California Mining Journal (PH 16-13)(March 1943) (36 pages)

Two California Mining Journal, March, 1943 THE WELCH EXPOSE How encouraging, yea, how inspiring, to read in your February issue your comment on the Welch expose of the stranglehold which Big Business has exercised upon the development of our Western strtaegic mineral resources in which you say: “The accompanying speech, delivered by the Hon. Richard J. Welch, brings out indisputable facts which prove that in order to keep the steel business of the nation under control the big steel companies are imperiling the protection of our Pacific Coast and making it harder for us to win the war against the Japanese. The entire West should congratulate Mr. Welch on the stand he is taking and consolidate in a move to back him in his attempt to obtain the proper defenses for the West so that never again will our coast be left wide open for attack as it was following the shameful disaster at Pearl Harbor. Who are those in Washington that are allowing such conditions to prevail? And why is it that only one congressman out of nearly 600 has the bravery to say anything about it? etc.” I agree with you heartily in this observation and pledge you all the support that it is within my power to deliver in any move that you may initiate to back Congressman Welch up in his efforts to obtain proper defense for the West Coast. But we want something more than proper defense; we want our domestic mineral resources developed so that not only will our coast never again be left wide open to attack, but that we can take our manufacturing place in the sun along with other American states who have suffered, as we have suffered, from this intolerable monopoly of strategic mineral production by the International Cartels. In this connection the writer believes that you will be interested in the attached copy of letter which is going out this day to Congressman Halleck, of Indiana, who, like Congressman Welch, is raising his voice in the House Small Business Committee against the tyranny of Big Business monopoly. This letter is as vital as it is self-explanatory and well worth your time to read. In doing so, however, the writer would not have you get the erroneous impression that in thus “sticking out his neck” in an effort to place the responsibility for this sabotage in the development of domestic industry squarely where it belongs—on the shoulders of those who surreptitiously represent Big Business and the International Cartels which are not only responsible for this war, but who now seek, through the destruction of Small Business and the Middle Class, to extend their dominion over the entire world. He is not laboring under any delusion that he can change the spots of a leopard, or that he can, without the aggresSive support of influential leaders, both in public and private life, succeed in the efforts now being made to organize the socalled Little Business man into a fighting force for the preservation of Free Enterprise in America under our Constitutional Republican form of government, He does believe, however, that, fortified : £ y resist the thinly disguised effort by Federal Bureaus to reimpose upon the American people, under guise What the Other Fellow Says: of war necessity, the outlawed NRA program of alien inspired regimentation as the principal arm of their offensive against Little Business and the Middle Class, such as this country has rarely if ever witnessed, He submits that this—the survival of Free Enterprise in America, and the Middle Class —is the foremost issue before the American people today, and that no public servant who values the high state of trust and responsibility he now enjoys, can aftora tv identify themselves on the negative side of this issue—S. H. Foster, Pres. First National Defense League, 3809 MacArthur Blvd., Oakland, Calif. WASHINGTON COCKEYED CALCULATIONS If you want to get up against some cockeyed calculations just try to get Washington interested in a mine in which the values are in lead, zinc, gold, and silver, all combined in thea same ore—a very ordinary and common situation. Lead is not badly needed and silver and gold are “contaminating” metals, according to Washington reasoning. While it may be true that the lead, silver, and gold do add to the dollar value of the product and make it possible to mine ore at a profit which could not be mined if the “contaminating” metals were not present, that fact is not taken into consideration. All calculations are based on the amount of the zinc or other strategic and needed metal contained, and, in measuring the feasibility of the proposal the swivel-chair economists determine the amount of zinc which may be made available and charge the whole financial assistance, the manpower needed, and the critical materials required against that one metal. Even though considerable quantities of zinc may be obtained, it has to stand on its own feet as a zinc mine without regard to other contributions to its value, If the zinc alone will not carry the load of finances, manpower, and machinery, it is out, definitely and finally. If any can figure out a proposition more ridiculous and less beneficial to the war effort, we would like to hear about it. We need the zinc badly, but we cannot let it be said that we let down the gold and silver boys because we permitted mining of gold and silver as a by-product of a strategic metal. We need copper even worse than zinc, but if that copper is in combination with enough gold and silver to assist in carrying the cost, the proposition is scrutinized very closely and with prejudice. Sometimes we wonder just why we are getting along as well as we are with so many blind and ignorant people leading us—CHARLES F. WILLIS, Editor, The Mining Journal, Phoenix, Ariz, FOR RECOGNITION OF MINES I don’t see how I could get along without the old Journal, so keep on sending it along. Enclosed is $2.00 for the next year. Keep the old Bawl Mill grinding; it’s bound to turn out a lot of good and will accomplish much for the mining industry, and the people connected with the various branches of the mining industry. Yours for the proper recognition of mines and minerals, in a free world of free peoples—-HARRY E. PETTIT, R. RB. Box 19D, Palm City, Calif. ALMOST UNBELIEVABLE Some weeks ago a bombshell