"The Quartzburg Water Company" : incorporated March 1st, 1854 for the development of the permanent resources of Mariposa County
There is a period in the history of every business which is attended with au almost certainty of success ; it is more than probable, therefore
Public-domain full text preserved in the Mountain Man Mining Library. Original source: archive.org.
"The Quartzburg Water Company,"
Incorporated March 1st. 1*51-
Vor The
Development
Of The
Permanent Resources
Mariposa County,
P. Cadell, Jr.,
Agent For The Company
URG, MARIPOSA CO.,CAf>., nut, 1851.
YWAIMOO H3TAW OfiUaSTfiAUp ~3HT
ibVH Ir>laiono3n!!
7,i/IUOO i.804J
/
/
Preface.
There is a period in the history of every business which is attended with au almost certainty of success ; it is more than probable, therefore, if we judge from precedents, that California Gold Mining has arrived at that period. Extraordinary resources, accompanied with earnest application, brought to bear on any subject emerging from obscurity, very soon places that subject in an entirely different position ; it is not, however, during the drudgery of application to undecided operations that a uniformity of successful results can be expected, because this is the period occupied with the development of first impressions, which requires some time to accomplish. We had no reason to expect therefore uniform success from mining operations in Galifornia during the first few years ofr.its existence, and must not therefore condemn those whose endeavors have not been attended with success. There is now, however, the most matured system of mining operations, concerning which there is only one opinion entertained by practical men, which will soon become known to the world, so that no questionable undertaking can be forced upon the public without being immediately detected. Aware of those facts, the following undertaking lias beeii, scrutenized by the most experienced men, who have pronounced the system of operations adopted by the Company, sufficient matured and comprehensive to be carried into immediate effect. Depending, therefore, entirely on the merits of the undertaking, no pnrticular reference will be made except through the general information of the day, accompanied with the following ...uyations bearing upon the favorable position of - in in which are presented in a particular inannci ' ' " 'id and Europe ; because in a country e wealthy individuals can employ -reously as to produce immediate
returns of from 5 to 10 per cent, a month, as opportunities present themselves, it is not therefore from the California Capitalist that the Company expect to realize the large cash capital which they require, as the probable period of 18 months or more which would elapse before productive operations could be commenced, places snch descriptions of speculation out of their usual sphere of operation, although the Company can hold out a certain prospect of realizing returns which will exceed those of the most productive water works which are already in operation in California, and which have paid upwards of 10 per cent, per month on the capital advanced, from the rent derived from the water used in placer mining alone. Capital for operation in California has seldom been brought to bear directly on the development of the permanent resources of the country, so that this important subject has been left entirely to the energy of the practical miners, from capital accumulated through the medium of their own exertions in the mines, from which the California wealth has emanated, and which constitutes the best practical proof that they have pursued the proper course towards successful operations. Those principles which govern individual enterprize will be therefore taken advantage of by the Quartzburg Water Company, which will undoubtedly lead to the same and even more favorable results, when all the advantages to be derived from the additional experience and capital are brought to bear on the subject.
The Mariposa Chronicle, of date May 19th, 1854, when noticing a rich discovery lately made at Quartzburg, remarks thus :
In any rich section of mining country in CaJifornia, individual enterprize appears to be attended with extraordi- " nary uniformity of success, even more so at the present " period than during the working of the extra rich deposits in the early history of California mining. The California " Placers may be now therefore considered without doubt "to be, not what was generally supposed a mere tem- M porary excitement, but the source of permanent produc- ;( tion. The necessities of the working man in a strange country without funds, has enforced a simple " compels him to go at once to work, wit1" " prospecting from place to place fo
" is the chief cause of the many*
/
1 daily presented to our notice, and as one instance of the 1 extraordinary success of individuals without any scientific 1 guidance for mining, lurther than the ability to go to ! work. We notice a rich quartz discovery which Messrs. 1 Johnston, Summerford & Vandevenor made when en- 1 gaged placer mining on the Bar on Burns' Creek, imme-
diately below the town of Quartzburg. The rock taken 4 out exhibits indications of extraordinary richness; one
piece of the ledge, weighing about 50 pounds, is consid-
ered worth over one thousand dollars, and the gold ' appears to be generally diffused throughout that portion ' of the ledge which has been uncovered. This discovery,
however, is only a fractional part of the many discoveries ' which have been lately made in this section of Mariposa ' county, the development of which will take place en an
extensive scale so soon as the operations of the Quartz-
burg Water Company (which are expected to commence 'forthwith) are completed; an undertaking which com- ' prehends a system of operations organized on the most
respectable scale, for the entire development of the per-
manent resources of the county, by the introduction of
large supplies of water for Placer mining, water power
for Quartz operations, and the means of conveying lum- 'ber by the water en ioute for those purposes from the 'lumber region to the immediate neighborhood of the ' mines. This undertaking appears to be extraordinary ' popular both in California and abroad, as the public ' presume that it will lead to a permanent system of ' operations throughout the whole country."
