made, more than one
Company might profitably carry on the works referred to.
For instance : The Texadu Iron Works, Coraox, could be
operated by one Company ; the Union Coal Mine, supplying
Coal to Iron Works and selling for export, by another; the
Screw Colliers by a thini Company ; and the Branch Iron
Works, Washington Territory, by a fourth Company. But
nnder good management the whole may be operated success-
fully by one Company.

, APPENDIX.

Letter of Mr. Geo. IIaroreaves, C.E., to Messrs.
MoouY, Nelson & Co. ■, ,, ;

Nelson & Co.

Victoria, B.C., December 31st, 1874.
Gentlemen, ,

In compliance with your rofjuest, I beg to forward to you
a rough estimate of the ([uantity of Iron Ore in your land
on Texjida Island. By referring to the Plan, you will find
ho outcrops of ore marked A, B, C, D.

The depositor ore marked A estimated at 250,000 tons.

Do do do do 13 do do 4,000,000 do

Do do do do C do do 2,000,000 do

Do do do do D do do 5,000,000 do

Calculatiou made, 7^ cubic feet per ion.

There are also several small patches of ore cropping out
of the limestone on the hillside, which 1 think very proba-
ble all join beneath t*^e surface and form a very large mass,
as the surrounding rocks appear to over-lap the uro. Theso
it is impossible to give any estimate of with the present
information.

The above estimates, I think, will ultimately be found to

be far ander the mark, as the groat difforenco of elevation
of the deposits indioate to what a great depth the upper ore^
may extend.

I have the honor to le,
Gentlemen,

Yoars truly,
(Signed.) ' . G. HARGfiEAVES.

Analysis op Sample or Iron Oat (from Tkxada Island,
British Cohtmbia) received from A. Dk Cosmos
Esq., M.P.

This is a black magnetic ore of coarse-granular structure.

Average specific gravity =: 4"71. '

Average weight per cubic foot = 293J lbs.
1 ton of 2000 lbs. contains 6-81 cubic feet of solid ore.
1 ton of 2240 lbs. contains T-GSjcubic feet of solid ore,
Average composition (surface sample) :

Protoxide of iron 38-33

Sesquioxide of iron 6731

Oxide of manganese Trace onl^.

Tiunic acid Oil

Phosphoric acid 007

Sulphuric acid 0-09

Silica and siliceous rock-matter 3-97

99-88

These returns are equivalent to :

Metallic iron 69 per cent.

Phosphorus (0-030) )

Sulphur (0-036) } praticalljr —0—.

TiUnium (0-067) J

As shewn by the above analysis, this ore is of far more
than average quality, being very rich in metal, and at the
same time practically free from deleterious ingredients. The
pig-metal obtained from it would be fully equal to the best
brands of Lancashire Hematite or Bessemer Pig.
FDWARD J. CHAPMAN, Ph.D.,

i-rof :!!Sor of Mineralogy and Geology in University
College, Toronto, and Consulting Mining Engine a r
ToBOBTO, June 26th, 1874.

Pe.

''ation
rores

Letter of Prof. Chapman.

Friday Afternoon, June 26th, 1874.
Pear Sir,

I completed my analysis of your sample of Iron Ore
this morning, and I have now the honour to enclose you a
frUitcmont of the results. The amount of metallic iron in
the sample (69 per cent.) is higher than I expected ; but I
have contirme<i the determination by a second trial which
gave 68-94 per cent, practically the same thing. The ore is
thus not only very rich in metal, but it is also all but free
from deleterious matters, phosphorus, sulphur, titanium,
Ac. — at least, these latter are present in it in traces only.
A few streaks of pyrites may be found in it at lower levels,
however, as the sample consisted of partially weathered
fragments ii. which pyrites, if originally present, would be
oxidized and destroyed. I have added a few calculations to
the analysis, giving the weight per cubic foot, the number
of cubic foot (of course, in a solid mass) per ton, &c.

I have now two other iron ores under analysis, but I
leave Toronto, on business, on the 8th or 9th of July, and I
shall be absent, probably, five or six weeks.

I am. Dear Sir,

Yours very truly,
EDW. J. CHAPMAN.
A. DeCosmos, Esq., M.P.,
&c., &c., &c.,

Rossin House, Toronto.

DR. HARRINGTON'S ANALYSIS.

Geoi.ooical Scuvey of Canada,

Jdusetim and Office, 76 .V<. Gabriel St., Montreal,

April 2Ath, 1875.

Dear Sir,

At Mr. Selwyn's request I have determined

the proportions of iron and phosphoric acid in a specimen of

the magnetic iron ore brought by Mr. Richardson from

Tcxnda Island, B. C.

The percentage of iron ia 68-40— this calculated aa mag-
netic oxide gives 94-46 per cent.

The amount of phosphoric acid is exceedingly small,
being only 0-006 per cent.

