Facts concerning quartz and quartz mining

Manhattan quartz mining company.· 1852 · Historical

The fundamental basis for the operations of the " Manhattan Quartz Mining Company" will be found in the preceding pages.

This 1852 document, Facts concerning quartz and quartz mining, is preserved in the Mountain Man Mining Library for research and reference. Original source: archive.org.

F A C T S

CONCERN I Mi

Together With The

C H A R T E R

or THE

.H'.nnljiittaii dMinvt; .timing iL:onpni|,

Organized December Tth, 1851,

Under Tiie

General Incorp O R A T 1 0 N

Act Of California.

W. L. RPRROLGHs' STEAM BOWER PRESSES, 1 IT I t LTON STREET.

- r

Facts

Concerning

Quartz Ah

Artz Minin

Together With The

Charter

Of The

Organized December 7th, 1851,

Under The

General Incorporation Act Op California.

Tfeto-RoHt :

W. L. Burroughs' Steam Power Presses, 113 Fulton Street.

C73

50

1

Located in Grass Valley Township, Nevada County, California.

Capital, - - - $150,000. Shares, - - - $100 each.

JOHN A. COLLINS, President.

HORACE GREELEY, Secretary and Treasurer.

Trustees :

JOHN A. COLLINS, New York.

Horace Greeley, " "

HARRISON SCOTT, Grass Valley, California. WM. C. CROSETT, " c- "

JOHN COOK, Jr., San Francisco.

Note. — Dividends payable semi-annually, at Grass Valley and New York, on the first of March and September. Subscriptions to the Stock may be made on application to the President, at the Com¬ pany's Office, No. 208 Broadway, (2d floor,) payable in cash at the time of subscribing. Letters must be post-paid.

Charter

We, whose names are hereunto annexed, to wit : — John A. Collins, Wm. C. Crosett, and Harrison Scott, of Grass Valley Township, Nevada County, State of California, and J. L. Crosett and John Cook, Jr., of the City and County

of San Francisco and State aforesaid, have associated ourselves

together for the purpose, and with the object and intent, that said Company may become a body corporate, pursuant to, and by force of, the Statute of the Legislature of California, entitled "An Act Concerning Corporations," passed April 22d, 1850, do hereby certify and declare —

I. That the corporate name of said Company shall be " The Manhattan Quartz Mining Company."

II. That the Capital Stock of said Company is One Hundred and Fifty Thousand Dollars.

III. That the said stock consists of fifteen hundred shares at one hundred dollars each.

IV. That the objects for which said Company is formed, are for Quartz Mining , and for extracting Gold from the Quartz Rock.

V. That the said Company shall continue as long as the Stockholders may deem it profitable and expedient — not to exceed fifty years from the 7th day of December, 1851.

VI. That the concerns of said Company shall be managed by five Trustees, to wit : — John A. Collins, Harrison Scott, Wm. C. Crosett, John Cook, Jr., and J. L. Crosett, to continue for one year from the 7th day of December, 1851.

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VII. That the operations of said Company shall be in Nevada County, and one office shall be kept in Grass Valley Township — and also an office in any city or town in Cali¬ fornia, or in any other of the States of the American Union the Trustees may direct.

In witness whereof, we have hereunto subscribed our names, in the township, county and state first above written, this 7th day of December, 1851.

John A. Collins, Wm. C. Crosett, Harrison Scott,

J. L. Crosett,

JOHN COOK, Jr.

STATE OF CALIFORNIA, i

County Of Nevada, > Ss.

Township Of Grass Valley. )

t

On the ninth day of December, in the year of our Lord, one thousand eight hundred and fifty-one, before me, Thomas J. Burgess, an acting Justice of the Peace, for Grass Valley Township, personally came John A. Collins, Harrison Scott? and Wm. C. Crosett, and known to me to be the persons described in, and who executed the foregoing instrument of writing, and who each acknowledged that he executed the same freely and voluntarily, for the uses and purposes therein mentioned.

In testimony whereof, I have hereunto set my hand and private seal, (not having provided an official seal,) on the day and year last aforesaid.

Thomas J. Burgess,

Acting Justice of the Peace.

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Personally appeared to me, a Notary Public for the County of San Franeiseo, John Cook, Jr. and J. L. Crosett, known to me to be the persons who executed the foregoing instrument of writing ; and each acknowledged that he executed it for the purposes therein mentioned.

December 13, 1851.

John Cotter,

Notary Public.

Extract

From The "Act Concerning Corporations"

PASSED APRIL 22d, 1850.

Chapter V.

Companies for Manufacturing, Mining, Mechanical, or Chemical

Purposes .

§ 122. At any time hereafter, any three or more persons who may desire to form a company for the purpose of carrying on any kind of manufacturing, mining, mechanical, or chemical business, may make, sign, and acknowledge, before some officer competent to take the acknowledgment of deeds, and file in the office of the Clerk of the County in which the business of the company shall be carried on, and a duplicate thereof in the office of the Secreta¬ ry of State, a certificate in writing, in which shall be stated the corporate name of said company, and the objects for which the company shall be formed, the amount of the capital stock of said company, the time of its existence, not to exceed fifty years, the number of shares of which the said stock shall consist, the num¬ ber of trustees and their names, who shall manage the concerns of said company for the first year, and the names of the town and county in which the operations of the said company are to be carried on.

§ 123. When the certificate shall have been filed as aforesaid, the persons who shall have signed and acknowledged the same, and their successors, shall be a body politic and corporate, in fact and in name, by the name stated in such certificate, and they shall, by their corporate name, be capable, in law, of purchasing, holding, and conveying any real and personal estate whatever, which may be necessary to enable the said company to carry on their opera¬ tions named in such certificate, but shall not mortgage the same nor give any lien thereon.

§ 124. The stock, property, and concerns of such company shall be managed by not less than three nor more than nine trus¬ tees, who shall, respectively, be stockholders in such company, and citizens of the United States, and a majority of whom shall be citizens of this State, who shall, except the first year, be annually elected by the stockholders, at such time and place as shall be directed by the laws of the company : and public notice of the time and place of holding such election shall be published, not less than ten days previous thereto, in the newspaper printed nearest to the place where the operations of said company shall be carried on ; and the election shall be made by such of the stockholders as shall attend for that purpose, either in person or by proxy. All elections shall be by ballot, and each stockholder shall be entitled

s

to as many votes as he owns shares of stock in the said company, and the persons receiving the greatest number of votes shall be trustees ; and when any vacancy shall happen among the trustees, by death, resignation, or otherwise, it shall be filled, for the remain¬ der of the year, in such manner as may be provided for by the by¬ laws of the said company.

§ 125. In case it shall happen, at any time, that an election of trustees shall not be made on the day designated by the by-laws of said company, when it ought to have been made, the company, for that reason, shall not be dissolved ; but it shall be lawful, on any other day, to hold an election for trustees, in such manner as shall be provided for by the said by-laws, and all acts of trustees shall be valid and binding against such company, until their successors shall be elected.

§ 126. There shall be a President of the company, who shall be designated from the number of the trustees, and also such subordi¬ nate officers as the company, by its by-laws, may designate, who may be elected or appointed, and required to give such security for the faithful performance of the duties of their office, as the company, by its by-laws, may require.

