THE REPORT

OF THE

PRESIDENT AND MANAGERS

OF

THE BEAVER MEADOW RAIL ROAD AND COAL COMPANY.

1832

Source: Hazard’s Register of Pennsylvania, Vol. 11, 1833, pp. 247 – 250.

This company was incorporated by law, in April 1830, authorizing a capital of $250,000-—with power to make a rail-road from the Beaver Meadow coal mines in Northampton county, to the Lehigh river at or above Mauch Chunk, a distance by the meanders of the stream of about twenty miles—and also, if deemed expedient, to make a rail-road from the said mines to the Little Schuylkill,—at such point as might be necessary to unite with any railroad on the valley of that stream. *

*The Beaver Meadow Mines are situated on the Lausanne and Berwick turnpike, 21 miles from the latter place, near the head of a stream called Beaver Meadow Creek, which after mingling with others empties into the Lehigh on the west side about six miles above the slack water of the Lehigh Canal Navigation.

Both the routes above mentioned have been examined by an engineer: that by the way of the Schuylkill is six miles from the mines to the intended termination of the Little Schuylkill railroad at Tamanend. It necessarily passes over Spring Mountain, the ascent of which from the mines to the summit is ___ feet and the descent from thence to the point of intersection with the route of the Little Schuykill railroad is ____ feet.

The whole distance by rail-road on this route to the head of navigation on the Schuylkill would be 83 miles; from thence by canal and slack water navigation 80 miles to Philadelphia.

The elevation on the route from the Beaver Meadow mine to Tamanend is less than one half, and the distance about two-thirds of that between Carbondale and the Lackawaxen, which have been so successfully overcome by the Hudson and Delaware company. But the route by the Lehigh has been deemed preferable by reason of the greater facility of passing through a country graded by streams of water, thereby avoiding the necessity for planes or stationary engines; also on account of the advantage of the market for coal on the Delaware, in New Jersey and New York; to which this route leads more directly and at less expense of transportation.

The original act of incorporation authorised this company to make a road on the Lehigh route, only to Mauch Chunk, at the head of the Lehigh canal. A failure to make a satisfactory arrangement with the Lehigh Coal and Navigation company as to the tolls, prevented the commencement of active operations during the summer of 1830, and at the following session of the general assembly, a supplement to the act of incorporation was passed, authorising an increase of the capital to $800,000 and an extension of the rail-road from Mauch Chunk to Easton, a distance by the meanders of the Lehigh of about 46 miles. This route offers a continued descent from the mines (66 miles) to Easton, where the Delaware division of the Pennsylvania canal commences and runs (60 miles, to Bristol. This canal will carry boats of 60 tons burthen.

The Morris canal of New Jersey also commences at Easton, passing through the most fertile and populous part of that state to Newark.

The Delaware and Raritan canal feeder commences 25 miles below Easton, and offers advantages for the transportation of coal either down the feeder about 23 miles to Trenton or through the main stem from Bordentown to New Brunswick and New York.

These facilities of transportation to various markets, in addition to that of Philadelphia, have indicated the Lehigh route as preferable, notwithstanding its increased distance to Philadelphia. The books for the additional capital were opened at a time when the failure of coal operations has caused a general discouragement in all enterprises of that nature, and before the comparative advantages of railroad transportation had been ascertained by experience. A sufficient sum was nevertheless subscribed to have authorised the undertaking. but the board partook too much of the general depression to make thee effort. The subscriptions were therefore generally cancelled, and the principal part of the money repaid to the subscribers. Since that time, experience has more accurately determined the expense of transporting coal by rail-roads, as well as that of constructing them, and the consequent value of coal mines in their various position.

A new subscription was commenced in November last and a sufficient amount subscribed to assure the board that there was no longer any apprehension of failure, or even delay for want of the necessary funds. But it was found that the time limited by law for finishing the rail-road had so far elapsed, only one year of it remaining; that it was deemed inexpedient to progress with that work until further time was obtained Consequently application was made for a further supplement to the act of incorporation, which has been passed: allowing four additional years for completing the railroad with the privilege of holding 800 additional acres of land. There is now no further obstacle to the success of this important undertaking, and measures are being taken for locating the rail-road as soon as the spring will permit, with every other preparation for active work.

