The great works operated by the Cambria Iron Company originated in a few widely separated charcoal furnaces, which were built by pioneer iron workers in the early years of this century. It was chartered under the general law authorizing the incorporation of iron manufacturing companies, in the year 1852. The purpose was to operate four old-fashioned charcoal furnaces, located in and about Johnstown, some of which had been erected many years before. Johnstown was then a village of 1300 inhabitants. The Pennsylvania Railroad had only been extended thus far in 1852, and the early iron manufacturers rightly foresaw a great future for the industry at this point.
Immense Furnaces.
Coal, iron and limestone were abundant, and the new railroad would enable them to find ready markets for their products. In 1853 the construction of four coke furnaces was commenced, and it was two years before the first was completed, while some progress was made on the other three. England was then shipping rails into this country under a low duty, and the iron industry, then in its infancy, was struggling for existence.
The furnaces at Johnstown labored under greater difficulties in the years between 1852 and 1861 than can be appreciated at this late day. Had it not been for a few patriotic citizens in Philadelphia, who loaned their credit and means to the failing company, the city of Johnstown would possibly never have been built. Notwithstanding the protecting care of the Philadelphia merchants, the company in Johnstown was unable to continue in business, and suspended in 1854. Among its heaviest creditors in Philadelphia were Oliver Martin and Martin, Morrell & Co. More money was subscribed, but the establishment failed again in 1855. D. J. Morrell, however, formed a new company with new credit.
Recovery From a Great Fire.
The year of 1856, the first after the lease was made, was one of great financial depression, and the following year was worse. To render the situation still more gloomy a fire broke out in June, 1857, and in three hours the large mill was a mass of ruins. Men stood in double ranks passing water from the Conemaugh river, 300 yards distant, with which to fight the flames. So great was the energy, determination and financial ability of the new company that in one week after the fire the furnaces and rolls were once more in operation under a temporary structure. At this early stage in the manufacturing the management found it advisable to abandon the original and widely separated charcoal furnaces and depend on newly constructed coke furnaces. As soon as practicable after the fire a permanent brick mill was erected, and the company was once more fully equipped. When the war came and with it the Morrill tariff of 1861 a broader field was opened up. Industry and activity in business became general; new life was infused into every enterprise. In 1862 the lease by which the company had been successfully operated for seven years expired, and by a reorganization the present company was formed.
Advent of Steel Rails.
A new era in the manufacture of iron and steel was now about to dawn upon the American people. In this year 1870 there were 49,757 tons of steel produced in the United States, while in 1880 the production was 1,058,314 tons. Open hearth steel, crucible steel and blister steel, prior to this, had been the principal products, but were manufactured by processes too slow and too expensive to take the place of iron. The durability of steel over iron, particularly for rails, had long been known, but its cost of production prevented its use. In 1857 one steel rail was sent to Derby, England, and laid down on the Midland Railroad, at a place where the travel was so great that iron rails then in use had to be renewed sometimes as often as once in three months. In June, 1873, after sixteen years of use, the rail, being well worn, was taken out. During its time 1,250,000 trains, not to speak of the detached engines, etc., had passed over it. This was the first steel rail, now called Bessemer rail, ever used.