If the specimen examined is an average of what could ho
obtained on the largo scale, the deposit must bo a very rich
and valuable one, or at least would bo valuable if a market
could bo obtained for it. ' ' •'''•''

I have the honour to be, . . '

,, . Your obodiont servant,

B. J. IIAKRINGTOX,

Chtmitl and Mineralogitt to the GeoloytdiL
Survey,
Hon. a. Db CoaxoB, M.P.

ir > I-
1 ;■ I

l(^

EXTRArT PROM THE ReI'oRT op Mr. JaMES RicRAROSON,
UATED, MONTREAI, MaY IST, 1874, PUBLISHED IN
Ge )L0aiCAL SURVEV, UePORT 1873-4, PAOE 99.

Iron Ore. On the south side of Toxada Island, about
three miles north-westly from Gillies Bay, and about seventy
paces from the shore, a small ex))osurc of magnetic iron oro
was mot with, associated with a coarse-grained epidotic rock,
and grey diorite. Immediately north of this oxix>sure tho
ground rises steeply to about 450 feet above the soa. IIoio
on the eastern and south-eastern slopes of the hill, for 15i)
feet down, and extending from 200 to 250 feet in length, is
an exposure of rich magnetic iron oro. On the out-crops
facing to che north-west the ore-bed which dips from S. 58^
E. to E. <25° — 30° is seen to be from twenty to twenty-livo
feet thick, and to rest on groy crystalline limestone, with
which, for about two feet down, are interatratified bands or
ore, of from half an inch to one inch in thickness. The hill siii
rises to the north and north-east, but along tho flank, and ai,
about the same elevation, in a north-westerly direction lor
nearly a mile, the ore is occasionally seen, and in one i)hn.o
there is a continuous exposure of it foi about 250 feet, the bed

aijout

apparently varying in thicknoes from one foot to ten fe«t. In
the concealed intervals its course appears to be indicated
by a coarsely crystalline epidotic i-ock carrying ore in places,
bnt with the grey limestones apparently overlying it to the
north-east, and the grey and green dioritic rock beneath it
to the southwest. Where the ore-bed is exposed in this
part of the hill a similar arrangement of the bods is observe<i,
and what here appears to be the base of the limestone
exhibits interstratifications of ore similar to those doscri bed
at its summit in the first exposure. An overturn dip is
probably the cause of the apparent differences in the
arrangement of the beds. In a north-eaetorly direction
from the first noticed exposure for a quarter of a mile no ore
is seen, after which it is again found, at first in irregular
patches mixed with epidotic rocks, and then, its course
becoming more northerly, for more than half a mile the bed
presents an iiTegular surface exposure of from 600-900 feet
of nearly pure ore. In this part the dip could not be ascer-
tained with certainty, and I am therefore unable to estimate
the thickness of the ore. Loose pieces of limestone with
intorstratified ore-bands were found on the west side, while
to the east the ore is bounded by grey and green dioritic
rocks. • ',!. I

Circumstances did not admit of my remainiug on the
island long enough to trace the continuation of this valuable
<lepo8it of iron ore. Mr. Henry Trim, of Howe's Sound?
however, who has explored the island, informed me that the
ore is to be seen occasionally in considerable exposures to
near the north-east coast of the island, a further distance
of more than three miles.

These iron ores could scarcely be more favourably situated
than they are, either as regards mining, smelting or ship,
ment. There is deep water close to the shore, and wharves
might be easily and cheaply constructed, at which vesseU
could always load in safety, except during the heavy south-
east winds which occur occasionally from the middle of
September to the end of March. But during these, Grillies

Bay, only three miles dlHtant, would afford a safe and con^
venient harbour of refuge. There is aluo another harlx>ur
at the north end of the iHland al.Hiut Hovon miles diHtant
which would afford shelter in ail weather. The site of the
ore is eighteen miles from Comox Ilarbour, twenty -«ne miles
from Deep Bay, and about twonty-threo miles from Fanny
Bay. Those are all good and safe harbours, and are only a
short distance from the productive coal seams of the Comox
area. In the event of charcoal being roijuirod for smelting
the ore, abundance of wood suitable for making it can bo
procured on the island. ;.,,,. t ' ■'

Extract trom Mr. ♦ Watson's Report, to the proprie-
tors OF the Texaka Iron Mines, Jlly 9, 1874.

The out-look from that portion of the southern shore of
Texada Island, whore the iron deposits arc, is first the Gulf
of Georgia, there about 12 miles wide. This bounded by
Lasquoti Island on the south-east, which with Texada com-
pletely shelters this ])art of the Gulf from east and south-
cast winds. The immense breakwater, Vancouver Island,
with its snow-clad ranges, shuts out all the ocean storms
from the south and south-west. Valdoz Islands protects it
from the north-west. Texada on the whole is low: at the
west end very low. The unbroken wall of the coast range
Cascade Mountains, on the mainland of the continent which
has noopening from Howe's Sound to Bute Inlet, completely
protects it from the cold winds of the north.

