Document G56md70MdyvNLLDEyNYG1YyLV

DCPWatlOBU. 3KP.TIN8 AMD BglHTHO COgiMI racmx p t a bt - Tm,F( n|ff e ip o h t c h a p p it o f t h b s u l p h id e ccucnrmTOE, ns b a d p l u t a id t h b t bsat uo pl ait . -----CT THB IHT1SKA.TI0HAL SWELTTHQ ISO miNim CCMPAKT. TOan^mHra JAttJBAI.1938 R* B Hathaway D* 0* DeLong D* B. Bamon Mtroh 18, to Key 31, 1958, inclusive Mb j 16, to 19, 1958, inclusive Max 1, to 4, 1958, inclusive Audit of the Metallurgical rteorda of tha Tootla Plant of tba International fteelting and Refining Company for January 1958 included tba Sulphide Coneantrator. Load Plant, and Slag Plant* tba receipts in tha Ailphlde Coneantrator were audited lO0%* Tha weights, aaaaya, contracts, settlements, and ooata were audited In detail* Tha lead ooneantrates transferred to- tha Lead Plant warsaudited in detail* Iron ooncentratea to American aewlting and Refining Coapany were audited approadnately 54* The sine eoooantrataa settled for by The Anaoonda Company were audited as to weights, assays prdUmiaary and final settlwwct* . Pour of the Lead Plant reoaipts were audited 100*. Che of the raoeipta was audited approximately M.' The weights, assays, lot aheats and settlements on tba above raoeipta were audited in detail*'/ The matte, spates, and lead ahijmtents ware audited lOOJf* /-V -l'.. ' .' t Two of the 81eg Plant raoeipta ware audited 5QJf* One of tha raoeipta wee audited 100& Tha weights, assays, and settlement on tha above reoaipts wars audited in detail'* Tha deleeded sine fmae to Rational lino Company was audited 37> Tha dalaadad slno fume to The Anaoonda Company was audited 10G* The delaadad sine fume returned to Uia American line Ccepany was audited 100JC* V'-V- -> v\ Tha inter-plant movements ware audited in detail* Tha oarimtun fume settled for by The Anaoonda Company Great Palls, Montana and cadmium fiat at Croat Falla belonging to International Real ting mid Refining Company was not audited at this time* .;-a: ; The Auditor observed the taking of inventories on April 1 and Kay 1, 1958* Tha February 1st inventories were cheeked from physical and estimated reports on into tha statammsts* Tba May 1st inventories ware cheeked to inventory records* . ;v' . Jtmary work sheets and statements ware audited and followed through to X* Hathaway, Metallurgical Auditor May 31, 1958 S;v 3MS.TINS AND KEPTTrn.'C- SOHPAfcr TOOPIP. FT* NT - TOOELE TTTAH MTTE Or JAMTART 199* IKDTX SULPHIDE CCVCKN'mTOR* Reoeipta Shipments Inventories Valuation cf Inventories LEAD PlAJJTi Receipts Shipments Miscellaneous Tnterplant Transfers Pour Divisions of Lead Plant Inventories Lead Dross By-Products Valuation of Inventories SLUT FtANT s Receipt** Shipments Inventories Valuation of Inventories ERRORS AND DISCREPANCIES: Lead Plant GENERAL CCWiENTS j Sulphide Coneenirntor Lead Plant Slag Treating Plant *- * " 1 to 2, inclusive 2 to 4, inclusive 4 4 to 7, inclusive B to 12, inclusive 12 to 15, inclusive 15 to 16, inclusive 16 16 16; 16 16 to 1Bp inclusive * . - 4p 19 to 20, inclusive 20 to 23, inclusive 23 to 25, inclusive ; 25 to 26, inclusive 26 to 27, inclusive 27 27 27 PNYC 00012309 DiTEffiiATicy^3wg,Tao am) awnw c c mpmt vmx.nm.-t w m. vm wmss-imm SaLfElCT COBOgmUTCB Bnlt8-P*rk_Cltr. Mn Coarnrer - Crude Or* ; ShipMnU from tta* Unltod Park City Hint, Coim>*ny acooonted for lOOJt of tho 1950* Ceoaoatimtor roomlst* la Jmarr * Following art aoao pertinent provieions of tho contract with tho United Fork City Knots Cold 70* up to and Ineluding .05 os. t 132.016 per oi. 60* over .05 os. 132.616 per os. Minim deduction .CXL os. Silver Copper Lead Zlno Treatment 15 oso. or under, pay for 83% at Hint price. Over 15 oso., pay for 90* of tho axooss over 15 osa. at Mint print. Minim deduction .5 os. 70% at Bow fork electrolytic price, leas 6.6565# ninlm deduction of 15 lhf. 83% leas 2.9565# rlnlnan deduction of 20 lbo. 65% lew 3*2975# when sine la 5# per lb. or leaa. To this deduction of 3.2975# add .4# par pound for aaeh 1# Increase in price of sine orer 5# - nirrlm deduction of 60 lbt. Monthly avaragc o p niniwai deduction. 1.49 per dry ton - credit Utah Ore Sampling Cooyany a--|>1 Ing 50# per dry ton, adjusted to i of actual Utah Ore Sampling Cosgumy --plinf expanse far the north. Bnllloci Freight Splitting Llaitf 129.63 and 120.45 (includes tax) Gold - 0.02 os. per ton Silrer - 0.5 os. per ton Lead - 0.5* Copper - 0.3* , Zino - 0.5* '! :? r, ^ Only eection no. 2 portion of the Sulphide Concentrator was need daring tho north of ternary 1956. All weights, assert and value of reoeipta were auditad In detail for January 1956* Following la a.schedule showing the detail* for fourteen lota, which were reoeived trm tha United Park City Mines Coqpaqy during tha north of January 1956s : Percent moisture Dry pounds Percent lead Contract pounds - load Paid pounds - load Amount - load Price deduction - laid Percent copper Contract pounds - ooppsr Percent lino Contract pounds - sine Paid pounds - sine Zinc adjustment - January 1956 Amount - sine Zino adjustment - January 1956 Price deduction - sine Zinc adjustment - January 1956 Ounces per ton - silver Contract ounces - silver Paid ounces - silver Amount - silver (Xmoee per too - gold Contract ounces - gold Paid ounces - gold Amount * gold 2*3 % 17,133 .W4 < 6.<ms 1,0*0,709 e,jio ' *U1,60M8 V: #: I 25,381.79 i ,s 0.12S* - 2l,U8 8.8*55 :-y R:' 1,515,557 ' 11.387 : ;? 9854U t 98,512.31 * 52486.1* ; 7.965 68.235.29 56.635.29 * 50,971.16 . 0.0253 216.615 130.596 * 4,283.87 PNYC 00012310 RECEIPTS - Continued United Park Cltr Mines Conptnr - Crude Ore - Continued Treatment But amount Penalties amount Utah Ora Sampling Company - adjustment January 1958 Coat Zinc adjustment Utah Ora Sampling Company - adjustment . Miscellaneous Umpire Assay Utah Ora Sampling Company Freight Mat proceeds Zina adjustment Utah Ora flampl Ing Company - adjustment January 1958 * 12,744.79 4,283.49 (MM . *178,787.52 535.47 ____&aa3 * 36.00 10.050.78 *157,585.48 535.47 -- * 7,813.18 *179,991.11 * 10,086.78 * 11,115.26 *158,789.07 Tba Utah Ora Sampling Company aamplad and weighed this ora. Tba International fhaltlng and Coopany aooapta and uses thaaa weights and ooiaturaa but average# tha aaaaya af Unltad Park City Mines Company with their omt and call# for Uapira aaaaya when needed* All January mine contenta were totaled and artragtd and tha shipper was paid fox* tha balanoa of tine in eeren lota idiioh bod been given tha 60 pound minimum deduction, baeausa of lev oontsntainc* This la allowed in tha contract if tha monthly average aaaay la high enough to reoedva tha 65* payment* In January there vara 11,387 pounda of ainc paid for at 4.7025A per pound* v. Tha difference between tha January sampling credit total (50< per dry ton), and of tha January sailing charge ( 1*14 par wet ton) waa paid to tha shipper aa allowed in tha contract* Tha ^tnpUng rate was $1*00 par wet ton at time of last audit* Thia rata was increased to H*10 par wet ton in October 1954 and |1*14 per vet ton on Kerch 10- 1957- ssmm :/* 34 Following .la a stateoent of treatment, production and losses for the month of. Jarmary l958t . Lead Concentrates to Lead Plant- during tha month of January 1958 ten cars, totaling approximately 6*0 wet tons, or 586 dry tons, were transferred to the lead Plant for treatment* - PNYC 00012311 159.063 159.063 n O' vM So ;a 1& (n* r* 1 1 S" 38 r5** 3$ wo\ PS -* V\ o A :$ VD 88 i 1P RSS S> 4 % y3 iri vK\ cr> CN PR S g| S 34 >ao tM <4 I can r-T H H 1!a $I H* JiWIAHT 1958 3TATBBHT Or THKATHEBT - PROTOCTIOW MID MSSES - VIMJB OP PBOPUCTICH - PROFIT OB LOSS - 8 So 3| O S! * as i g S' s$ a*H S'- H I9 $ <0 r-i s p; CM rH 88 p O'er 1 CO gS g i?;ips 88 s ' mii . *' -'5 CO TCM- ooo .g 1 4a|sai-5".5 ,,"51211S jlj 532 3 & 533 . 1 i 1|11 !^ Ii I : 3 5 I !iiii!|3: lllls SHIPMENTS - Continued Lead Concentrates to Lead Plant 3ULPHIDS COKCFMTHATOR ` TL :.