§ 128. The trustees of such company shall have power to make such prudential by-laws as they shall deem proper for the management and disposition of the stock and business affairs of such company, not inconsistent with the laws of this State, and prescribing the duties of officers, artificers, and servants that may be employed ; for the appointment of all officers, and for carrying on all kinds of business within the objects and purposes of such company.

§ 129. The stock of such company shall be deemed personal estate, and shall be transferable in such manner as shall be pre¬ scribed by the by-laws of the company ; but no shares shall be transferable until all previous calls thereon shall have been fully paid in, or shall have been declared forfeited for the non-payment of calls thereon ; and it shall not be lawful for such company to use any of their funds in the purchase of any stock in any other corporation.

§ 134. Nothing but money shall be considered as payment of any part of the capital stock, and no loan of money shall be made by any such company to any stockholder therein; and if any such loan shall be made to a stockholder, the officers who shall make, or who shall assent thereto, shall be jointly and severally liable to the extent of such loan, and interest, for all the debts of the company contracted before the repayment of the sum so loaned.

§ 140. Whenever any company shall desire to call a meeting of the stockholders, for increasing or diminishing the amount of capital stock, or for extending or changing its business, it shall be the duty of the trustees to publish a notice, signed by at least a majority of them, in a newspaper in this county, if any shall be

9

published therein, at least three successive weeks, and to deposit a written or printed copy thereof in the post-office, addressed to each stockholder, at his usual place of residence, at least three weeks previous to the day fixed upon for holding such meeting, specifying the object of the meeting, the time and place when and where such meeting shall be held, and the amount to which it shall be proposed to increase or diminish the capital, and the business to which the company would be extended or changed; and a vote of at least two-thirds of all the shares of stock shall be necessary to an increase or diminution of the amount of its capital stock, or the extension or change of its business as aforesaid.

General Provisions.

Chapter I.

§ 1. Every corporation, as such, has power: 1. To have suc¬ cession by its corporate name, for the period limited, and when no period is limited, perpetually. 2. To sue and be sued in any Court. 3. To make and use a common seal, and alter the same at pleasure. 4. To hold, purchase, and convey such real and personal estate as the purposes of the corporation shall require, not exceed¬ ing the amount limited by law. 5. To appoint such subordinate officers and agents as the business of the corporation shall re¬ quire, and to allow them a suitable compensation. 6. To make by-laws, not inconsistent with any existing law, for the manage¬ ment of its property, the regulation of its affairs, and for the transfer of its stock.

§ 2. In addition to the powers enumerated in the preceding sec¬ tion, and to those expressly given in the chapter of this Act, under which it shall be incorporated, no corporation shall possess or exer¬ cise any corporate powers, except such as shall be necessary to the exercise of the powers so enumerated and given.

§ 3. Mo corporation created, or to be created, shall, by any implication or construction, be deemed to possess the power of dis¬ counting bills, notes, or other evidences of debt, of receiving de¬ posits, of buying gold or silver, bullion or foreign coin ; of buying and selling bills of exchange, or of issuing bills, notes, or other evidences of debt,, upon loans, or for circulation as money.

§ 7. All corporations may, by their by-laws, where no other provision is especially made, determine the manner of calling and conducting their meetings, the number of members that shall constitute a quorum, the number of shares that shall entitle the members respectively to one or more votes, the mode of voting by proxy, the mode of selling shares for the non-payment of as¬ sessments, and the tenure of office of the several officers ; and they may prescribe suitable penalties for the violation of their by¬ laws, not exceeding, in any case, one hundred dollars for any one offence.

§ 12. Whenever the capital stock of any corporation is divided into shares, and certificates thereof are issued, such shares may be

transferred by endorsement and delivery of the certificates thereof, such endorsement being by the signature of the proprietor or his attorney, or legal representative ; but such transfer shall not be valid, except between the parties thereto, until the same shall have been so entered on the books of the corporation as to show the names of the parties by and to whom transferred, the number and designation of the shares, and the date of the transfer.

THE COMPANY'S QUARTZ VEINS, &c.

The fundamental basis for the operations of the " Manhattan Quartz Mining Company" will be found in the preceding pages.

The principal " claims" of the company are upon " Manhattan" and " Willow Hills ;" it has also valuable possessions upon "Gold," " St. Lawrence," " Laurel," " Chesnut," and " Osburn Hills," — a total of sixty-four lots, twenty-six of which are one hundred feet upon the vein, with its depths and angles.

With most of the trustees of this company, quartz mining is no theory. The president was one of the pioneers in practical quartz mining, and manager of one of the most successful quartz mills in California. Wm. C. Crosett, well known in Boston, and a success¬ ful merchant in San Francisco, has been engaged in it the past year, and is now superintendent of the works of the Grass Valley Quartz Mining Corppany. Harrison Scott is well known in Cincinnati as a pork merchant, and has been successfully prosecuting quartz operations for nearly two years. In a letter from Grass Valley to a friend, in the early part of 1850, he says : —

" I am confident that quartz mills would pay well. By hand mortars, even hundreds of dollars not unfrequently can be obtained daily. I have been quite successful, and Mr. Hough has acquired a fortune by raising rock and pounding out the specimens by hand. All the hills are ribbed with quartz, which is, without doubt, rich in specimens."

Messrs. Crosett & Scott are now both at Grass Valley to look after the interests of this company. John Cook, Jr., another of the directors, has been, and now is, largely engaged in the whale fishery — a large flour operator in San Francisco — has travelled ex¬ tensively over the mining regions, and been long engaged in quartz mining. Horace Greeley, the other trustee and treasurer, is no stranger to the public, and remark is unnecessary."

The stock of the company has been fixed at an amount that will justify the trustees in putting on the best and most efficient machinery that is now employed, and that will be competent to crush one hundred tons every twenty-four hours.

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The machinery will be similar to that employed by the Grass Valley Quartz Mining Company, formerly owned by John A. Col¬ lins & Co. This style of machinery has been thoroughly and suc¬ cessfully tested. It will accomplish the same amount of labor with the employment of half less power than any other style of ma¬ chinery that has come under our observation.

The following statement from Wm. H. Willets, engineer, and for¬ merly of Skaneateles, N. Y., and known to be a man of unimpeach¬ able integrity, while it introduces subjects that would properly come under other heads, shows the superiority of this style of machinery :

Grass Valley, Dec. 7th, 1851.

J. L. Crosett, Esq. : — Dear Sir, — -You ask my opinion of the Grass Valley Quartz Mining Co. Mill, Claims, &c., formerly known as J. A. Collins & Co/s Model Mill. I have had charge of the mill, as engineer, since the mill was started, (some six months,) and can confidently say this mill is capable ol crushing more rock than any mill in the Valley. This mill has ten stamps, but owing to their size, and the peculiar construction of its batteries, will crush more rocks with one-third less hands, and half the power, than other mills in this town, that have eighteen stamps. Our average run for several weeks past has been four tons per day, (of twenty-four hours,) per stamp. But this has been rock that crushes easier than the average yield of the mines. Still I have no hesitation in saying we can crush thirty tons per day, with the rock properly prepared, from any vein in this vicinity. The company have ex¬ tensive claims on Daisey and Osborne Hills. We have been crushing from these hills during the past five or six weeks, and the average yield from the former has been about one hundred dollars per ton, from the latter about sixty. The best yield we have had during this time has been two hundred and forty ounces, taken out of the amalgamators from four stamps, besides some two or three hundred dollars taken out of the batteries, and from the tables, before it reached the amalgamators. This would be five and a half pounds of amalgam per stamp, which would yield one hundred dollars per pound of pure gold. The rock from these hills is mostly the rose quartz, which crushes, as I was saying be¬ fore, easier than the average, owing to there being but little crystalised quartz mixed with it. WM. H. WILLETS.