. ' Climate.

Lying in the lap of the great valley of the Gulf of Georgia,
Texada Island has a climate drier than Victoria, and much
warmer. The Indians and whites who have been in Texada
in winter say snow seldom fails and never lays. I am fam-
iliar with the bay of San Francisco. This gulf is not so

• Mr. Watson is not a professional mining engineer ; but has had a long
experienae ai a worker in iron, and was svlect«d to locate the Texada Irou

1(1 corN
arlK)ur
(liNtant
of tlio

Fanny

only a

Comox

elting

e»n bo

rough as it \h. Want of wind is the trouble I havo found in
every month. ,

Indian Labor.

The Indians on the mainland from Burrard to Bute Inlet
are under Catholic misHionary influence. They arc increas-
ing fast. Cause : moral habits and no wars. They are anx.
ious for work. When started to work young, they keep
steady at it, and make first class workers, as can be seen in
the saw-mills. These Indians are spirited ; more like the
Irish. They will when trained make splendid makers of
blooms. All operations in iron-making requires a little
" vim " in a man ; and they have it. Thoy are easier to
mancgo than the English or Scotch.

BOUNDABIES — LiMK.

About 25 chains from the sea-shore on its west end, and
80 chains on its eaet end, is the length of north and south
lines from the shore. The enclosing line or back one is 1^
mi'e long, running east und west along the divide, hero from
800 to 900 feet above the sea level, and passes through pure
lime»t^;ne. I havo been more than once deceived by its
softness, thinking I had got gypsum. When assayed and
teste<l, I always found it a pure carbonate with a trace of
silica.

Iron Deposit.

Inside, or south of the rear line two or three chains, iron
breaks out on the surface in spots, like big mole-hills strung
along. The large and heav}' deposits shewn on the surface
are all within about 25 chains from the sea-shoro, and show
nearly continuously the whole length of the tract. Where
not shown on surface, the needle-dip would indicate that
they are beneath: in fact it dips down nearly everywhere
over the whole tract. On the shore, and nearly equidistant
from the east and west ends, two deposits no^rly run into
the sea. One of them is about 600 feet above sea-level, and
is just 18 chains from centre to sea-shore. A little to the
west, but almost at its foot, there is a smaller one 200 feet

high at its highsnt point. Itsfllnpefl down till the topof tho
vertical cliff is just 104 feot above tide-water. LimeHtotie
irapregnate<lwith iron shows on the face of the cliff to within
60 feet vertical above tidal-water. Below that it is marke<l
with a wall of intruaive rock, tho iipjier portion of which has
fallen off and left it bare. Back from the face of the oliff 165
feet the pare black ore shews on the surfaoe.

Anchoraoi.

Right in front of these deposits, tho anchorage is a good
blue clay bottom. The position is sheltered and favorable
for building a wharf. A few hundred feet from the face of
the cliff will take you into deep water. That and a few
mooring buoys are all that will bo required for loading and
unloading.

Right in front of the tai'ge deposlta, the shore cliffs are
lower : I guess them at 60 feet above tidal water.

LiMEHTONi — Iron.
The iron deposits are all in limestone, and the limestono
close to them is discolored, full of grains and shots of iron.
A large tract in centre is pure black ore, gradually shading
at the sides into pure limestone. Little dabs of hematite
show themselves here and there. Such ore as this can easily
be picked so as to make it self-fluxing. " ■ •**

Mining.

As to mining, of coarse, it will be worked in step^; like
any other quarry. There are lota of ore lying loo.-ie now.
Its height, proximity to the point of shipment, with the use
of a power-drill with nitro-glycerine or its safe compound,
such as Hercules or Giant, will make tho cost of mining and
handling the ores, ridiculously low. If there is aay rubbish
the sea in near to chute it into.

FtJIL.

Fuel. Charcoal for instance : There is any quantity of
wo«d on Texada Island. Tho Iron mines arc also within
■tt.»y reach of millions of acree of forest along the Inlets and

of tho
estone
within
arke<l
ich ha-<
iff 165

Hounde of the mainland. Chioamoo mak« charcoal for 8 to
y centu a lubbel. ^ -j,, .^, >

Coal Miasubxs.
I have found the true coal meaaure* od tho Hamo side of
the luland as the iron, but three miles diHtant. They lay
ulmoHt horizontal. I cAa find no np-throw anywhere. To
here and uink ia tho only way to prove tliem. AcroHfl the
Gulf of Georgia about 16 to 20 milea, at Cumox, Baynes'
Sound, and Deep Bay, there in a fine up-tbrow of coal veins.

Latitudi.
The latitude of the Texada Iron Mines are about three-
quarters of a degree north of the American boundary lino or
49th parallel, and 120 miles of navigation from Port Town-
Hend, the port of entry for Washington Territory.