%? ' * . . There -were three care* 159* wet tone, or 145 dry tone, of lead oonoantrates in inventory at January 31, 1958* The above three care were transferred to stockpilee in February 1958. Usually the lead ooncentratee are transferred to the Lead Plant and all inventories are carried as Lead Plant inventories. A schedule of payments and credits, similar to the Lead Plant open contract, is used for valuing these concentrates for transfer. The schedule, including latest changes in freight and labor rates, is as follows: Lead - 1.5 units, balance 95* 9 New York Electrolytic Price, less 2.35654 per pound. Copper Zinc . - (minimum deduction - 10 lbs.), 90* * New York Electrolytic Price, less 3.85654 per pound. - If 5%, 80% 9 22* of East St. Louis price. No penalty if. under 5*. 1' Silver - If 1 ounce per ton - 97s* 0 Hint Prioe ' 1- Gold - If .02 ounces per ton - 91# f #35*00 per ounce. Iron - Credit - 64 per unit. Insoluble - Charge - 104 per unit. Sulphur - 2* free - balance 254 per unit - maximm #2.25 per ton* Zinc - Charge - 154 per unit paid for. Treatment - #14.625 per dry ton plus or minus 84 per unit of lead over or under 48*. (after deducting 1.5 units) All weights, assays and value of shipments were audited in detail for January 1958. *. Iron. Concentrates Settled For By American Smelting And Refining Company - Garfield. Utah. In January 1958, eleven lots, 4*561 dry tons of Iron Concentrates, wars taken from stockpile and sold to American Smelting and defining Company, Garfield, Utah. A value of #2.00 per dry ton was paid for this oonoentrate as per letter to Mr. Glen Burt, Ore Buyer, dated November 26, 1957* All weights and assays used are taken from American Smelting and Lefining Company* a settlement sheets. On the Statement of Treatment - Production and Losses the Iron Concentrates are shown as a return from Lead Plant and a sale to American and Refining Company, for same weights and value. In January 1958, 54* of the settlement sheets were audited in detail and checked to ruanary sheet. v Zinc, Concentrates Shipped to_ The Anaconds Company - Anaconda. Montana *r ** ... During the month of January 1958, there were 26 cars, or 1*348 dry tons* of sino concentrates shipped to Anaconda, Montana. The. weights, moistures, and assays for material shipped are based on the International Smelting and Refining Company calculations. All weights* moistures, and assays were audited for the month of January 1958 on shipment. Zinc Concentrates Settled For By The Anaconda Company - Anaconda. Montana . 1; There were 26 cars, 1,462 wet tons* or 1*339 dry tons* of lino oonesntrates settled for by The Anaconda Company in January 1958. The wet weights* moistures* and dry weights of The Anaconda Company are used; Assays are tested for splitting limits and ths average is used unless outside of splitting limit. If outside the limit* repeat assays are prepared and result of these assays are used. The splitting limits are as follows: . Lead Zino Silver - .3* - .4* - .4 o*. per ton Gold - .005 os. per ton Insoluble - .4*. .= Iron > .4*;. The preliminary and final settlements were audited in detail for December 1957. Also .the preliminary settlement for January 1958 was audited in detail. INVENTORIES The estimated tonnages were checked to the "ore in bin record books" on file in Mr. Clark**, Chief Clerk, office. The actual Doisture and assays were used to calculate contents on a first-in* first-out basis. The lead concentrate was carried In the Sulphide Concentrator Inventories and transferred'to stockpile in-February 1958. Actual weights and assays were used in calculating oontents and values of concentrates. .* .;*'* i*- ' The sine concentrates on hand were estimated by Hr, Kettner, Sulphide Concentrator Superintendent* but actual assays were used in calculating contents and values. All the concentrator bin inventories at February 1 and May 1 were checked to the inventory work sheets. The Auditor accompanied Mr. Jamte Lougy* Metallurgy cal Clerk* and Hr. Edson Porter, Clerk, on an inventory observation of bins on April 1 and Kay 1* 1958. At this observation* all bins were measured and the eara with concentrates were observed and later checked to reports of material on hand at February 1 and May 1* 1958.2^ ' YAUIATTON OF TNVSNT0RIP3 Ore In- Bins . l-_ " PNYC 00012313 Following is a statement showing the value of the bin inventories* as at January 31, 1958: -v al es or hat kr t al an baud j amj abt 31. 1958 VALUATION OF D;V5NTCRIK3 - Continued s u l ph id s c o n c en t r at o r ' i- Ore in Bins - Continued The ore in bine is valued at coat, on a first-ln, firat-out basis, except for allver and gold. The total ailver ouncea paid for are valued at 34.75* per ounce. The total value of gold paid for i divided by $34.91 to arrive at ounces paid for and tills total ie valued at $34*00 per ounce. Due to the difference in terms of the many contracts as to the per cent of gold paid for and the price, all are based on an approximate $34.91 prioe per ounce. This is market price lese cost to market. ' ) i ^ Lead Concentratee - at -fv Following is a statement showing the value of the lead concentrates on hand at January 31* 1958: LEAD CONCENTRATES ON HAND - JANUAKT 31. 1958 ,, Dry ___I % Weight Per P2Q Pounds Cent 4 g o p p r___ Z.j.ILS______ 3 1 1 t r___ Hold .. Per Per Oa.per Oa.per % Pounds Cent Pounds Cent Pounds Ton Ounces Ton Ounces In* % Fe %% S CaO Lead Concentrates On Hend 9.224 289,031 71.400 206,368 .800 2*312 4.400 12,717 98.590 14,247.78 .1150 16.619 2.20 1.80 16.00 .60 Detail __________________ SL,.,,.Q.___ft- ...R___ t s Lead 206,368 lbs. -1.5 95* Copper 2,312 lbs. - 10# or 90* Silver 14,247*78 0X8. 3 97J* Gold 16.619 02S. 91 % c o n v e n UH___C-4Ll.ft.-ro r JLlt____ 191,931 lbs. Jl . .13000 * 867 ibs. * ; -.25114 13,891.59 oss. 9 ' ' "c'%34750.i 15.123 oss. & ' 35.0000 --g..r,t i 24,951.03 217.74 4,827.33 529.31 Hetal Deduction - Lead Copper 191,931 867 lbs. 9 lbs. i. .023565 '.038565 4,522.85 33.44 Credit - Iron 5,203 lb*, a 6t P*r unit 15.61 Debit -- Insoluble Sulphur Treatment 46,823 lbs. - 2* 6,359 lbs. a * 10* per unit. 41,042 lbs. a $ 2.25 per .ton maxima or*25* per unit ; i;!* 144.5155 tons -02.8730 : : Jf.V.- H e t liooa Cr*dlt - Lead over 48!t . 8* par unit V: v--'V -vf mt* .1 14.6230 r.;.7s 31.80 325.16 JU2&*2L $ 6,757.99 30,525.41 , 23,767.42 i'.'i* 12.8730 1. ~ lf^d. ^nc*ntrt* **** usually carried on the Lead Plant inventory records. In January 1958, there were three oara hel in Sulphide Concentrator inventory and in February they were transferred to stockpile..; Lead concentrates are valued at f??trac* ?Tic* except for silver which is valued at 34.75* per ounoe. Tbs gold contract pries is $35.00 per ounce and this value is used for gold valuation. ' --it, * Zinc Concentrates ` Following la a statement shoving the value of the sine concentrates on h*nd at January 31, 1958s PNYC 00012315 V^LDATIOti OF INVENTORIES - Continued Zinc Concentrates - Continued TOPHigg OTCBrTRlTQR ZINC J5QNC1NTEATE3 CW HAND AND IN TRANSIT - JANDART 31. 1958 . On Hand and In Traneit Dry % Weight H20 Lead C o n r e r Zinc .... Silver w Gold Per Per Per Cent Pounds Cent Pounds Cent Os.per- . Os.per %% Pounds Ton Ounces ...Ton Ounces 1& ll %% 3 CaO 7*490 533,96? .900 4,805 .350 1,335 61*600 328,924 2.390 638.09 .0150 4.005 1.60 2.30 31.50 .20 JL-JS-7....V J.. V Con Zinc Silver Gold Treatment Freight Labor Adjustment * nt 9 ... 328,924 lbe* 638*09 ess* 4.005 oss* 9 a 9 85* 80, 80S Contents PaidFor___ 279,585 lbs* t 007223 510*47 oas. 9 .34750,;, 3*204 oss* 33.780 >: 266.9845 tons 288.600 tons C 266.9845 tons 9 28.680 n?* 8.9237 ' 10.200 . g e t A noun t D r. C r. 7,657.12 . 2,575.38 ...SJ&flt 12,955.74 29,977.94 . 177.39 108.23 $ 30,263.56 $ 17,307.82 Zinc concentrates Are still valued at the contract sales prices except for silver which is valued at 34.75$ per ounce* The contract states a gold pries of 133*78 per ounce and this is used for valuation* .