I have been running with Mr. Willets, as engineer, some two months, and fully concur in the above.

Moses L. Rementon.

The Nevada Journal, under date of November 8th, 1851, speaks of this mill as follows : —

" A Model Quartz Mill. — In company with Dr. Trask, a few days since, we made a rapid geological tour in the direction of

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Grass Valley, to rub up old notions of geology, and obtain new ones, from our scientific companion. The keen eye of the expe¬ rienced geologist pointed out the granite running into slate, the slate into sienite, that into copper-bearing quartz, then talc, then granite again — finally giving place to the rich quartz apparently almost underlaying Grass Valley, and ribbing all its hills. We visited every mill in the place, gathered statistics and specimens showing the average yield of the various veins, and comparing the various modes of operation. In one of these mills we observed an improvement over the usual process, at once simple and effective, which proprietors would do well to copy. We refer to the stamps and mortars connected with the mill of Messrs. John A. Collins & Co. This mill with ten stamps will crush thirty tons in twenty-four hours, and these stamps have been in use some four months, and yet the wear in them is almost imperceptible. On examining the construction of the stamps and mortars we were not surprised at this result. The stamps are very large, 14 by 8 inches on the face. The mortars in which these stamps play are twenty-four inches wide. The advantage of this is, the quartz, instead of pack¬ ing down in a solid mass, as it will in a confined mortar, has plenty of room to fly about ; the fine is ejected through the serve, and the coarse is constantly falling under the stamps. Take a handful of salt and put it in a hand mortar and pound it with a pestle of the size of the mortar, and it will crowd down in a solid mass, and at the bottom the lumps will be as coarse after an hour's pounding as when they were put in ; whereas, if the mortar is roomy, the salt is in constant motion, and soon pulverizes. This is the philosophy of these roomy mortars and wide stamps, and it is obvious, as well as decided by experiment, that the wear on the stamp must be less when a large face strikes fairly on the quartz, and the grinding from the sides is removed. A set of stamps on the usual pattern are used up in a few months, and if those erecting mills will but observe the sinfple philosophical principle applied by the company we have named, they will not only be able to do immensely more work with the same number of stamps, but save a large item of expense incur¬ red by the frequent renewal of their stamps.

" We were out at a very rich lead belonging to this company, on Daisey Hill. This is a peculiar kind of quartz, is of a light bluish cast, and has the appearance of immatureness, or unripe¬ ness. It is semi-transparent before it is exposed to the atmosphere, contains much water, has but few crystals of any size, but there are numerous small cavities where minute crystals appear at this time to be in a state of formation. This quartz is very rich in gold. It has never yielded less than $100 per ton by the mill operation, and when the specimens have been pounded up by a hand mortar it has yielded as high as $250 a ton."

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The California Express , under date of November 12th, 1851, speaking of this mill, remarks : —

" Quartz mining is on the increase. The quartz is quite exten¬ sive, and some of it is very rich. Gold Hill still retains its credit. Its rock is both abundant and rich ; a comparatively small amount of labor has enriched many. The extent of its hidden treasures cannot be easily measured. To draw the rich treasures from its depths requires more capital, labor, and enterprise, than formerly. Companies must now do what individuals cannot easily accomplish.

" There are now eight quartz mills running night and day. There are seven more in process of erection, some of which will be com¬ pleted in a very short period. Among the most efficient mills now running are those of Legrave & Co., John A. Collins & Co., and Mr. Walsh. The first runs 18 stamps and the last two 10 each. The stamps of the first are only six inches square on the face, and those of Collins & Co. are eight and fourteen inches — more than three times as large, and their mortars are correspondingly large. The consequence is, this mill will crush considerably more than any other in this valley."

James Delevan, secretary of a company that is constructing a

/

large mill in Grass Valley, writes : —

" This mill and veins (Collins & Co/s) have an excellent repu¬ tation in this community. I regard it one of the best and most efficient in this section. There is no rock superior to that quarried by this company from " Daisey" and other " hills."

Mr. Elder, a merchant in Grass Valley, and long a successful quartz miner, in speaking of this mill, under date of December 9th, 1851, writes: —

" Its capacity to crush quartz rock, in proportion to the power of machinery, and the expense of mining, 1 believe to be as great, or greater, than any other mill with which I am acquainted." *

Capt. E. Wilson, long engaged in mining, in speaking of this mill, writes to J. L. Crosett : —

" I have examined most of the quartz mills in this part of the country, and upon examining yours, have no hesitation in saying that I believe it one of the most efficient for reducing rock and saving gold , in operation. This I believe is the opinion of every judge working in the Valley."

The directors will spare no expense in procuring and putting up the machinery. They hope to have it ready to put on board a clipper ship by the 1st of April, or the 15th at fartherest. The foundation will be laid, the buildings put up, and all the \vood work got in readiness and upon the ground, that no unnecessary delays may be occasioned in putting up the machinery upon its arrival in California.

Various Estimates

Of the yield of gold bearing quartz have been made by different individuals and companies, some of which are so large as to stagger belief. All of these statements may be, and no doubt are, theo¬ retically correct, but it is unsafe to predicate the income from the operations of a company, on the amount of gold which quartz will yield by chemical or fire test. Some parties have put up machinery with the expectation of realizing fifty cents to the pound, or $1,000 a ton. Those individuals, no doubt, will be doomed to grievous disappointment.

One company bases its operations upon the following estimate :

Expenses.

One hundred tons at 20 cents per lb. is $40,000.

Cost of quarrying, say at $10 per ton, . . $1,000 00

2 Engineers, at $10 each per day, . . . 20 00

2 Firemen, 5 " .... 10 00

5 Mill hands, 5 " .... 25 00

1 Superintendent, . 20 00

1 Amalgamator, . . . 10 00

1 Millwright, . 10 00

1 Blacksmith, . 10 00

8 Cords wood, at $5, 40 00

Iron, oil, nails, for repairs, &c., . . . . 10 00

Total expenses* .... $1,235 00.

Which shows the enormous profit of $38,765 per day ! or $11,639,- 500 a year of 300 days.

This estimate we wish no man to credit, notwithstanding it may be correct. - •

A writer in the Alta Californian , makes the following estimate upon fifteen tons a day, at a yield of two cents to the pound : —

"Suppose an establishment working an engine of forty-horse power, and driving thirty stampers, will cost $70,000, an exag¬ gerated value. Suppose the thirty stampers crushed, in twenty-four hours, twelve tons, an amount much underrated. The number of hands necessary for the above work is twenty, at five dollars

per day, without board, . . . $100

One engineer, at . . . 10

One assistant engineer, ... 8

One blacksmith, .... 5

One carpenter, .... 5

Six laborers, for various work, at $4 per day, 24

Director, . . . . .16

His assistant, . . . . 10

Total expenses per diem.,

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" Suppose the ore yields only two cents to the pound, or 640 per ton, fifteen tons will give 6600. At this rate the product per month (twenty-six working days,) would give 615,000

Balance in favor of the mine, 610,250

Being abundantly sufficient to allow for wear and tear, particularly when we consider that an engine, properly managed, may last six years, and the stampers six months.