Branch Works.

It will be a subject to consider, whether under tho exist-
ing status, the iron works should not be located, or at least
brunch works, inside of the United Statea boundary. The
duty saved would be immense.

The ore and flux to make a ton of 2240 lbs. could be carried
at the present rates for $1.50 to tho nciirest point in Wash-
ington Territory, and for $2.60 to Port Townsend ; but
freights will come down.

The steady lumber trade from Puget Sound, W. T., affords
a quick and ready chance to ship at low rates to San
Francisco, and all ports on the Pacific.

The water-frontago of Puget Sound is an immense site for
works and easily reached.

Charcoal facilities are as abundant there as in British Col-
umbia. Coal may be carried at $1.50 to$1.75 from Nanaimo.

Is ^ Markets.

The millions of Engli i speaking people strung along

from San Diego to Bchrihg's Straits, coti-juine more iron per

head than the like number of p(3')ple anywhero else in tho

world. Pounding and grinding quartz wears away and

destroys a great deal of iron every year. The wearing out
of rails is also just beginning to be felt. All commercial
buildings are mainly constructed with iron. The stove,
agricaltural machinery, and machine business generally,
languishes on this ooastfor want of a supply of cheaper iron.
The San Francisco rolling mill — the only one on the coast —
commenced puddling within tho last twelve months. Thoy
worked with scrap bofore. Thoy have l)een on the whole an
immense success; but are cramped for want of material at
lower rates. The West Coast of Mexico, particularly Jalisco
and Durango, consume a largo quantity of iron. British
Columbia and Washington Territory are light on iron. Still
they are something. Tho lumber business with Peru, Chili,
Guatemala, West Coast of Mexico, Australia, New Zealand,
Hong Kong, Shanghai, Sandwich Islands and Japan, affords
opportunities to make shipments of iron at low freights.

Ma. Wm. JEFFRAY'S ANNUAL IRON REPORT.

to the iron importers and foundrvmen of .s.vn francisco:
Gentlemen :

I herewith submit to you an a reference, my Annual Re-
view of the Pig Iron Market of San Fi'ancisco, for the year
ending December 31st, 1874.

The monthly quotations given bolow will show a marked
fluctuation during the year. The extremely low prices in
May were caused by a forced salo of GOO tons of different
brands which were offered on the market for over two
months, causing a decline from 845.00 to 835.00 per ton.
Upon the disposition of this, tlio market rallied and gradually
advanced.

The consumption this year shows an excess of 5,694 tons
more than 1873, caused by extensive buildings being erected
here, and large quantities of mining machinery being ship-
ped inland. The importations as shown below vary but lit-
tle from lb73.

)Ut
IV6,

Oregon has shipped to San Francisco 1,404 tons of Soft
Iron of home production. This Iron is said to be improving
in quality. There have also been larg3 importations of
American Soft Iron during the year, the consumption of
which some of the leading Foundrymen favor very much.

There has also been molted during the year about 600 tons
of Shot and Shell, not enumerated in the annual consumption
below of Pig Iron.

Large purchases of Scotch Iron have been made " to
arrive" for 1875 delivery, at from «!38.50 to 845.00 per ton
for Soft, and $36.00 to $4.3^.00 for White. American Soft has
been sold at $40.00 to $43.50 per ton " to arrive," already en
route.

The following will give the monthly quotations for the
year 1874:

Scotch Soit.

Per ton.

January $47 6) to 50 00

February 49 50 to 46 50

March 4t 00 to 42 00

April 43 00 to 40 00

May 39 00 to 35 00

June 38 00 to 42 00

July 41 00 to 42 50

Augugt 45 00 to 46 00

September 46 00 to 8tea<ly

OctoV)er i'l OOtoiteariy

November 46 00 to 47 00

December 46 00 to 50 00

K.NOLiBH A.vD American Whiti.

Per ton

Jdiniary $50 OOtoateady

February 49 00 to 50 00

March 45 OOtoateady

April 38 OOtoateady

May 38 OOtoateady

June 38 00 to 39 00

July 38 00 to 39 00

Augnit 38 00 to 39 00

September 38 00 to 39 00

October 38 00 to 39 00

Xove,-E')er 38 00 to 55 00

December 55 00 to 60 00

American 8oft fluctuated from 845.00 to $43.00 during
tho year.

I find tho stock of Pig Iron on hand January Ist, 1875, in
all 1,.'J84 tons Soft and 197 tons White, as per statement
boiow, being 6,402 tons loss than the stock on hand January
l.st, 1874.

Stock of Pig Iron on nand January lat, 1871 7,786 tons.

IMPORTATIONa OF 1874.

Scotch Soft, 1,703 tons, Scotch Wliitc, 260 tons.
Am. Soft, 1,447 tons, Am. White, 400 tons.
Oiegon Soft, 1,404 tons. Am. Gray, 200 tons 8,414 tons

16,200 tons.

