Principal Producing Cripple Creek Mines - 1898:

Name:
Owner: Rigi Group Gold Mining Co. (Ltd.)
Capital:
President:
Vice-President:
Secretary:
Treasurer:
Superintendent:
Manager: Charles J. Moore
Lessees:
Description:
Employes:
Contact:
Notes: situated on Battle mountain.

North American Gold Mining & Development Co.
4182. (Bridgeport, Conn.) Will you kindly give me a report on the North American Gold Mining & Development Co., 607 and 606 Kittridge building, Denver, Colo.? At 10 cents a share, is the stock a promising speculation?

Ans.: This company was organized in November, 1898, with a capital of 1,000,000 shares of the par value of $1 each, fully paid and non-assessable.

The officers are: president, Aubert L. Eskridge, of Kansas City and Denver; vice-president, Frank J. Gross, late of the United States mint, Denver, son of Frank P. Gross, assistant director of the United States Mint Bureau, Washington, D. C.; secretary and treasurer, Howard R. Burk, of Denver, formerly of the Archer & Pancoast Manufacturing Company, of New York city.
The directors are men of equal standing in various cities. The company's property consists of: first, a patented claim—the Douglas—about four acres in extent, at Caribou, Boulder county, in the near vicinity of the famous Caribou mine. The company is now clearing out the shaft of the Douglas, preparatory to development work, expecting to get similar ore to that of the Caribou, viz., gold, silver and lead.
Second, a three years' lease, dating from March 1, 1899, on a portion (representing nearly five acres) of the Rigi group, Cripple Creek, belonging to the Rigi Group Gold Mining Co. (Limited), of London, Eng.; a subsidiary company of the Anglo-Colorado Exploration Syndicate (Limited), also of London.

Our Colorado correspondent, having visited and examined this property twice on behalf of English people, is personally familiar with the ground, which is on the eastern slope of Battle mountain, its westerly boundary adjoining the 168 acres of property of the Portland Gold Mining Company, which has paid over $2,000,000 in dividends within the last few years.

The portion of the Rigi group leased to the North American Company includes the main workings and shaft of 300 feet deep. Inasmuch as comparative recent workings in the adjoining Portland group disclosed rich ore at a depth of 500 feet, the North American Company is further sinking the 300-foot Rigi shaft, which is expected to be 500 feet deep some time in August, when drifts will be run in the direction of the known rich Portland ore bodies, which are presumed to extend into Rigi ground.
If justified, sinking will be continued beyond 500 feet, as the adjoining Portland is over 900 feet deep and still in rich ore. In the meantime, drifting is being prosecuted from other points in the shaft.

Twelve men are now employed, the work being under the supervision of Mr. Charles J. Moore, mining engineer, who, as consulting and engineer of the Anglo-Colorado Rigi Group Companies, and also of the Portland Gold Mining Company, is necessarily familiar with every foot of the ground.
He estimates that the expenditure of from $7,000 to $10,000 at most will probably put the portion of the mine leased to the North American Company into an ore-shipping, dividend-paying position.

The drills are worked by compressed air obtained from the neighboring La Belle Power Company, Goldfield, and rapid progress is thereby made. It is proposed very shortly to increase the number of men employed. Every presumption is in favor of rich gold ore bodies being found with greater depth, in the Rigi ground covered by the lease, and the term of the lease, viz., three years, should be ample to take out a very large sum in ore, the royalty to the owners being 25 per cent for the first year and 30 per cent for the second and third years on all ore taken out.
The company therefore has the great advantage of operating most favorably located ground, on contingent rent, without the great cost of purchasing.

In the first instance, 600,000 (a much larger portion than is usual) of the 1,000,000 shares of capital were put in the treasury to provide working capital. Of these only 170,000 have so far been sold, commencing at 3½ cents and advancing to present price of 10 cents.
The officers take no salaries and their benefits accrue simply as stockholders. The whole of the proceeds of the sale of treasury shares have been or are being or will be applied to development work and with improved showings the price of treasury shares is expected to be again advanced in the early future.
The company has no debts and has 430,000 shares and $2,500 in the treasury. The high standing of the officers, the location and character of the property, the special local experience of the consulting engineer, and the legitimate character of the company's operations, would indicate that at 10 cents a share the stock of this company is a promising speculation.

North American Gold Min. & Dev. Co.
5021. (New York, N. Y.) Will you kindly advise me as to the standing and prospect of the North American Gold Mining & Development Co., Denver. Colo.? About a year ago you had an article about this company which was somewhat favorable.

Ans.: Since the former answer to query published in the "Investor" of June 24th, 1899, the company has done considerable work, under its lease, on the Rigi property on Battle Mountain, Cripple Creek, and has shipped over 14,000 worth of ore. The shaft has been sunk to 500 feet deep. Ore is exposed from which considerable further shipments are expected to be made. The lease on the Rigi runs until March 1, 1902.
The company has also acquired a claim in Clear Creek country on the line of the Newhouse tunnel. The company still has about 300,000 shares in the treasury.

North American Gold Mining Co.
5310. (New York, N. Y.) Will you kindly advise as to the present condition and the prospects of dividends of the North American Gold Mining Co., of Denver, Colo.?