-`J On February 1, 1953 no fixed in-procsss inventories are reported in this plant becanse lt was between runs when the inventory was taken* If.ffityr- ' pNYC 00012316 RECEIPTS - Continued LEAP PUNT Combined Metals Reduction Company - Bauer* Utah - Concentrate a In January 1958, nine lots, or 486 dry tone, were received frem the Combined Metala Reduction Company. This concentrate accounted Tor 2h% of the Lead Plant receipts in January. This concentrate ie weighed and a moisture le prepared by International Smelting and Refining Company for settlement purposed. The International ftaalting and Refining Company assays are averaged with shipper assays and the average assay ie used for settlsswgit, unless an umpire assay is nseded. Repeat assays are prepared before unpire assays are required. The schedule for payment on this concentrate ie as follows: * Gold Silver - If iOL o s . or over, 91% 9 Government Prioe (435.00). - If 1 on. and under 35 oza., 9% ft Mint Price. - If 35 o r b and under 45 o r b., 96 Mint Price. - If 45 oss. or more, 97% $ Mint Price - Lead Month's receipts to be averaged, exclusive of crude ore, and adjusted settlements by state ment if shipper is benefited. - If 2*5% or over, 90% of settlement lead (see detail of settlement lead) at N. I. Price, less 2.1525* (8/26/57) Settlement Lead Definition: When lead price ie under 10*, deduct. 30# per ton from wet assay. Lead Price Reduction from Wet Assay Pound! Unit* 10* and under 11* 11* and under 12* 12* and under 13* 13* and under 14* 14* and under 15* 15* and under 16* 16* and under 17* 17* sad under 18* 18* and under 19* 19* and under 20* 23 1*15 22 1.10 21 1.05 20 1.00 19 Oo95 18 .. * 0.90 17 0.85 16 0.80 15 0.75 14 0.70 Continue to reduce lead deduction one pound for each oent in same manner to zero pounds, Copper Zinc Inooluble Sulphur Zinc - Pay for 90% ao lead or deduct 15# sad pa7 for balance at Hew Tork Electrolytic price of copper, less 5.1565*. i.- > - If 10% or over, 90% at 22% of East St. Louie price for Prime Yestern Zinc. - Charge 10* per unit up to and including 4556* Qiarge over 4556 at 3* per unit. - 2% free, charge excess over- 2%, to end Including. 6%, at 25* per unit. Chargeexcess over 6% at 5* per unit. Maximum charge for sulphur $2.00 per ton. - When no sine is paid for, charge the excess over 5% at 25* per unit. When zincis paid f07, charge all sine at 15* per unit. < Monthly average only on zinc penalized at 25* per unit. ; i i Iron * Manganese - Credit at 6* per unit. Lime - 113% over, credit at 5* per unit. Arsenic and Antimony - If monthly average is over 2%, penalize for excess over 2% at 50* per unit. Treatment - $10,712 per dry ton. on 20% settlement lead plus and minus 6* per unit. Additional credit for settlmnent lead over 45Jf at 3* per unit. When net payment as detsxnlned above is less than 933*00, credit 20% of deficiency to a maxima of 75* per dry ton. Credit for tonnage over 85 tons per day at rate of 1* for each ton over 85 tons. credit 50* per tonr monthly average. Variations Labor Coke Bullion Freight $14.41 plus and minus 15* each 254* $25.06 plus and minus 15* each $1.00. $29.63 including tax - Shipper's account. PNYC 00012318 Mote: This contract contains "option for treatment of lead on toll,* details of which will not be detailed until option is exercised. ; ;; 10/ LEAD FLAKY RECEIPTS - Continued Combined Metals Reduction Company - Continued Varl&tione Splitting Limits Gold - *01 os per ton Saver - 0*3 ozs. per ton Lead - 0.4* Copper - 0e2* Zinc - 0.5* Insoluble - Sulphur ? - Manganese . - Lime ' -V- Iron 1..0* 1*0* lo0* loO* 1.0* 54* of the Combined Metals Reduction Company concentrates we audited in detail for January 1958* Bristol Silver .Mines Company - Pioche. Nevada - Crude Ore Two lots, or 555 dry tons, vere received in January 1958* This ore accounted for 27* of the lead Plant receipts in January. Weights and moistures are prepared by International Smelting and Refining Ccmp&ny for settlement proposes The average assay is used fer settlement unless an usqpire assay is needed* The schedule for payment on this ore is as follows* Gold Silver Copper Insoluble line Arsenic Iron + Manganese Lime Treatment Common Labor Bullion Freight Motel Prices If *02 .os*, ICO* <1 $31*816 per os* If 1 os*, 95*. 90* et Hevr lork Electrolytic, lee? 3*8565# lb* minimum deduction 15# par ton* tion 20# per ten* Charge At 5# per unit* 1C* free, excess at 30<* per unit. 3% free, excess at 60# per unit* Maximum deduc Credit at 5$ per unit. Maximum credit $1*00 per ton. $8*876 par dry ton. If value of material is $9*00 or less, credit $1*00 per ton* means payment for metals plus credits and minus treatment and penalties.) $14*41 variation 15# each 25#* . .. .ii $29.63 (includes tax) Date of arrival of first car in lot to govern* (Value This schedule effective with receipts at Warren Junction on March 1, 1957* as psr letter to Hr. Go D* Burt, Ore Buyer, dated March 1, 1957 \.5 Splitting Limits Gold Saver Copper *01 oa* per ton. 0.3 oz. per ton 0*2* Iron, Manganese and Lias Insoluble - 1*0* Zinc . IcO* Arsenic >. 1*0* All the weights, assays and costs were audited in detail for January 1958* National Zinc Company. Inc* - Bartlesville, Oklahoma - 2inc Lead Residue / In January 1958, cne lot, or 52 dry tons, of zinc lead residue was received* This residue apeounted for 3* of the Lear Plant receipts in January* Weights and moistures are prepared by International.Smelting and Refining Company for . settlement purposes.. The average assay is used for settlement unless an umpire assay is needed* The schedule for payment on this residue is as follows: '` Gold Saver Lead Copper Sine Arsenic and Antimony - If .02 o r ., yl* 5 $35.00 per oz. . /I - If 1 oa. and under 75 ozs., 95* at Kundy and Harmon foreign pries weekending Wednesday, next preceding date of anmpling. Minimum deduction 0*5 os* If. 75 zs* or over, 97*5$ at foreign price. ".*y ' - Deduct 1.5 vnito, .90* at Kew lork Electrolytic market, leas 2*5065#* - Deduct 0*75 units, IOC* at Kew Tork Electrolytic market, less 6*8565#* s - If 1C* end under 15*, 75* 3 22* of East St* Louis pries* - If 15* or over, add to the 22* of East St* Louis price at rate of 2* for each 1* sine over.!5*to maximum,of 32* of the East St* Louis price. 1* free, charge excess at 50# per unit. PNYC 00012319 RECEIPTS - Continued LEAD PLATT National Zinc Company. Tpcf - Continued ,,' Troataent - *13.949 per nt dry Jon X.a.b, Internationa, Utah, when the aetUenent lead is 30* or under Credit settlement lead at 10* per unit over 30%, 18 *u* or under. Variables I,ftb0P - $18,773 plus and minus 17$ each 25$. - $25*06 plus and minus 15$ each $1.00. Bullion Freight - $29.63 (includes 3% tax). Variation for shipper's account. Splitting Limits: Gold - 0.01 oz. per ton Silver - 0.5 cz per ton Lead - 0.4/S Copper - 0,3% Zino '0.5% : Arsenic 0.5* Antimony -/ 0.5* '' The weights, assays and cost were audited in detail on this one lot for January 195$, American Zinc Company of minols - Kansanto. Illinois - Zinc Residue During the month of January 1958, 395 dry tons of zinc residue, 22 dry tons of lead residue sands and 7 dry tons of sulphide cake was received from the American Zinc Company. The International inciting and Refining Company weights and moisture are used for settlement purposes. The average assay is used for settlement unless an umpire assay is needed. The schedule for payment of this zinc residue is as follows: Gold Silver Lead Copper If .02 oz. 91* 0 $35.00 per o*. If 1 oz., 95% at Foreign price. Minimum deduction .5 o a* v . > >r Deduct 1 unit, 90* of balance at market, less 2.35651# . ! ' Deduct 15 pounds, balance at New York Electrolytic, less 5*8565$. Toll Metals Zinc Cadmium Base Treatment Charge Return 80% of zinc currently as residue is treated in form of deleaded sine fume, of not less than 69* grade, aboard oars at International, Utah. Toll charge - $6.75 per dry ton. Monthly composite - If 0.10* cadmium or over, return 75% ofcodmiua in balls to Great Falls, Montana 100 days after date of receipt of last carload of sine residue taken into monthly accounts. Toll charge of 50$ per pound of returnable cadmium wlll be assessed in the monthly accounting. r1 $23,186 per short dry ton or 