'i (

DiTltLED ACCOCBT OP StOOI 0» HaxD JaNUART liT, 1875.

In Importer's bands, Scotch and Amwican Soft... None.

" " " >' White " ♦ '•.

In /oundrymen'* and Jobber's hands, Scotoh Soft, . ' *, • ,' •

987 tona; American Soft, 200 tons 1,187 ton«. ■ i ,'

In Foundry-men's and Jobber's bands, Scotch

White, 97 tons ; American White, 100 tons 197 tons.

1,384 tons

Consumption of 1874— White, 2,6<D3; Soft, 12,813 14,816 tons.

The above synopsis shows the consumption of 1874 to bo
5,694 tons in excess of 1873, and the importations of the
year to be only 77 tons more.

Yours, very respectfully,

WILLIAM JEFFRAY,

Metal, Coal anf' lerchandiae Broktr,
Office, Merchants' Exchange Kooui.
San Fbamcibco, January Ist, 1875.

Extract from Mr. Richardson's Report on Union Coal
Mink, Co.mox, pcblisued in Ge jloqical Survev,
1872-3.

' From the outlet of Puntledgo Lake a bearing of S. 48*^
E. strikes the extremity of the line of the proposed tramway
to the Union Mine, on the south side of the lake, and about
a mile from it, the whole distance being about two miles
and three-quarters. A section occurring ac this mine in
an almost perpendicular cliff, fron> the face of which a
landslide had carried away all the trees and loose soil on the
north side of a small stream flowing into the Puntledge Lake,
■was given in last year's Report (Report of Progress 1871-7 -,
p. 77). But most parts of the cliff being out of roach, tho
thickness of many of the beds could only be ascertained
a}iproxi mutely, having been merely estimated by tho eyo.
A more favorable condition of the weather on the prosent
occasion permitted me, by the aid of a rope tied to a tree at

th« top of the cliff, to descend the whole face, and obtain
exact measurements. The following is a corrected section in
a-jC#ndiDg order ; —

Section 3. » •■ "!

Ft. Ins.
Brownisb-grej, or light drab sandstone, and black argillaceous

shales, interstratified with one another, :iad both holding

flattened stems of pla'<ts 6

Coal (1). Of a dull earthy aspect, and containing upwards of
twenty per cent, of ashes by Dr. T. Sterry Hunt* s Analysts
(Report of Progress, 1871-72, p. 99) 2 6

Coal {2). Clean and bright 7 6 10

Brownish-black argillaceous shale 7

Cooi (3). Clean and bright 3 4

Brownish-black argillaceous shale 2 6

Coal (i). Clean and bright l 6

Brownish-black shale 1 3

CoaZ (5). Clean and bright 15 9

Brownish-black argillaceous shale, interstratified with brownish
sandstones and brownish-yellow-weathering, hard, ferrugi-
nous beds from two to four inches thick 11 3-

Coal (6). Clean and bright. This seam occupies the face of
the cliff for a distance of only twenty feet, coming from the
right, and then terminates somewhat abruptly, the correi-
ponding space on the strike to the left being filled with
black argillaceous shale, holding interstratified thin seams

of coal 2

Brownish-black argillaceous shale 2 9

Coal (7). Clean and bright. This seam occupies the
cliff for sixty-six feet coming from the right, and then
terminates somewhat abruptly like the previous one ;
but on the right hand, there occurs in it a band of
brownish-black, argillaceous shale, two I'eet thick,
with thin patches of coal, and occupying about
twenty-five feet on the strike, with about three inches

of coal above and below 2 6

Brownish-black argillaceous shale 3

Coal (8). Clean and bright, varying in thickness from
five to twelve inches, from inequalities sometimes at

the top and sometimes at the bottom 1

Brownish-black argillaceous shale 4

C'oai (9). Clean and bright 1 6 13 »

Brownish-black argillaceous shale 16

Coal (10.) Clean and bright 2

Brownish-black argillaceous shale 6

Coal(n). Clean and bright 4

Brownish-grey or drab sandstone, slightly calcareous, the
somewhat fine grains of which are composed of quartz,
feldsi^ar and a little mica, with small black flakes coaaisting
of argillaceous or carbonaceous shale. The mass is divided
into beds of from one to five feet thick, some of which shew ■
false-bedding 30

The deposits of this section refit visibly on ttie crystalline
rocks which pave the brook at the foot. The course of the
brook is pouth-east and north-west. In the former direction
these rooks rise gradually higher among the coal-bearing
strata, and at the distance of about a quarter of a mile up
the brook, reach to ^thin ten feet of the sandstones at the
Hummit. Between the sandstones and the crystalline rocks
there occurs a coal-seam in the brook, of which the thick-
ness could not b« ascertained!, owing to the depth of the
water; beyond this the strata are concealed. Down the
brook to the north-west, the crystalline series is exposed for
ttbout sixteen chains, and thirteen chains furtl.or on, a coal
seam of four and a half foet^w is la«t year vi.siblc, dipping
N. 48° E. <11" ; but at the present time was covered up by
a slide. At seventeen chains across the measures to the
right, two additional coal-seams were observed, with an in-
terval detweon ihem of 192 paces, dipping in the same
direction, the lower one two feet thick, with an inclination
of five degrees, the upper one three feet thick with an in-
clination of eleven degrees. , .., i,

The following is a diagram of the section as seen in the
face of the cliff for the bread'h of the slide, on a scale of
one two himdred and fortieth (iy^th).