" Now let us see the figures when the mine yields five cents to the pound, a yield which can be with justice considered an average product of the California mines.

" Without changing the amount of expenses above presented, we will have, as a result of the same mining operations, at the rate of 6100 per ton, or five cents per pound, per diem, 61,560, or per month, 630,000. The original monthly expenses, as above showm, 65,340, leave us a net balance of 633,660."

" The above facts, says Gen. Winchester, are based upon the labor of a company now in operation, can be relied upon, and proven, if necessary"

A writer in the California Courier, in speaking of the mode of working quartz rocks, and the machinery employed, says : —

" This leads me to the point I had in mind, when I spoke of the probable failure to succeed, of many companies, which, without experience or knowledge of quartz, or of the mode of operation, have rushed blindly into the business ; and that is, that the failure of such companies to succeed, would be no evidence of the imprac¬ ticability of quartz mining. Extensive veins of auriferous quartz, accessible to water, and easily quarried, with machinery like that of Mr. Walsh, or of Messrs. John A. Collins & Co., adequate to the crushing of 100 tons in 24 hours, would be one of the best investments of money that could be made. I will here introduce some figures, and such as any man, at all acquainted with the business, will admit to be an approximation to correctness, as the probable expense of raising and crushing 100 tons in 24 hours. This would require a force of —

150 miners, at 65 a day, .... 6750

10 teams and drivers, at 610, - - - - 100

2 engineers, at 610, - - - - - 20

2 firemen, at 65, ... - . - 10

16 feeders, at 65, - - - - 80

5 choppers, at 66, - - - - 30

1 blacksmith and macliinist, - - - - 10

1 millwright, ... . . . 10

5 men about the mill, at 65, 25

1 amalgamator, - - . - . 10

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Brought forward ..... $13045

1 sub-superintendent, 10

1 superintendent, ----- 20

Nails, iron, lumber, &c., - - - - 10

Incidentals, ... . . . 15

Making a total of $1100

Now, 100 tons of quartz, at $20 a ton, amounts to, 2000 Expenses, 1100

" This leaves a profit of $900. If there be an error in the allow¬ ance for expenses, it is very probable an over estimate. The mills now receive from $20 to $30 a ton for crushing. Hence, quartz that will but pay from $36 to $40 a ton, is considered only as paying a fair profit upon labor invested. It will be thus seen that poorer veins cannot be profitably worked."

From these various estimates, we prefer to base our calculations upon the latter, but the reader can form equally with ourselves, some idea of the probable results of quartz mining. The last of the above statements may be regarded as exempt from extravagance, and yet the results for one year, upon this estimate, is enormously large. The estimated cost of quarrying and reducing the rock was based on the old clumsy method of mining, and is above what the present high wages even will justify, by some $200 a day. This estimate, at one cent per pound or $20 per ton, it should be kept in mind is vastly below the general average obtained by different quartz miners. Every addition of one mill per pound increases the profits $200 a day, and should the yield be 2 cents per pound, the addiditional nett profits by this estimate, will be $2000 per day or $600,000 per year of 300 days. But it is useless to pursue these speculations farther than to remark, that, by the improvement in machinery, and the employment of labor-saving forces, the ore can be quarried and reduced fifty per cent less than eight months since.

The Tailings, Or Pulverized Quartz,

After it has passed through the amalgamators, and all the gold saved of which the present improved process is capable, contains considerable of the precious metal — the difference, for illustration, 2

18

between the amount saved, 3 cents a pound ; the amount indicated by the original assay, seven cents a pound — (four cents) — is con¬ tained in the tailing or residuum. These will not be lost, but piled up for assaying when a practical process is discovered competent to its reduction.

Grass Valley Quartz.

As the operations of the Company is located in Grass Valley, it may not be out of place, to give the reader an approximate idea of the general average of the quartz rock in this particular region. In soliciting testimony upon this point, we shall summon upon the stand as witnesses, a few from the many who are, or have been, practically engaged in quartz mining in this place. The president of thi» company, from long experience, is of the opinion that the great mass of this quartz will average by the present mill operation, two cents to the pound, or $40 a ton. The quartz crushed at the mill of the Grass Valley Quartz Mining Co., formerly John A. Collins & Co., has ranged from 1 to 8 cents a pound, or from $20 to $160 a ton. At this mill, the average yield, has been about 3| cents to the pound, or $70 a ton. Most of this rock, however, was from " Daisey," " Gold," and " Osburn Hills," among the richest veins now worked.

Hon. James Walsh, Senator from Neveda County, and proprietor of a large quartz mill, in writing upon this subject, says —

" The rock (from which all the richest portions have been culled) has paid as low as $20 per ton, and as high as $120 per ton. The quartz is paying better now than at first. The mode of saving gold has been improved, and there is yet room for improvement. I think the average of the quartz in this vicinity will be found to be about $40 per ton."

Judge Walsh, July 18, 1851, referring to the quartz of Grass Vally, remarks : —

" The rock on that (Gold) Hill, after taking out specimens enough to pay for working the hill, and excavating the rock, will, beyond doubt, pay an assay of five cents per pound. The quantity of gold bearing quartz in this (Grass Valley) district, it is impossible for any one to estimate.** Even with high labor, imperfect modes of quarrying, and very inefficient machinery, the mills are making money."

James Hough, a heavy quartz operator, writing on this subject, under date of July 25, 1851, says: —

" Up to the present time I have quarried some fourteen hundred

19

tons of rock — have had in my employ from eight to twelve men, daily, and have more than paid my entire expenses by crushing with a hand mortar the richest portions of the rock, paying wages at the rate of four dollars per day with board. By this hand operation I have crushed quartz yielding as high as eighty-six dollars to the pound, and little, if any, less than three dollars."

" After these ' specimens ' have been carefully culled from the whole mass of the rdck by breaking it up into small pieces, the smallest yield of the remainder, when crushed and amalgamated at the mill, has been $30 per ton, and the largest that has come under my observation as high as $140. In my opinion $70 would be a fair average of each ton of rock. But it should not be for¬ gotten that the business is yet in its infancy among us — that the machinery is very imperfect, and that with such improvements as daily experience is suggesting, these figures would be materially improved."

The San Francisco Evening Picu^'ne, under date of January 20th, writing upon this subject, says : —

" No doubt remains now in the minds of those acquainted with the subject, that the gold bearing quartz will average from two to three cents value of gold to the pound of natural quartz, and when the proper machinery and mode of working it are hit upon, it will prove a great and flourishing interest in California."

Prof. Blake, a man of science, and thoroughly acquainted with this subject, writes : —

" The richest veins of quartz that have yet been worked to any extent, are those of Carson Creek, and Grass Valley, Nevada County.*** In Grass Valley, very rich quartz has been found. In many specimens that I have seen, the quartz might have been said to have been literally imbedded in the gold, rather than the gold in the quartz.***** There can be no doubt, also, that quartz, in which no gold is visible to the naked eye, often contains a con¬ siderable portion, I have (continued the Prof.,) analyzed rock, in which a careful examination could not detect a particle of gold, but which has yielded as high as twelve cents to the pound."