19*5$ zinc plus 55$ each 1$ under 19.5$ to maximum addition of $3.00 per ton when zinc is 12.5$ or under maximum addition of $2.00 per ton effective on shipments billed out on July 23, 1957* Note: Add to base treatment charge an amount not to exceed H.IO per ton residue when certain freight rate reduotions become effective. Insoluble Iron - Charge excess over 34* at 30$ unit. Arsenic Antimony- Charge excess over 1% at 50$ unit. Variables Labor - $15,773 plus and minus 20$ each 25$. Coke - $25.06 plus and minus 15$ each $1.00. Bullion Freight - $29.63 for shipper's account. Splitting Limits Gold Silver Copper - 0.01 os. - - 0.30 os. Zinc - - 0*20* Cadmium - Insoluble, Iron, Arsenio, Antimony - 1* 0.40* 0.50* 0*04* (Repeat before umpire) Lot No. 1824 was audited in detail on preliminary and final settlement. Lot No. 1836 was and!tad in detail in pre liminary settlement, the transfer of toll charges was audited for JsnsuLsy 1958*': pNYC 00012320 iff LEAD FLAfvT RECEIPTS - Continued Themoid Western Company - Ilephi,, Utah - Lead Prose One lot, cr 11 d~y tons, was received in January 1958,, International Smelting and Refining Ccmp&ny moisture# and aeeaye are used for settlements> .. The eohedule for payments are as follows: Lead - Deduct 1.5 units, 90* of balance at New York Electrolytic, less 2.5065$ per pound. Treatment - $15o365 per dry ton,. r Handling Charge - 35.00 if under 10 tons. v This lot was audited in detail for month of January 1958. The Anaconda Company - Anaconda.. Montana - Arsenic Plant Residue Two lots totaling 519 dry tone of arsenic residue were received during the month of January 1958# The International 3melting and Refining Company supples and weights are used to settle on each lot. The assays are checked for splitting and are used for settlement unless an umpire assay is needed. There was a difference in weights and mois tures between the International Smelting and Refining Company records and The Anaoonda Company records. Under errors and discrepancies a detail of tho findings is reported in this audit. Schedule for payments is as follows: Gold Silver Lead Copper Insoluble Iron Sulphur Zinc Arsenic Antimony Bismuth Treatment Variables Labor Bullion Freight Coke Splitting Limits If .02 02., 91* 135.00 per 02. If 1 02., 95* Mint Price. Deduct 1.5 units, pay for 90* at New York Electrolytic prioe, less 2.5065 per lb. Pay for 90* at New York Electrolytic price, less 4.3565$ per lb. minimum deduction 20# per ton. Charge 10$ per unit. Credit 6$ per unit. ' * 2* free, charge excess 9 15$ per unit. 5* free, charge excess 25$ per unit. Charge all 50$ per unit. Charge all . 75$ per unit. Charge all % 25$ per unit. $10,796 on 31.5* wet lead plus and minus 8$ per uni'.o 13.773o Variation 15$ each 25$. 29.63 (tax included) Variation for shipper's aocount. 25.06. Variation 15$ each $1.00. Cold - .005 026. Silver - 0.5 02. Lead - 0.5* Copper - 0.3* :.. Bismuth - 0.15* ^ Others - 1.00* The final settlement, lot No. 1830, and preliminary settlement, lot No. 1846, was audited in detail for January 1958. The Lead Plant received 441 dry tons of lead fume from the Slag Plant in January 1958.% ;i<- | SHIPMENTS :' Following is a statement of Cost - Treatment - Production and Losses for the month of Janaary 1958i PNYC 00012321 STATEMENT 0F_C03T - TREATKEKT - PRODUCTION AND Lffi* Original Materials . On Hand - 1-1-53 In Stock Piles Custom Darwin Mines Shoshone Mines In Bins Custom Darwin Mines Shonhori* Mines By-products Custom Cost of Finishing I.nd in Wells, Kettles,, etc. Cadmium Plant Expense Dry Weight Pounds Cost of Material Treated Reduction Expenses w. ' ,,* : Lead' Copper. . -Silver Pounds ` Pounds . ' Ounces Gold Ounces 55,568,574 2,030,035 947,632 5,963,736 249,013 237,996 5,637,104 6134,056.50 t 79,056.92 38,356.00 2,214,649 592,688 308,220 163,885 14,817 2,669 165,412.52 1,682.389 27,121*33 . 31.143 5,857.63 56.925 136,087.41 8,831.60 5,100.63 2,906.60 1,196,045 : 90,875'.' 54,503.76 65,994{ 1,748 3,320.69 44,719 501 903.70 1881.514 4.056 6.705 127,087.75 145.44 1,498,288, 418,431 56,710.43 159.015 492.49 6,911.09 Received? Guatcm Ore Keiertal from: Sulphide Concentrator Slag Treatment riant Or. Hand - 1-31-53 In Stock Piles Custom In Etna Custom By-products Custom Total 4,099,846 7,949,711 980,.920 67,673,945 153,126.11 113,807.26 -35,55003 831,860.51 154,038.95 796,038 733,463 410.509 203,509.59 7,860,613 294,355 20,244 176 .967,213 57,883.51 95.366 24,533.27 93.316 3.166.91 A-AD? 399,413.75 2,135.202 41,774,222 3,193.802 3,772,753 11,395.35 27,916.44 80,020.10 653,332 721.32 281,229 1,065,901 88,076 30,082 416,794 57,824.44 1,294.189 10,897.03 65.351 49,601.51 132.940 Cost of Finishing Lead in Wells, Kettles, etc-. Cadmium Plant Expense Total 48,940,777 96,541.19 260.12 6.466.75 6,927.95 .2,000,462 534,952 118322*98 1,492.480 Treated :3,733,168 l735,319.J2 196,581.64 5,860,151 432,261 281,090.77 Prorated Into: Custom Darwin Mines Shoshone Mines 15*259,692 2,287,848 1,105,623 t603.974.17 660,634,98 4,848,530 412,526 87,888.52 23,676.71 658,682 1,16,565 43,456.63 12,269.95 . 352,939. IM' 3,170 30,442*02 6,761.33; Cost. per ton Production 20.9875 . / i.' '1 Lead Bullion 6,374,809 Slag to Slag Treatment Plant 13,243,200 To The Anaconda Company - Anaconda, 6,209,208 290,386.00 212,775,j 38,123 : 1,726.01 Montana Dross Reverberatory Hatte 207,204 Dross Reverberatory Speiae Total Production 207j &16,C27 Cose per pound of Lead 30660# Losses Pro Suetion Prorated into: Custom Ores Darwin Mines Shoshone Mines. y/?r<~*nt Savings? Custom Ore Darwin Mines Shoshone Mines 50,6% 2,166,74 6,421,983A 529^082 :: 561,832 . 96,821 45,343.09 6,421,983-^529,082 ,326,m.86 '5,473,149$514,310 239,784.50 , 615,66V 12,941"' 30,416.67 333,173>i:v 1,831 : ' 6,732.69 109.587*1:122.399* . 116.309* 112.883**124.673*' ^>'118.819* 93.469*:' 78.123* v-1? 99.917* 94.400*-57.760* . -99,576* Ucrsncilagent: Losses per Cost Sheets Deferred from 12-31-57 Deferred to > 1-53 Total 569,333 --MA 561,032 nil .97,043 45,973.79 222 ____122x72 56,ea : 45,343.09 nil _______ nil Total as above PNYC 00012322 561,332 96,821 45,843.09 642.722 543 .93 55.195 63^53 874.1CO 4.580 4.288 22xm 9537460 310.733 953,460 859.986 33.066 60.408 148.347* 158.117* 93.940* ' 94.936* 311.007 _____tM 310.738 nil 310.730 UBAD PLANT SHUTSKTS - Continued ftra?- Reverberatory ft>e,*,8g In January 1953 seven lots, 407 wet tens or 395 dry tons, of Dress Reverberatory Spei3 were settled lor by The Anaconda Company at Anaconda, Kcniara* Schedule fer settlement of Speiee is as fellows: Material - Crushed speiss free of large pieces, ekulla, or extraneous material* Speiss should be * or smaller, Delivery F.o.bo,, Anaconda, Montana* In open flat bottom, drop bottom care* Faynent fer Metals - Copper - 94$ at. Mew York Electrolytic Price* Silver - %% at Mint Price* Gold - 94$ at $34*91-25 per c\u3ce* Treatment. Charge Speiss at $30.00 per dry ton foo.b*, Anaconda, Montana. The treatment charge was increased from $30.CO to 530tC0 per dry ton effective August 1, 1956* The above increase was authorised in a letter dated August 2A, 1956, from Mr* If E Mitchell, Manager of Anaconda Eeduction Department, to Mr* F. A* Wardlaw, Jr*, General Manager of International Smelting and Refining Companyc Sampling and Weighing- Speiss to be weighed and automatically sampled at Tooele, Utah* Duplicate pulps to be sent to Anaconda, Montana for assay. All cars will be reweighed and check sampled for moisture at Anaconda, tontana* In case of wide disagreement of Tooele ud Anaconda wet weights Indicating loss of material in transit, the Anaconda dry weight, based upon this weight and moisture, will be used as a basis for settlement* Settlement Settlement to be based upon weights as above and comparison of assays by Tooele and Anaconda on duplicate Tooele sample pulps, using the following splitting limits} Copper - 0*30$ Silver - 0*50 ozs* per ton Gold - 0*005 as. ptr ton In the event results do not agree within these limits, both parties will repeat their assays. If repos, results