DOC. No. XXVII, REPORT UÂDB BY mjEl. CONSUL OF FRANCE AT RICHMOND, TO HIS EXCELLENCY THE MINISTER OF FOREIGN AFFAIRS OF FRANCE, UNDER INSTRUCTIONS PROM HIS GOVERNMENT, RELATIVE N TO THE JAMES RIVER & KANAWHA CANAL, jxjisrE s, xsso. PRINTED BY JOINT ORDER OF THE COMMITTEES OP ROADS AND INTERNAL, NAVIGATION OP THE SENATE AND HOUSE OP DELEGATES. Doc. No. 27. 3 REPORT. EICHMOND, June 5th, 1860. Monsieur le Ministre: éy a dispatch dated the 26th of April last, your Excellency did me the honor to inform me that a petition had been presented to His Majesty the Emperor, by the Messrs. Bellot des Minières, concerning a project for a junction of the James river with the Kanawha canal, in order to obtain from the French government, in favor of their company, an evidence of sympathy, the nature of which, however, they do not precisely explain. Your Excellency desires to be informed as well upon the organization of this company as upon the object of the enterprise and the advantages which might re¬ sult from it for the commerce of France. I at once set to work, Monsieur le Ministre, to collect from the best sources and the most approved documents the necessary information for an elucidation of this question which, moreover, I had already studied. I will endeavor to give as exact an idea as possible of the nature of the project in question and of the consequences which may result from its execution in favor of commercial relations between France and this country. I commence by reaffirming all that I have previously said in my correspondence upon the situation of the state of Virginia, particularly in my reports concerning the premature projects for direct trade and direct lines of navigation with Europe. In my dispatches relative to the public works of Virginia, while indicating the natural advantages possessed by this state on account of its geographical position, its mineral wealth, the resources of its agriculture and, the advantages of its cli¬ mate, I have still been of opinion, Monsieur le Ministre, that there could be little done in this part of the Union as long as the great routes of communication in course of construction were not completely finished, especially those from east to west. But while remembering what I have written and advanced during many years, without to-day retracting a single word, I declare that, according to my convic¬ tion, based upon a knowledge of the country and the opinion of competent men who have studied all these great questions, when the works above mentioned shall be finished, and the James river and Kanawha canal, which constitutes the object of this report, must be placed in the first rank, Virginia will become the point of the United States which must attract seriously the attention of France. It is with a view to commercial advantages and even interests of a higher order, that I shall endeavor to present the question of the completion of the canal. 4 Doc. No. 27. FOUNDATION AND DIFFERENT REORGANIZATIONS OF THE COMPANY. I think, Monsieur le Ministre, I should give an insight into the different phases through which the affair has passed from its origin up to the present time. The first company, " James river company," called now the " Old James river company," was established in 1785, with a capital of 1,225,000 dollars, divided into shares of 100 dollars each. This company did not accomplish a great deal. After a long time the necessity was felt for reviving the works upon other bases. The 17th of February 1820 the first company was dissolved, and the affairs placed in the hands of the state. The 16th of March 1832, after twelve years of experience, proving that the state could neither administer nor construct, it was found necessary to form an¬ other company. According to the new system, the government and the people each had a part in the affair. The state became a subscriber for three-fifths. The capital was es¬ tablished at five millions of dollars, with the privilege of increasing this capital indefinitely. The company then took the name of " James river and Kanawha company." The old works were accepted by this company, at a valuation of one million of doUars. From 1832 to 1842, the works were pushed forward with vigor, but, at the latter epoch, the project for rail roads, in which numerous personal interests were en¬ gaged, brought about a modification in the course of ideas and things. The pro¬ gress of the works of the canal were paralyzed by the impulse given to the con¬ struction of the plexus of rail roads, and particularly to the great Central rail road, a line nearly parallel to the canal. From this time, the hopes of the James river and Kanawha company were limited to establishing the canal as far as Covington only, it being contemplated to run a rail road from the latter point to the Ohio river, a distance of 2881 miles. Lastly, Monsieur le Ministre, at the beginning of this year the company found itself very much embarrassed, because of the circumstances above related, to which must he added a natural indifference of the Virginia people foi long winded affairs, and a want of impulse, of activity, in certain things. Besides 500,000 dollars of floating debt, the company owed the state more than seven millions of dollars. Three-sevenths of this sum had been lent by capitalists, but being guaranteed by the state, the state has paid it. It was on the 23d of March last the legislature of Virginia released the canal from the mortgages of the state. Besides this, the commonwealth assumed the payment of 200,000 dollars of the floating debt, and gave up the seven millions due her, in consideration for the same amount of the stock of the canal. Doc. ÎÎo. 27. 