was tossed among the gold mines by an order from Washington aimed at halting all gold mining in United States and diverting the gold miners and some gold mining equipment to non-ferrous metal mining purposes. The Northern Miner reported the order in its issue of October 8th, and shortly after the shares of Homestake Mining, biggest gold operation in the Western Hemisphere, dropped to $21% and most other gold stocks including Canadians took similar punishment. Subsequent events included an appeal by Homestake from the order on the grounds of futility and financial folly. Instead of the 20,000 men which WPB said it hoped to release for base metal mining, it turned out that fewer than 1,000 were <secured. The number from Homestake was infinitesimal. Eventually the board amended its order to permit Homestake to remain open in order to clean up its broken ore. Other exceptions were made as well and wholesale extensions of shutdown dates in the case of smaller properties were reported. Latest word is that many smaller mines are operating at or near their previous capacities and even at Homestake, where 60% of the men are still employed, it is said that at the end of six months the company will probably be allowed to continue its reduced operation. Meanwhile shares of Homestake have recovered sharply and sold this week in the thirties, a sharp reminder of the fact that it has taken less than three months to convince the authorities and the public of the futility and ineffectuality of the original order, Now, however, comes the final payoff. The almost unbelievable story has got around that the order to shut down the gold mines was actually issued on the recommendation of the Labor Division of the War Production Board, and back of the recommendation was the idea being that since the unions have never been able to organize the gold mining business in the U. S. or Canada, because of high wages paid and good working conditions, here was an opportunity to bring the gold miners into the base metal mining organizations where they would be subject to monthly dues, checkoffs, union discipline and everything. And all in the name of the grand and glorious banner of patriotism! The gold miners failed to fall for the bait. Instead of the expected flood of men from the gold mines to the base metal mines the majority of those deprived of their jobs took some other form of employment. Checkmated and fooled, the unions released their pressure on the WPB and now the word is that in a general way the industry is being allowed to continue its operations much as usual. The unions still have to get along without the gold miners’ dues—THE NORTHERN MINER, Toronto, Canada, December 3lst, 1942. MOST SATISFACTION IN 40 YEARS During the past 40 years I have taken a number of mining journals, but have never got as much satisfaction out of any of them as I have from the California Mining Journal. I have never known another editor who has tried so hard to do all he can for the miners as you have. Good luck, and keep it up.—HARRY SIBLEY, Happy Camp, Cal. We buy Black Sand and Placer Concentrates. Prompt Settlement. Ragooland-Broy Laboratories, 754 Natoma St. S. F. Advt.

Two California Mining Journal, March, 1943 THE WELCH EXPOSE How encouraging, yea, how inspiring, to read in your February issue your comment on the Welch expose of the stranglehold which Big Business has exercised upon the development of our Western strtaegic mineral resources in which you say: “The accompanying speech, delivered by the Hon. Richard J. Welch, brings out indisputable facts which prove that in order to keep the steel business of the nation under control the big steel companies are imperiling the protection of our Pacific Coast and making it harder for us to win the war against the Japanese. The entire West should congratulate Mr. Welch on the stand he is taking and consolidate in a move to back him in his attempt to obtain the proper defenses for the West so that never again will our coast be left wide open for attack as it was following the shameful disaster at Pearl Harbor. Who are those in Washington that are allowing such conditions to prevail? And why is it that only one congressman out of nearly 600 has the bravery to say anything about it? etc.” I agree with you heartily in this observation and pledge you all the support that it is within my power to deliver in any move that you may initiate to back Congressman Welch up in his efforts to obtain proper defense for the West Coast. But we want something more than proper defense; we want our domestic mineral resources developed so that not only will our coast never again be left wide open to attack, but that we can take our manufacturing place in the sun along with other American states who have suffered, as we have suffered, from this intolerable monopoly of strategic mineral production by the International Cartels. In this connection the writer believes that you will be interested in the attached copy of letter which is going out this day to Congressman Halleck, of Indiana, who, like Congressman Welch, is raising his voice in the House Small Business Committee against the tyranny of Big Business monopoly. This letter is as vital as it is self-explanatory and well worth your time to read. In doing so, however, the writer would not have you get the erroneous impression that in thus “sticking out his neck” in an effort to place the responsibility for this sabotage in the development of domestic industry squarely where it belongs—on the shoulders of those who surreptitiously represent Big Business and the International Cartels which are not only responsible for this war, but who now seek, through the destruction of Small Business and the Middle Class, to extend their dominion over the entire world. He is not laboring under any delusion that he can change the spots of a leopard, or that he can, without the aggresSive support of influential leaders, both in public and private life, succeed in the efforts now being made to organize the socalled Little Business man into a fighting force for the preservation of Free Enterprise in America under our Constitutional Republican form of government, He does believe, however, that, fortified : £ y resist the thinly disguised effort by Federal Bureaus to reimpose upon the