Certificate: Shares of the Capital Stock, shares of $1.00 each
Dated: 1908 - New York, N.Y. - United States
Signature: hand signed
Measure: 11" x 8"
Coupons: no
Edition: -
Category: Mining & Oil
Condition: VF
NORTH BUTTE EXTENSION COPPER MINING CO. MONTANA
Office: 1911-74 Broadway, New York, N. Y. Mine office: Butte, Silver Bow Co., Mont. W. T. Van Brunt, president; Fayette Harrington, secretary and treasurer; D. S. Harding, assistant secretary and treasurer; G. A. Lauzier, managing director; preceding officers, Geoffrey Lovell, Chas. Passniore and Vm. McDermott, directors; John A. Ryan, superintendent. Organized October, 190G, under laws of Arizona, with capitalization $5,000,000, shares $5 par, as North Butte Extension Mining Co., and name changed, January, 1907, to present title. Is said to have circa 2,500 shareholders. In August, 1908, contemplated an issue of $400,000 five-year 6% bonds, but apparently was unable to place same.
Lands originally were 4 claims and 2 millsites, area 55 acres, lying north of the Butte & London and supposed to carry the extension of the Black Bock vein. In March, 1908, the company added the Michigan and Third Sphinx claims, on which options were extended, October, 1908. The company allowed its options on the Occidental and Free Trade claims to lapse, 1908, after payment of $90,000 on the bonds. Apparently the only property owned outright is the Black Crow fractional claim, of circa 2 Va acres area, and the Clipper and Assay millsites.
Development was by a GOO‘ shaft, planned to have been sunk to 1,000‘, which proved to be quite wet. A crosscut on the 300‘ level showed a small vtjin, slightly mineralized, and on the 520‘ level a plat, cut April, 1908, showed a .stringer of “ to 18“ width, carrying ore assaying up to 20% copper, 3 om., silver and 50 cents gold per ton.
The company planned a large electric installation, including a doubledrum hoist, air compressor and pump, but failed to get it.
A curb Pool in the stock of this company was badly nipped, through the dumping of shares held by a bank, as collateral for a loan, hence the property has few friends among the New York curb brokers, who rest under the impression that they were handed a package, by friends in Butte.
lt is alleged that G. A. Lauzier, vendor, made a contract, Jan. 17, 1907, with W. T. Van Brunt, the president, giving an Option on 700,000 shares at 70 2/7 cents per share, and that, by conspiracy, false and fictitious shares, to the amount of 222,150, were issued from the treasury, with a further overissue of 100,000 shares, hold by
Lauzier, and there also is alleged a misappropriation of $50,000.
The first bankruptcy proceedings begun against the vendors were settled in the company‘s favor, but a second scries was started. Both Lauzier, tho vendor, and John A. Ryan, the manager, sued the company.
In October, 1908, sundry interests planned a reorganization, under the laws of Maine, with capitalization $1,500,000, shares $1 par, those plans calling for the elimination of the entire former directorate, wbich is in exceedingly bad odor with investors. The title selected for the proposed reorganization was North Butte Extension Development Co., and the plan of reorganization called for the issue of 1,000,000 shares of stock in tho new corporation, in exchange for old shares on a parity, plus payment of a 50-ccnt assessment, in 2 installments, the first money to be turned over to the old company for settlement of its debts, which are pressing. The company owed, tate 1007, a large balance on its bonds on 2 claims, in addition to floating indebtedness estimated at $ 125,000, but, on June 27, 1908, tho floating debt, amounting to circa $70,000, was partially met by the sate of notes. The entire proposition has been badly handled, and everybody connected with it comes out with a smirched reputation, while some of the principals can congratulate themselves as lucky in having escaped jail.
(Ref. Mines Register 1909, p.1048-9)
Butte & Superior Copper Co., the company changed its name to Butte & Superior Mining Co. in 1916, coinciding with the best year of production for the company: 195 million tons of zinc, 15 million pounds of lead, 2.5 million pounds of copper, 4 million ounces of silver and 6600 ounces of gold. After this banner year, the company began falling on less than profitable years. Several years of litigation resulted in the Butte and Superior MC, paying $2.5 million dollars to settle a lawsuit levied by the Elm Orlu MC. and its financier, the Clark Montana Realty Co. Butte and Superior were mining underneath their claims and extracting rich ore, not an uncommon practice by less scrupulous miners. To add insult to financial injury, the Mineral Separation Co. was also suing Butte and Superior for patent infringements of flotation extraction methods. The Butte and Superior also lost this suit, this one along with the other being resolved by the US Supreme Court in 1919.
The company operated at a deficit until 1924. The remainder of the company holdings were purchased at a foreclosure sale in 1928 by North Butte Extension & Development Company.
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