Dr. Finley, an intelligent gentleman, who is largely engaged in quartz mining in Grass Valley, and at Auburn, says that he has extracted 80 cents to the pound from quartz, which, to the eye, did not present a particle of gold.

Sir Henry V. Huntly, R. N., an English gentleman, who has devoted much time and attention to quartz examination in Cali¬ fornia, in writing to Gen. Winchester, upon the character of the Grass Valley Quartz, under date of August 4th, 1851, says: —

" 1st. I shall state that I have tried quartz from a variety of these veins, and but in two instances only , found no gold.

rv «— •

I

20

" 2d. In quartz that no outward appearance, and which was carefully examined with a strong magnifying power, no gold what¬ ever could be detected, but through which a stratum of iron pyrites ran, varying in breadth from a hair to the eighth of an inch, the stone highly crystalized, I found in five pounds, six grains and two thirds of a grain of gold.

" 3d. In two pounds of stone of an opaque yellowish color, I got more than five dollars ; and from Jive ounces of stone, much decom¬ posed, coated and impregnated with oxide of iron, I got something more than one dollar and a half.

" 4th. All this was from quartz veins opened near Nevada and Grass Valley.

" 5th. Generally speaking, I think, among the veins of quartz, it will be found that, although some may be found exhibiting extra¬ ordinary richness, yet the average product will range from three to seven cents per pound of ore

The Rev. R. T. Huddart, of this City, and long a resident of Grass Valley, selected various specimens of quartz from Union Quartz Mountain, which have been assayed by Mr. Warwick of this Cit}q who stated explicitly to Doct. Huddard, that if one hundred tons of similar quartz were offered to him in a pulverized state, he would be willing to purchase it, after taking an average, at the rates specified below.

Extract from the statement of Mr. Warrick, dated New- York, January 29, 1852 :

No. 1, yields 4 grns. per lb. or 373£ dwts. per ton of 2240 lbs, or $298 perton.

" 2, " 10 " " 933^ « " " $736 "

" 3, " 33 " " 3080 " " " $2464 "

" 4, " 46 " " 4293 1 " " " $3464 «

" 5, " 14£ " " 1353 " " " $1082 "

" 6, " 12 " " 1120 " " " $896 "

Doct. Huddart remarks, that No. 1, 2, and 6, showed no signs of gold whatever to the naked eye, previous to smelting ; No. 3, 4f and 5, showed gold inkpots, but were by no means what would be called, picked specimens.

The above calculations are based upon the value of gold at $16 per oz. In giving the dollars to the ton, the cents are omitted.

With regard to those assays, we cheerfully concur in the remark of Dr. Huddart, that no company should predicate their hopes upon these tests, because there is no machinery in operation at present, competent to extract all the gold, by a process sufficiently rapid to justify working under the present high rate of wages. What is now required is large and powerful machinery, that will reduce and amalgamate one hundred tons, or 200,000 lbs. per day. This being the lowest yield that the most sceptical have estimated, will produce

21

as shown on page 17, a net profit of nine hundred dollars per day. Now, an additional yield of one mill to the pound would increase the profits 8200 a day, which, allowing 300 working days, would of itself produce an additional profit of 800,000 per annum. Most of the mills that have been set in motion have been small, and estab¬ lished to crush rich quartz, and if their expectations, in regard to the richness of the quartz be not realised, as in many cases they cannot be, a failure is the inevitable result. This may discourage some, but the fault lies in the mode of working, and not in the quartz business itself.

A large mill with powerful machinery, will reduce and amalga mate as much rich, as poor quartz. Hence, the richer the quartz } the greater the profits.

The Title To Quartz Veins

Is a subject of great interest to those who are, or who contem¬ plate becoming, interested in mining operations in California, and particularly to those far removed from that State. Upon the valid¬ ity of these titles hinges the success of California mining operations, and, to a very considerable extent, the commercial and monetary interests of this entire Republic.

In California, the mineral lands are held by two kinds or classes of titles. One class is derived from Mexican grants, each embracing tracts of several leagues. There are but few of these, however. The other, which is very nearly universal, is derived by settlement and occupation, upon the public domain of the United States. To the first class of titles the miners, as yet, have paid but little respect, and have treated them as public domain, by occupying and work¬ ing upon them as their inclination and convenience might dictate* The latter class of titles, however, claim universal confidence and respect. The opinion prevails universally, that the government of the United States will manifest the same liberality and extend the same protection to the pioneers and settlers of California, as to the emigrants to other new states. The President of the United States has recommended this policy.

A brief review of the circumstances under which the mining region was settled, will demonstrate the reasonableness for the preference to these titles :

The discovery of gold in California in 1848, attracted an im. mense emigration to those regions best known for their rich auri-

22

ferous deposits. There were no laws at that time, defining the mode by which a title could be acquired or transferred, or the ex¬ tent of mineral land or " claim" an individual might possess, or the duties and privileges of those who desired to work them. " Ne¬ cessity," as the proverb has it, "is the mother of invention." It proved to be the case with the emigrants, who, under these extra¬ ordinary emergencies, were forced to adopt measures suited to their anomalous condition ; to establish rules for acquiring, holding, and transferring mineral lands, and to designate the amount each man might possess, and the regulations to be observed in working them. These rules partake of the nature of general laws, and differ some¬ what in different localities, according to the extent of the auriferous deposits, and of their poverty or richness. These laws are few and simple, but by years of experience, have been found admirably suited to the condition and wants of those by whom, and for whom they were created. They carry with them all the solemnity and au¬ thority of law. Indeed, so perfectly did this system operate, that the last Legislature of California legalized it. Now, the miner's system of locating, holding, transferring and working the mineral lands, is no longer sustained by custom and usage only, but by the. laws of the State. The statutes provided that in all cases of trespass upon -miner's claims, a Justice of the Peace shall have jurisdiction, and is required to award his decision in accordance with the regula¬ tions of the miners for the government of that particular locality, where the claim in dispute is situated.

Hence the most perfect confidence is reposed in these titles. For individuals and companies, they are regarded as equal to a fee sim¬ ple. So great is the confidence in them, that claims valued at thousands of dollars, are constantly changing hands. It is safe to say that not one hundred suits have grown out of conflicting claims since the first discovery of gold in California.

Practice Rather Than Theory

Is now required for the successful prosecution of quartz mining. It matters but little to the miner, whether, according to the theory of one school, the quartz, in a molten state, was ejected up from the bowels of the earth, carrying the gold with it, or, according to the dogma of another, the gold was deposited into, or created simul¬ taneously with the quartz, by galvanic or electrical currents which

c

23

traverse the great subteranean laboratory. One thing is admitted as fact by nearly all, which is, that the innumerable quartz veins which rib the hills and mountains, is the matrix of native gold, and ^hat the diluvial action of myriads of ages have distributed the fine particles over hill and valley, as they have become liberated from the fringes of these veins, while the principal beds or original deposits remain undiscovered and locked up in their stoney prisons.

The capitalists of California have the will but not the means ade¬ quate for their developement. Carrying forward those vast im¬ provements necessary for ordinary business, requires more capital than can be easily commanded. Circumstances over which Cali¬ fornians have no control, have conspired to place a value upon money unparalleled in the annals of civilization. Canals, sluices, and various improvements, have been, and are now being, made upon loans at from five to ten per cent, per month. So great, how¬ ever, is their confidence in quartz operations, that millions of dol¬ lars have been expended in putting up quartz machinery, much of which was necessarily very bungling, imperfect, and poorly adapted to accomplish the object designed — the system of quarrying and raising the quartz was imperfect and expensive, yet these mills have made money.

