Tintic, Colorado Mine

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Colorado Mining Company

(The focus of this page is the surface workings of the Colorado mine, as visible in photographs, as well as a general description of the mine, with minimal coverage of the geology and financial returns. Also to establish a timeline using sources not previously readily available.)

J. William Knight, in his book "The Jesse Knight Family," published in 1941, tells the following story about the strike at the Colorado mine.

He later acquired the Colorado property which adjoined the Beck Tunnel on the south. He began sinking a new shaft on this property and building an ore house at the same time, feeling certain that he would encounter the ore and would save time by being ready for shipment. He was not disappointed in his calculations in this venture. Both the shaft and the ore bin seemed to be properly located, and rich ore was soon on its way to the smelters.

The Colorado vein was first encountered by means of a shaft which was sunk to the two hundred and fifty foot level. At this point we broke into a beautiful cave, the roof of which was cemented tightly together with beautiful lime crystals of every imaginable shape and color. The bottom of the cave was solid carbonate lead-silver ores that could easily be dug into with the toe of a boot. The average width was about thirty feet and from forty to fifty feet in thickness. One could walk in the cave a distance of one thousand feet on top of this clean rich sand carbonate ore that was free from waste, resembling in a way, wheat in a bin ready for the market. This ore was mined by means of a drift driven underneath the ore, and raises made at various points allowing the extraction of the ore with very little labor-costs or other expense.

December 2, 1898
"The Colorado Mining company, also owning property in Tintic district, was incorporated in Salt Lake City yesterday, with a capital stock of $125,000, in shares of 50 cents each. The company has the following mining claims situated in Tintic Mining district: The Colorado, the Butte and the Morning Star. The following are the officers: George W. E. Dorsey, president; Albert Hagen, vice president; Daniel S. Spencer, secretary; Josiah Barnett, treasurer; these with Joseph Wilson, form the board of directors." (Salt Lake Herald, December 3, 1898)

From the Salt Lake Herald, December 4, 1898.

After making a number of visits to Tintic district and after examining a number of promising properties presented for his consideration, Major George W. E. Dorsey has succeeded in getting in on a gilt-edged proposition in the Colorado group, the incorporation of a company for the operation of which was chronicled in yesterday's issue of The Herald.

The Colorado group of claims was located several years ago by that veteran miner and prospector, Joseph Wilson, who, in the past, has been identified with the history of some of the leading producers of the camp, either as locator or part owner.

Wilson is convinced that the new Colorado company encompassed an extension of the Humbug and Sioux Consolidated vein, the ledge being easily traceable through the Colorado company's holdings. There are two well-defined veins running through the property for a distance of 2,900 feet, surface croppings from which have returned metallic values of from two to twenty-four ounces silver and $2 in gold, while from the bottom of the 100-foot shaft already sunk in the exploration of the group, values of twenty ounces in silver and $5 in gold have been obtained.

The ledge can be traced from the Godiva through the Uncle Sam, the Humbug, the La Reine, the Colorado, the Sioux Consolidated, and on to the Star Consolidated, on the other side of the divide, the Godiva, Uncle Sam, the Humbug, the Sioux Consolidated and the Star Consolidated having already made enviable records as heavy producers of the precious metals.

Two shifts are now engaged in opening up this property, and within the next few days additional men will be employed in pushing development work, and at the same time comfortable winter quarters are being erected on the ground, it being the intention to put in a steam hoist as soon as the work advances to a point requiring additional hoisting facilities.

The incorporators and directors being as follows: Major George W. E. Dorsey, president; Albert Hagen, the Mammoth merchant, vice president; Josiah Barnett, cashier McCornick bank, treasurer; Dan S. Spencer of the Oregon Short Line, secretary, and these, with Joseph Wilson, the original locator of the claims embracing the group, constitute the board.