are not within limits, the reserve sample will be sent to another labora tory of the Company as an umpire* 'n All seven lots ware audited in detail for weights, moistures, assays, and net amount received on these lots in January 1953* In lot No* 3-142 the original assay on copper was not within ths splitting limits. Repeat assays were reported and the; vers j.ct within the splitting limits* The average of the repeat assays was used for the settlement* It is the Auditor^ opinion that an umpire assay should have been asked for and reported,as stated in the above schedule for eettlement, ' |v. ` Dross Reverberatory Krtt.e settled for by The Anaconda Company at Anaconda* Montana In January 195 two lots* H9 wet tons., or 104 dry tens, of Dross Reverberatory Matte were settled for by The Anaconda Company at Anaconda, Montana* Schedule for settlement of Katie is the same as settlement for Speiss with the following exceptions: Material Matte should be 2 inch or smaller* iv j*' Treatment K&tte at $20.,00 per dry ton f.,Ovb, Anaconda, Montana* The treatment charge was raised from $13*00 to $20*00 as stated in letter dated August 24, 1956, to Mr* F* A* Wardlaw, Jr. from Mr* W. B, Mitchell* The two lots were audited in detail for weights, moistures, assays, and net amount rsoeived and found to be correct. '.ir-.'L. Lead Bullion .Shipped to American Smelting and Refining Company* Ctesha* Nebraska ' The lead bullion is ohippod to the American Smelting and Refining Company at Cmaha,;Nebraaka., 'f The contract was dated May 27, 1946 for a ten year period commencing June 15, 1946 and expiring June 14, 1956. This contract has beeo extended to December 31, 1961 as stated in a letter dated December 1, 1950* The above letter was from the American Smelting and Refining Conpany, signed by Kr* J.. D. HncKenzie, Vice President, to International Smelting and Refining Company, confirmed by Mr* Frederick L&isfc, Vice President. The silver contained in tU lead bullion delivered shall be returnable at 100* within 40 days after receipt at Ctaaha, Nebraska. 99-556 of the gold is paid for at $34*9125 per ounce* A quantity of refined lead equivalent to 100$ of lead content lets 8 pounds per ton of lead bullion Is return able within 20 days after receipt at Omaha, Nebraska. The refined lead must not'oontaln more than *1X bismuth* The bismuth contained in all lead bullion delivered is returnable at 90$ of oontent over .25$ within 40 days. The vplitt ing limit on silver is still *3 ounces up to and including 100 ounces and *4. ounces for bullion over 100 ounces as reported in an exchange of letters dated June 1, 1948, between Mr, Carl Gall,' Manager of the Omaha Plant and Kr. Carlos Bor dwell, Superintendent of the Tooele Plant. The supply differential was amended in an exchange of letters dated May 23, 1952, between Mr* Je D Mackenzie, Vice President of American Smelting and Refining Company and Inter national Smelting and Refining Company approved by Mr. E. 0* Sowerwine, Vice President. ' PNYC 00012323 '  m vp t e a p rr.A?rr :'>,:.t^: !'''^^'4: : iV'/; '1 - yMspu :.'. 3HlP3BTTf* - CcnttTjr.1 Lead Million ~V.rrc.-i ho 0***1* - Continued "Supply Differential; Thin differential bhail be based upon the arithmetical average of the.indices for (a) fuel powei and limiting .vatrrinls, (b) ebric"ls and allied products, (c) metals and metal products, and (d) nonmetallic alnerali structure!, as published by the Bureau of labor Statistics of the United States Department of labor, in respect to lead t-OJicn delivered on and after February 1, 1952. Any time the arithmetical average of these indices shall exceec 67.4, the refining charge hereinabove specified shall bn increased six cents (6$) per ton of lead bullion for each cme-po -nt lr*';r< >*. in s?id average badex iV>ov* 6?i fractions in preprotion. In applying this differential, the average index to be used in respect to lead bullion delivered (hiring any calendar month ehall be the average index for the nsfrt. - preceding calendar month.-?* ;^ ll.c supply differential for January wa* ' V; A L'$ freight lucres?* effective Dc*r>t*r 29, 1756 vs granted the railraods as per letter dated January 2, 1557, to Mr. Eon Verbnrtc", Cashier, -Voa Kr* G, A Burt, Assist ant tc the Manager. Another 7% increase effective August 26, l1; 57 mr. grnntol in * letter dated August 2(3, 195? to Mr* Fein WerburLon .from Ke F. G. Cunard, Assistant Ore Buyer* The 1 .ir.v-o-Kjes n:*lce a to'.al of a 12% freight increase plus 3% tax on lead bullion* Tooele, Utah to Ctaaba, Nebraska, - ot<.l of ill.03 rat* plu* 6?i tax on l**d bullion. The pri-lJUaiuary anl final settlements for January 1958 were audited in detail. Hot Bis.? to the Slat Treatment Plant Th* molten viag cent to the Slag Treatin'-. Plant Is computed by assuming no loss of iron and manganese at the blast fnmacce The *ct?l treated iron pluu nang&nese, including that In the cold dump slag, scrap iron and coke, less the prcduclica.cf iron end !ang;uiese In all materials except slag ie the content of the slag. The monthly composite assays are used to arrive at contents* The cost lo transferred to the Slag Treating Plant'on the following schedule: Zinc Charge - Total sine content of molten slag less 75% of all xino from the Slag Treating Plant treated at the Lead Plant during the month plus, cold slag line and toll line treated, 75% of this computed tino content is paid for at 20jf of the monthly average Prime West-era price. Treatment, of Coid Slag Charge - 57 GO per dry ton treated by blast furnace. The 57,00 per dry ton has not changed since *hc last audit. Credit for further Treatment cf Tell Zinc - $6,75 per dry ten of toll material treated at the Lead Plant during the month, rTfoat Araws itiTsnFLAtrr t r abs t eps * . ^, F'm.e fro^n Slag Treating Plant This material enters the Sintering Plant change bins and becomes & part of the sintering mix. Actual car weights plus beginning inventories were used* Monthly composite assays were used, . ,^ Cadmium Cal.cine ^` This material is also a part of the sintering mix in the Sintering Plant change bins, ^ This calcine is produced at the cadmium roasters after the fums is drawn off* The assays were ffroa. the month of'Hoveober when the last assays were available,. :'\.c Plant Furnace Flue Dust ' J', .. * ' ' Actual car weights plus beginning inventory was amount to sinter change bins .for month,'^ Honth of December aesays were used for metal calculations, . v* . Bias* Furnace Catcher Dust ; !;.U. The beginning inventory plus aotual car weight was used as smount to sinter change.bins. The ;.January monthly assays were used* '; All of the weights, moistures, and assays of the above materials were audited in detail, > Sinter to Blast Furnace 1 The product from the Sintering Plant is weighed by cars, adjusted by inventories at the blast furnace bins and the balance is Included as part of the treatment at the blaot furnace. A fixed molsture of *75% is used, Fixed loss percentages are used on each metal to arrive at the content of the sinter, .** Listed on] the next page is a comparison on sinter shipped In January 1958* *. v'h'- :-j.USx^Lr-: PNYC 00012324 UMLfifla MISCELLANEOUS IKTERPLAUT TRANSFERS - Continued fiint.gr tc FlfiSt> Fumacr - Continued Fixed 1/03? Computed Loss lead 2$ 2s05 % Monthly Assay Computed Assay 34.00 % 27.587 % Monthly Weights Computed Weights 6,730,812 lbB. 5,623,511 lbs. FOUR PI7I3TCKS OF LEAD PLANT JL.S. 5 % .36# 2*eo * 2.325* 570,773 lbs. 473,942 Ibe. 5 9.472 $ 26.33 ot. 27.584 o. 2,283,01. lbs. 268,365.10 oz. 1,930,838 lb*. . 281,149.96 . oz. .07 ca. .0555 oa. 713.466 oz. 565.674 oa. INVENTORIES Cadmium Roaster* - run at intervals to produoe cadmium fume Sintering Plant - produces sinter for the blast furnace Blast Furnaces - produces lead for droseing Dressing Flant - draws off dross end pours lead bare * Following is a statement showing the details of the inventories on hand at January 31, 1758t Original Material t In Stock Pi^es Custom Ores Iron Concentrates Total 3?. ntering Plant OreB Concentrates Total Blast Furnace &no}tipg Custom Slag Total-Original Material Dry t Weight JuftAi- 0 => r . 