The Cortland Democrat, Friday, June 28, 1889.
THE SAN RAFAEL MINING AND MILLING CO.
Mr. Schutt, Treasurer of the Company, Arrives Home and is interviewed by a Democrat Reporter.
Mr. E. P. Schutt, who has been in Honduras for the past six months, assisting in the work of developing the mines of the San Rafael Mining and Milling Company, returned home last Friday, looking hale and hearty. Mindful of the fact that many readers of the DEMOCRAT are interested in the welfare of the company, and that any news from the mines would be interesting to them, one of our reporters called upon him on Saturday and learned the following facts concerning his trip and the prospects of the company.
Mr. Schutt says that he had an enjoyable trip both going and coming and that the weather was so pleasant and the ocean so calm that he was not seasick either way. He left New York December 1st, 1888, and arrived at Amapala on the 17th of the same month where he was met by Mr. J. E. Foster, the superintendent in charge of the mines, which are located 9 1/2 miles from the port of Tamarindo, on the bay of Fonseca, and 12 miles from Nacaome, one of the principal towns of Honduras.
Chartering a boat they were rowed across the bay to La Brea where they landed and went by mule power to Nacaome. Here they remained a day or two for the purpose of resting up and obtaining some supplies, when they mounted their mules and started for the mines, which they reached after a ride of a couple of hours. The work of opening and developing the San Rafael mine had already been commenced and Mr. Schutt at once took charge of a gang of natives who were in the employ of the company and were engaged in driving a tunnel into the mine.
On the same boat with him from New York, and bound for the same place, were Mr. W. J. Terrell, and Mr. John B. Nichols, of London, England, and Mr. Schutt soon learned that the object of their journey was to purchase mining lands. Naturally he invited them to visit the mines of the San Rafael Mining and Milling Company, which invitation they accepted and after visiting several other mines in different localities, and making a careful inspection and examination of the mines of the above Company, opened negotiations for the valuable mine known as the Amparo, which were finally concluded on terms considered very favorable to the Company.
By the terms of sale, the English Company are to commence work on the property at once and are to develop the same, put on all necessary machinery and give the Cortland Company thirty-five per cent of the stock. After completing the purchase the English people returned to London and formed a stock company, with a capital of $750,000, and landed in Honduras, with their machinery ready to commence active operations just before Mr. Schutt started for home.
Although this has been the dryest season known for many years in Honduras, the thermometer has not been higher than 96 or lower than 60. There are occasional showers, but the rain falls only during the night, and the sun shines for all during the day. While the temperature is warm, the air is dry, and the heat is not so enervating as in many parts in much higher latitudes.
Mr. Schutt is very enthusiastic over the prospects of the Company and fully corroborates all that Mr. Foster, Prof. Sornberger, Mr. Nichols and others have said regarding the success of the enterprise. The experts who have assayed the ore pronounce it very rich and as it is mostly free milling it will cost but a small fraction of the output to put it into bullion. It is easy to mine and there is an unlimited supply in all of the mines owned by the Company and much more than they can possibly handle.
Mr. Schutt brought the titles to the property home with him. They are engrossed on stamped government paper, sealed with the government seals, and are curious as well as interesting documents. Mr. F. B. Wilson, of New York, the companies attorney, who has himself made five different trips to Honduras within as many years, in the interest of other mining companies, was in town on Saturday last, and after examining the papers pronounced them correct and in strict accordance with the laws of that country.
All of the smaller parts of the machinery have been hauled to the site selected for its erection and the heavy pieces will be placed upon the ground as soon as the wagon, which the Company shipped from New York in May, arrives. There are no wagons in that country and everything of that kind has to be obtained abroad. Mr. Perry G. Gardner, a practical miner, who was sent to Honduras to take Mr. Schutt’s place until the arrival of Mr. John H. Howard, landed at Amapala the same day that Mr. Schutt left, which insures the continuation of the work of erecting the machinery.
There are now over sixty American companies located and doing business in Honduras, besides a round dozen of English companies. Some of them have recently commenced developing their property and have not yet erected machinery. In every case where the mines are in full operation, they are making astonishingly handsome returns. There has never been a failure of a mine in Honduras.
President Bogran is an active, pushing business man, and offers every facility for foreign capital to invest in the mines of that country and guarantees that their rights and interests shall be fully protected. He has never failed to perform every promise on his part.
Mr. Schutt says that his health has never been better than it was during his entire absence, and that the climate is a very healthful one. There is very little sickness there of any sort and doctors are consequently conspicuous by their absence. The most beautiful flowers grow wild and in great abundance and the foliage is plentiful and beautiful beyond description. Near the mines is an excellent spring of pure water and an abundance of it. Coming from a warm, dry climate into a damp, cold latitude, and being entirely unprepared for the change, Mr. Schutt took a severe cold last Saturday, but is out again to-day.
The ore taken from the mines has assayed per ton as follows: $42, $51, $111, $158.50, $238, $352, $556, $565 or an average of about $259.18. When it is understood that it costs but a trifle over $3 per ton to turn the ore into bullion, and that with the present machinery at least twenty tons can be milled per day, the profit to the company must be a very handsome one. Mr. Schutt says there can be no possibility of failure of the enterprise and that the stockholders will soon receive a practical demonstration of its success by way of handsome returns for their investment.