PROJECTS AND CONCESSIONS.

105

CHAP. IX.

ENTERPRISES, PROJECTS, AND CONCESSIONS.

CONSEQUENT on the pacification of the Republic in 1861, a number of important enterprises sprung up, many of which were protected by Government guarantee and monopoly. Some have been already completed or are in train, 'others fell through, either owing to want of capital or to the renewal of hostilities in these countries in 1865. Others still remain as projects, waiting only a favorable occasion for realization.

The CENTRAL ARGENTINE RAILWAY, from Rosario to Cordoba, 247 miles, was first projected in 1853, under General Urquiza's administration. On the 5th September 1862, a concession was made by Congress in favor of Mr. Wheelwright, which, as subsequently amended, stood thus

1. The cost of the line not to exceed £6,400 per mile.

2. The land necessary for the line to be given by Government; also, a grant of a league of land on each side along the line.

3. Government guarantee of 7 per cent. interest for forty years on cost of construction.

4. The line to be finished within six and a-half years.

The works were inaugurated in April 1863, and although some delay was caused by the Paraguayan war the line is now running to Villa Nueva, 170 miles, and will be finished to Cordoba in 1869. There is a project to continue the railway to Tucuman and across the Andes, for which purpose Señor Moneta, Government engineer, made surveys in June 1868.

The SOUTHERN RAILWAY, from Buenos Ayres to Chascomus, is 72 miles long, the concession from the Buenos Ayres Legislature to Mr. Edward Lumb bearing date 11th June 1862.

1. The cost of the line was put down at £10,000 per mile.

2. The Buenos Ayres Government guaranteed 7 per cent. for forty years on the cost.

3. If the line be prolonged to Dolores (eighty miles further south) the same guarantee will be given.

4. The railway to be exempt from all tax for forty years.

The Legislature refused to admit the cost of construction at more than £700,000, whereupon the guarantee on the additional sum of £25,000 was collectively given by the following merchants: Messrs. Thomas Armstrong, John Fair, George Drabble, Edward Lumb, Henry Harratt, Henry A. Green, Gregorio Lezama, Ambrosio P. Lezica, and Federico Elortondo. The works were commenced by Messrs. Peto & Betts on 8th March 1864, and the line was completed before the close of 1865. Last year the net profits gave 5 per cent. on the capital; but, every year the traffic is improving, and the guarantee will soon be unnecessary.

The NORTHERN RAILWAY, was begun in 1860, the concessionaire being Mr. Edward A. Hopkins, but the works were destroyed the following year by a high tide. The enterprise was continued in 1861 by Messrs. Croskey & Murray, who again inaugurated the works in February 1862. concession stipulated :

1. The cost of the line £150,000, for sixteen miles.

The

2. Government guaranteed interest seven per cent. for twenty years. The line was opened to San Fernando on 5th February, 1864. October of the same year the Legislature of Buenos Ayres gave a concession for prolonging the line to Zarate, with a guarantee of seven per cent. for .twenty years, but limiting the cost to £7,100 per mile. This concession lapsed, as the prolongation works were to be commenced within twelve months and concluded in three years. The line was, however, prolonged two miles to the Tigre, which is used as a port for the steamboat traffic of the upper rivers.

The BOCA AND ENSENADA RAILWAY, works were begun by Mr. Wheelwright on 23rd February, 1863, and the concession granted in the following July, viz. :

1. The Government concedes permission to William Wheelwright to construct and run for ever a railway, which shall start from the Paseo Julio, where the Northern Railway terminates, to the Boca del Riachuelo, Barracas, and Ensenada.

2. The road to Ensenada must be concluded before the 1st March, 1867, unless in view of the great importance of making a previous survey of the capabilities of that port to adapt it to the necessities of Buenos Ayrean commerce, it should be agreed on between the Government and the concessionaire, to make of this a practical experiment.

3. In case that Ensenada will admit of being made to meet the necessities of the commerce of Buenos Ayres, such as a port of loading and discharging vessels, and that the Government approves of the plans, it is agreed that the concessionaire of the railway shall take charge of the work, having first arranged with the Government.

4. The Government guarantees to the concessionaire that for the term of twenty years no other railway from the Custom-house to the Boca, Barracas, and Ensenada, whether propelled by steam or otherwise, shall be permitted.

On 8th September, 1865, the line was opened as far as Barracas, three miles; and in November of same year a surveying expedition proceeded to Ensenada to examine its condition as a port, and the difficulty offered by the bar the report was favorable, but no further steps were taken in the matter. The line now runs to Barracas, and the bridge over the Riachuelo is being constructed, to push on the works to Ensenada.

The RIO SALADO navigation concession was given to Don Esteban Rams in 1863: the history of the enterprise has been fully explained in the chapter on the Rio de la Plata and its tributaries.

