Manganese has recently been the chief mineral exported on account of war necessities, 245,000 tons valued at 7 million dollars, in the first half of 1917, in contrast to 85,000 tons in the same part of 1914. The mines are in Minas, Matto Grosso, Bahia, and elsewhere, those in Minas being accessible to the port of Rio. In Matto Grosso, 18 miles from Corumbá, there is a deposit called the Urucum, estimated at 30,000,000 tons of undeveloped ore; one, the Quelez, in Minas of 5,000,000, 30 miles from Rio, and others. The ore averages over 50 per cent of metallic manganese, with a little iron silicate and phosphorus. Americans are interested in the works as the metal is valuable in the iron and steel industry. With better transportation facilities for these and other deposits, a good future is certain.
Gold mining was naturally the first to be developed. Minas has been the chief producer. Of Minas Geraes the writer Diaz said, “In this State what does not hide gold contains iron; what does not contain coal spreads diamonds.” After the discovery of gold in 1693, 80,000 men toiled for a century at placer mining for the King of Portugal. About $1,000,000,000 has been taken out. The Morro Velho, said to be the oldest producing mine in the world, is now with the Ouro Preto worked by British Companies. The first is being worked at the depth of a mile with no sign of exhaustion. The gross receipts for the year ending February 28, 1917, were over $4,000,000, the profits $750,000, from a tonnage crushed of 187,400. The Ouro Preto Company operates the Passagem Mine five miles from the former capital of that name, being the first to use a stamp mill in 1819. The average thickness of the lode was ten feet, now about eight. Gold properties exist in many States, the most important around three mountain chains, the Mantiqueira and Espinhaço, which cross Minas and Bahia, running into Pernambuco; the range between Minas and Bahia, and Goyaz, continuing into Piauhy and Ceará, west of the São Francisco River; the third east of the Paraguay and Araguaya Rivers. Those most worked are in the Espinhaco Range in Minas and Bahia. Dredging has been carried on with varying success, but some of the companies have been overcapitalized. An American Company has recently acquired some old concessions of land in Goyaz, rich in gold and diamonds, where extensive operations are expected shortly.
Diamonds. As for diamonds, since the first stone was discovered in 1721, many precious gems have been produced. During 40 years in that century $17,500,000 worth were exported. The city, Diamantina, 500 miles from Rio, is the centre of one of the most important fields. Gems are found in pot-holes, one of which contained 10 pounds of diamonds and 28 of gold. Others are in clay deposits in rocks of sandstone and schist. In the River Bagagem near the border of São Paulo, 250 miles from Diamantina, three great diamonds have been found: the Estrella do Sul, in 1853, weighing 254 carats uncut, was sold to the Gaekwar of Baroda for $400,000, the others weighing 117 and 175 carats. Other fields are in Paraná, Bahia, Goyaz, Matto Grosso, and São Paulo, in Goyaz on the Garças River, tributary to the Araguaya. Apparently most of the stones are now smuggled. They are said to be finer than the Cape diamonds and also to be sold for them. Black diamonds are found, of great value in the arts, and many precious and semi-precious stones, such as amethysts, tourmaline, topaz, etc., in various places.
Copper exists in several States, but production is slight. A mass weighing over 2600 pounds was discovered years ago near the city of Bahia, and there are six well known districts in the State. In Rio Grande do Sul an extensive property was opened which showed 6.5 per cent copper and 30 grams gold per ton. Minas will probably rank next to these States. Promising quantities are near Campos in Rio de Janeiro; there are also ores in Goyaz, Paraná, Matto Grosso, Parahyba, Ceará, Rio Grande do Norte and Maranhão; some are hardly accessible. One of those in Bahia covers nearly 15,000 acres, about 30 miles from the railway. Belgians and Dutch have operated at Camaquam, Rio Grande do Sul.
Iron in actual mountains occurs in Minas, 12 billion tons of the highest grade in 52 outcroppings. Deposits have been acquired by American, British, German, and French interests. The manager of a British company which owned 90,000 acres said, “One could travel 23 miles one way and 16 another on outcrops of ore, canga, or rubble.” In one deposit 30,000,000 tons are in sight, 60 per cent pure.
American interests, the Itabira Company, have secured deposits which include the celebrated iron mountain of Itabira do Matto Dentro in the east near the head of the Doce River. The hematite iron district is reached from Rio by the Central and the Leopoldina Railways; but this deposit will be tapped by a prolongation of the Victoria-Minas Railway, now running along a part of the Doce River. Also a branch will lead to a terminal 40 miles north of Victoria, Santa Cruz, a small port which will be developed and equipped with special loading machinery. Here will be erected a steel plant with an annual capacity of 150,000 tons of steel products, pig-iron, steel plates, rails, etc. The iron, 326 miles from this port, runs 69 per cent pure; some in the United States runs 52 per cent. It will be several years before manufacture can begin. Coal will be imported.
Development of iron properties has been retarded by lack of transportation and fuel. Wagon roads are unknown. The altitude is 2000-4000 feet and the climate good. The coal is hardly good enough or in sufficiently large supply. Oil development is uncertain. As there is water power the use of electricity may be arranged.
Near Ipanema, São Paulo, iron is found. A large deposit has been located in Paraná three miles from the port of Antonina. Other deposits in the two States south give good promise. So far charcoal has been used for a little smelting.
Coal mining has been carried on for a long time in a small and primitive way, but most of the coal used has been imported. The principal deposits found are in Santa Catharina and Rio Grande do Sul, others are in Paraná and Pernambuco. In Paraná American interests have made extensive purchases and expect to develop the property at once. Rio Grande do Sul has been estimated to have 800,000,000 tons and to be able to supply 1,000,000 a year.
In Santa Catharina the veins are about ten feet thick; some in Rio Grande are 4-10 feet, some 13. The property at Xarquedas, operated for some years, produces 20,000 tons per annum. With greater activity, in March 1918, 650 tons were produced daily from two shafts, and 1000 or more was expected by the addition of a third. With high volatile matter, good gas and salable coke are procured for Pelotas. Coal is found in several river valleys in Santa Catharina. State surveys are being made, and with improvement in transport by land and water a great industry may be developed of enormous value in promoting manufactures. Railway construction has been authorized by the President to aid coal companies in work, and other concessions have been made. The briquettes from Santa Catharina coal show hardly less caloric value than those of the Welsh patent fuel. Much is used by the Lloyd Brasileiro and other steamship lines including the Japanese; by railways, mills, etc. A little is exported to Argentina and Uruguay. The Rio Grande Railway is or was burning coal mixed with wood on its locomotives. The best coal is 42 per cent combustible, and when pulverized is equal to any other. Bituminous schist sold at $12.50 a ton was used for gas in São Paulo during the War. There are great seams 10-12 feet thick in São Paulo and Rio Grande do Sul. Lignite occurs in Pará, Amazonas, and Minas, enormous peat beds in various places.