ALASKA INDUSTRIES. 307 



They are good swimmers, swimming usually with their heads above 

 water, though they can dive and swim for some distance entirely sub- 

 merged. Neither fur seal nor sea lion breed upon the island or haul up 

 along its shores, and there is nothing to indicate they have ever done 

 so, but this is explained by the character of the beaches and the pres- 

 ence of so many bears. The cliffs are occupied in summer by millions 

 of birds, shags, gulls, sea pannotts, murries, chulskies, and in and about 

 tlie pond were eider-ducks, Canada geese, plovers of several kinds, cur- 

 lew, large blue cranes, and burgomaster gulls. There is a small island 

 2A miles north-northwest from the northwestern end of St. Matthew, 

 called Hall Island, which is about G miles long and 3 wide. It is high 

 and rocky, except at the southern end, where it terminates in a com- 

 paratively low point, and is a favorite resort of bears and walruses. 

 About 7 miles west-southwest from Cape Upright, at the opposite 

 extremity of St. Matthew, and 3^ of the nearest point of its southern 

 shore, there is a lofty rock, three-quarters of a mile long and one-tenth 

 wide, which rises perpendicularly from the sea to the height of 1,200 

 feet. Its upper edge is broken into numerous sharp points resembling 

 pinnacles, from which circumstance it has been called Pinnacle Island. 

 It is doubtless a volcano, as a deep and wide Assure extends from top 

 to bottom in the direction of its length, the sides of which are black 

 ened as by tire; and it is noted in the log of the United States revenue 

 cutter Reliance that in July, 1870, while passing near St. Matthew to 

 the southward, this rock was seen to be in a state of violent eruption. 



The climate is similar to that of the Prybilof Islands, though probably 

 somewhat colder in winter. 



I respectfully submit a chart ' of the island, drawn from a survey 

 made by Mr. H. W. Elliott and myself, which gives its form, extent, 

 and general topography. 



LEASE OF THE ISLANDS. 



This indenture in duplicate, made this 3d day of August, A. D. 1870, by and 

 between Williaiu A. Richardson, Acting Secretary of the Treasury, in pursuance of 

 an act of Congress approved July 1, 1870, entitled "An act to prevent the externiiua 

 tiou of fur-be;iring animals in Alaska," and the Alaska Commercial Company, a cor- 

 poration duly established under the laws of the State of California, acting by John 

 F. Miller, its president and agent, in accordance with a resolution at a meeting of 

 its board of trustees, held January 31, 1870, witnesseth: 



That said Secretary hereby leases to the said Alaska Commercial Company, with- 

 out power of transfer, for the term of twenty years from the 1st day of May, 1870, 

 the right to engage in the business of taking fur seals on the islands of St. George 

 and St. Paul within the Territory of Alaska, and to send a vessel or vessels to said 

 island for the skins of such seals. 



And tlie said Alaska Commercial Company, in consideration of their right under 

 this lease, hereby covenant ami agree to pay, for each year during said term and in 

 proportion during any part thereof, the sum of $55,000 into the Treasury of the 

 United States in accordance with the regulations of the Secretary to be made for 

 this purpose under said act, which payment shall be secured by deposit of United 

 States bonds to that amount, and also covenant and agree to pay annually into the 

 Treasury of the United States, under said rules and regulations, internal-revenue 

 tax or duty of $2 each for seal skin taken and shipped by them in accordance with 

 the XJrovisions of the act aforesaid, and also the sum of 60^ cents for each fur-seal 

 skin taken and shipped, and 55 cents per gallon for each gallon of oil obtained from 

 said scale, for sale in said island or elsewhere, and sold by said company; and also 

 covenant and agree, in accordance with said rules and regulations, to furnish, free 

 of charge, the inhabitants of the islands of St. Paul and St. George annually during 



' Missiu":. 



