This is due in great part to the exhaustion of the rich and easily worked bonanza deposits, but it is believed that the end of the decline a production has been reached and that with improved methods of mining and lessened costs large areas of lower-grade gravel will be mined and that the present rate of output will not only be maintained but will be raised. As the costly hand methods of mining become less advantageous more economical methods are introduced which require better business management and large amounts of capital for their establishment. This is seen in the general interest a dredging and the formation of large companies for conducting tensive operations.

In general, the season of 1925 was favorable to placer mining, although some districts had a shortage of water which cut down Froduction most unfortunately. The production of placer gold tained by all methods amounted to $3,223,000 in 1925. The folwing table gives the total production of placer gold by districts for e years 1924 and 1925:

Statistics of placer mining in Alaska in 1924 and 1925

The decrease in production of placer gold, amounting to $341,000, ok place principally in the Nome and Fairbanks districts. As a ght offset to this there were increases in the Circle, Tolovana, anoko, and Iditarod districts.

The placer gold obtained by methods other than dredges amounted $1,650,688, which is $78,376 more than the amount produced by redges. Twenty-seven dredges were in operation in 1925 and proced $1,572,312 in gold; the same number of dredges in 1924 prored $1,563,361. Of the dredges which operated in 1925, 16 were Seward Peninsula, 3 each in the Fairbanks and Innoko districts, in the Iditarod district, and 1 each in the Mount McKinley, rele, and Yentna districts.

In

SILVER AND LEAD

past years most of the silver and lead produced in Alaska Tas a by-product from copper and gold mines, but in the last few ars, especially since development of the Hyder district began, se two metals have been produced in increasing amount from nes which carry them as the chief valuable constituents of the e. Lead from such sources in particular shows an increase. Most

of the silver is still a by-product of copper mining and most of th lead comes from the Alaska Juneau Gold Mine. The complicate ores from the Hyder district are dominantly lead-silver ores bu carry important amounts of gold, zinc, and copper. One mine, th Alpha mine, in the Kantishna district, made a small production o silver and lead.

In 1925 the production of silver was 698,259 ounces, valued a $482,495; the production of lead was 1,577,901 pounds, valued $140,571.

COPPER

The output of copper from Alaska is largely from the mines o the Kennecott Copper Corporation at Kennecott in Chitina Valley and at Latouche on Prince William Sound. A much smaller quantity comes from the Salt Chuck mine of the Alaska Palladium Co near Ketchikan and from other places. The copper from the Sal Chuck mine is a by-product obtained in the mining of platinum metals, which at present constitute the chief value of this mine. In 1925 Alaska produced 73,855,298 pounds of copper, valued at $10, 361,336, as compared with 74,074,207 pounds, valued at $9,703,721 i 1924. It is evident therefore that in spite of a decrease in produc tion in 1925 the higher price of copper gave the output a greate value than it had in 1924. The copper market for some years ha not been favorable to the development of prospects already knowi or to the search for new prospects. Consequently the owners of many copper deposits of possible value have not attempted to do more with them than keep up the assessment work on the claims or to obtain patent to them.

TIN, PLATINUM, AND QUICKSILVER

There were 2214 tons of tin ore, cassiterite, shipped from Alaska in 1925, of which 934 tons were from Seward Peninsula and pos sibly represented in part tin ore that was mined in the previous year. The remainder is from the Hot Springs district of lower Tanana Valley. This ore contained 13.8 tons of metallic tin, valued at $15,980. This is a larger production than has been reported since 1920, but is much less than the output for nearly 10 years previously. The tin ore is all obtained from placers and in the Hot Springs district is a by-product incidental to the mining of placer gold.

Platinum, like tin, is obtained from gold placers in several widely separated districts of Alaska, but is associated with palladium, gold, and copper in the Salt Chuck mine and contributes an important share to the value of the ore at that place. The output from placers in 1925 was less than for several years and amounted to only a small number of ounces. It was mostly from Dime Creek on Seward Peninsula near the head of Norton Bay.

Cinnabar, from which quicksilver is obtained, has been known for many years to be present on Kuskokwim River. In 1925 it was mined at two localities-one about 22 miles from the river and not far from the town of Flat, the other at Napamute, some distance farther down the river. The ore is treated at the mines in small retorts. Several new prospects were reported in 1925 and one old mine was reopened.

COAL

Alaska produced about 82,900 tons of coal in 1925. This was the tput of eight mines and is a reduction of nearly 17,000 tons fromproduction of the same number of mines in 1924. The value of te coal was approximately $404,600. This coal is chiefly from the aly River subbituminous field and the Matanuska field, but a little mined for local use on the shores of Wainwright Inlet, at Chicago trek on Seward Peninsula, and on the west shore of Kenai Penin

Alaskan coal is in competition with the coal of outside mines rose market is already established, and although the Territory is pable of supplying from its own resources the coal needed for its use, it has not yet been able to close its market to outside coal. The showing for 1925 is even less favorable than in 1924, for the mestic production was reduced while the quantity of coal imported reased. In spite of this fact, an increased use of local coal is ticipated and steps have been taken in both the Matanuska and Healy River fields to meet the increased demand. No coal was mined the Bering River field except a little that may have been taken t for local use. Interest in this field is not lacking, however, and is reported that the Alaska Anthracite Railroad has been taken. er by a new company and will be equipped for handling coal hich will be mined there.