5 The capital is then increased now from five millions to twelve millions of dol¬ lars, likewise divided into shares of one hundred dollars. This last transaction releases the company from its debts, and relieves it of all disabilities. It is tbis even which enables it to treat with a Trench company, whether with a view to a fusion or a transfer of this great undertaking into the hands of capitalists having means to found a new company competent to bring the works of the canal to a successful termination. The sacrifices to which the state has subjected herself up to the present time, and the legislation of the general assembly of Virginia in favor of the enterprise, prove moreover, in a manner more than sufiicient, that it is one of great importance. LENGTH AND DIVISION OF THE CANAL. The route known by the name of the "Virginia water line," extends from the capes of Virginia to the Ohio river, covering a distance of 636 miles. The length of this route is divided as follows : The James river, from its mouth to the city of Richmond, capital of Virginia, . . . - - 151 miles. The works called the " Richmond dock and Tide water connec¬ tion," that is to say, the line which connects the river with the canal at Richmond itself, and which occupies a distance of - 1 " First division of the canal, from Richmond to Lynchburg, - 146i " Second division, from Lynchburg to Buchanan, - - 50 " Third division, from Buchanan to Covington, - . 47 « Fourth division, from Covington to Greenbrier river, - 33i " Fifth division, from Greenbrier and New rivers to the banks of Loup creek on the Kanawha river, - - - 119 " Sixth division, from this latter point to the Ohio river, - 89i " Total, without the fractions, 636 miles. The works of the canal are finished from Richmond to Buchanan, over a distance of - - - - 197 miles. Distance traversed by James river, - - - 151 " Total of the distance open, 348 " It remains then to construct the works over a distance, from Bu¬ chanan to the Ohio river, of - - - 288 " to complete the canal, which will make the total above given, for the continuous water line, of - - - 636 miles. Now, Monsieur le Ministre, I must say here that the James river and Kanawha canal company has nothing to do with the navigation of James river. Its only business is with the line termed "canal," which begins at Richmond itself, and 6 Doc. No. 27. ends at the Ohio river, and will be, according to calculation, 485 miles in length, of which 197 are open and free to navigation, I have only mentioned James river, in order to give an idea of the continuous line called *' Virginia water line," including, within its compass from the Ohio to the Atlantic, the length of the canal first, and then of the river to î^orfolk, COST AND EXPENSES. The works finished up to the present, comprising the Richmond dock, roads, towpaths and lateral canals, have cost - 10,413,996 13 Repairs and keeping in order from the commencement, - 2,261,344 91 Interest, expenses of administration, &c. - - 3,407,192 05 Total, $ 16,082,533 09 Say about ninety millions of francs, with the expenses of the current year. These figures are official. According to plans and estimates, the sum of fifteen millions of dollars will be necessary for the completion of the canal. SUPERIORITY OF THE ROUTE, The route from the west of the United States to the Atlantic, by the James river and Kanawha canal, in Virginia, is shorter and more direct than the others. It passes under a climate mild and temperate enough to remove all apprehension with regard to ice, the great inconvenience of which arrests the navigation of the canals of the northern part of the Union for at least five months during the year, or to the excessive heat encountered on the Mississippi route, which has a very in¬ jurious effect upon merchandise. The Virginia route connects the great markets of the west with the port of Nor¬ folk, whose advantages I will point out farther on. In 1855, when the legislature of the state of New York was discussing the ques¬ tion of enlarging the Erie canal, after speaking of the probable concurrence of the Canada and Pennsylvania canals, the canal commissioners added, "Of all the rivals and competitors for the trade and commerce of the west, Virginia may be¬ come the most powerful ; for through the centre, the heart of that state, nature has traced the most direct and easy line of communication from the most dis¬ tant points of the west to the Atlantic." Mr. Flagg, formerly superintendent of the canals of the state of New Yorkj Doc. No. 27. T. states in a report, that " The Virginia route derives, from the mildness of the cli¬ mate, the shortness of the distance and the facilities for joining the Ohio river, pe¬ culiar advantages for the accommodation of the commerce of the valley of the Ohio." Senator Andrews, in a general report to the congress of the United States in 1849, on the commerce of the lakes and rivers, expresses himself in these terms, in speak¬ ing of the James river and Kanawha canal : " If this work shall ever terminate in the valley of the Ohio, this fact will be established beyond a doubt, that it will become the route of ap immense trade. It will touch the Ohio at every point fa¬ vorable for business. It will have this great advantage over works of the same kind, situated farther north, that it will be navigable during the winter as well as summer. The route, after having crossed the mountains, is immensely rich in coal and iron, as well as in fertility of the soil. A continuous water line to the Ohio is the only thing necessary for the triumphant success of this work." I confine myself. Monsieur le Ministre, to quoting the opinion of a few of the able men placed at the head of works competing with the Virginia line, who have been called upon to enlighten the country by their reports on these great and in-, teresting questions. ESTABLISHED ROUTES—COMPARISON BETWEEN THESE ROUTES AND THAT OP- VIRGINIA. There are now in existence three routes by water for the trade of the west : 1. That of Now York, by the Erie canal. 2. That of New Orleans, by the Mississippi. 