It may be interesting to the stockholders who have never visited the Beaver Meadow mines to have some account of their character.

The mine is situated in a swamp at the west end of Beaver Meadow, and is believed to contain at least two hundred acres. The deposit of coal is in regular strata or veins separated by thin layers of slate.

An opening has been made on the north side of the mound, east of the creek, which presents a perpendicular breast of five feet of earth and rubbish on the top — an aggregate of veins of coal 27 feet, and of slate 3 feet. At the bottom of this mass a stratum of slate presents 10 feet in thickness,—beneath which the mine has been bored 21 feet below water level without encountering any slate or passing through the coal. It has therefore not been ascertained to what depth he mass of coal extends. As the hill rises, new veins of coal appear, laid one upon another like shingles on the roof of a house. The top of the mound is 70 feet above the swamp, and the mine can be drained 51 feet below the base of the mound. The slate is hard and easily separated from the coal. It is very certain that the quantity of coal is as great as the company could desire: and that the quality is equal if not superior to that of the best anthracite yet discovered. The veins are of different hardness and fracture, but all of them are free from impurities and of the best quality.

The great advantages of this mine consist in the comparative cheapness of working it; in its peculiar exemption from rubbish and slate admixture, and the excellence and purity of the whole mass of coal. Beaver Meadow coal is held in such estimation by blacksmiths that they haul it, in some instances 20 miles further than it could be had from other mines, for their smitheries, and uniformly speak of it as worth a dollar per ton at the mine more than any other coal they have worked. This fact was often stated very publicly at Harrisburg, by members of the Legislature from Northampton county, during the present session. There cannot be a reasonable doubt but that this coal will have a preference in the market sufficient to pay a fair profit, whenever other coal can be sold at cost.

The expense of transportation on a rail-road is an important consideration in this undertaking. This branch of improvement may be regarded as yet, almost in its infancy, but the experience of the last year has thrown much light on it. The expense of treesportation with horse power, as stated in a letter from the intelligent president of the Little Schuylkill Railroad company, [see appendix] Wm. H. Keating, Esq. has been brought during the last season to 1-3/4 cents per ton, per mile, by contract, on a descending track including wear and tear, oil, &c. &c. He adds that "we feel sanguine of being able next year to effect our transportation at 1-1/2 cents per ton per mile including an allowance for wear, accidents, oil, &c.: this would apply to horse power."

In the report of the Baltimore and Ohio rail-road company, whose officers are greatly distinguished for their minute accuracy—a statement of the comparative expense of horse and locomotive power is given, as the result of an experiment made with each for 30 days. That of the horse power was $33 per day, and that of the locomotive performing the same work, was $16— and one item of this last expense was $8 for one ton of anthracite. On the Beaver Meadow rail-road, the average expense of anthracite could not exceed $1 per ton. With this deduction, the locomotive expense would be to that of the horse as 9 to $3; less than one-third. If then, coal can be transported on the Little Schuylkill rail-road for 1-1/2 cents with horse power; according to these data, it can be done with a locomotive for less than half a cent. This result, though fairly deduced from the facts, is much lower than we have ventured to expect. Our estimates are founded upon a supposed expenditure of 1-1/2 cents per ton per mile, for locomotive power; which must be altogether safe.

The expense of freight on the Lehigh and Delaware canals, exclusive of tolls, is now brought to one cent per ton per mile, and from Bristol to Philadelphia, 20 miles, the additional expense is 12-1/2 cents per ton.

The estimate from these data for delivering coal from Beaver Meadow to Bristol and Philadelphia, will be as follows—

For mining, $0. 30

Freight on rail-road to Easton (66 miles) 1-1/2 cents, 1.00

Toll on Delaware division, 60 miles, .30

Freight on “ “ .60

$2.20

Add for contingencies, .30

Total expense to Bristol,* $2.50

To Philadelphia, .125

Estimated contingencies, .125

Total expense to Philadelphia, $2.75 p. ton.

*It is ascertained that coal may be transported from Bristol by sea to New York, for one dollar per ton.

