The costly Anchorage terminal
later was abandoned.
No official explanation of the
action has been given.
Lines were constructed in low
lands along the rivers, where
mile after mile of track was
washed out and later rebuilt on
higher ground. One such inci
dent alone cost $2,000,000. The
road was blocked for miles by
falling rock from bluffs.
High Rates Charged
And, in addition to those dif -
ficulties, exorbitant rates were
charged. Mining was paralyzed
and development discouraged.
Alaska Ccal Bottled Up; Navy
Pays High For Fuel
Deserted Model Town One of
Monuments to Governmental
Mismanagement
Trillions of tons of coal are to
be found in Interior Alaska.
The Navy Department has ap
proved the coal for United States
ships. '! fj
Shipment of coal from the Ma
tanu ka fields for the Pacific
fleet ale ^e would give the Alaska
Railioad 300,000 additional ton
nage yearly.
It would increase the Road’s
earnings $600,000.
And today the road is losing
thousands of dollars every year
it operates.
The story of Alaska coal will
be ors of the many astounding
pharcs of Alaskan development
to bo considered by the special
U S. Committee to go to Alaska
t» • ;3 Fi Timer to learn what is the
iti \ttcr with the Alaska Rail
rc ad.
Why Denby Resigned
Tn connection with the story
w U be mentioned the resigna
ti n of Secretary Denby of the
N vy and the retirement of an
admiral.
During previous hearings con
cerning coal, the Senate Com
mittee of Naval Affairs was in
formed Matanuska coal could be
delivered to Pacific stations at
$8.50 a ton, where as the Navy
was paying $11 a ton for coal
from Eastern fields.
An appropriation of $1,000,000
for deve opment cf the fields was
obtained and allowed to lapse,
with no action being taken.
The Interior Department at
that time said the railroad was
not prepared to handle the coal.
Model Town Built
The money was reappropriated
in 1919 and exploration work
was turned over to the Alaska
Engineering Commission. in
charge of the inefficient Alaska
Railroad.
A model town was built a
town that shocked President
Harding on his trip to Alaska ni
1923, for it was a deserted town,
without men or industry.
WHY?
Another question for the Sen
ate Committee to answer, and in
s eking the answer the Senators
will go through masses of records
in the Navy and Interior Depart
ments.
There will be found evidence of
falsehood and corruption.
“A Monument of Folly
After President Harding had
looked at the abandoned, model
town constructed to develop coal
in Matanuska Valley of Alaska
for the Navy and which failed
entirely to become an industrial
center, he said:
“A model town built in the
Chicalecn district, before we
proved the accessibility of the
coal, was a notable fiasco, witn
a deserted town as a monument
to folly.”
That town was seven miles
from the great field of c:al.
One geologist who protested
the manner of development when
activities were started, estimat
ed 15,000,000 tons of coal reason
ably was in sight in the King
River district of the Matanuska
fields. Many tiroes that amount
he believed, could be developed.
But neither the Navy, the In
terior Department nor the Alas
ka Railroad has acted to remedy
the initial mistake—if not a de
liberate plot to discredit the
fields—despite proof on file with
the Navy that the coal tested su
perior to that in use on U. S.
£.hip3.
Coal Is Superior
In the Navy files at Washing
ton, D. C., are records of those
tests. In every respect the Ma
tanuska coal proved equal or su
perior to eastern coal. It could
be landed at Pacific ports cheap
er than the Eastern coal.
The fight to have the field de
veloped was taken to President
Ccolidge. He replied that Secre
tary Denby of the Navy had ad
vised him the coal was unsuit
able.
The report of the shiptests was
dug from the Navy files and pre
sented to the President. A
marginal notation by Admiral
Robison, chief of the Bureau of
Engineers said: “It is believed
this report shows conclusively
the coal is not suitable for Navy
purposes.”
Later he said he referred to
the price—but the price was less
than that paid for Navy pur
poses.
The report was given Thurs
day, February 14, 1924, late in
the afternoon.
Development of Alaska Lignite
Fields Stifled
In addition to the great Mata
nuska Valley coal fields for use
by the Navy, trillions of tons of
lignite coal are to be found in
the Nenana district of Interior
Alaska.
One cf the tasks of the Senate
Committee investigating Alas'-a
this summer will be to study the
fields and review facts already
on record concerning their pos
sibilities.
This huge deposit becomes im