A.'vA>;>"

SSSFE

ai»

Stale 2-«o

3Q.

•la

sa ^„ .. M

-u

Extract from appendix to Mr. Richardson's Report, by
Dr. B. J. Harrington, Chemist and Mineralogist to
THE Geological Survey.

The Coals of the West Coast.

In the Report of Progress for 1871-72, page 99, there
appeared a series of analyses of coals from Vancouver and
Newcastle Islands, by Dr. Hunt. Since these analyses were
made, however, Mr. Richardson, has brought other samples
of the bituminous coals from Vancouver and NewcaHtle
Islands, as well as of the anthracite from the Queen Char-
lotte Islands ; and an examination of these has been deemed
desirable, inasmuch as they are, for the most part, from
ditterent seams or different localities from those oxamin :
^ast year.

I have only made proximate analyses ; and as most of the
sample-i were weathered, and the pyrites converted into
peroxide of iron, determinations of sulphur would have
been but of little value, and have, therefore, been made in a
ew cases only.

I shall first give the analyses of the bituminous coals, and
afterwards tho.se of the Queen Charlotte anthracite.
Bituminous Coals.

I. Lower seam, Union Mine, Comox,

On referring to Mr. Richardson's report, page 33, section
3, it will be seen that the Lower or \0 feet seam (1.) at the
Union Mine consists of two and a half feet of a dull, earthy
coal, and seven and a half feet of clean and bright coal.
The sample examined by Dr. Hunt was from the earthy
portion, and contained 21-60 per cent, of ash. That which
I have examine-! was fi'om the upper and better portion of

the seam. Its analysis gave :

Slow Coking. Fast Coking.

Water* 1.70 1.70

Volatile combugtible matter 27.17 32.30

Fixed carbon 68.27 63.os

Ash 2.86 2.86

11 10.00 100.00

'Loss at 113' C in all tiie analyses.

Slow Cooking. Fast Cookinir.
Coke 71.13 85.94

B»tioof volatile to fixed cocibusiible. 1:2.51 1:1.95

The sample was weathered, rather brittle, and stained
with oxide of iron, though bright upon fresh fracturef?.
The p»wder, when slowly heated in a crucible, did not
agglutinate ; but, when rapidly heated, waa converted into a
tolerably firm coke, Aah brick-red.

II. Union Mine, Comox. Seam 1 1, section 3, p«ge 38, of
Mr. Richardson's report.

This sample, like the last, wa.>j a good deal stained with
oxide of iron, though bright upon fresh fractures. It was,
however, much firmer, and contained a little mineral char-
coal.

When slowly heated the pulverized coal agglutinated
slightly ; but when rapidly heated gave a drm though rather
dull coke. Ash pale brick-red. ; •

Analyses by slow and fast coking gave :

Slow Coking. Fast Coking.

Water i.34 1.34

Volatile combustible matter 28.11 30.01

Fixed Carbon 67.72 65.82

Aab 2.83 2.83

100.00 100.00

Coke 70.55 68.85

Rate of Tolatile to fixed combustible 1:2.41 1:2.12

Exthacts pbom Lkttkb of Capt. W. K. Clarke,* DoMiwiotf
Stbamkb Sib James Douglal, to Hon. A. DbCosmos.

Victoria, V. I., 2lst July, 1874.
"With reference to Union Coal Mine situated at Comox,
it comprises 1,000 acres in all. No shaft would be required
to be sunk, but simply the coal tunneled out. There are
31 feet of coal visible. It is 5^ miles from Port Augusta,
with a good harbor. The road has been made for uearly 3^

* Capt. Clarke ia one of the shareholders.

miles, and up to now ovor $11,000 has been spent. The road
80 far from beach to mine can't be beat. The land has been
eelected and surveyed, and the Crown grants f will be re-
ceived in a few days. The Company consist of eleven mem-
bers, and are incorporated as a Joint Stock Company with
a limited liability of twenty-two thousand dollars. I may
tell you that yeeterday a piece of property was sold at
auction, 100 acres of coal land (only supposed) and bought
at $250 per acre, $25,000 for the 100 acres. Now I have
only io say that if the Rippon estate is worth $25,000, the
Union property is simply worth ten times the amount. * *
If it is worth one cent it is worth $100,000.