As there will be no interruption by inclined planes, it will be safe to estimate a, capacity for sending to market 100,000 tons a year—this quantity will cost at Bristol $250,000, or at Philadelphia $275,000 the value of it at the former place, at $4 a ton will be §400,000, and at the latter place $4-3/8 per ton will be $437,500, leaving a balance of more than $150,000 a year in favor of the company. This will be a net gain provided the tolls from general transportation, as is believed, will defray all expenses for repairs, &c. &c.

The amount of general transportation on the Beaver Meadow rail-road can be judged of by the facilities of connection between it and the Susquehanna. An application is now pending before the Legislature for a law to authorise a rail-road from Wilkesbarre to Wright's creek on the Lehigh, a distance of 12 miles, and to extend the same if necessary, to Easton. This road may by an extension of 20 miles from Wright's creek, intersect that of the Beaver Meadow, near the mouth of Quacake creek. It is also very practicable to connect the Beaver Meadow rail-road, with the Susquehanna at Berwick, 20 miles from the mine, where there is now a a good turnpike.

Immense products of grain which descend the north branch of the river, may be purchased at Wilkesbarre and Berwick in the fall, and brought by way of the Beaver Meadow rail-road during the winter season to an excellent market at the mills of Allentown, Bethlehem and Easton.

The next consideration is, what capital will be required to put this work into complete operation? Not having an estimate of an engineer, founded on late experience, on the present price of iron, or the intended economical plan of this work, it is not competent for the board to speak with satisfactory certainty on this point. Their intention is at present to construct a cheap road with a single track and turn outs, laid with wooden sills and string pieces covered with an iron rail.

The grading will be chiefly on hill sides composed of loose rock and gravel, gradually descending along the water courses, and therefore not subject to expensive deep cuts or embankments.

From the general appearance of the route, it offers remarkable advantages for a cheap and expeditious work: two or three miles at most, threaten unusual expense. There can be little doubt that such a road made through such a country where timber is cheap, and the inhabitants are altogether favorably disposed, may be made for from $6000 to 8000 a mile. It was optional with the company to receive subscriptions for the whole capital authorised by law, or for such amount as might be thought necessary to complete their work. The latter is deemed to be the most advantageous plan, and with this view the subscription for stock has been limited to 9000 shares. It is the intention of the board, should more money become necessary, either to borrow the sum required, or dispose of additional stock for the benefit of the company, or enlarge the capital by allowing the stockholders for the time being, the opportunity of increasing their respective subscriptions, pro rata.

It is confidently believed, however, that no additional stock will ever be required—and that an inconsiderable loan will meet any contingency which can happen.

There are other aspects of this undertaking, which well deserve to be presented to the notice of the stockholders.

An act of assembly has been passed to incorporate a company to make a rail-road from Norristown to Allentown (30 miles.) The extension of the Beaver Meadow rail-road to the latter place (28 miles from Mauch Chunk) could scarcely fail to stimulate by the offer of extensive transportation, sufficient enterprise to accomplish that work.

This done, and the Philadelphia and Norristown railroad completed, there would be a direct and quick communication, with extraordinary facilities for transportation and travelling between Philadelphia and the adjacent region extending to the north branch of the Susquehanna. Under every circumstance, there railroads would engross all the business of the winter, and have a preference for a considerable proportion of it throughout the year, even if freighting can be done cheaper on canals, of which, however, there is yet no evidence that can be relied on. Upon this route, coal could be sent to market from the Beaver Meadow during the winter; in addition to the summer business done by way of the canals.

The plan of operation which remains to be considered, ought perhaps to have been first presented to the stockholders. A rail-road of 20 miles from the Beaver Meadow mine reaches the head of the Lehigh canal, which is capacious and well supplied with water at all seasons. The tolls charged upon this canal by the Lehigh Coal and Navigation company, of $1.03 per ton for 46 miles, were so high that the Beaver Meadow company have sought relief by the extension of their rail-road to Easton. Should the Lehigh company, however, think proper to change their policy in this respect, and agree to a permanent reduction of their toll to reasonable rates; there is no feeling of rivalship indulged by this board towards that company, which would desire to deprive them of the benefit of the tolls on the Beaver Meadow coal; even though the profits arising from those tolls must lend lo lessen their expenses, and sustain the coal of Mauch Chunk in more successful competition.