2JLX.Y..1.E... JUJU. Os.per Oz.pey H20 Pounds Fcrcent Pound* Pereent. Pounds Ton ftmo** Ton Ounces 6.363 5,137,397 4^7 tl,vV,222 15,12/, 5.217 13,401.08 .1199 J*h2!L Mm.-------2.768 308.023 8.706 8.153 V-9,466 67?;W 8.613 ?.160 .878 36,988 -1&7S1 180,745 6.703 28,788 18,082 ..i33jL J*22k hlJZL 4.473 30,082 28.071 3,882.87 .2296 7^438,48 074 .990 ?.5a.337 3.985 100.484 4.579 44;968,024 2^078 934,561 .263 118,158 .. 3,0' "(58,721,47 -Tpfc 1,359.540 Sinters HgsPER^tg: Sinter Cleaning*, etc. 16*708 Lead Dross Blast Flue Bust 1.880 6.477 Blast Furnace Cleanings Blast Earrings Blast Bag House Fume Total 8.360 1,116,740 2?,440 736,660 03,960 106,230 3,091,080 43.760 488,683 56,600 16,664 27.224 200,547 8.871 12.800 7,448 .1.3..,.?..' 4 JM 34.483 1,065,90! 1.700 22.000 6,315 1,834 1,600 MhL. 2.582 18,98? 6,477 46,521 1,590 30.942 17,277.26 63,930 941.34 16,126;. 5#9J?,64 7,735;-; 325,55 ,0970 .1500 ,0447 .0200 54041 2.208 16,463 ,837 Dross Reverb. Speiest 2.866 449,460 54.233 243,756 $1,215 :20,478*68. ".1898 42.649 Dross Reverb. Matte Total - By-products 9.126 432.213 ___________ ,_____ 21.572 93.;2,_3_7___1_6_._8_4_3____-_J_x_&__7_._,_2_2_-__M____. . JtiiSL7.855 3,972,753 26.830 1,065,901 10.491 416,794 24.971 49,601.51 T.0S669 132.940 Grand Total 4.853 40,740,777 4.088 2,000,462 1.093 . 534,952 ;- 4.$35| 118,322.98 .0610 1,472.480 Finished Products lead Bullion Grand total ifoheriol cn Hand -3J.25a62S 38#ftq, 3,PfiUQff : 1 1 ' : 4.575 52,066,397 9.725 5,063,570 1.027 534,952 10.043 261,462.98 .0759 1,976.980 At BsOQ ArM, on April 1 and Way 1, 1958 the Auditor accompanied Messrs. James Lougy and Edson Porter on th* taking of bin measurements at the Tooele Plant. The Kay let inventory w h s later checked bade to the inventory work sheets. The Lead Plant has not been in operation since January 31# 1958* IFAD DROSS An est.tmited fifteen tons cf lead dross wv cn hand at January 31, 1958. At May 1st inventory, the same amount was on. hand* PT-PRDPUCTS All by-products w**re checked from inventory verk sheets to final inventory of ore on band January 31, 1958. VALUATION OF INVENTORIES Stockpiles and Stock Bins PNYC 00012325 Following is a statement shewing the value cf the stockpile and bin inventories on hand at Jtauary 31# 1958: . ii: "'.u vt. ' ' * ^H gvO Ws> &o S9 ssg - * * * M3>oR >wo dcj ov Slit ft*8 H cIAn% P *> to 3! 5 O&^JfHI cT 8S Sa' r-t O' da <* S 3 -oa>- *A cycc 8 S3 8* vO tr 3 3" iP 8fi g< a & SR c^l P\ vrl\r$r*$s 3 <> SP <a U S Si cj. fts 25 O'C 8 SSJ ?7 fc 3V i ft CO S"*jR- & "* I S' 'OO'*r) 5- *to *ftr IA O'VO ov *> a tf SS R 8C Sc- fc- i m&i o&. fc to >o r* ^ S3 ft H a S r- cv cst V O'-- 8S8 ft S d |c N ntor4t ft Pi 3 i SI a 88 ft tr\v Sfc "d CO CM CO iaa TC"M> ooo `i O >2 a H u\ 5n T IA* p%! AVi 3 n 8 W0*s<C\ <CO0v A 2> vo cno S - pa *uc->r & sC E S I 3P2 33 3 SIS g H a ca *5> % A 8 & $ fc ft ""*. 38 S 4 4=* S % l 3II&S $R f 8 aissf i s & sas 2 8 3 v\ H H *Af H JJ & : Si 8 : sfg A RR| P - ^E,, t- ., vO CV ^ A 8 8! R ; <3 S ^ H a im J" U:- Is is ilii2 1*> JK a i 32 4 v 1*; . .. . s^. *.*;''-*'-,*SP;; ', . .. ;; ^feviK^fcscf? ;. . ;--r' 4 VALUATION OP mENTOBItS - Continued Stockpiles and Stock Bins - Continued The lots are added at actual costa and charges, but the gold cost is divided by $34*91 to arrive at a new paid-for ounces figure* All gold paid-for ouncee go to stockpiles and stock bins at $34*91 per ounce* Month end inven tories of all lots are recapped and silver ar.d geld total paid-for ounces are revalued at 34*75 cents and $34.00 per ounce. The treatment afcscrbes the differecne. Therefore, the individual stockpile records carry actual oosts with gold at $34*91 per ounce. The total inventory as used on statements Is revalued for both silver and gold* This is useful when lots are transferred between plants, because original costa are then needed* When lots are taken out of stockpiles and stock bins, they are given average contents and values* Actual freight, refining charges, zinc cost.3, and treatment charges are used as totaled on stockpile recap sheets* In-Process Inventories The Lead Plant completed operations at 8:00 Ad!, on January 31, 1958 All of the material in the circuit was cleaned up and nothing remained in process. There are two schedules used to value the by-product Inventory. One is to value the Dross Esverbatory Matts and Speiss- The other is to value the balance of the by-products. The Matte and Speiss schedule is the same as the schedule for Matte and Speiss shipped to The An&oonda Coupany. The balance of the by-products are valued as foil ova; Lead is 95 percent paid for after a one percent deduction. The "norrcal bare** method is applied to the lead valuation. Copper is 92$ percent paid for with a minimum eight pound per dry ton deduction. The "norcal base** method is applied to copper valuation. Silver is 97 percent at 34.75* per ounce* Gold is 94 percent at $34*00 per ounce. The treatment charge is $12*27 per dry ton. Metal deductions, lead 2.2565* and copper 3*8565* Credit iron and lime at 0* per unit.- Charge insoluble at 10* per unit. Sulphur, 2 percent free, charge balance at 15* per unit or minimum $2.25 per dry ton*' Charge ainc at 15* per unit. Charge arsenic at 75* per unit. ;. Finished KaUrlal Hie lead bullion is valued In N*w York but *ny lead bullion on bond in wells and kettles is credited with cost to finish - dressing expanse,, Tills credit remains on the Salt Lake statements until the following month* The ' $1,7589 per ton 1`Lxed cost is the same as it was at time of last audit* It is assumed that the New York Office uses this credit when valuing this lead inventory. , > f i., . PNYC 00012327 5t ac nj.tr t oht t s Following Is a statement cf custom* it a* <*rial received for the month of January 19581 ; .19 Dry L e ad Conner Zi nn Silver Gold t Weight Per Per Fer Oz.per ;\ . Ozlper K2n Pounds Cent Pcur.de Ceric- Pounds Cent .Eesnds Ton Ounces Ton " Oinces Cost U*S- 5n, Per. A yWs Co Sing 1.462 15,297.083 .9746 149,035 .260 39,772 10.06075 1,539,001 .130.' Bethlehem Pacifi[t* C?H*t Steel Ccrv- Residue 5-540 251,377 6.200 15,586 .328 824 29.956 75,303 3.375 994.31 .* 1 424.24 Tr Tr 112,722,96 1,500,89 ColivrMa Gen**/* S'eO UivUlun Residue 12,4C0 i29,157 8.7CO 21,237 .300 387 45*500 5e,766 5.950 384.34 Tr 1,398-51 Total Purchased Ore 1-631 15,677,61? 1-122 175,*;<W- .261 40,983 10,672 1.673,070 .230 1,802.7$ 115,622.36 United States hw3*ir.c,* F.sfinine nr.J Min*''iv Cosxsr.v - Midvale. Utah Fourteen lets of slag, 7,649 dry tone, vrre received in Quinary 1958* The total dry tons received was composed of 4,573 dry tc.n? of current slag and 3.076 dry tons of dump slag* The settlement wee calculated on the contract as follow*: July 1, 1956 through' June 20, 1959. Quantity - Euyer'e requirements Delivery - P.'Oob- care* Kldvale, Utah Current Production cf gla* Lead - Pay for wet lead in emcee of 0,,90J$ at rata of 60* per unit Zinc - Pay 60* per dry ton of slag when zinc content is $% and lae?; St Louis Prime Western Zinc price for calendar month of receipt ie 11* per pound. For ->ach 1% increase or decrease in zinc content, add or subtract at the rata of 60* per unit. Per each 1* increase cr decrease in zinc price, add or subtract at ths rats of 60* per ton. Minimum payment 60* per dry ton. Reduction in payment fer oort of employment. ... r . ; if|-r . Amount 7-1-56 7-1-57 7-1-53 Minimum payment for slag $0*60 per ton. 6-30-57 6-30-58 6-30-59 3toektlle Ham 91g ';1V 0.32 :y 0.51 0.70 . ;t Terns same as current production except International Smelting and Refining Company pays United States fitoelting. Refin ing and Mining Corpeny 40* per dry ton of dump slag for loading at Midvale, Utah Splitting limits Lead - C.2055 Zinc.- 0.30*.