At the beach or outlet into the harbor, there is a claim of
1<50 acres for a depot, chute, wharves, &c., and as if intended
by nature that the coal should bo shipped in that way, the
bank rises gently along the boach to the beginning of tho
road — a distance, perhaps, of 90 yards — to a height of about
70 feet, making a splendid incline for chutes to dump the coal
on the end of the wharf ready for shipment, and thus
obviating the necessity for shoveling, handling, &c., screens
or iron bars being placed in the bottom of the chutes. By
this means the coal would also be screened. The locality
around the mine also abounds with the finest white pine,
cedar, and other timber. Iron is also close or mixed with
the layers of soil or sandstone, that is between the seams of
coal. Thus by working coal, iron could be worked at the
same time. Or should Toxada Iron ever be worked, the
Union Coal Mine is not more than twenty miles from it.
Any company purchasing the property would have a splendid
locality to work in for another reason : there are thousands
of feet of lumber that will be required for the inhabitants
of Comox District, — all of which could be sawn by tho
company, and thus prevent any competition from elsewhere.

I have gone minutely into this description for your own
special behoof. I am certain it is the most desirable property

t Since issued.

31
in Vancouver Iwland or British Columbia, Tho navigation

CONSUMPTION OF COAL SAN FRANCISCO. ' '

The following gives the comparative importa into California for —

1873. 1874.

Foreign. '' ' •' Tont. Tout.

Australian 96,435 139,109

English 52,616 37,826

Vancouver 31,435 51,017

Chili 400

Japan 50

Eastern.

Anthracite 18,295 14,263

Cumberland 8,857 15,475

Domestic.

. . Mt. Diablo 171,741 206,255

Coos Bay 38,066 44,857

Bellingham Bay 21,211 13,685

Seattle 13,572 9,027

Kocky Mountain 1,904 433

Totals 454,582 631,947

; Increase, 1874 77,365

Tho old " Nanaimo " mines of British Columbia have
yielded liberally during tho year past, and since September
last a new mine, the " Wellington," has contributed some
12,000 tons to our supply finding ready sale, all being of
good quality for household purposes, price $11, ex ship.
The resident agents say they hope to reeeivo a monthly sup-
ply of 4,000 tons Wellington during 1875. The Ga.s Com-
pany is a larg« consumer of Nanaimo, &c. — <Si. F. Commercial
Herald and Market Record, Jan. 14, 1875. »

Extract from Prosi'ectus op Ottawa Iron and Steel
Manufacturino Company, Page 11 :11 : —

'•''"-•'' 'West Point Foundry. ''"
. ',^!,!'T !■',,' ',:.,.' Cold Springs, N.Y.,Oct. 30, 1873.
Cost of labor to produce, say 30 tons of iron per 24 hours.

Assuming 340 Avorking days in one year, - 340 x 30 = 10,200

ons.

2 Miin Keepers at 92.50 por day 85.00

2 Helpers to Keepers " 2.00 " 4.00

2 Top Fillers " 1.50 " 3.00

8 Stock Men " 1.00 " 8.00

4 Laborers ' " " 1.00 " 4.00

3 Cinder Men " 1.00 " 3.00

1 Blacksmith " 2.00 " 2.00

2 Weighers " 1.50 " 3.00

2 Teamfiters ■ " 1.25 " 2.50

2 Engineers, one 82.50 and one 82.00 4.50

Total 839.00

The above estimate was made by Mr. F. Hampf, who ia
regarded as one of the best authorities in the United States
on blast furnaces ; and with a S2-ton blast fumaoe the labor
at Cold Springs, N.Y., would cost 81.30 per ton.

METALS IMPORTED IN SAM FRAVCISCO LV 18T4.

Imports. 1873.

Iron, Pig, tOM 8,126

Bar, bars 206,803

PUte,pc8 13,348

VariooB, bdls... 15,049

cs 793

pel.... 15,100

1874.

8,465

118,571

31,642

2,418

771

1,396

Imports. 1873.

Tin Plate, bxs 50,891

Steel, eg 1,409

bdlB 7,767

Sheatbiog Metal,

CB 894

1874.
80,253

1,271
11,246

775

-S. F. Commercial Herald^ Jan. 14, 1875.

HARDWARE AND NAIL TRADE, SAN FRANCISO,

CALIFORNIA.

Extract from <S'. F, Commercial Herald and Market Review, Jan. 14, 1875.
NAILS—

Imports.* 1870. 1871. 18"'. 1873. 1874.

