Alex Anderson, Auditor

As has already been noted Engine 100 was purchased and put into service

as soon as the railroad started operating.

The Rio Grande Southern Railroad bought a number of engines in both 1890

and ’91 and, as it was not yet in operation and did not need so many, it

kept its sister railroad in supply. A record of those it loaned to the

S. R. in 1892 is as follows:

No. 8—January 1 to April 12

No. 5—July 7 to November 19

No. 7—August 14 to September 2

No. 6—September 2 to October 10

No. 34—November 27 to December 31

A picture of No. 5 with a train at Summit may be found herein.

It has always been supposed that the Shay engine belonged originally to

the Silverton Railroad but the Lima Locomotive Works’ records reveal

that Mears bought it under his own name in the spring of 1890. It, as

No. 269, was used on construction of the Rio Grande Southern throughout

that year and the next.

It isn’t known how or when it got into the possession of the S. R. but

it was with that company in the summer of 1892 and a picture of it on

the lower leg of the turntable track exists. It seems to have been

called both “Ironton” and “Guston” during this period. It was traded to

the R. G. S. for the latter’s Engine 34 on November 27, 1892. (Note that

the table above shows the 34 merely on loan. The trade date, however, is

correct.)

Locomotive 34 was a Baldwin of the 56 class which had, before going to

the R. G. S., belonged to both the D. & R. G. and the R. G. W. The S. R.

numbered it “101” but several years later changed it to a mere “1”.

Red Mountain and Ironton became two flourishing towns with plenty of

stores and all the appurtenances of civilization. In the eighties and

early nineties Red Mountain had three newspapers. In 1890 it had a

population of 598 while Ironton had 322. Even Chattanooga had a mill,

some stores and 51 people. The locality was a beehive of activity as

mines and mills were working every place. The hills were liberally

sprinkled with houses, stores, mills, boarding houses, barns and mine

buildings. An incendiary fire at Red Mountain on August 20, 1892

destroyed practically the whole town causing property damage estimated

at $259,000. But nothing daunted these optimists. They immediately went

about rebuilding it.

The transportation of supplies to the district—machinery, timbers for

mines, lumber, living necessities, coal and feed for animals—must have

been terrific for such little trains to handle. Return trains carried

ore bound for the smelters at Silverton and Durango. A company in which

Mears was interested built a smelter, the Standard, at Durango in 1889,

to handle copper ore from the Red Mountain area but it did not prove a

success. Eventually, in 1897, the property was sold and rased. The slag

pile may still be seen just south of town.

Operation, not counting sharp curves and steep grades, was complicated.

Turning facilities were numerous for such a short piece of

railroad—Silverton, Sheridan Junction, Red Mountain, Corkscrew Gulch,

Ironton and Albany. The Operation of the turntable has already been

exhibited. It, very soon after completion, began having trouble with

snow, and a long entrance shed was built to alleviate the condition.

Each leg of the wye at Red Mountain would accommodate only two cars, and

so the engine and baggage car went around it and hooked onto the other

end of the coaches.

Four regular freights and probably an extra one or two operated. The

company did not have enough engines or anything else for such traffic

and so must have borrowed from the R. G. S. and the D. & R. G. Passenger

business was only a sideline but Mears maintained the dignity of his

little railroad by running daily, each way, two passenger trains, each

with two or three coaches and baggage car. He charged 20c per mile

straight and had all the riders he could handle.

Business had been very good, so good, in fact, that the Silverton

Railroad had the reputation of being the best-paying for its size in the

state. Mears even used profit from it to assist the R. G. S. which was

not doing as well as had been expected.

An extension of the Silverton Railroad up the Animas River Valley had

been considered for several years. It became a reality in 1893 when the

two miles from Silverton to the Silver Lake mill at Waldheim were built.

It was considered a part of the S. R. system, not a separate line.

The San Juan’s most common precious metal was silver. Others were gold,

lead, zinc and copper. Trouble had been brewing for some time but when

the government repealed the Sherman Silver Purchasing Act in 1893 a

panic descended not only on the San Juan but on all of the United

States.