3. That of Canada, by the lakes and the river St. Lawrence. Cincinnati being the central point, the grand market towards which the producta of the west and a part of the south tend, I shall take that city as the starting point of the routes in question, upon which to establish my comparison, and exhibit the advantages which I believe to be reserved for the Virginia line. The distance from Cincinnati to New York, by way of the Miami canal, lake Erie, the Erie canal and the Hudson river, is 1,083 miles. The passage from Cin¬ cinnati to New Orleans, byway of the Ohio and the Mississippi, is 1,724 miles. The transit from Cincinnati to the mouths of the St. Lawrence (Montreal line, Canada route), by way of the Miami canal, lakes Erie and Ontario, the WeUand canal and the St. Lawrence river, is 1,660 miles. Now, Monsieur le Ministre, I will give the distance from Cincinnati to Norfolk,. by way of the Ohio, the James river and Kanawha canal and the James river (Virginia route). It is 792 miles. . The difierence in favor of the Virginia route over all the other lines, in respect 8 Doc., No. 27. to the distance, is therefore 291 miles over New York, 932 miles over New Or¬ leans, and 868 miles over Canada. The prices of transportation are established in the trade in the following manner : Average freight from Cincinnati to New York, by way of the Erie canal, 9 dol¬ lars per ton ; from Cincinnati to New Orleans, 11 dollars per ton ; from Cincinnati to the mouths of the St. Lawrence, 10 dollars per ton. Taking the same rules and the same laws as a basis of calculation, the average of the tariff from Cincinnati to Norfolk would be 4 dollars and 50 cents per ton. The difference in favor of the Virginia route over the other lines, in respect to ickeapness, would therefore be $4 50 over New York, $6 50 over New Orleans, and $ 5 50 over Canada. The New York route (Erie canal) is closed by ice during more than 5 months of the year, and precisely at the season when the exportation of grain should be effected for the wants of the world. Eeal dangers are inherent to the naviga¬ tion of the lakes, which are visited by frequent and violent tempests. Finally, this line necessitates four unavoidable transhipments of merchandise, at great ex¬ pense. It is well known that this operation is an inconvenience, which is submit¬ ted to in trade only when it is impossible to avoid it. It occasions a double loss of time and money, and often deteriorates the merchandise. On the Virginia line there will be no transhipment. The inconveniences of the Canada route are in like manner the ice, the length and tlie danger of the navigation of the lakes, and of the St. Lawrence river, and two transhipments. The New Orleans route itself presents serious disadvantages. I shall specify in particular the exceptional dangers of the navigation of the Mississippi. These ¡risks are such that the insurances refuse to admit a great number of articles, and «charge from 12 to 18 per cent, on those insured. A report of Senator Barrow on the navigation of the Mississippi, addressed to «congress, establishes these figures- Since that period the condition of the river has only altered for the worse. To the dangers of the Mississippi must be added those of the gulf of Mexico. Admitting that recourse should be had to insurance for the navigation of tho James river and Kanawha canal (and the necessity is in no wise demonstrated), this insurance would probably be about i per cent. Finally—merchandise of a certain class, such as butter, cheese, bacon, whisky, oil, flour, wheat, sugar, molasses, lose, during the summer, from 5 to 15 dollars per ton, which would make an average loss of ten dollars per ton by the New Orleans route. These same articles are not affected by the climate of Virginia, which is neither too hot nor too cold. Doc. No. 27. « 9 SECURITY AND PROTECTION OF THE LINE—COMPARISON IN A MILITARY POINT OP VIEW. In a report, dated December 1st, 1826, addressed to the legislature of the state of Virginia, Mr. Crozet, the chief engineer of the state at that time, formerly a captain of engineers in France, once a professor of military tactics at the academy of West Point in the United States, expresses himself in these terms, in speaking of the advantages of the line in a military point of view : " Its entrance (the entrance of the great Virginia water line) will be effectually defended by the cross fires of the two formidable forts at Old Point Comfort and the Kipraps, which will afford complete protection to the coasting trade. As an interior line or base of operations, the central situation of a safe water communi¬ cation between James river and the Ohio would, 1 think, ofier incalculable ad¬ vantages." The three rival lines. Monsieur le Ministre, are far from being so favorably situated. That of New Orleans is open, and without defence. That of Canada is situated in part beyond the territory of the United States. Finally, the route, by way of the Erie canal (New York), presents, though in a less proportion, the same disadvantages on the lake. TKADE or THE VIRGINIA LINE. If it is proved by the statistics produced, by investigations made, by the dif¬ ference of climate, by an examination of the advantages and disadvantages, by the evidence of every thing in fact, that the water line through Virginia is the shortest, the most certain and the least expensive, in order to reach the great markets of America or even Europe, it must be admitted that the products of the west and a part of the south will be drawn to this route. The southern states which would profit by the Virginia line, are North and South Carolina, Kentuckj', Tennessee, Alabama, Georgia, and lastly, Virginia. Those of that part of the Union called the Great W^est, that is to say, the states watered by the upper Missouri, the upper Mississippi and their tributaries, are, and 1 only cite the principal, Ohio, Indiana, Illinois, Missouri, Iowa and Michigan. These expeditions would represent an enormous amount, since they would be composed of the largest portion of the products from the immense territory occu¬ pied by the above named states. In speaking of the south, 1 would call your Excellency's attention to this point : The freight, principally of sugar and cotton, goes up the Ohio, starting from Cairo, and up the Mississippi, not only from Memphis, which is the second cotton market of the United States, but even from the town of Helena, situated much lower down the river. This freight goes to New York, by Cincinnati and the Erie canal. Cotton is also