488 Memorandum on the Iron Mines of Baneegunge. [No. 5. 



s. d. 



Coal, 7 2| 



Ore, 21 7i 



Limestone, 12 9 



41 6* 



This as compared with the cost in Great Britain, (52s. \0\d.) will 

 leave the difference in favour of India, very nearly the same as 

 originally estimated, viz. lis. notwithstanding the difference in cost 

 of the limestone. 



As I have stated above, my own enquiries certainly did not lead 

 me to think that the cost of raising the ore, would be more than 4s. 

 per ton. But on a reference to my report, it will be seen that I 

 fully anticipated and referred to the difficulties which would attend 

 on the extraction of it, and stated that I had been fully satisfied 

 that Mr. "Williams had previously under-estimated its cost. It is 

 possible, I did so also, judging from the amount of work which 

 would readily be done by an English miner. But I do not think 

 the cost (even allowing for all these difficulties, and for the want of 

 training in the hands employed) could be so great, as it has been 

 stated. If the cost be therefore estimated at the mean of the two 

 statements, or at 5s. per ton. we have the cost of raw materials still 

 showing a balance in favour of India of 14s. lid. or 15s. per ton. 



Now I have, in my former report, estimated that the difference 

 in the cost of the raw materials of lis. per ton of pig Iron would 

 not more than counterbalance the great additional charges and risks? 

 necessarily attendant on such undertakings in this country. Be- 

 yond this, there will remain therefore a clear saving, under the alter- 

 ed conditions of the case, of from 4s. to 7s. for each ton of pig Iron. 



Major Baker also states, as additional reasons for supposing that 

 the manufacture of Iron could probably be carried on with profit 

 now, that since my report was written the price of Iron has greatly 

 advanced, and also the charge for freight. 



"With reference to the former fact, that the price of Iron has ad- 

 vanced, it must be borne in mind that the calculations in my report 

 were founded on the cost of the raw materials without any reference 

 whatever to the cost of the manufactured article. And I may state, 