All mining towns had, of course, boomed and were replete with hordes of

promoters, prospectors, miners and hangers-on. Saloons, gambling joints

and brothels flourished. Now, mines closed by the dozens and the

populace departed. Many towns, especially the small ones, were

practically deserted. Train operation came down to a mixed freight and

passenger.

As some of Mears’ letters indicate, he was, after the panic, having a

most difficult time in making ends meet. He gave up the Rio Grande

Southern almost immediately and allowed it to go into receivership on

the 2nd of August, 1893. He tried, however, to hang on to the Silverton

Railroad but, as some of the letters reveal, he had to do a good deal of

juggling with bonds, stocks and notes to stave off creditors.

In 1896 the company claimed 18.25 miles of track from Silverton to

Albany, 3.75 miles of branches and .48 miles of spurs. In the same year

it listed two locomotives, three combination cars, 36 box cars, one

caboose and one “other”.

Even with the hard times Mears managed by borrowing to extend the

railroad in 1896 from Waldheim to the Sunnyside mine at Eureka, another

6½ miles. This entire piece, Silverton to Eureka, he incorporated as the

Silverton Northern. This railroad was justified as both the Silver Lake

and Sunnyside mines carried a good deal of gold.

At the turn of the century the most talked of and anticipated event in

the mining country was the Meldrum Tunnel which was to bore through the

range west of Red Mountain town and connect with mines at Pandora near

Telluride on the other side.

The tunnel was to be large enough to contain a railroad which was to

connect the Silverton Railroad with the Rio Grande Southern at Pandora.

This would have saved much mileage and would, except at the ends, have

been free from snow.

Andrew Meldrum, a Scotchman, the originator of the project, raised money

and started work in 1898. He left a point on the west side one and a

half miles south of Pandora and drilled eastward until he had reached a

depth of 1400 feet. Except for one joggle it was quite straight. At the

same time he ran another tunnel westward from a point about one-half of

a mile north of Joker Tunnel to a depth of 600 feet or more. Altogether

he drilled about 1.6 miles on the west side and .6 mile on the east

side. Finally, in 1900, with 3.4 miles yet to go, he ran out of money

and had to abandon the project.

However, Meldrum’s dream did materialize in 1946 during World War II

when the government loaned the Idarado Mining Company, which had bought

the old Treasury Tunnel workings at Red Mountain, the money to complete

a tunnel through the mountain to the Pandora side. It takes several

drops and rises and goes in various directions in order to contact the

ore veins, so that the total length is 7½ miles. This amount does not

include some tail tunnels.

The Idarado property is now considered one of the richest in the world

for hardrock ores—silver, gold, lead, zinc, copper and manganese.

Meldrum lived out his life in Ouray and died in a cabin there all alone,

a few years too soon to see his dream come true.

Everybody hoped and expected that mining would soon revive but the time

dragged on and it did not. William Jennings Bryan ran for president of

the United States in 1896 on a “free coinage of silver” platform and the

“Silver San Juan”, Mears especially, ardently campaigned for him. When

Bryan was defeated, Mears gave up on a mining revival and early in 1897

moved to the East. There he took up several business enterprises and

stayed for ten years. However, he retained a general supervision over

his railroads and made numberless trips back to the San Juan.

Revenues had decreased so greatly that the railroad was finally, in

1898, forced into receivership. Alex Anderson, a Scotchman and a former

auditor, was made the receiver.

The Crawford interests who were promoting the Joker Tunnel (a drainage

operation) got control of the railroad in a foreclosure sale in 1904. On

November 3 of that year it was incorporated by Otto Mears, Alex

Anderson, John Ewing, George Crawford and Harry Riddell as the Silverton

Railway, with Mears as president. The new company replaced the old

30-lb. steel with 45-lb. Mr. Ridgway, as superintendent at this time,

1904 and 1905, had to keep three sets of books—one for the S. R., one

for the S. Ry. and one for the S.N.

Just before and after the reorganization, business revived until it was

nearly as good as in the beginning though only one passenger train ever

ran again and then only as far as Joker Tunnel. The train consisted of

two coaches and a baggage car to Red Mountain where one coach was set

out and the rest went on to Joker. In 1912 a daily passenger was running

only as far as Red Mountain. In 1919 and ’20 a passenger was still going

to the same destination. During this period about two freights operated

though the number depended on the amount of business. A little engine

could haul three loads up to Red Mountain and a big one could haul five.