sent from these different places by rail road to New York. 2 10 Doc. No. 27. % The prices of transportation to New York are, by rail road, 31 dollars and .50 cents the ton ; by the Mississippi, the Ohio, the lakes, the Erie canal and the Hudson, 10 dollars the ton. It would only cost by the James river and Kanawha canal to Norfolk, 7 dollars the ton. The difference, for Norfolk, would then be 24 dollars and 50 cents less than by rail road to New York, and 3 dollars less than by the water line also to New York. Cotton, is from its nature, a merchandise transportable by water. When re¬ course is had to rail roads for this cumbrous article, it is because the Erie canal is closed ; and this is the case, I repeat, during at least five months of the year. I have said above that the Virginia canal would not be exposed to the inconve¬ nience of freezes. Cotton could therefore be transported over it during the whole year. The line would be in the best condition for prospering, since it debouches equally, but with greater advantages than those of the north, on the shores of the Atlantic, and from thence to the markets of Europe, by the shortest route, called here the French route (Norfolk and St. Nazaire), according to the opinion of those who have studied the question. PRINCIPAL PRODUCTS FOR TONNAGE ON THE CANAL. I am obliged to enter into some details, to give an insight into the productions of the southern and western states, which would feed the tonnage, of the James river and Kanawha canal. I will do this, by taking my statistics from the last census—that of 1850. This census, which is an official document, gives 56,334,470 bushels of wheat ; 398,945,293 bushels of corn ; 58,700,772 bushels of other grains, such as oats and barley—say a total of cereals alone, of 513,980,525 bushels, or about 33 millions of tons. Besides, 1,732,537 bushels of rice; 1,937,600 pounds of Kentucky and Missouri cotton ; 163,166,167 pounds of Kentucky and Virginia tobacco, leaving out Mary¬ land ; 436,600,000 pounds of bacon. All these products together represent the sum of 778,586,063 dollars, the official figures of the census of 1850. I do not speak of other articles, the enumeration of which would be too long, and I limit myself. Monsieur le Ministre, in designating the principal. The decennial census of 1860, which is being prepared now, will give, without doubt, figures far beyond those above. ■ ■ Doc. No. 27. 11 It is admitted that the population of the west, and consequently its productions, double, or nearly so, every twelve years. In his last message to the legislature of Ohio, the governor of this state declares that the production of cereals in the state of Ohio alone surpassed in value the entire cotton crop for the same year, of aU the United States. The chief provisions which I have just named constitute, without speaking of the south proper, a movement from west to east and north. It ought, as a natural consequence, to bring about a corresponding movement of exchange, composed in great part of European merchandise, going from east to north and west. I will cite, in the last place, the productions of the southern states bordering on and neighboring to Virginia, coming from Tennessee, Kentucky, North Carolina, Alabama, Georgia and South Carolina. This freight might likewise take a direc¬ tion from the south towards different points of, the Virginia canal, whether by rail road, or branches of the canal to be made, or even made already, as those of the Eivanna and North rivers. RESOURCES OP VIRGINIA. The resources of Virginia are"immense. It would be difficult to enumerate them all without being exposed to the charge of exaggeration. Nevertheless, I think it will be well to give your Excellency an insight into them, confining myself at the same time within the limits of extreme moderation, and maintaining my apprecia¬ tion rather below than at the standard of the reality established as the result of investigation and study of competent gentlemen, whose names are high authority in the United States. Virginia has not yet been explored. Her mineral wealth is recognized. I wUl speak of this farther on. ' ' The tobacco of Virginia is in great demand. Its quality is regarded as superior to that of all other in the United States. The cultivation of wheat and the raising of cattle are in very favorable condi¬ tions in Virginia, and will become moreover susceptible of amelioration in propor¬ tion as the means of communication become extended. Three-fifths of the lands of the state of Virginia are in forest. The timber of the west and centre is preferable to that of the extreme south and the north of the Union. In the south, the excessive heat expands the timber, and renders it porous. In the north, the strength of vegetation is wanting. These two inconveniences do not exist in Virginia. The opening of the canal will permit—even force the clearing up and working of these forests, which are inexhaustible. In them is found all kinds of ship tim¬ ber, except the live oak, which grows only in Florida. 12 Doc. No. 27. All such as are proper for general use, wheelwriglitiiig and the purposes of artil¬ lery, are found in equal abundance. I call attention more especially to the white oak for ship building and artillery service. As to the mineral resources of Virginia, they are immeasurable, and extend be¬ yond all appreciation. There are in this state mines of iron, coal, copper, lead, gold, silver, manganese, magnesia, alum, copperas, chalk, plaster, salt, sulphur, slate and ochre. Copper and lead are found in the southwest of Virginia, in almost as large quantity as coal in the northern and west-central parts. It is known that the two principal points of the globe for the production of cop¬ per, are Australia and Japan. England has had to a certain extent the monopoly of the first, and Holland that of the second. It ought not to be lost sight of, that the copper of Virginia, placed at a distance about four times nearer Europe, might be directed easily towards the markets of the country which should best know how to profit by the circumstances and facili¬ ties that the opening of the Virginia canal would create for the transport of this metal, so precious to industry. In coal and iron, Virginia excels all the other states of the Union. The fact is recognized—admitted. Pennsylvania alone can compete with her in coal ; but Pennsylvania has not a single bed of the coals denominated cannel and splint. These two qualities are found only in Virginia, and on the borders of Kentucky, near the river Sandy. It is from "cannel coal that coal oil is extracted for burning and lubricating pur¬ poses. Large factories have already been established in the west of this state for the manufacture of coal oil, which is in great demand at the north and in the west of the United States for steam boats, rail roads and other machinery. The coals of Virginia, even the common bituminous, are entirely free from sul¬ phur. They are quoted, I am told, in the principal markets of America, at 60 cents the ton higher than other coal of the same kind. Cannel and splint coal bring on an average from two and a half to three dollars more the ton than the coal of other states. Virginia is as rich in iron as coal. Her iron is generally of the best kind. Its superiority is attributed to the copper which is found mixed in very large quantity in the ore, which it is said renders it more ductile, and increases its capacity for resistance and tension. The ores of western Virginia are rarely equaled. The iron of the east of the state is equal to the best Swedish and English. The fact has been proved, by experiments made at diflferent times by order of the govern¬ ment of the United States. Doc. No. 27. 13 In the mountains of the state of Virginia the beds of iron ore lie subjacent to beds of the richest coal. Often the same mountain or hill contains the salts for the fusion of the metal, as well as lime, argil and wood for making charcoal. It thus results that all the material necessary not only for the working of iron with pit-coal or charcoal, but furthermore for the refinement of iron and its conversion into steel, are found collected together at the same place. Iron has been made in Virginia at five dollars the ton. It generally costs nine or ten dollars freight from England to the United States ; and to the amount of freight must be added the duty of 24 per cent. Virginia, with her superior advantages for the fabrication of iron, might reach the point, by a proper development of her resources, of contesting with England in the articles of iron and coal in the American market. The article of salt should not be passed under silence. Monsieur le Ministre, and I think it ought to have its due weight of importance. Virginia has mines of pure salt and innumerable salt springs in the west. Without speaking of the mines of Washington county, mines from which the yield increases every day, the wells of Kanawlia produce annually three millions of bushels of salt. It is thought that the canal being finished, these same wells could furnish nearly ten millions of bushels. From the county of Kanawha in Virginia is derived the salt used for all the saltings in Cincinnati and the great west. The sea salt coming from England and that' from New York are, it is said, often rejected because of their containing lime and other foreign material. This question of salt is of such importance that the trade of New York addressed the board of trade of that city, December the 2d, 1858, in order to adopt means for competing in the markets of the west against the monopoly, well and rightfully established, of Virginia salt in that country. Lastly, Monsieur le Ministre—-I will not conclude this part of my report without recalling all that J have had the honor of writing to your Department in relation to the flour made at the large mills of Richmond, which are establishments of the first order. This flour is always preferred, sought after and demanded. It keeps perfectly, under all latitudes, to such an extent that Richmond has ended by having the monopoly of the principal markets of South America, especially of Brazil. The regular cargoes of flour from Richmond to Rio Janeiro have already secured to the capital of Virginia, as return cargoes, the coffee and hides of Brazil, which should be added to the mass of merchandise above enumerated. Richmond flour is equally appreciated in Australia and California. A large quantity of the grain of the west that cannot now be received at Rich¬ mond on account of the high price of actual transportation, would necessarily be drawn to this place by the reputation acquired for its flour. The almost unlimited water power which is found even in the very city of Richmond (and which by pa- 14 Doc. No. 27. renthesis is derived from the canal), would allow of the building of as many mills as the arrival of grain here to be ground could exact. All these resources of Virginia, of which I have just given only a superficial view, would augment incalculably the trade of the canal ; for the nature of these products does not admit of the costly transport by rail road. NECESSITY OF A NEW COMBINATION FOB COMPLETING THE CANAL. The riches of Virginia are to a certain extent buried and accumulated within the state. The population knows of their existence ; sees them, and feels them. It has them under its hand; and yet it seems only to draw forth a small portion, because the force of things drives it to it in spite of itself. In the midst of the grasping activity of a»young people, which is working prodi¬ gies upon the immense territory of the United States, Virginia holds the best place, sleeping upon her unproductive treasures. If Virginia had acted like the population of the north or the west of the Union, the James river and Kanawha canal would have been finished long ago. Of this there is not the shadow of doubt. The proof of what I advance. Monsieur le Ministre, is that the construction of the canals of the north constitutes an upset¬ ting, a destruction of the order of things established by nature in this immense country. These canals attract the products of the west and even of the south in a sense inverse to that