THE gl AKTZBURC WATER COMPANY," &c.
ifobsja has now been placed in a very respectable mining position with reference to permanent production, from the successful results ot the numerous Water Companies which have been established for some time, affording supplies of water to the Placers at a distanee from the permanent water courses ; the companies referred to have all been organized and conducted by practical Miners engaged in the placers, and nsw constitute the most successful practical experiment uf the day, by proving to the World that the placer gold exists in even greater abundance in the deposits formed subsequent to the first great wash. The mining ground which remains untouched is, therefore, oi such an extent, as to warrant the investment of large capitals to be expended in con-, ptructing aqueducts from the head vaters of the various rivers, to put those mines into productive operation. The only portions of the placers which have been partially exhausted, are those which contained the extra rich deposits from "the first great wash, snch as lh3 banks and beds of rivers, creeks and ravines; also, a few flats which* were of easy access from their proximity to water. Such is the present position of that department of the Gold business which lias kept in advance of Quarz-mining, because the operations on the Quartz veins have been limited to th* prospecting scale, caused chiefly from thai description of mining property .laying been held almost exclusively for speculative purposes, as the mere reports of extraordinary prospects produced for a short period the same effect as if returns. had been in reality realized; hence the present reaction ; even the controling parties of Mining Companies of character fiaye been afraid to act, indicating a Want of confidence which could not pr.oVe otherwise than fatal to success. So soon, however, as we have water powerand a1 more extensive system of mining operations introduced, "under economical arrangements, extraordinary permanent returns will be reajized from operations connected with quartz-mining in addition to the large sWmJ*realized from the placers. The Quartzburg "Water Company has been, therefore, organized on a respectable scale, with the view of affording those facilities in their most perfect form for mining purposes in Mariposa county. The practical information which we are now in possession of connected with gold mining, is of a very different character from that which existed several years ago, having from practice arrived at the knowledge of those facts which point out the precise course for wealthy mining companies to pursue towards productive operations. Hence the advantageous position of the above named Company, which renders it superfluous to t&ke advantage of the usual routine of recommendations to facilitate its introduction to the notice of the public particularly as the undertaking at once exhibits the only system of operations through which the permanent resources of the country can be successfully and rapidly developed. The introduction of large supplies of water for placer mining, water power for quartz operations, and the conveying of lumber by the water en route for those purposes from the timber region to the immediate neighborhood of the mines, constitute the system of operationc which the undertaking comprehends; which opens up an unlimited field of operations for the working miners, and the investment of small capitals either through the medium of private companies or individual enterprize, in both placer and quartsmining.
The company have resolved not to invest in any description of mining wb; will interfere with individual enterprize ; but as it is still que or not the operations connected with quartz-mining is a prudant investment of small capitals through indivi* pany have determined, therefore, to operate ext ' power, accompanied with the most economica" arrangements, with the view of producing I
/
the public the extraordinary value of those resources vhen capital can be brought to bear on such with the large scale of operations.
The; great extent of timber country through which the aqueducts oi the Uuaruburg .Water Company must of necessity pass, affords the company not only an opportunity of constructing their works in the most substantial and economical manner possible, but will also enable the company to supply the large quantity of lumber, at a. low price, which wilt be required to put both the placers and quartz-mine into productive operation,— the tare and wear on which will be the source of a regular consumption of lumber, which the company will aiso provide for, not with the view of making a large profit from that department of the business, but to secure the most economical arrangements for the permanent working of the mines , also repairs, alterations and improvements, connected with the company's works. , .
The farming lands throughout the Gold legion which are at present unoccupied, can be brought into successful cultiration by using the water for irrigation after being employed for mining purposes, which the Company will dispose of under certain regulations for the encouragement of agriculture, which will prove to be of considerable advantage to the mining population.
As a decided proof that the undertaking is a practical subject, I may state that the services of all the Company's olhcers, down to the chief workmen employed, can be discharged with Company's scrip ; which arrangement will proeably be taken advantage of with the vie w of guaranteeing the most complete system of superintendence connected with the various departments of the Company's works, and as the parties connected with the organization of the uartzburg Water Company hold no stok for speculative purposes, but have associated themselves with no other immediate object in view, than to constitute a practical staff to assist capitalists in making their operations productive in California,' with all the advantage of a State corporated company. I shall be very brief, and confine myself entirely to facts, and avoid the tsual details of rich discoveries and extraordinary prospects which have never been discussed without exaggeration. With reference to the popularity of the undertaking, I may state that the importance of such to capitalists and others interested in the development of the permanent resources of California, (even although they do not hold Company's stock,) will make its progress towards completion as much the object for their eolicitation as it is for the Company themselves. Our friends abroad may rest assured, thsrefore, that the citizens of California will confer extraordinary privileges with the view of foi warding theiundertakiog.