Both handled ten loads down. In the winter operation was suspended

either for short periods or for the season because of snow blockades.

The turntable was still standing in early 1906 for John Crum who that

spring drove a logging team from Albany Gulch to the Gold Lion mine, at

night turned his horses loose on a flat nearby and in the morning had to

play tag with them around the table to catch them.

Mears, who was expecting great things of the Cold Prince mine and mill

at Animas Forks on the Silverton Northern, decided he needed a turntable

worse there than at Corkscrew. So, in the summer of 1906, Edward Meyer,

an engineer, took a train to the gulch to retrieve all essential and

removable parts along with other appurtenances. These were then

transported to and installed at Animas Forks.

Joe Dresbach, the general manager of the time, has also stated that

essential and removable parts of the turntable at Corkscrew were

retrieved and installed at Animas Forks.

Charles Decker, an engineer, says that the housing and operating parts

of the turntable at Corkscrew were gone when he went there for the first

time in 1907. The train merely ran over the stationary table onto a

switchback that had been extended to hold several cars, and then backed

out.

After the turntable was abandoned a train leaving Red Mountain headed

into Corkscrew Gulch, backed down to Joker Tunnel, headed into Corkscrew

again and finally backed to Red Mountain. Or the operation was reversed

by backing out of Red Mountain to begin with. As trains will not back

through much snow downhill and practically none uphill this railroad got

into trouble in the winter no matter how it started out or what it did.

Mears was employed by the D. & R. G. to reconstruct the railroad in the

Animas canyon after the disastrous flood of October 5, 1911. He used S.

Ry., S. G. & N. and S. N. engines and crews to work from the north end.

Trains went to Joker Tunnel to pick up rails that had been brought that

far by freight teams from Ouray. Silverton ran out of coal, and some

that had already been hauled to the Treasury Tunnel at Red Mountain was

brought back to town. In about 60 days the line was open and the first

two freight cars to arrive in Silverton were one of caskets and one of

beer.

Many derailments and minor accidents occurred but in its 39 years of

operation only one fatality. In 1902 or ’03 an engine ran off a short

rail at Sheridan Junction causing it to overturn. The engineer, Bally

Thompson, was caught and crushed under the boiler. The whole top of his

head and jaw were torn off and his skin was cooked like that of a

roasted turkey.

The year ending June 30, 1911 showed a cash balance of $9 while the year

ending December 31, 1917 turned up with a deficit of $25,241. Regular

operation ceased in 1921 and abandonment proceedings were held in the

early fall of 1922. All rolling stock, including Engines 100 and 101 (1)

were turned over to the S. N.

Below is the last station list ever published:

.00 Silverton 9,300

5.30 Burro Bridge 10,236

7.23 Chattanooga 10,400

10.64 Summit 11,235

11.97 Red Mountain 11,025

12.66 Vanderbilt

12.85 Yankee Girl

13.26 Robinson

13.46 Guston

13.93 Paymaster Coal Track

14.38 Corkscrew Gulch

14.81 Paymaster Ore Track

15.03 Silver Belle

16.06 Joker

As the track was not immediately removed an occasional train was run to

Red Mountain or even to the mines beyond. With the salvaging of the

rails in 1926 the Silverton Railroad made its last run.

The original Red Mountain Town was on the east side of the small hill

called the Knob. The place began declining about 1907 and the time came

when it was deserted and all structures were in a state of near or

complete collapse. The Idarado, the old Treasury Tunnel, to the north

side of the Knob, with all its prosperous looking mine and mill

buildings and its nice dwellings, most of which were moved there from

Eureka, now constitutes the town of Red Mountain. _This_ Tunnel is a

World War II development and is famous because it bores through the

mountain to the mines on the Telluride side.

The new highway has almost obliterated the old railroad grade. It may be

seen crawling along on the sidehill up to Burro Bridge, and again at

Chattanooga Loop and overhead as it climbs to the summit. It also may be

seen curving around the Knob to old Red Mountain town, crawling along

the mountain to Corkscrew Gulch and dropping down to Joker Tunnel. Then

all traces of it are gone except some old grade at Albany. First a road,

then a railroad and again a road!

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