The mill of the Grass Valley Quartz Mining Company, formerly under the direction of the president of this company, paid its origi¬ nal cost in sixty days, and since, it has paid large profits, notwith¬ standing it has been three times remodelled, improved and enlarged.

A letter published in the Alta California, in referring to the companies working the Mariposa mines, says : — " Three others I have heard of, have divided — one 10, one 11, and one 15 per cent, per month on their capitals."

The Gold Hill Quartz Mining Company, of Grass Valley, on the 10th inst., declared a dividend of ten per cent on their capital.

Facts and estimates as to what has been, and what may be done, might be multiplied to an indefinite extent, but sufficient has already been presented to enable the inquirer to form some idea as to what may be accomplished by this company. If its success depends upon an excellent location, good and extensive vein?, abundance of wood and water, a salubrious climate, the heaviest and most improved machinery, and a large experience in quartz operations, on the part of the Directors, and their determination to put forth every exertion to prosecute the work with energy and the

24

most rigid economy, then the stockholders will reap a golden har¬ vest by large dividends, and increase in the value of stock.

Grass Valley

Is not only the focus for quartz mining, but it is equally cele* brated for its healthy and delightful climate, and beautiful scenery. Its many small valleys clothed with grass, and traversing in various directions, and its numerous hills with their smooth and gentle slopes and voluptuous swell, studded with lofty pines and firs, and branching oaks, and exempt from chapparal, only requires the presence of water to convert it into a lake, with groups of beautiful islands. It is 2395 feet above the level of the ocean — 160 miles N. E. from San Francisco, 75 from Sacra¬ mento, and 40 E. from Marysville. It is located in Nevada County, whose western boundary begins at the foot hills, and runs eastwardly between Bear and South Yuba rivers, and extends to the summit of the Sierra Nevada. It is not only regarded the richest Mining co. in California, but has various other important elements of wealth. A daily mail, and two lines of daily stages pass through it, from Sacramento to Nevada City, four miles from Centerville? in Grass Valley, a village with a population of 2,500, having stores, hotels, saw-mills, butchers, bakers, schools, churches, and various shops for the prosecution of the mechanics arts, besides some 14 quartz mills in operation, and others in progress of construction. Much of its soil is fertile and mellow, and admirably suited to the growth of wheat, barley, oats, rye, grass, and various kinds of vegetables. Its extensive forests of magnificent pine, fir, cedar, and oak, and its numerous quarries of the most superior building stone, are sufficient to satisfy the wants of the State for building for many years, and can and will be profitably worked, as soon as the rail road shall unite Nevada to Sacramento, the importance of which, is now eliciting the most earnest attention of merchants and business men, and will, without doubt, be projected and completed at a very early day. The wide extent of territory, lying between Bear and South Yuba rivers, and extending eastwardly towards the summits of the great snowy range, is richly underlaid with auriferous deposits or placere diggings, which, if supplied^ with water, would afford profitable employment to twenty thousand men for a score of years. This vast mineral extent of territory, can, and will

25

soon be, made available, by the diversion of the waters of the South Yuba river, from their banks, and leading them to the summits of the dividing ridge, whence the main trunk or canal will pass down towards the valley of the Sacramento, distributing in its journey supplies on either hand, not only to satisfy the demands of " Cradles," " Toms," "Sluices," and all the various appliances of placere washings, but furnish the means of irrigation to the agricul¬ turalist, and motive power for " Quartz," " Grist," " Saw," " Stone," and other " Mills," and ultimately be distributed throughout the great valley of the Sacramento, for purposes of irrigation. This will be a colossal undertaking, involving an outlay of millions of dollars, but it must and will be accomplished, as many works of a similar character though less expensive, have already been com¬ pleted, and many others projected, and in process of construction. And last, but not least, the numerous veins of gold-bearing quartz, which interlace her thousand hills, invite the millions of idle capital, and our unemployed thousands, to feast upon their golden banquet.

The Capital Stock

Of " The Manhattan Quartz Mining Company" has been fixed at $150,000, divided into 1,500 shares of $100 each. The hitherto proprietors of the gold-bearing localities, aforesaid, contract with the company to sell and transfer the said property and to erect thereon, at the earliest possible day, the necessary buildings and machinery, adequate to the reduction of 100 tons of quartz per day of 24 hours, as follows, to wit : — -

The mill will consist of 36 stamps, after the pattern of John A* Collins & Co/s mill, with a few important improvements, and play¬ ing in six batteries of six stamps each — amalgamators adequate to detect the gold as fast as the ore is pulverised — an engine of suf¬ ficient power to drive all this machinery, and an additional power of ten horse, to move machinery to reduce the tailings, or the ore after it has passed through the amalgamators, when such improve¬ ments shall have been discovered. The buildings will consist of a stamp-house, 30 by 50 feet — amalgamating-house, 30 by 40 feet — an engine-house, 20 by 30 feet — shop for millwright and black¬ smith, 20 by 30 feet — dwelling, 20 by 40 feet — office, 15 by 20 feet — and wood-house, 30 by 60 feet.

They, furthermore, agree to give their own time, experience and

26

labor, to promote the interests of the company, according to their best judgment, up to the time the engagements above specified shall have been fully performed, and the works of the company completed, and running in perfect order. They value the veins, aforesaid, at $100,000, and they transfer them to the company for this amount of its stock — 'agreeing to expend, at least, $50,000 on the works, and to turn over the same to the company, free of any debt or encumbrance whatever. And should the cost of the works reach $70,000, they agree that the excess over $50,000 shall be paid by them, and in no case become a charge on the company.

The property consists of 26 claims of 100 feet on the vein, with all its depths and angles — 24 claims, 100 feet square — 8 claims, 60 feet square — and 6 claims, 30 by 40 feet.

[The following-letter is from the pen of Rev. R. Townsend Huddart, an Episcopal Clergyman, who spent two years in Cali¬ fornia, returning to New York, his former residence, in a late steamer. It is copied from the San Francisco Herald of July 25, 1851.]

Uuartz Mining.

Grass Valley, Nevada Co., July 1G, 1851.