American people, under guise What the Other Fellow Says: of war necessity, the outlawed NRA program of alien inspired regimentation as the principal arm of their offensive against Little Business and the Middle Class, such as this country has rarely if ever witnessed, He submits that this—the survival of Free Enterprise in America, and the Middle Class —is the foremost issue before the American people today, and that no public servant who values the high state of trust and responsibility he now enjoys, can aftora tv identify themselves on the negative side of this issue—S. H. Foster, Pres. First National Defense League, 3809 MacArthur Blvd., Oakland, Calif. WASHINGTON COCKEYED CALCULATIONS If you want to get up against some cockeyed calculations just try to get Washington interested in a mine in which the values are in lead, zinc, gold, and silver, all combined in thea same ore—a very ordinary and common situation. Lead is not badly needed and silver and gold are “contaminating” metals, according to Washington reasoning. While it may be true that the lead, silver, and gold do add to the dollar value of the product and make it possible to mine ore at a profit which could not be mined if the “contaminating” metals were not present, that fact is not taken into consideration. All calculations are based on the amount of the zinc or other strategic and needed metal contained, and, in measuring the feasibility of the proposal the swivel-chair economists determine the amount of zinc which may be made available and charge the whole financial assistance, the manpower needed, and the critical materials required against that one metal. Even though considerable quantities of zinc may be obtained, it has to stand on its own feet as a zinc mine without regard to other contributions to its value, If the zinc alone will not carry the load of finances, manpower, and machinery, it is out, definitely and finally. If any can figure out a proposition more ridiculous and less beneficial to the war

effort, we would like to hear about it. We need the zinc badly, but we cannot let it be said that we let down the gold and silver boys because we permitted mining of gold and silver as a by-product of a strategic metal. We need copper even worse than zinc, but if that copper is in combination with enough gold and silver to assist in carrying the cost, the proposition is scrutinized very closely and with prejudice. Sometimes we wonder just why we are getting along as well as we are with so many blind and ignorant people leading us—CHARLES F. WILLIS, Editor, The Mining Journal, Phoenix, Ariz, FOR RECOGNITION OF MINES I don’t see how I could get along without the old Journal, so keep on sending it along. Enclosed is $2.00 for the next year. Keep the old Bawl Mill grinding; it’s bound to turn out a lot of good and will accomplish much for the mining industry, and the people connected with the various branches of the mining industry. Yours for the proper recognition of mines and minerals, in a free world of free peoples—-HARRY E. PETTIT, R. RB. Box 19D, Palm City, Calif. ALMOST UNBELIEVABLE Some weeks ago a bombshell was tossed among the gold mines by an order from Washington aimed at halting all gold mining in United States and diverting the gold miners and some gold mining equipment to non-ferrous metal mining purposes. The Northern Miner reported the order in its issue of October 8th, and shortly after the shares of Homestake Mining, biggest gold operation in the Western Hemisphere, dropped to $21% and most other gold stocks including Canadians took similar punishment. Subsequent events included an appeal by Homestake from the order on the grounds of futility and financial folly. Instead of the 20,000 men which WPB said it hoped to release for base metal mining, it turned out that fewer than 1,000 were <secured. The number from Homestake was infinitesimal. Eventually the board amended its order to permit Homestake to remain open in order to clean up its broken ore. Other exceptions were made as well and wholesale extensions of shutdown dates in the case of smaller properties were reported. Latest word is that many smaller mines are operating at or near their previous capacities and even at Homestake, where 60% of the men are still employed, it is said that at the end of six months the company will probably be allowed to continue its reduced operation. Meanwhile shares of Homestake have recovered sharply and sold this week in the thirties, a sharp reminder of the fact that it has taken less than three months to convince the authorities and the public of the futility and ineffectuality of the original order, Now, however, comes the final payoff. The almost unbelievable story has got around that the order to shut down the gold mines was actually issued on the recommendation of the Labor Division of the War Production Board, and back of the recommendation was the idea being that since the unions have never been able to organize the gold mining business in the U. S. or Canada, because of high wages paid and good working conditions, here was an opportunity to bring the gold miners into the base metal mining organizations where they would be subject to monthly dues, checkoffs, union discipline and everything. And all in the name of the grand and glorious banner of patriotism! The gold miners failed to fall for the bait. Instead of the expected flood of men from the gold mines to the base metal mines the majority of those deprived of their jobs took some other form of employment. Checkmated and fooled, the unions released their pressure on the WPB and now the word is that in a general way the industry is being allowed to continue its operations much as usual. The unions still have to get along without the gold miners’ dues—THE NORTHERN MINER, Toronto, Canada, December 3lst, 1942. MOST SATISFACTION IN 40 YEARS During the past 40 years I have taken a number of mining journals, but have never got as much satisfaction out of any of them as I have from the California Mining Journal. I have never known another editor who has tried so hard to do all he can for the miners as you have. Good luck, and keep it up.—HARRY SIBLEY, Happy Camp, Cal. We buy Black Sand and Placer Concentrates. Prompt Settlement. Ragooland-Broy Laboratories, 754 Natoma St. S. F. Advt.