Increasing profits by selective mining
AuthorWestall, A H
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The profit derived from mines encourage people to invest in and operate them. These profits are subject to great variation as a result of changes in the price of metals, the cost of supplies and labor, and the mining conditions. During the World War some metal mines, stimulated by an advance in the value of their particular metals, harvested large profits. Others, not affected by an advance in the market price of their special metals, were forced to close down, as the high cost of labor and materials ate up their profits; while some mines were forced to operate on reduced profits for the same reasons. At the close of the war, many of the previously profitable mines were forced to close down on account of a decline in the metal market, with labor and materials remaining as high as during the war. At least once in the history of every mine it becomes necessary to increase profits or to close down. Some of the methods that may be used to increase profits, the conditions will determine which will be the most beneficial, follow: 1. Increase the tonnage, keeping the operating expenses and value of the ore about the same; 2. Decrease the tonnage and increase the value of the ore by sorting out the waste; 3. Sacrifice a portion of the ore thus obtaining a lower mining cost; 4. Reduce the working force and keep the daily tonnage and value of the ore the same; 5. Introduce the leasing system; 6. Employ that of selective mining. In certain cases each of these systems has been tried by mining companies and has met with success.
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