Kegs 103,8.30 1!50,213 225,000 129,00» 215,729

On the iBt Januar/, 1875, the stock of nails carried over from 1874 was
estimated at 28,000 kegs, against 33,000 carried over ft-om 1873 to 1874.
Ruoeipis during 1874, bj sailing vessels, were 153,164 kegs, hj steamer ria
Panama, 57,692 do., and hj railroad, 4,108 do. Toul imports for the year
1874, 214,964 kegS, against 129,000 kegs imported during the year 1873^
On the iBt January, 1875, we had manifested on the way from Eastern ports
19 sailing ressels, with 48,939 kegs, and City of Pekin, one steamer, 1,659
do. Total, 19 ressels with 47,623 kegs. There are now on the way 47,623
kegs, and the stock here is 28,000 do., making in all 75,623 do., to supply the

requirements of this market for the next four months, or an arerage of
1R,906 do. p«r month, against a stock of 63,000, or an average monthlj of
1:5,000 do., for a similar period last year. There were imported during 1874,
214,91)4 kegs, to which add stock on 1st January, 1874,32,000 do., giving us
a 8upi)ly of 240,964 do. for the year just ended. From which deduct the
stock curried over to 1675, 28,000 kegs, thus showing a consumption of
218,964 do. for the year > 1874, or a monthly average of 18,247 do., against a
consumption of 160,000 do. in 1873, or 12,500 do. per month. From the
Ibrogoing it will be seen that the consumption of nails last year was nearly
09,000 kegs over that of the preceding y<iar. But the prices obtained, ex-
cept for the first four or five months of the year, were not satisfactory, and
were unprofitable both to the importer as well as to the manufacturers who
shipped here on their own account. The invoice prices from January to
March were $5 tof5.12j basis; in April, $5 to $4.75; in May, $4.75 to
S4.60; in June, $4.02* to $4.60; in July, $4.50 ; in August, J4.25. From
September to end of December prices ranged from $4.35 to $4 and even a
shade under.

Average consumption per month for the last twelve years, 12,135 kegs
of nails.

In staple goods, the decline' in nails was more marked than during the
previous year.? Commencing with $5.25 for a basis, the price haa gradu-
ally fallen to $4.25, with rumored sales of a round lot at $4. The reduc-
tion was hastened somewhat by the increased importations, 214,964 kegs
for 1874, asagainat 128,207f kegs for 1873. Bar|,iron being controlled by a
combination has ruled at about 4jc. for the year.

One feature of the trade has been the growing demand fcr American
Hardware to the exclusion of foreign.

Iron. — The demand for bar and bundle j'ron for the'past year has been{lim-
itcd. The supply has been in excess. One great industry, which consumed
large quantities of tire iron, springs and axles, has nearly died out. We refer
to the making of farm wagons. Formerly these necessary articles were
made in this State. ■ Now the Western States are sending in large quanti-
ties. J Hardly a day passes without thearrivalofone, two, or three car-loaus
of wagons. With the low costjof coal, iron, and wooden material, these
articles can be^mauufactured and sold here at two-thirds the cost of the
home-made article. Iron for bridge work is furnished by the Rolling Mill
cut to lengths, screwed, and threaded, which necessarily shuts oft' the trade
in the imported article. Dealers in irou claim that the rapid communica-
tion by rail induces small purchasers to place their orders with the manu-
facturers in Pittsburg, buying at as low' rates as regular dealers. Coopers
combine and make up an order for a car-load of hoop iron ; and consumers
of plate seek Pittsburg for their supply, in place of depending upon this
market. Prices have declined during the year, and the bottom is not yet
reached. The introduction of American steel of all grades into tliis market
has been the feature of this lino of trade during the iiastyear. The sup-
ply of English has becn'.h'rge, and the competition lively. Nevertheless,

the American inftnufactuRd articlo bag come forward and made a name
and trade for itaelf. American manufacturer!! can and will supply this
roi *ket, ae the future will tell. Larger and more complete stocks will
arrive at an early date, and a further decline in price may be confidently
looked for. Importers of Knglish 8tecl protest against the present low
prices ; but home manufactu<^r8 are disposed to be satisfied, and will short-
ly reduce prices. The agency of the Pittsburg Steel work has a large sup-
|ily on hand, and we qiota pricej as follows, being of best quality refined
cant Hteel, and warranted equal in quality and uniformity to any imported
or made in this country : Octagon, i) to Ijf inch, 16jc. ; Square, ^ to 2 inch,
'H to 3 inch, 3i to*4 inch, IG^c. ; Machinery Cast Steel, Round, j to 2, 2} to
3, 31 to 4, 14}c. ; Extra Quality Cast Tap Steel, all sizes, 16c. ; German Plow
Steel, all sizes, O^c. ; Diamond Plow Steel, all sizes, SJc. ; Toe Cork Steel,
all sizes, 10c. ; Tire Steel, i thick, all sizes, 12jc. ; 3-lU thick, ^and | thick,
all sizes, 10c. ;Harrow Tooth Steel, all sizes, d^c. ; German Steel, Hammeredi
all sizes, 12 jc; SpringSteel, all sizes, 10c. ; Cast.Spring Steel, all sizes, 12}c.