June 4, 1904
"Orders for stock in the Colorado Mining company, having property adjoining the La Reine at Tintic, continue to be received by brokers and 2 cents a share is freely bid for it. It is the impression that Uncle Jesse Knight is after the control of the property in order that it may be included in the Bullion-Beck Tunnel-La Reine consolidation." (Salt Lake Herald, June 4, 1904)

December 20, 1905
The offices of the Colorado Mining company were moved from Salt Lake City to Provo. Jesse Knight was shown as president as part of the first notice of the special stockholders meeting, dated October 18, 1905. (Deseret News, October 18, 1905; Salt Lake Herald, December 21, 1905)

December 30, 1905
The Colorado Mining company filed its articles of incorporation with the Salt Lake County clerk on Saturday December 30th. Jesse Knight is president; Jacob Evans, vice president; Lester Mangum, secretary-treasurer. (Salt Lake Tribune, January 1, 1906)

(On December 31, 1905, the original Colorado Mining company re-filed its articles of incorporation, originally filed on December 2, 1898. -- Salt Lake Herald, January 1, 1906)

July 9, 1906
Through a series of property filings in Provo on July 9th, the Colorado Mining Company increased its holdings to twelve claims. This bridged the gap between Jesse Knight's Beck Tunnel and Carisa properties. (Salt Lake Herald, July 10, 1906)

Summary of the article:

July 10, 1906
"Provo, July 10.—Jesse Knight is about to begin active operations on a mining enterprise which he believes will prove as successful as the Beck Tunnel. The Colorado Mining company was organized in 1898, with three claims, situated to the south of what is now the Beck Tunnel property, as the basis. Nothing to speak of has been done in the way of development work. But when the strike was made in the Beck Tunnel property, Mr. Knight, who is also the president of the Colorado company, decided that it was about time for the Colorado to open a campaign and ground has been bought for the Colorado from time to time until now the company owns 12 claims joining the Beck Tunnel on the south and through which, it is believed, the vein of the Beck Tunnel extends. A shaft to strike the vein is to be sunk about 1,900 feet south of where the Beck Tunnel is now taking out its ore. A number of deeds to round out the Colorado's holdings were filed yesterday with the county recorder." (Deseret News, July 10, 1906)

August 13, 1906
Jesse Knight transferred the Mack and Nellie claims from his ownership, to ownership by the Colorado Mining company. (Salt Lake Herald, August 14, 1906)

October 3, 1906
The adjoining Success Mining company held a special stockholders' meeting to approve the sale of its Success mining claim, and all of its property to the Colorado Mining company. The sale was completed in exchange for 79,000 shares of the Colorado Mining company. (Deseret News, September 6, 1906, with daily legal notices; Salt Lake Herald, October 21, 1906)

The property of the Success company was surrounded by the Beck Tunnel property on the north, the Crown Point on the east and south, and the Colorado property on the west. The Beck Tunnel and Colorado properties were already controlled by the Knight interests, which acquired the Crown Point property from the Bestelmeyer interests in June 1907. Jesse Knight then changed the name from Crown Point to East Tintic Consolidated. At that time there was much speculation that the rich vein in the Beck Tunnel and Colorado properties, continued into the Crown Point property. But that turned out to not be the case.

(The June 27, 1907 issue of the Salt Lake Herald included a small sketch map that showed the mining claims in the vicinity of the Success company.)

January 18, 1907
Concerning the consolidation of the Beck Tunnel company and the Colorado Mining company, "Mr. Knight stated during the afternoon that the good showing he had been able to make there was a greater satisfaction to him than anything that had happened in his various mining ventures. "Not because of the money there might be in it," said Mr. Knight, "but because I got what I was after. I have been buying ground there for eighteen years, and I am more than pleased to see it turning out the way I expected it to. Sixteen years ago, I bought a claim there for $100, and the man I bought from talked around town about his 'easy money'; that it was just like picking it up, because the ground wasn't worth a damn. He blew the money all in at a poker game the same night." (Salt Lake Herald, January 18, 1907)

March 16, 1907
The shaft of the Colorado Mining company was down to the 250 level, and struck the same ore vein as the paying vein in the Beck Tunnel, 1500 feet away. By drifting along the vein in both directions, the two companies will open an ore pocket of immense value. (Salt Lake Telegram, March 16, 1907)

July 10, 1907
"John Roundy has conveyed to the Colorado Mining company the Vermont mining claim in the Tintic district, consideration $1." (Salt Lake Herald, July 10, 1907)

(The cost of transportation by wagon and team was becoming an issue. Construction began on the Eureka Hill Railway in May 1907, with its intent to connect the Knight mines along the east slope of Tintic mountain, with his soon-to-be-completed smelter at Silver City. The railroad was completed and placed into service to the Beck Tunnel in February 1909.)