Ans.: The North American Gold Mining & Development Co. was combined with The Bertha Gold Mining & Milling Company, 606 Kittredge building, Denver, Colo., at a stockholders' meeting held on the 6th of July last, under the name of the latter company and all property formerly owned by the North American company is now the property of the Bertha company, including the lease on the Rigi mine at Cripple Creek.
The property was transferred in exchange for stock, every stockholder in the North American company receiving a share of Bertha stock for each share held in the North American company. The property now owned by the company is as follows:

Twenty-one claims and a mill site in the Russell and Pleasant Valley mining districts in Gilpin county, practically all in conjunction and forming one group. These properties are said to be right in the direct line of the Newhouse Tunnel, which is now passing vertically under them and are surrounded by shipping mines on every side, notably the Minott or Sun & Moon, Garden, Gem, Kokomo and others.
The company also owns the Douglas claim in Boulder county, near the Caribou mine, but it is not its intention to work this claim at present, or until a railroad which is projected and will run within a short distance of the property, is completed.

The company is now devoting its energies principally to its Gilpin county properties.

The management are now sinking the Colfax shaft and have reached a depth of over 160 feet. At about 120 feet in depth there is claimed to be a fine streak of galena ore in the shaft, which continues in the shaft for about 20 feet and then dips to the west. This streak is said to be about three and one-half inches in width on an average for the whole distance it remains in the shaft, and assays about $70 per ton, running about 75 per cent or 80 per cent lead. Below this streak in the same vein is said to be a streak of concentrating ore running about $15 per ton and averaging about two and one-half foot in width.

The vein in the bottom of the shaft is now mineralized from wall to wall. The management's intention is to continue sinking to a depth of 175, or, if the ore chute continues in the shaft, 200 feet, and then drift on the vein and begin shipping, at the same time continuing the sinking to lower levels. They are now figuring on increasing the capacity of the plant within a short time and expect to push the work on this mine as fast as possible.

They have given a lease on the Pay Rock, another of the claims in this group, for 15 months and intend to get some of the other claims developed in the same way. The fact of the Newhouse Tunnel passing under their properties is in itself a very great advantage if for drainage purposes only, but they are expecting the tunnel to cut some of their veins within a few months at a depth of about 2,500 feet.

The advantages of mining in that district are the easy treatment of the low grade ore, the low rate of freight and haulage on the higher grade ore and the total elimination of smelting charges on the lead ore.

The company is capitalized for $3,500,000, $2,100,000 of this is treasury stock and about $1,500,000 is still in the treasury. The par value of the shares is $1. None of the officers or directors take salaries. The company is now selling stock at 25 cents on the instalment plan and has sufficient money on hand and which it says it can depend on to come in to carry on the work at the mines continuously. It does not expect to pay dividends immediately, as further development work will have to be done to put our properties on a paying basis.

Rigi.—Lessee Mueller, who has been working this property on Battle mountain for some time, states that a large body of high grade ore has been opened and that during the month of August five carloads of high grade ore were shipped.
It is expected to increase this output materially during the present month.

Cripple Creek—Abe Flaacks and J. Mullen of Victor, lessees on the property of the Rigo Group Gold Mining Co.Rigi Group Gold Mining Co., have made one of the richest strikes of recent years.

The property comprises 16 acres on Battle mountain. Ore is being broken from a 4-ft. vein of about 50 ft. in one of the old shafts. They have shipped eight carloads, the value being more than $100 a ton, and the ore body has every indication of continuing with depth.

Five shafts have been sunk and about 4,000 ft of laterals driven. The present lessees, with little expense, opened the ore they are now shipping.

DENVER, COLORADO.—Flaacks, Mullen & Co., operating on the south end of the Rigi group on Battle Mtn., and adjoining the Portland mine, are shipping a carload per week, assaying about $50 per ton. The ore is being broken at two places on the 50-ft. level between 6 and 8 ft. wide.
The ore shipped out since the lessees started work three months ago varies from $25 to $90 per ton, and carries sylvanite. Stoping is in progress and a winze is being sunk on ore. It is expected that development work will be started on the 100-ft. level. The shaft has been sunk to a depth of 500 ft.

Shipments are being made from the old stopes in the Rigi property on Battle mountain and have given good results.

Mullen & Co., leasing on the Rigi group, on Battle Mtn., have recently installed an electric hoist and new compressor.
They expect to increase the shipment of ore to three cars per week.

Shipments are again being made from the Rigi estate on Battle mountain. A shipment of 2-oz. ore was made recently. This property is under lease to the Victor Colorado M. Co.

A car of ore was shipped by the Victor-Colorado Mining Co. from its lease on the Rigi mine on Battle mountain.

The Colorado-Victor Investment Co. is installing an electric hoist and compressor on the Rigi group on Battle mountain. The company has opened ore that assays from $25 to $30 per ton on three levels.

A strike of importance has been made in the Rigi group, on Battle mountain, but details are lacking. Prospecting has been going on for some time. Assays, it is said, running as high as $100 a ton have been taken.