- pjsjYC 0001232& SLAG PIAKT HBC3LPT9 - Continued United Statu? Smelting- 'Rcflnir.g and Hininb Co. - Continued ' ' ,j Assayo Freight - If assays fail to agree within splitting limits, repeat assays shall be made by'each party. If repeat assays agree within splitting limits, tbs average of the repeat assays'shall be used for settlement. It the repeat assays do not agree within splitting limits, settlement samples ha-n bs exchanged and ansayed* If assays on exchanged samples agree within splitting limits, the average assays of the exchange samples shall be used for settlement. If the essays on exchanged samples do net agree within splitting limits, then the average, of the repeat assays and the assays cf the exchanged samples 6hall be used for settlement. : - 7/1/56 - 70# plus 3* and moisture (Ose 73#) for buyer's account. All scale tickets to lot sheets vwro audited in detail for January 1953. 50* of moisture# to lot sheets were audited in detail for January 1953. 50% of dry weights were audited in detail* The settlement was audited and checked to metallurgical cost sheets. r.gthlehenJ^cific, Coc.st $*-ecl Ccrcc nation - Log Angeles fellfond a Two lots of residue, 126 dry tons, were received in January 1953, The settlement was calculated on the following contract: Pcried - 30 days cancellation notice. Tonnage - Current production plus and minus 2S0 tons per month, spaced about one car every six days. Lead - Deduct 30 pounds, 80* at New fork price, less 10,1585# per pound. Zlrm - 75/5 of zinc at 50* of East St. Louis price, Treatr:enfc -- $12,663 per net. dry ''.on, r,o0b. International* Variables - Labor - $18,773 plus and minus 17# each 25# Goke - $25,06 plus and minus 15# each 25# Bullion Freight - $29*63 (tax included) shipper's account Smelter assays and sample ; One lot or 50% cf the receipts was audited in detail for the month of January 1953* Oolvc.-Ha C"*n*nfi Djylulcn - ^or-arce. fl-OI1 ecrn^ In January 1758 one lot. of zlnc residue, 65 dry tons, was received. The settlement was calculated on the following contract: Lead Zinc l- Deduct 30 pounds, pay 00* at Hew fork prioe, less 10.1585## ` - 75% a`t 50* EBast S-t. -Lou-is pries (-no pay if- under 10-* tine' Treatment - $13,932 75xc*s Iron - Ohsrge exccea Iron over insoluble at i0# per unit. Variables - Labor - $10,773 plus and minus 20# each 25# Ccl;e - $25.06 plus and minus 15# each $1.00 Bullion Freight - $29*63 - shipper's account* Sr.elter sample and assays The one lot was audited in detail for the month of January 1953* Pitot Hlaff fMcnltenl In January 1953. 6*5A3 'by tons cf moulten slog was received at the Slag Plant frost the Blast Furnace. Blast Furnas? Slav Declaimed From !>.jno (bold) In January 1953, 79 dry tens of cold slag was received at the Slag Plant* 3HIFFENT3 ' * ' Following1 is a statement of coat treatment - production and losses, etc., for the month of January 1953: pNYC 00012329 n sun mm 22, T'o-ll* Tread.? *, Plant - tHnKR-pfMt q T Coal. - RP g: - January 1953 - p - Continued Vnlue Cf Production Velrit Pounds Grand Tct-al lead Copper Zinc F'Wln Pounds Pounda Silver Gold Ounce0 Purees Cw, W*nd - l-31-rc Levied 7-J rj- Oride Consigned Leaded P.Jmc Pride at PVnt. 7.1 .C Pj t t :h In Tines t f o An^.-nr'd-; Ooleaded ZJnc rnes In Transit t TJnticjal Zir.o CoAt Plwt 7'O.u*.' oT Zinc Fvirr r*ttivr.\ 3x* '?: : -o'ip ; eturn-ihl? a.fnc 5.n Total or. Thdiu^ 'id 3Zrf* Cr. <'-iv\ - l-v-*2 54,rco ft 2,115.13 25,656 295,990 12,036.92 163,992 163,373 6,265.3? 2,5^,520 -S32.-453 2,774,378 92,013.33 - 416,42 *,33(3,621 $273,912*01 560,155 105.29 246 1,041.85 1,161 127,103 1,967,269 158,213 176 5,636,676 4,401.03 5*812 Leaded 7inn f5xi.dc Consign~i leaded Zinc Qaida at Plant Oels-aicd 7jr>r Finuc in TranrH to Ar^ccnda &*l*alad Z.inr Furs*? In Transit, to Rational Zinc Co, At Plant Value of Zinc* F*ae returned in ec-rreer of returnable a5nu in trest.n-.enb T:tn3 on Head Peclming Value cf Production ,v,,CCC % 2,115,13 25,656 554,'40 22,079.31 266,750 277,373 3,032,962 107.37*; 3,140,337 10,711,67 103,367.43 . ^59!o 33 4,026,130 $3.43,364.97 292,404 105.29 .246 1,537.64 2.434 216,351 2,321,606 82,225 2,619.980 1,642.93 2.630 Dslewded "ino Fvrw Lead Fue.e Tot.ai Value cf Preduction Tolls Tamed Total Vatu ProC.lt cr Loss Division of Profit or Loss 3,6*6,011 105,064.51 25*492,51 .287.751 4,312,491 $130,547.04 237,751 _u&M? ft3H.MO.63 i 3,353.35 2,816,496 86.98 176 2.671.12 3,132 176 2,816,496 2,758.10 3.132 Dor*lr WJr.es $ 1,855.19 Shoshone Ilinen 175*21 Other Custom Ores 4,115.04 American Zinc Corpar.;r of Tllincis-(toll) Hslar Leach Residue 2,030*54 --2 1 3,353.35 PNYC 00012331  ''i *. * 25- SPTF??:;T3 - Ccr.tinmd r.Lio rr.,v!7 H^jLuM-^nc Fun^ fa-vn&l ^rUwiUo. C fLahera Tvf.^.r-wi'! !ct: 1., *2? dry *.c:v?, of v*: ?ettleci-:r*.v were -it**d in drt> ` *5 nrhi e u*/:*.11 e , OV l.i>* oinn. r-?:u: f.mr vrj * 5eft Led for in January 1958., Thirty-eeven percent of the J-v.ary Tl^ I*;*?, 1,253 dry tons of dleaded zinc fume were in traneit to Th* contract for c-Vcf c'rlra^i zi:m *V,me i* *5 folic*?: 7,in{! - P.?t TT.itt ?>*.,. T/riin - ^rh* *T*.)` nrn "Inn less 0,4223, prr pound, i3-5* per'pwnd - fort 8t.., !>*: ^ - r-*bv* Wsrtern Zinc - plus or minus $1,75 per ton for each 1$ -IVl^Ct I'i r/u.'c Fr o! ht - ?'./) -. S*5 plu k Jf. v - ' Tr- tnvfj-t - *50 CO per d>y tori of dr-lrated ntnc fore, Cor.trart *v-, ^r.rU. .-.' l 20ot. cf rr.-.p103went flg-.tr stated In a letter dated January 24, 1557, to the National Zinc Company frer- ?;r. *t- 3. Cr.pl**, "It 1* our mutual desire thnt the agt-eervMt of November .'3, 19*6 he extended from April 1, 1957 through September 3C, 1.957, inclusive, and theve.4ft.er until ran celled by either of us giving 30 days prior notice of desire i-o cancel. The Hnr** provision;? for srt.tlerr.ehh fet* the 'Jeliwvlsd zinc fume delivered to you as set forth in the agreenrirt of Pfvn*hr 13, 1V5^. ^O1 apply to all cf the delaaded zinc fume delivered under the extension of s.-vVt v reefer"! , ejerepf. that the fclicking paragraphs will he added following the third paragraph of the agree ment 'written ,w ?he. fowrjji^ s.rentvepl. rh-arr-- " N-nvl upon the c<ri cf employment at your Bartlesville, Oklahoma Plant of $18.61? dollar3 per eight I-?u* day. ?.b.>uld th cost cf en.plojTr.ent at Bartlesville vary from |L8.6l2 dollars, tl*ftre shall be added ho or riM.-tcled from the base treatment charge of 150*00, per short ton of deleaded fume, 1*5# p*t` ton f<r each If per day above or below dollars perday, as the casemay be.The coat of employment to V-e used in mtlng set.Tler*er.v for dele-ided '/b\z rume delivered at Bartlesvilleduringany calendar nnth, ofthis extension to the fcgre-'rr.en* of November uhall be the average cost of employment for the calendar month prerr.il vg t!*. tb of delivery of the rums.** r^rni^ 7Anr TV=w for V* "he At .TM fTrmi.aiyy Spacorda^ Montana Or? lot, 755 <jVj ten*** of deluded sine fum* and o adjustment to a previous lot was audited for the month of January 1953* At January 31, 1958, 82 dry tens of emitted zinc fume was intransit 1 Anaconda, Montana, The .contract fur settlement cf deleted zinc Auue is as follows: Zinc - 9Cf? Bart St, Loti3 - Prime Western Zinc, Treatment - 15/.00 per dry ton f.c?b.# Black Eagle, Montana when the orice for Prime Western Zino at Bast 3t, Louts is 10 ` p*er povn^ and cor-t of rmj[*lo;Tner.t in the'Zinc Plant cf The Anaconda Company is $i?k0C p*r 8 hour d*;\. ?02- -aoh variation cf U m thr pr^ce for Prime Western Zinc above or below 10# per pound, add or .Tibtr^rt. f.2 -75 K-v the **>..*;? trratnisnt obrg per ton of fume - fractions in proportion. For *r\2b -tj*;r> vr If *n '.he cc M. of P.v;.lc;.7nr.iit per 3 hour day above or below $17*C0, add or It.5V* ton t? r`i* treatment charge - fraotiens in proportion. " Inc Fcllcvi.ng a *>t.iterer*.t cf e*e,, tc,v on h?ud end value as at January 31, 1958i PNYC 00012332 25 7T^n?:TTornx3 - continued pl ao f iat t Blna - Continued There were 1,616 dry tone of cU3tc?r slag '>n hand. Ml the neasurements, oomputationp aoeays, and values we~e audited in deha.il, VALUATION Of T^cyTOFrres T.je leaded zinc -oxide', 150 dry ton-), at th- rimt is valued at sales terms of lead fumes sent to the Lead Plant, except ailver -which Is `}1% at 26*75 pa** ounce, The consigned stock, 27 dry tons, ia valued tho same way as is the leaded zJito ovlde on hand. Tlie deleaded zinc fume, 10/* dry to:i on band ntul 1,233 dry tons jji-trana!t. to National Zinc Company, is valued the same as the lets settled for in January 195*. The treatment rate used in this calculation is the last lot settled for in January 1 S'53 The deleaded line fume, 82 dry tone in-transit to The Anaconda Company, is valued at the same contract as deleaued 2inc /Vine settled foe by The Anaconda Ccnpw.y. The vniue of slur v." hind at Jnr.u* ry V, .