This company will of course, consult the interest of the stockholders alone, in any measure which may be proposed on that subject.

At the rates of toll now charged by the Lehigh company, it will cost the Beaver Meadow company to send their coal through the canal to Bristol, as follows—

For mining, $0. 30

Railroad to Mauch Chunk (20 miles), .30

Toll on Lehigh 1.03

“ Delaware division, 60 miles, .30

Freight from Mauch Chunk to Bristol, 170 miles .1.07

$3.00

Add for contingencies, .30

$3.30

If the rail-road should terminate at Allentown, the expenses to Bristol would be as follows, viz:

For mining, $0. 30

Railroad from Beaver Meadow2 to Allentown, 50 miles .75

Toll on Lehigh canal from Allentown to Easton .225

$1.275

Toll on Delaware division, .30

Freight from Allentown to Bristol, 78 miles .78

Contingencies .30

$2.655

The nett income upon 100,000 tons of coal sent to market according to the plans afore suggested, will be as follows—

M

By the rail-road to Mauch Chunk 20 $ 70,000

Allentown 50 135,000

Easton 66 150,000

The respective expenditures will be nearly in proportion to the respective distances of rail-road. Any variation from this rule will rather be in favor of the longest roads.

It is fortunate for the operations of the company, that these plans of work do not conflict with each other and that a rail-road on the shortest distance will become an essential part of that for either of the longer distances, the work may therefore progress without waiting for a determination as to the ultimate plan to be adopted.

It may be observed in conclusion, that this minute exhibit of the affairs and further prospects of this company has been given, with a view of making known to all the stockholders such facts as will enable them to understand and protect their interests. In the hope too, that it may induce stockholders to hold their stock until a full development of the enterprize shall be made by the introduction of their coal to market.

A temporary reduction in the price of coal ought to be no cause for discouragement, when it is considered, that it cannot be permanently reduced below the cost of mining and transportation, with some addition for its value in the mine; and the Beaver Meadow coal may be mined and brought to market as cheap as any other, and when there, is worth as much more, as must ensure a profit to the company.

It will be perceived that no account is made of the proceeds of tolls on the rail-road for general transportation beyond a sufficient sum to meet the expenses of repairs of the road. There is the best reason to believe, however, that this item of income will be far above the estimate, especially if either the Allentown or Easton termination is adopted.

The whole economy of this undertaking may be comprehended in cheapening the expense of transportation, and to this object, the board promise to devote their undivided attention.

By order of the Board,

S. D. INGHAM,

President.

APPENDIX.

Harrisburg, Jan 3d, 1833.

S. D. Ingham, Esq., New Hope,

Dear Sir,—Your favour of the 31st ultimo reached me yesterday.—In reply I have only to state that our road is exactly 20 miles long, that we had to contend this year with many difficulties, such as a new road, imperfect wagons, unskillful drivers, &c. and that as we have not made up the accounts of the year, we cannot ascertain exactly what our transportation costs us; but that part of it was done on contract (we furnishing the wagons and I believe the oil) at thirty cents per ton or one and a half cents per ton per mile; I have reason to believe the contractors were satisfied with their bargain, having never heard any thing to the contrary. The allowance for the use and wear and tear of the wagons would we think be amply compensated by 5 cents per trip, or one quarter cent per mile per ton. Upon the whole we feel sanguine of being able next year to effect our transportation for 1-1/2 cent per ton per mile, including an allowance for the repair and wear of the wagons, for accidents, oil etc. This would apply to horse power. We expect however to use steam power, and hope to do so with economy. But upon this point we have no experience as yet, our road is a constantly descending one with a fall of 400 feet in 20 miles, averaging of course 20 feet per mile—we use wagons which weigh about one ton, and carry when well loaded three tons, and when fully loaded about 3-3/4 tons, on an average 3 tons. The usual load for a horse was at first three wagons, of late it has been more frequently four, especially in all cases when we employed contractors. The load was therefore descending about 16 tons (including the weight of wagons) and ascending about 4 tons, our curves are that, our road has suffered no injury from the travel.

If there is any other point on which I can communicate any information I will cheerfully do so.

I remain with respect, your ob't. st.

(Signed) W. H. KEATING:

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