Editor Herald, — Dear Sir : Having a few hours to spare and a quiet room to myself— no trifling luxury in a mining district — I sit down to write you a long rambling letter on the subject of the auriferous quartz in this portion of the State, where I have passed nearly three months, examining the several ledges and veins in the surrounding hills ; taking nothing for granted, but endeavoring to satisfy my own mind by investigation, as to the quantity and quality of the rock, avoiding the extremes of extravagant and wild calcula¬ tions on the one hand, or of incredulity on the other. Should you consider this communication of sufficient importance to give it a place in the columns of your paper, it may assist in spreading information of an interesting and useful nature. My remarks for tne present will be confined to this neighbor¬ hood and Nevada City, embracing a circuit of about fifteen miles. After a residence of more than a year in San Francisco, where my professional duties detained me, I determined to visit the mines, more particularly the quartz hills, of which 1 had heard various reports, and imagined that I knew a great deal ; it has been my custom to converse with every intelligent miner I came across, and from all the information I could collect from them, as well as from reading different newspaper articles, I felt tolerably confident that I was well posted up, as we say, on this subject. But I confess that after a short resi¬ dence here, and after comparing my previous opinions with those formed from personal examination, I arrived at the conclusion that I ought to be ranked among a very numerous class of my fellow men, who assume to know much with but slight foundation for their knowledge : — in fact, that I had been a most erudite "ignoramus." Before proceeding further, let me give a piece of passing advice to all letter writers, and to all intending to return to the States, that they will not undertake to speak of the mineral resources of Cali¬ fornia, from mere reports ; but if they wish to do j ustice to themselves or others, let their opinions be given after a careful investigation and actual inspection of these quartz regions ; for I have no hesitation in saying that those who have never visited them, and whose information is acquired by a residence in San Francisco or Sacramento, are as little acquainted with the real state of

27

things,. as persons in the States or Europe are about our commercial wants, our social condition, our geographical advantages, our noble bays, our stately forests, our rich productive land, or our healthy and invigorating climate.

I will attempt no lengthened description of the scenery and beauty of this immediate section of country in which I am at present residing ; let it suffice to say that there are some as picturesque and lovely valleys lying embosomed among these gold bearing hills, as the most fastidious admirer of nature's charms could desire. The whole region abounds in auriferous quartz ; some richer in quality than others, but all sufficiently so to pay an ample remuner¬ ation for the erection of machinery. Your readers would at once set me down as some crazy-pated enthusiast were I to state the amount of gold which may be calculated as the product of Nevada county alone ; and no doubt the opin • ion I am about to advance will be received with astonishment and unbelief by some, and regarded by others as chimerical and visionary — still, that does not prevent me from giving, as the candid and deliberate conviction of my mind, that the quartz of this one section is amply sufficient to supply gold enough for the circulation of the whole United States during the next fifty years ! — Be it recollected that this is but from a single county in the State ; what then must be the aggregate from other parts of California, equally rich in these wonderful depositories of the precious metal 1

I will not bewilder you or your readers with a formidable at ray of figures and calculations based upon evidence of facts, but will simply state that a mill with proper machinery, capable of crushing twenty tons of auriferous quartz per day, yielding on an average only three cents to the pound will produce a profit of at least one hundred per cent, upon a capital of two hundred thou¬ sand dollars, and greater in proportion to the limited amount of stock ; this too, after allowing a liberal outlay for all necessary expenditures, and appro¬ priating a contingent fund, to provide for all risks of explosions, breakage, or other accidents — wear and tear of machinery, &c.

It is generally supposed by miners, and by scientific men who have made various assays of the different kinds of quartz, that the average value may be estimated at from six to eight cents per pound instead of the amount already named. Nay more there are companies who calculate upon fifteen to twenty cents, and there is onp in Nevada, whose lead or vein is so exceedingly rich that they expect a yield of fifty cents to the pound ; but when you bear in mind that the addition of a single cent will increase the product of gold twenty fold, it would swell the amount on these two last calculations to such a degree that no credence would be given to the statement. My own impres¬ sion is that about eight cents might be a fair estimate, and that with the best machinery, and most approved process of amalgamating and saving the very fine gold. I have therefore spoken of a minimum , rather than a maximum rate ; if these data be co-rect, the profits from a mill of the power mentioned will be immense.

I may also remark that several of the companies at present putting up large mills at Grass Valley, calculate to crush from thirty-five to forty tons of quartz per day; while others, having less capability, intend to run their engines night and day. Now, it is by no means an overstretch of the imagination to suppose that within the next three years — particularly when confidence and conviction have taken the place of present doubt and mistrust, there will be capital enough invested to have not less than two hundred mills erected through - out the different parts of the State, each capable of crushing on an average twenty-five tons per day ; yielding from $00 to $100 for the 20 cwt., according as the richness of the quartz may vary from three to eight cents per pound. Now, then, let your matter of fact man of figures amuse himself for an Hour in making these difficult calculations. I think the result will somewhat astonish him, at least on papa — time alone must prove the truth of the problem.

In alluding to the vast profits to be derived by companies from this source, I wish to be understood as premising that suitable machinery, favorable loca¬ tion of the mine, skilful engineers, sensible directors, and honest manage¬ ment, will be required to make investments pay a large dividend; with these advantages combined, the most sanguine expectations may be realized ; without them, the results will be more or less doubtful.

28

The drawback now upon quartz operations is the want of capital, compared with the unlimited opportunities and inducements for investing. This arises most probably ftom a suspicion in the minds of moneyed men, that these mat* ters have fallen into the hands of speculators, and consequently that the in¬ vestment is not a safe one ; but surely the abuse of any thing does not prove it to be worthless. How many banking institution, insurance companies, railroad companies, mining associations, et id genus omne , have had their day of ill accounts in the older States, and by inefficient or desperately dishonest management on the part of those chiefly instrumental in getting them up, have brought ruin upon many a family, and discredit upon similar enterprises 1 With all this, capitalists have not been deterred from again and again sub¬ scribing to such undertakings Why should we expect in California to es¬ cape the consequences of that greedy thirst for sudden gain which, like a raging fever, has preyed upon the moral vitals of thou ands who have come among us inducing them to adopt every conceivable mode of obtaining wealth without regard to the means used 1 How could it be otherwise than that hundreds of the motly crowd of needy adventurers who have flocked to the land of promise, would eagerly sieze upon just such a tempting bait to entice their victims as dazzling specimens of auriferous quartz ? It seem as if men were attacked wi h a golden mania which deprives them of the ordina¬ ry powers of prudence, reflection and caution, leading them into the wildest speculations, set on foot by unprincipled, cunning knaves, the result of which is the certain loss of money invested, and denunciations, loud and deep, against the originators ofthese schemes. It is well known that several mining bubble operations have burst up in various parts of the State during thf-past year, and so notorious has been the conduct of the principal actors, that it has not only thrown a damper over quartz mining, but when men of undoubt¬ ed veracity and honor have attempted to get up a company, they have been met on the very threshhold with the taunt of some delinquent who had lately duped others. This state of things, however, cannot last; the evil will work its own cure ; gradually, confidence will be restored, capitalists will associate themselves together and take into their employ none but tried and honest indi¬ viduals to manage the concerns of any crushing mill which may be erecied by them, and with the requisite machinery, as well as steady perseverance, there cannot exist a doubt of larger fortunes being gained by investments in quartz mining than by any other means in California. W e must be prepared to hear the doleful cry of a few croakers, of whom a number will be found in this country as in every community, but that should not deter men of sense from investiga¬ ting this subject with calm and prudent determination. They will be better satisfied after such examination, and better able to judge of the boundless wealth which exists in California.

Like all other great and novel enterprises, that of extracting gold from quartz presents at first many difficulties to be overcome by the pioneers in the work; the whole thing is new to us, and must naturally be attended with obstacles and imperfections at the outset; as a matter of course various ex¬ periments will be tried ; much expense and sometimes loss be incurred in them. Each succeeding mill with its machinery will be constructed with the latest improvements, and so the operations will progress, until a similar degree of excellence is attained in this novel branch of industry and mechanical skill as has been reached in the construction of steamships, locomotives cotton mills, printing presses, or in the architecture of the present day compared with that of fifty years back. We are now but in our infancy as regards mining; indeed it may rather be said that mining is only about being commenced in California. Whatever amount of gold has been obtained hitherto, being literally no more than the scratching of the earth's surface, when compared with the treasures which are yet to be discovered.