PETROLEUM

The output of petroleum in Alaska continues to be entirely from he Katalla field where 16 wells were producing oil which is refined d disposed of in the local market, chiefly at Cordova. These wells e on patented claims of the Chilkat Oil Co. The production for as stated in the annual report of the company to its stockMers, was 7,963 barrels. This supplies only a small fraction of petroleum products used in Alaska.

The effort to establish a new productive field on the Alaska Penina have so far been a failure. The Standard Oil Co. drilled three ils, of which two were shallow, but the third reached a depth of feet. When the deep hole caved near the bottom it was abanbed and the machinery was removed to Kanatak. The Associated Co. has drilled intermittently on the Finnegan claims of the e district, but without success.

In Yakataga field no drilling has yet been done, but machinery and terial was landed in Icy Bay in 1925 by the General Petroleum and drilling is expected to commence in the summer of 1926.

STRUCTURAL MATERIALS

Marble and gypsum are the principal structural materials heretoshipped from Alaska. Both these materials are present in theastern Alaska and because of their favorable situation with ference to transportation may be readily placed on the market. st of the marble is produced from the quarries of the Vermont Marble Co. at Tokeen at the north end of Prince of Wales Island. s company was active in 1925 and employed a large force of men.

No gypsum was produced in 1925. Quarries on the east coast o Chichagof Island have been producing gypsum since 1906, bu the operating company was unable to make terms with the owner of the ground in 1925 and removed its equipment.

GEOLOGIC AND TOPOGRAPHIC SURVEYS

In addition to investigation of the mineral resources of Alaska both geologic and topographic surveys were conducted by the Geo logical Survey during the past year. The following table show that a little more than two-fifths of the Territory has been mappe both geologically and topographically since 1898. Three types o surveys of different scales have been made. Wherever these hav overlapped, only the area mapped on the largest scale is tabulated Areas surveyed by Geological Survey in Alaska, 1898-1926, in square miles

During the spring and summer of 1925 one combined topographi and geologic party was mapping a portion of the naval oil reserv No. 4. The area lies entirely north of the Arctic Circle and in th region of approximately the same longitude as Wainwright. An other similar party executed topographic geologic survey on th Alaska Peninsula from Aniakchak westward to a point 20 miles wes of Black Lake. Four geologic parties were in the field, one alon the west side of the Alaska Range in the vicinity of Mount McKinley one along the Yukon River from Eagle to Circle, another in th Prince William Sound region, and one in southeastern Alaska.

Because of the reduction in the appropriation for the geologica survey of Alaska the work was of necessity curtailed.

AERIAL MAPPING

Early in 1925 the United States Geological Survey proposed a pla for an aerial photographic survey of the inaccessible and heretofor unmapped portions of southeastern Alaska. During the winter o 1925-26 the details of the scheme were arranged, and in June th expedition sailed for Alaska.

The plan outlined contemplated cooperation between the Unite States Geological Survey of the Interior Department and the Unite States Navy. Accordingly, the Secretary of the Interior requeste

the Secretary of the Navy to assign the necessary personnel and supply the equipment for the expedition. In compliance with this request Lieut. B. H. Wyatt, United States Navy, was detailed as the Navy representative in charge of the work.

It was impracticable to provide adequate bases along the coast of southeastern Alaska, although wherever housing facilities were available the owners voluntarily placed them at the disposal of the officers n charge of the work, hence it was decided to house the expedition floating equipment. For this purpose the U. S. S. Gannet, a mine eeper outfitted as a tender for aircraft squadrons, and a covered ammunition barge, equipped as a base for the photographic unit, Tere assigned to the work. The personnel of the aerial photographic ait consisted of 7 officers, 37 men, and 3 Loening amphibian airplanes.

Operations in the field began in Ketchikan, June 7, 1926, and continued until adverse weather conditions made it advisable to abandon he work. During June and August favorable weather was enuntered, and excellent progress was made, but it was impossible to ork to advantage during the month of July. Prior to August 20 hotographs had been made of all of the larger islands lying between Dixons Entrance and Frederick Sound, with the exception of Kuiu Island. The Cleveland Peninsula also was photographed. The formation obtained by the photographers is of inestimable value > all departments of the Government that are interested in the deelopment of the resources of the Territory. Forest areas can be efinitely mapped and drainage areas calculated with reasonable Several hitherto unknown water-power sites were disvered and mapped. The practicability of aerial photography in a Sentry of decided relief was demonstrated.

One of the contributing factors in the success of the expedition as been the assistance rendered by private individuals and commeral organizations who at all times have aided in the work.

From a purely commercial viewpoint the data obtained by the pedition may appear to be of doubtful practical worth, but there another phase of the work that must appeal to those who do not ppreciate its technical value. Prior to this summer there never as been any serious effort made to demonstrate the utility of the plane as a means of transportation in southeastern Alaska. The rators who have piloted the planes this summer have demonstrated at travel by airplane in this region is not only practicable but fraught with no greater dangers than similar travel elsewhere, and no other results were obtained this demonstration would justify de expedition.

BUREAU OF MINES

Effective July 1, 1925, much of the work theretofore conducted the United States Bureau of Mines in Alaska was transferred to Geological Survey. The activities retained by the Bureau of Mines include mine-safety service, assaying and mineral analysis prospectors and others, and the sampling and analysis of coal. These activities continue in charge of B. D. Stewart, supervising ining engineer for the Geological Survey in Alaska.