(In mid October 1907, a second "cave" of very high grade sand carbonate ore was discovered at the Colorado mine. Like the first "cave" discovered in previous months, this high-grade ore had high values of precious metals is shipped direct to the smelter. The company was literally mining wealth. The smelter returns were in the six figures every month, doubling and tripling the company's stock.)

(In late October 1907, Joseph L. Wilson as one of the original incorporators of the Colorado mine in 1898, filed suit over his share of stock held in trust by George Dorsey, one of the other original incorporators. Lester Mangum, an associate of Jesse Knight in the organization of the new company, stated that the difficulty was between Wilson and Dorsey. However, in late January 1908, Jesse Knight settled with Wilson by giving him cash in the amount of $4,500, plus an unspecified number of shares in the new company. -- Salt Lake Herald, October 27, 1907; January 26, 1908)

(By this time in early 1908, the Colorado was paying a dividend of 12 cents per share per month "indefinitely." This would have provided Wilson with a very good monthly income.)

January 11, 1908
"Like practically all the producers of Utah, the Colorado company is not shipping any ores to the local market. The company was one of the customers of the United States Smelting, Refining and Mining company, and when the order was issued on the second of this month that no ores billed after the third would be received, the Colorado was shut off from a market. But there is a respectable surplus in the strong box of the Colorado." (Salt Lake Tribune, January 11, 1908)

April 15, 1908
The Colorado Mine, located in Utah's Tintic district on Godiva Mountain, has rapidly become one of the most successful dividend-paying mines in the West. Backed by Jesse Knight of Provo, the mine is a standout example of his successful industrial ventures. (Utah County Democrat, April 15, 1908)

Summary of article:

Colorado Consolidated Mining Company, 1916

In May 1916, the Beck Tunnel Consolidated Mining company was consolidated with the Colorado Mining company to create the Colorado Consolidated Mining company.

May 2, 1916
At a special meeting held on March 28, 1916, the board of directors of the Beck Tunnel Consolidated Mining company voted to approve the consolidation of the company with the Colorado Mining company, and to organize a new corporation, for the purpose of purchasing and taking over all assets, properties and interests of the Beck Tunnel Consolidated Mining company, and the Colorado Mining company. A special meeting of stockholders was held on May 2, 1916 to ratify the decision and recommendation of the board of directors. (Provo Daily Herald, May 1, 1916)

January 15, 1917
"Mr. Knight is known as one of the most successful mine operators in the west, and has made great dividend-payers of three of the greatest mines in the country, namely, the Beck Tunnel Consolidated, the Colorado and the Iron Blossom." (Salt Lake Tribune, January 15, 1917, upon Knight's visit to the Chloride mining district in Arizona)

November 24, 1928
An assessment against the stock of the Beck Tunnel Consolidated Mining company, along with the stock of the Colorado Mining company, the Old American Mining company, and the Salvador Mining company, with the assessment to the treasurer of the Colorado Consolidated Mining company. The stock of any unpaid assessment would be sold at public auction to pay the said assessment and any costs of advertising and expenses of the sale. (Goodwin's Weekly, November 24, 1928)

August 31, 1933
"A number of leasers were busy at the Uncle Sam mine. The best lease was that of Joseph Gagon, this block of ground was on the Uncle Sam-Beck Tunnel line, and was a high grade lead-silver product. The royalties from this lease were divided between the two companies." (Eureka Reporter, August 31, 1933)

(During the Great Depression, many large mining companies in Eureka could not afford to operate at full capacity due to low metal prices. To keep the mines open and the town employed, they used a leasing system. The leasers were independent miners either in small groups or as individuals would "lease" a specific "block" of ground within a larger mine. The leasers paid for their own supplies and labor, then gave a percentage of their earnings as royalties to the company that owned the mining claim. If a leaser worked a block of mineral ground that sat on the boundary line between two properties (like the Uncle Sam and Beck Tunnel companies, above, the royalties were split between both companies.)

 

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