I write to you, my dear sir. as to an old friend, and one who, I would hope, has full confidence in the sincerity of my expressed opinion, and a personal knowledge of my character as a man of calm, prudent judgment and common sense, who would not advance any statementthat he did not honestly believe to be reliable and worthy of consideration among his fellow citizens. I do not profess to be either a geologist or a scientific man, but have looked into this

29

matter with the same degree of careful attention as a merchant would use in his business transactions, or a lawyer in his profession : the result of that in¬ vestigation I send you, and if deemed worth a place in your columns, it will give me sincere pleasure to be thus instrumental in spreading some informa¬ tion before the public on a subject about which there is very little known, or understood, and one having so important a bearing upon the future interests, prosperity, and welfare of our adopted State.

Very truly, your friend, R. T. H.

From the San Francisco Morning Post , Oct. 13, 1851.

Quartz Mining.

u Quartz mining in this country is no longer an experiment. After the expenditure of a vast amount of capital and labor, under the exciting hope which success, if attained, held out, the problem has been demon trated, and the field of enterprise almost, if not quite, co extensive with the mining region, exhibits a busy scene of preparation for this mode of mining by hundreds of companies, of associated capital and labor, all along the range of auriferous veins. Any amount of capital is easily commanded by these enterprises, not¬ withstanding the high rate of interest and the great demand for it in other pursuits. No other investments are sought with half the avidity, and ' claims' and stock in the crude form of joint interests, although not in a situation to yield any returns without the additional expenditure of much capital, in the erection of machinery, command a ready sale, and, in many instances, what appear to be extravagant prices j and under the impulse given to these enterprises by the practical success of a few companies who have got pro¬ perly to work, within the last two months, the value of claims has rapidly advanced.

" There has, consequently, been a corresponding demand for machinery, and the large number of steam engines which, a few months ago, were in our har¬ bor, almost valueless, are all, even those of the smallest form, taken up, and there is still an eager demand for more ; and many orders have gone to the eastern cities, from all portions of the mines, for engines, as well as for im¬ proved machinery and castings. A new and flourishing branch of manufac¬ tures has sprung up under this demand, and there are now, in this city, three or four foundries, with machine shops attached, all full of employment at the most lucrative rates. Among all the conceivab e models invented and applied to the purpose of crushing the rock, although none are considered perfect, an advance has been made to something like a standard.

" Those which have proved worthless, having served a good purpose to all but their owners, will be supplanted by improvements which they have suggested, and which will, in turn, be cast aside for more perfect inventions, in this way, as in all other improvements, the first enterprises in quartz operations, which so generally proved failures, have furnished valuable lessons of experi¬ ence, which have led to the success of others ; so that, what was the folly and ruin of many of the pioneers in the business, points out the road to success and fortune to those who came after them. Among other mistakes to be avoided in future, it is evident, by experience, that most of the engines and machines are too small ; for while the difference in the cost of erecting and running ma¬ chines is small, the profits depending upon the amount of rock reduced will be vastly different in the two cases. Especially does this difference become important, where the auriferous rock to be reduced is not rich, in which case it is easy to demonstrate that the yield which would not pay expenses in the one case, would show a handsome profit in the other. For instance, an engine often horse power, extracting from a given quantity of rock, $*200 per day, would scarcely pay any profits while one of forty horse power, requiring but little more daily expenses, would produce $800 or $1000. There is the same difference in this case that there is in running the largest and the smallest class of steamers on long sea voyages ; one pays large profits, while the other will not pay charges.

30

" Another very common error which experience is pointing out. is the mis¬ conception of the cost of erecting mills of the requisite power, many supposing that tne principal expense is the purchase of engines and machinery, and that, their enterprise is almost accomplished with the landing of these at some con¬ venient point of navigation. Whereas, the estimates of some who have the most experience in the business, and who have encountered and triumphed over the many unforeseen obstacles, fix the additional charge of transporta¬ tion into the mountains, of mechanics' and laborers' wages at present prices, and ot the multifarious additional articles of materials, tools, &c., &c., which will be required to put a machine of 30 horse power in running condition, at not less than $25,000 which is three or four times the prime cost of the ma¬ chinery. True it is. that, in many cases, where numbers have formed com¬ panies of associated labor, the greater portion of this work may be accom¬ plished without the actual expenditure of cash ; but it must be remembered that this must be done in a country where labor is capital, emphatically and in a stronger sense than in any other country under the sun. And there is little prospect that there will be any reduction in the prices of labor, in this country, for the next twelve months. Notwithstanding the fact that, within the last twelve months, the cost of transportation into all parts of the mines, has been reduced about sixty per cent., with a corresponding reduction in most of the prime articles of subsistence of miners, the price of labor has ad¬ vanced in an inverse ratio. When the great flood of last years' immigration spread itself in the valleys, and cities, and towns of California, labor was easily obtained at three dollars per day. But now that an ebb has taken place in the tide, relieving the pressure of competition, and, more than all, that a vast amount of capital, instead of pursuing the old course, and teeming into our cities and going to the Atlantic, has found a lodgment in these thousands of enterprises all along the auriferous veins, all demanding labor to render them available, the rate of wages has advanced to $6 and $8 per day, and is not so easily obtained at that. The price of labor, therefore, is nowthe chief obstacle to encounter in the prosecution of these enterprises. And this is, after all, a happy state of affairs, where labor maintains so successful a competition with accumulated capital, and is sufficient to satisfy any one, that this is the best country in the world for the laboring man — the best market for real muscle — and that it is really better now than at any former period.

" Such successive improvements in machinery have been made as to give entire satisfaction as to the quantity of rock reducible in a day, and the chief desideratum now remaining is a thorough process and a more perfect appara¬ tus for amalgamation, to save the very considerable waste of gold now sub¬ mitted to in the mode at present in use for its collection and separation from the pulverized rock. Among the numerous plans and experiments now in re¬ quisition by an inventive genius, which leaves nothing so desirable unaccom¬ plished, necessity will, doubtless, soon supply the invention. Of this subject of the improved models of machinery, and the best modes of applying the power, and of the results of operations now going on, we shall have occasion to speak more particularly in a short time.

" As many as fifty establishments will be in operation in various parts of the State in the course of the approaching winter, and the mountains and val¬ leys are already beginning to resound with the clatter of cams and the thunder of pestles. There are two establishments, well equipped with heavy engines and machinery, now just going into operation, of which the results will be made known to the public, which will be of such a satisfactory char¬ acter as will give a still greater impulse to this now leading branch of mining in California.

" Once in successful operation, the stock of such establishments as are pro¬ perly equipped and organized on the joint stock principle, will become a circu¬ lating medium, to a very considerable extent, in the State, and a recognized security in our stock market, as well as those of the Atlantic States. As an evidence of this we may mention that there is already a demand growing up for the stock of one of the companies alluded to above, which is a joint-stock one. And there is no reason why this should not be, when there is such an active demand for the naked claims."

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(Formerly owned by John A. Collins & Co.)

Grass Valley Quartz Mining Company'S Works

(Formerly owned by John A. Comjns fir. Co.)