The ARTESIAN WELL of Barracas was begun by Messrs. Sordeaux & Co., on 1st June, 1859, with the object of carrying away the offal of the saladeros, the saladeristas and Government defraying the expense. After two months' labor the bore reached a depth of 96 feet, viz.: sand, 40ft.; slime and dark-blue ochre, 13ft.; tosca, 7ft.; fluid yellow and grey sand, 36ft. In December, 1861, the works were renewed, and by February, 1862, the bore reached 234 feet, having traversed a bed of marine shells. On 14th March, 1862, the water rose through the tubes and poured out in a jet d'eau' on July 6th the Artesian Well was inaugurated by President Mitre, and since then it has been much in use as a bath. The water is unfit to drink, but possesses saline medicinal qualities.

The ELECTRIC TELEGRAPH (Buenos Ayres to Montevideo) concession was granted on 9th June, 1864, viz. :

1. Exclusive privilege conceded to Messrs. Proudfoot & Grey for fifteen years, from conclusion of works.

2. Permission to erect posts on highroads or elsewhere.

3. Government to protect the wires by all possible means.

4. Government messages half price.

5. In case of misunderstanding between the Republics, the Argentine Government not to stop the wires, nor to have right to inspect messages unless private correspondence be prohibited.

The cable was laid from Punta Lara to Colonia, twenty-six miles, in October 1866, and the wires opened for traffic a few weeks later.

TELEGRAPH WIRES TO CHILE.-In December 1866, Messrs. Hopkins & Cary obtained a concession to lay down wires from Buenos Ayres to Chile, as follows:

1. The line shall be completed within two years from the date of concession.

2. The Government, on conclusion of the line, shall pay the contractor a subvention of 8 per cent. per annum for twelve years, on a cost of $200 s. per mile.

3. The Government shall cede to the company fifty squares of public lands for every fifteen miles of telegraph.

4. If the whole of the line be not completed within the term specified in clause 2, the Government shall reduce 1 per cent. on the subvention for every four months so delayed in finishing the line.

This project lapsed, owing to the death of Mr. Street, the eminent contractor of San Francisco.

TRACTION ENGINES.-In August 1863, Messrs. Rossignol, Beare, & Puyrredon obtained a concession for traction engines throughout the Republic; the first line to be established in eighteen months, and others to Rosario, Cordoba, Tucuman, and Mendoza in three years. The construction of roads and bridges was to be at the cost of the company, whose capital was fixed at £200,000, the Government guaranteeing 7 per cent. on actual outlay. In 1864 Mr. Beare brought from England an engine called El Buey, which made an unsuccessful experiment from Barracas to town, and the project was abandoned. The soil seems too soft and light for such locomotives.

ROADS AND BRIDGES.-In September 1863, Congress passed the following law :

1. The President is authorised to emit $1,000,000 in shares, which shall be denominated Roads and Bridges Stock.

2. These shares shall be of $20, $50, $500, and $1,000 s., with an interest of 8 per cent., payable half yearly, and with 3 per cent. amortization.

SAN JUAN MINES.

109 3. These shall be only issued at par, and shall be paid out only when new enterprises shall require it.

For a list of the roads made and projected the reader is referred to Chap. vii.

SAN JUAN MINING COMPANY.-In November 1862, Governor Sarmiento of San Juan, and President Mitre, aided Major Rickard in getting up a jointstock company, capital £22,000, for the working of silver ores at Hilario. Mr. Rickard went to England for machinery and miners, returning in 1863, and proceeding at once to build an extensive factory at Hilario. Troubles began with the shareholders in August 1864, and the works were paralysed. A new company was, however, formed in London in November 1867, and it is hoped the works will shortly be resumed.

KLAPPENBACH'S MINING WORKS, situate at La Huerta, thirty-five leagues from San Juan, were begun in September 1864, and are now completed: they can smelt 100 tons of ore daily. The result of the smelting in 1865 was-1,446 marks of pure silver; in the first eight months of 1868 it was 6,589 marks. In September 1868, Messrs. Klappenbach formed a jointstock company of £46,000 capital, in £200 shares: some shares not subscribed for were taken up by the Argentine Government.

CARRIAGE ROAD OVER THE ANDES.-In February 1865, a project was set on foot by M. Carpentier, a French resident in Chile, to make a highway from Rio Teno in Chile to Valle Hermoso in the Argentine Republic; the road to be sixteen feet wide and practicable for carriages. M. Carpentier obtained a concession from the Chilian Government of a right of toll for twenty years. He estimated the cost at £50,000, and engaged to finish it in three years. If the project be ever carried out it will be a great gain for travellers crossing the Cordillera.

EASTERN ARGENTINE RAILWAY.-In February 1863, Minister Rawson instructed Smith, Knight, & Co., London, to prepare surveys for a line from Concordia in Entre Rios to Mercedes in Corrientes. The following concession was granted in August 1864:--

1. The cost shall not exceed £13,353.

2. The National Government guarantecs 7 per cent. interest on the capital invested.

3. The line to have three sections: 1st. From Concordia to Federacion; 2nd. From Federacion to Monte-Caseros; and, 3rd. From Monte-Caseros to Mercedes.

4. The first section may be commenced at once; but the second not until