indicated by the course of the great rivers. They force merchandise to ascend these rivers from far down and accumulate northward des¬ pite the tempests and ice, and then disperse themselves throughout the world, through the medium of the markets of the north. The struggle has been gigantic. In Virginia it is only necessary to draw a short and straight line from the Atlan¬ tic towards the west, between the north and the south of the Union, under a cli¬ mate mild and temperate, and the result can and must reach be^nd that attained by the Erie canal, according to the opinion of competent men. Since the James river and Kanawha canal is not yet finished, in spite of the facilities and advantages so prodigally bestowed by nature, the necessity must be admitted of employing not only foreign capital, but farther and above all, practi¬ cal activity, the persevering energy of a new and somewhat regenerative company. It would be necessary to have recourse to the strength of an exceptional combina¬ tion at the head of which would be found men with large resources of money and credit, with special talents, capacity, serious minds, comprehending the necessity of finishing what is begun, in order to achieve the greatest results from this grand undertaking. Doc. No. 27. 15 capacities op the erie canal and of the james river and kanawha canal. The capacity of the Erie canal is five millions of tons, and vrill be seven millions after the projected improvements, according to a report of Mr. Macalpine, chief engineer of the state of New York. This canal is 50, 60 and 70 feet wide—average 60 feet. Its depth is 5, 6 and 7 feet. Its locks are 110 feet long by 17 wide. The capacity of the James river and Kanawha canal, according to the new scheme, will be, at the least, 15 millions of tons. Its breadth is and will be every where 50 feet, and its minimum depth, every where also, 7 feet. ^ Its locks are 120 feet long by 20 wide, and, upon more than two-fifths of the length of the works, they will be 200 feet by 40. norfolk. I touch now upon one of the most important points of. the question. I know nothing better to do. Monsieur le Ministre, for giving an exact idea of what the port of Norfolk, naturally is and the advantages to be drawn from it, than to cite the opinion of Commander Maury of the United States navy, chief of the national observatory at Washington, and whose name belongs to the scientific world. In a very interesting work published in 1854, under the form of letters to his son, Com¬ mander Maury describes the commercial advantages of Norfolk in these words : " As to the natural advantages of position, depth of water, and accessibility by land and sea, Norfolk has no competitor among the seaport towns of the Atlantic. " Midway the Atlantic coast line of the United States, Norfolk is the most con¬ venient, because the most central point where the produce of the interior may be collected, and whence it may be distributed, north and south, right and left, among the markets of the seaboard. " Its climate is delightful. It is exactly of that happy middle temperature where the frosts of the north bite not, and where the pestilence of the south walketh not. Its harhor is commodious, and as safe as can be. It is never blocked up with ice, and as to the egress and ingress between it and the sea, it possesses all the facili¬ ties that the mariner himself could desire. It has the double advantage of an outer and inner harbor. The inner harbor is as smooth as any mill pond ; in it vessels lie with the most perfect security, where every natural facility imaginable 16 \ Doc. No. 27. is offered for lading and unlading. Being ready for sea, the outward bound trader dropping down from this snug mooring, and approaching the sea, finds a storm raging from outside. The outer harbor then affords a shelter until the fury of the gale is spent, when the white-winged messenger trips her anchor, trims to the breeze, and goes forth, rejoicing on her way to the haven where she would be. " Moreover, the prevailing winds in the parallel of Norfolk are westerly winds, which are fair for coasting, and for going seaward in any direction. A little to the south of that parallel, you find the northeast trades, which are fair winds for the inward-bound Norfolk vessel. " Then there is the Gulf Stream—that mighty river in the ocean—upon the verge of which Norfolk stands. It flows up with a current which, without the help of sweeps, sails, or steam, will carry the European bound vessel out of Norfolk at the rate of nearly one hundred miles a day, directly on her course. " Then at the sides of this, and counter to it, are eddies which favor the same vessel on her return to Norfolk. These hawse her along and shorten her voyage by many a mile. " Such are the natural advantages of Norfolk seaward. Let us look ashore, and consider them landward. You will better appreciate these by studying them in contrast. Therefore, we will compare them with the natural inland advantages of New York. " A bay or harbor which is conveniently accessible to the sea, is supposed to offer natural advantages for a commercial city in proportion to the fertility and extent of the back countr}' that is tributary to it. The back country that is natu¬ rally tributary to the city of New York, is confined to the counties that are drained by the Hudson, or washed by the waters of the sound. And if there were no such things as internal improvements—no way in the interior by which produce and merchandise could be transported from one water shed to another—the people for whom New York would export and import would be those who live in the valley of the Hudson, or who inhabit the shores of Long Island sound. ■ " Now contrast the fertility and extent of this country with the back country that is tributary to Norfolk. Both shores of Chesapeake bay are tributary to it; and this magnificent sheet of water is the natural receptacle also of the drainage and surplus produce of the valleys of the James river, the York, the Rappahan¬ nock, the Potomac, and the Susquehanna, and with a perfect net work of creeks and coves that indent their shores. The back country therefore which, without portage, is naturally tributary to Norfolk, not only surpasses that which is tri¬ butary to New York, in mildness of climate, in fertility of soil, and variety of production, but also in geographical extent by many square leagues, the propor¬ tion being as three to one in favor of the Virginia port. "But there are such things as natural portages, by which commerce even in a rude state may pass from one river valley to another on its way to the sea. Now let us see what portions of country are nearer to New York and what to Nor¬ folk, assuming that if these natural portages be equally improved, all that country which they will bring nearer to Norfolk will be tributary to Norfolk, and all that they may bring nearer to New York will in like manner be tributary to New York. Doc. No. 27. 