CO129-451 - Public Offices - 1918 — Page 536

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The kochiu Tin wining Seasony.

During the latter part of the Teing dynasty

(1909) the Yunnan high officials, realizing the above

defects, formed the present Kochiu Tin Mining Company

and purchased smelting furnaces ore dressing plant and

constructed an aerial ropeway for transporting the mined

ores to the concentrating plant at Kochiu, and also a-

dopted coal gas to minimise cost. The idea was of cour se

sound, but owing to bad management it proved a failure.

The Company has received more than $1,750,000 from sale of shares (state and private) more than $1,300,000

as loan (state) and a grant of $200,000 from the Pro-

vincial Bureau of Industry; the total being more than

$3,300,000. of the total the capital expenditure in

plant and buildings exceeded $1,600,000, and much of

the working capital has been lost during the six years

(1908 1914).

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Unless a reorganisation is shortly effected the

plant, through lack of care, will be valueless; the

debt will increase through accumulated interest, and

worse still, the reactionary tendencies of the native

mines and smelters will be strengthened. Out of total

of $3,000,000 about $2,500,000 is state money. So the

Government ought to take the matter in hand in conjunc-

tion with the Civil Governors of Yunnan so that a

thorough reorganisation may be carried out.

Froposed reform for the whole district.

Water Supply.

The proposal that the ores should be transported

to points where the water is plentiful, although feasi-

le for one mine is not applicable to the whole field.

it has been said that reorganisation of the tin

mines /

mines can never be effected unless water is brought to the

mines. A scheme has been recently put forward to pump water from the Hung River up to a reservoir on a suitable hill and then pipe it in ditches in the mines. This scheme whether practical or not is certainly worthy of considera- tion. It would be advisable, after consultation with the Yunnan Governor, to send a mining expert to go into the question thoroughly on the spot, and decide on a scheme after receiving his report. iransportation.

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Kochiu produces nothing but tin, all the daily neces- saries are imported. Since, the opening up of the Yunnan- lonkin Hailway the supplies are carried from Pishitsail sta- tion to Kochiu on pack animals for a distance of 70 11i at $15 per ton. On account of the high cost of runsport dal- ly necessities are very dear and the wages of labourers

are much higher than elswhere.

The construction of Ko-Pi Hailway (from Kochiu to Pishitsai) was first proposed just before the end of the Tsing dynasty. Should this carried through, great economy could thereby be effected. For instance,it is estimated. that the number of pack animals travelling from Pishitsai to Kochiu are about 1000 daily,carrying on the average about 30,000 tons per annum (exclusive of the tin...taken on the return journey). Taking the railway freight at, say $5 per ton,an annual saving of about $200,000 could be effected after completion of the line. Buying of shares has been made compulsory of all tin producers who have to pay $3.6 for every ton of tin produced. The total shares to- Fether with the money borrowed from the Yunnan- Szechuan Railway Co. has already amounted to over $3,000,000, which sum is more than enough for the construction of the 70 11 of railroad. But no work has been done except the building of houses and discusion of plans. It is now high time for the Yunnan authorities to urge the Company forward and set

them/

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