`958 wa? understated $36,47.. The current olag rate was applied to the u'lrap 5la^ ua-l vie- M'icu.- T>- Ay .liter Is **3*o of the opinion tliat the forr.nla for determining ths dump slag rate ig v.Tong.. Thr fcl'lowing schedule `llustrotes tills error: Ov.-rent Slag Darp 33 ag Total Drr Pounds Pit *' Ton?? Pate AtsC'Unt Loading Pate Amount Freight To+al 9,145,6Fh *,???.&*2D 0.771 6.3 s i '"v 3..075 'r;ejn C-77L 3,525.66 ..2,171.37 0.60 1.230,28 15, #7,083 7,648:5415 * 5,877.03 * 1,230.23 i 5.595.66 $12,722.97 Current S1?t Pete Fv 'aula: $12.722.97 lesn <1,230,23 15,297,083 eC0075l299 Drop -- 31am Hate Formula? &2-*7?2.97 15.297,083 .C0331725 It is apparent from the preceding that the dump rate formula does not provide for the inclusion of 100)6 of the leading oiioui't in the rate, although excluded 1C0 in the current slag rate. This is illustrated by the following schedule: Cur**mt Slag: Amount $ 3,52.5,66 Freight 1,345.48 Total $ KmM " 9.115.63/1 drr notinds ecrual $ .000791299 agrees with formula Dump Slag: Amount. Loading Freight Total $ 2,371.37 1,230.28 2.290.18 CO $ 5..8M.83 / 6,151,399 dry pounds equal $.000951301 $ 12,722:97 formula shown as $,00331725 (1) Freight prorated to current slag and dump olag on basis of dry tons. PNYC 00012334 7AT.iiAT7.0fl CF , JirTRNTQP.IfS - Continw-d V ':ttcry Jnunr-1 Shown as* : Current .1**5 Du*np Slag Total Z'jfA: 1*3^9,566 dry pounds ? f ,CCO$31?25 equals $ 1-155,74 I/43./5Z dry pwrrls <a I .0007512*9 equals 1.364.6? 3,732/73 $ 2,540,43 Sbcwlrl V: Current flag fhm.p flag 1/89/66 *?ry pwals 5? * ,000751299 equals $ 1,043,98 1/43/T? dry pounds f $ ,000951301 equals 1.753.30 3,232/.?.! $ 2,797,28 Tit-i e nho fM- Uo* to i--* t-1 r d $ 256.85 .'.h'vi.i.j v* d)rtri>:'.:ted tc r'irre t a lag irl d;np ul.ag o.i the 1es5n cT wet w*ight3 cn future calculations, an d riscFjgPAt-ETEP tr/n rt/vT The following Lb of an r.for/ra.t-to nature rather than an error or discrepancy. The two lets used are examples of the method rre:l In calculating dry weights of recent?. Due to the different method of calculating dry weights, there wss i 2? pouo* difference cr lot V>r- .1-24 and a 15 pound difference cn lot No, 1632 as explained below. On lot ?Jo, 1P2/>j( -f ^Ivn-d In Deceive- 1957 ,, rdnc residue Trow American Fine Company of Illinois, the calculated dry weight, wan 651,00? prnr.de, Tfci* lot vr, * composed of r1ve cars* The weighted average moisture, 8,81# moisture, was used in RftlmUi :ng *ry weight, 4 supar*** ws1*.tur* vts t/ipen on each cnr. By calculating the dry weight cn each ear avJ toxins* dry veihUr the ''ry weight Is 651,025 pounds. Lot No, 1632, received in January 1958, v.as cc? pos*0 f` fJ'#e cars or.i 1 he zp i cnlftte-5 dry weight wn 656,359 pounds. By using the moisture on each car and Mlculnting^eaeb cnr separrdely A, on let No, 1824, the total dry weight is 656,344 pounde. Lot No, 1832 was from the shipper. Tt 1% th- A*td.1torfe opiidcn that the dry weight should be calculated on each car and the total cf the dry wight- of the cars in t.iin lot should 1* *!v* dry weight of the lot. 7h*-r? !* i coris'.to;*a!*-le di ffcconne it< th* dry w^l-hta ox amnlc residue shipped from Anaconda, Wontaha and the dry weigtde -vMLsd Tm* \-y c'** Ti "r'fUi'ir wd Refining Company at Tooele, Utah. A comparison of weights -*** * " t*5 y4 u *n l; t. r'c . 1.f>3? re'.wale the following AnCorroatlon: An-4Co;'- Tt r al 3'' *`lMri 5 F>^ f*i * -vs C"-. Ol'OOfl WrM-t. 1,983,16c 1./V5.SC0 7,260 Tore tffrArht 51*,5<n ....517.fi 1,300 Net Weight % H2Q 1,384,260 16.55 1.378/CO _ . 14.33 5.S60 Dry Veipht 1,155,148 1J80.PC3 (2J,55) 17,6275 dry tons 9 t 70*835 final value per ton $ 903.64 K `o^varicon of we'rg'-jha 3/1.t moinhi **3 0*: .id.*; cars cf let No, 1346 reveals the following invernation: Trees /nuoondA Intori.nt.' cn.ii. Smelting A- Refilling Co, - .`.,189,960 - 1.1*7.16.* Tare Weight 797,200 297.140 Met Weight 892,760 890.020 S H22 15.02._ 9,77 Dry Vleht 753,662 W .030 2,fXV 60 2,740 (*Vf,348) 12 IMh 'hy ton* ^ * 53,359 final value per ton ** 11,516.48 PNYC 00012335 27. TT.AO rr,\i' T^p.opr av:f "*? - cert inu'* The Auditor talked tc* Mr,. Cly* 0-"i?.*C7i<r Head rumple*-, aH '<ras Informed that eight or nine lM pipe samples are taken on eamh c*r cf omenta r*u1tf>n. TH<* ere*-} e* unH .are 4h* full 'Jepth cf the arsenic residue in each car. These samples c.*' vner.ic r*nld`i* *r- 'revived In the burking rcon and -ir.ptjod into a pan which is weighed. After a 24 hour drying period i-h* p*n in *;*)rh-5l ag*5n and -oint'u** *-s -i-ilculst.-ii,. The above information is of an informative nature point out bhn il rr-rsnceo in w^.i^ht avd medrture c^lcnl/it-JoT.* on arsenic residue received from Anaconda, Montana and 5fttt-tei by Tn^nrr^t ion-vt f.f'*liir>g ?nd P.C**nt'*g Company. Tnt^v-l -xnt T-r vn 3 fe**'*: On .Tarmary'lf, 1959, is a.? followss car 709, an *.rrc- ;f 1,000 pound? :!n sinter to blast was recorded. The difference in weights Oycc- T*r > fat As hc-*n Should h* 05 f'V.rencn 151, 440 191, A/P 40,260 AP.f.V) 110,180 lllllPO 1,000 T^o wet weightn *n goiter shipped ishcnH te 20,7,7*3 peunis inotend of 20,5.18,780 pounds in January 1758. Or Hveh 21, 1753, Messrs. Marl House, riant. Fng:n:er, D, H, Sveon end Rc I, Hathaway, while cn a tour of the Tooele Plant, noted that IP lead bsrn were c-*1 hxnd it tb* Pro no Plant. Tills quantity was later checked to inventory records at February 1, 3 953 shewed IS bars cn hand.. The Auditor accompanied James tougy. Metallurgical Clerk, orA Ulnon Porter, Clerk, on ;m ** * 'er/ory trip cf the Tccele Plant on April 1, 1958. The six lead bars in the molds and twelve l are *.* stockpile were checkst f t the tdr*e cf Vhl3 inventory observation. The eix bars in the molds were inadvertentally overlooksl at *),* tine of February 1st, and March let, inventory time. The on hand inventory of Fftlwciry let would have been imported is follows: As shown >bcr,ld be Difference Dry Weight rounds 15^,f.ro jc/i.rw w,ap ' i tt H rj For Cent p0!l"dS 9?,,nC 98-00 98.00 152.C80 199.? 20 47,040 Pis m n t h Per Cent Pounds .327 AW .327 510 467 157 .... Silvrr Ounces Per Ton Ounces 39.CO 39,00 89.00 6,942.00 9.073,00 2,136.00 0 o _1 d__ Ounces Per I2H Ounces .365 2*J,5CO ,365._ 37,700 .365 8.TOO Ar adjustment was made on March Cost Sheets. CITOW, QfPflfKi'TS Hulirhi.fle Ccrcet/.raVy The fhilphlda Ccncentratov is In operation producing vino concentrates and lead concentrates. The line concentrates are shipped to Anaconda, Mcntnns. *!?.< load concentrates are whipped to Fast Helens, Montana. T.s.il Plant Til* lead P3s.it diecontinued operation at 8:00 7UM. on January 31, 1758, The number 3 blast furnace has been rebuilt with l thirty Inch extension added. Tt car* be* read;" for production with a few finishing touches. The number 1, 4, and 5 blast fnrr.ac.es have Veen dismantled. Nu&T'.er 2 furnace c*n bo repaired and used ae a standby# fl.ic Trent Irv Plant The rr.e ?re.t*Jr-g "innt. is in operation -producing delended vine concentrates, bagbouso fumes, and slag. The deleaded ?5r.c o.wv;er.traS *a ore ;*>Ipp to '-he National Zh'V Company, IfcrM revIlls, Oklahoma, The baghouse fumes aro shipped to Fast. Helena, Montana. Sl*g i? t.ilcerj to the slag pile at t.he Tooele Plant. 0v;> a few errtrs ?H Vi5-:rrpa:ic>-:; *cre ur.ee vrr*l ih.ring the audit. The Metallurgical Staff was very co-operative and tb.eir w?r/t '.no neM, -uni accurate. PNYC 00012336