17 "Therefore, to divide and lay off this back country, turn to the map; stretch a string upon it from Norfolk to New York, and make a dot half way between them. Now seek a point on the south shore of Lake Erie that is equidistant from New York and Norfolk; draw a line from the dot to this point, and you will have a di¬ viding line of distance between the two places, every point along which will be just as far from the one place as the other. You will find that this line runs through Delaware, and cuts Lake Erie, near Cleveland, Ohio. "Thus you perceive that Chicago, in Illinois, and St. Louis, Missouri, are actu¬ ally nearer to Norfolk than they are to New York even by an air line. You see, moreover, that as between New York and Norfolk, the natural advantages here are greatly in favor of the latter. The most direct way to the sea through either of these ports, from most of the lake country, and from almost the entire mississippi valley, lies through virginia. The natural advantages then, of Norfolk, in relation to the sea, or to the back country, are superior beyond comparison to those of New York." I shall add nothing, Monsieur le Ministre, to the extracts and translations above, the opinion of Mr. Maury being authority in matters of this description. Norfolk may become the head of the rail roads of Virginia, where the princiT pal rail roads of the United States will connect, particularly those of the south and of the west. The rail roads already finished in Virginia, and the small number of those which remain to be finished to complete the net work—the two canals, the Chesa¬ peake and Albemarle, and the Dismal Swamp, bringing to Norfolk the products of the two Carolinas and of Georgia, works recently finished, will no doubt contri¬ bute to Norfolk a large freight in cotton, rice and wool. But, I repeat it, Norfolk can become a commercial centre only by the comple¬ tion of the grand arterial water line called the James river and Kanawha canal, which may transport produce and merchandise in masses, and at low prices. One of the great results of the completion of the works of this canal will be the creation of Norfolk. advantages for prance. It appears to me. Monsieur le Ministre, that the advantages which France might reap from the completion of the Virginia canal, are of vast importance. The geographical position of Virginia is one of the best in the world, in a com¬ mercial point of view. The establishment of a line of communication of such a description as the one contemplated, on a point of the globe so favored by nature, must have results cal¬ culated to mark an epoch in Enrope as well as in the United States. 3 18 Doc. No. 27. I believe that the great interest, as far as France is concerned, would be to be¬ come the direct market for the cotton and grain of America. To these articles must be added sugar, molasses, rum, bacon, copper, lead, wool, and ship timber. These productions might be received in France by way of Norfolk, without passing through intermediate foreign markets. In case of the failure of the harvest in France, it would be easy to, obtain grain promptly from the west of the United States. It might even be possible to create a commercial current of this article of produce for our markets. Without dwelling too much upon other advantages which naturally result from this question of the canal, I deem it, however, appropriate to give an enumeration of the principal. These would be— 1st. Facilities for obtaining the raw materials in France at first hand, and cheaper, which would enable French industry to encounter foreign competition with superior advantages. 2d. A considerable diminution in the expenses of the purchase and expedition of tobáceo for the government factories. 3d. The arrival, the introduction of our produce, by a shorter and cheaper route into the south, the west,'and the centre of the United States. 4th. A relative augmentation in the movement of our commercial marine. 5th. Eapid and advantageous provisions of copper, machine oil, tar, bacon, and salt pork of the west, and building timber for our naval arsenals. 6th. Cheapness of coal for our different maritime stations. 7th. An immense opening in the great west of the United States for French merchandise. 8th. The probability of seeing Norfolk become an entrepot for the productions of French industry and commerce, to be distributed in part in Central and South America by vessels taking them to complete their cargoes. The following articles—wines, liquors, olive and linseed oil, soaps, preserved fruits, leather, shoes, fine cutlery, mathematical instruments, porcelains, looking glasses and crystals, cloths, silks, laces, ready-made clothing, velvet, plush, rib¬ bons and trimming articles, carpets, furniture, paper-hangings and painted papers, common papers, madder, drugs, colors, bronzes, jewelry, articles of fashion—ob¬ jects of art, of taste and of luxury that France alone can manufacture and fur¬ nish. All these articles are of such a description, that their sale would be in all cases facilitated by the use of the canal. i I attach great importance to the question of wines. As an entrepot, Norfolk pre¬ sents an advantage not possessed by New Orleans, where the preservation of wines is very difficult on account of the climate and the nature of the soil, which, it is said, does not allow of the construction of cellars. Doc. No. 27.: 19 Finally, Monsieur le Ministre, there is a consideration of another character, which I will not pass over in silence. Since the government of the United States was first established, Virginia has always exerted a very great influence over the destinies of the Union. Politically speaking, she is at the head of the south. We know not what the future holds in reserve for this country. If the enterprise dis¬ cussed in this report should one day become realized, it would be desirable that France should secure the most favorable position from the first, and without allow¬ ing herself to be anticipated. THE FRENCH COMPANY. I have conferred with Mr. Ernest Bellet des Minières, who is at present in Richmond. I have known Mr. Bellet des Minières since he first arrived in the United States, about three years ago. He passes the greater portion of his time in the west of Virginia, where he owns vast tracts of land, which he is seeking to render available. He has studied the country a good deal, especially Virginia. He is a very active and competent man, and well versed in the commercial and industrial questions of the United States. He understands thoroughly the resources of every kind which might contribute to the success of the enterprise in question, to which he seems willing to devote and apply his qualifications, and these are incontestably of the highest order. According to the explanations given me by Mr. Ballot des Minières, the new company will be a French company, at the head of which are Messrs. Trouvè- Chauvel, Sari, the Marquis de la Laurencie de Charras, de Grètry, Jubinal, and others. Those gentlemen are in France. They are ready, Mr. Bellet des Minières tells me, to place themselves at the disposition of the administration, for the purpose of furnishing aU the information that the government may desire or ask of them con¬ cerning this association. The base of the affair is the cession of the works made and those to be made. It is true. Monsieur le Ministre, that, according to the new project, the Virginia company would be merged into the French company ; but the Virginia interest would be about one-fortieth only. Evidently, this company will have to go on with the gentlemen who up to the present have been at the head of this affair, and who, directly or indirectly, represent the prestige of Virginia by their names, their birth, their connections, their fortunes, their political influence in and out of the state. What is called here " the canal," that is to say, the mass of interests, attached to this enterprise, constitutes in Virginia a power which influences every thing. -■ It is then a great advantage for the French company not to isolate itself com¬ pletely, to have recourse to the Virginia element, though a feeble proportion in a material and financial point of view, and to lean upon this power, considerable in a country where public opinion is the principal lever of affairs. 20 Doc. No. 27. It will be necessary moreover to combine every thing in such a /Way as to obtain from the legislature of Virginia the bill ceding. the works of the canal upon the conditions in process of elaboration, and which will be submitted by the French company to be formed. These conditions are not yet stipulated, regulated article by article. I can therefore only indicate the base of the project. It is at Paris that all the information in detaU may be had. The passage of the bill seems almost certain. It will be presented at the ap¬ proaching session. I have recently seen the governor of Virginia. He is favorable to the enterprise. Mr. Ellis, president of the James river and Kanawha company, accepts the com¬ bination. It has his approbation and sympathy. He is authorized by the com¬ pany to negotiate with Mr. Bellet des Minières. His language is categoric and precise upon this question when he talks with me. His support may be counted upon. Mr. Lorraine, chief engineer of the canal, has given me some special and very valuable information. I have likewise had occasion to see several very in¬ fluential persons who seem to desire, even for the interests of Virginia, the success of the French company. The president of the company assured me recently still farther that the popular consent was sure in advance, and that no obstacle would be encountered on this score. In the interior of the state especially, the farming people, properly speaking, have retained a decided feeling of sympathy for France. The enterprise in question has nothing in common with that of Mr. Lacouture, which I have always considered and characterized to your Department as being impracticable. I have been compelled. Monsieur le Ministre, in collecting my information, ne¬ cessarily to occupy myself with the resources of a large number of the other states of the Union, transcribe their statistical figures, establish comparisons, give due weight to the advantages that the geographical positions, the differences of cli¬ mate, the distances, the productions that other parts of the United States present. My information would have been insufficient, I believe, if I had limited myself to placing them in connection with Virginia alone. The nature of the subject exacted that I should extend my researches beyond the limits of my consular jurisdiction, in order to render an exact idea of the situation and of the advantages which may accrue to France, in case of the success of the enterprise in question. Your Excellency instructed me to make a report. I have endeavored to make it as complete as possible. In conclusion, Monsieur le Ministre, after a thorough examination of this ques¬ tion, I believe it to be of the highest importance and of a nature to attract the at¬ tention of the Government of the Emperor. Accept, Monsieur le Ministre, the assurances of respect with which I have the honor to be. Your Excellency's very obedient servant, ALFEED PAUL, Consul de France. To His Excellency Monsieur Thouvenel, Minister of Foreign Affairs—Paris