We have ascertained frorn the experience of the various Water Companies which have been in operation in the Northern mines on a tolerable large scale, that it will prove ultimately more economical to construct the Company's aqueducts with timber throughout the main routes, the loss of water being so great when a canal is cut in the ground, which has been the cause of several undertakings cf considerable magnitude proving of little value at the commencement of mining operations; thv Company's aqueducts will.be, therefore, built of selected timber, from the source to the terminus, without any interruption to the floating of lumber from the timber country to the mining region.
With the view of providing every facility to individual staking up mining claims, the Company will make a proper survey of all the mining ground in the county, and furnish charts on a very large scale; one set, of which will exhibit the routes of the branch aqueducts, and the claims located so soon as lJjcy, ar? registered, which wilj he open for the uxspectttm of . strangers at all 'he Cempaoy s offices throughout the county, whope-the regittteia for claiaw will be kept optn.
1 he mining grounds in this county have been lest operated upon than ttosc
mining county of importance in' California, from the difficulty of
' in the neighborhood ef the ntnnerous dry gukbxrt, ravine* and
te the chief placer ground, and which in thU county
van tho more Northern, in consequence of being less
'"re, more extensively diffused throughout the
u extraordinary amount of mining ground
for extensive operations sufficient to give permanent employ tnent to a large population.
It certainly would have been extraordinary if the events of four years connected with California mining in this progressive age, had not furnished materials for improving the position Sold Mining Companies. Upwards of fifteen millions of dollars have been expended prospecting both the Placer and Quartz mines which are as yet comparatively untouched, producing results of importance without parallel ; and the chief reason whythose results have not been made more public, or otherwise more generally taken advantage of, is because few have taken the trouble to compare them.
We do not expect that capitalists in either England or Europe will at once at this particular period (notorious in the history of gold mining, from the exposure of upwards of sixty fictitious Gold Mining Companies organized in London, representing a capital of upwards of three millions sterling,) place perfect confidence in any project emanating from California, and which is one cause why the Gtuartzburg Water Company have deviated from the regular routine adopted by other companies connected with gold mining when introducing their undertakings to the notice of the public, and substituted a thorough practical course, concerning which here is no doubt whatever, which the practical proofs we are now in possession of warrants us in asserting.
The unprecedented popularity of the Quartzburg Water Company in California, with practical men, have enabled the Trustees to appropriate tySWjWQ for the payment of labor, &c, (whhh may be considered arranged for conditionally, and subsequently to take effect provided such arrangements will not interfere with the economy of the estimates,) without being converted into money, and the remaining one Milton Dollars has been disposed of to George Hudson, Esq., of Newby Park, Yorkshire, England, who has been appointed Treasurer and Representative of the Company in England and Europe ; and although the extent of this transaction is trifling compared with the large amounts Mr. H. has been accustomed tonegociate in England, it may lead to similar undertakings beyond the resources of private companies or individual enterprise from our more northern counties. It is of essential importance to the world, as well as California, that the whole country should be brought under a similar system of operations to that adopted by the Ctuartzburg Water Company, with the least possible delay, to keep up the extraordinary production of gold as long as possible, particularly when such can be accomplished at the present period with such certainty of realizing extraordinary returns on the capital invested, besides conferring such advantages on the great masses of productive laborers who are now in the country.
Capitalists of the present day have no apology whatever to allow California mining to retrogade. There is no country in the world which affords such facilities for the distribution of its waters for mining purposes, nor can there be a more ample reservoir than the perpetual snow which covers the adjacent range of the mountains stretching hundreds of miles parallel with the gold region, affording an ample supply of water, during the summer months, from the melting of the snow ; nor has any country in the world given such ample proofs of its being a permanent gold-producing country ; and although the capital which has been brought to bear on quartz operations has not proved productive, there is no difficulty in pointing out the cause of it3 non-production, which may be simply stated to be, the want of experience connected with the subject ; because, if that capital had been employed in furnishing supplies of water and other economical arrangements for mining purposes a very different result would have been produced; placer mining would have been yielding larger returns, and quartz operations instead of being comparatively silent would have been in a healthy condition ; hence, the objects of the auartzburg Water Company, incorporated the first day of March, 1854. Th Articles of Incorporation are as follows ;
/
transfer of stock, shall give bonds, to be approved of by the Trustees, for the> faithful performance of their duties, and the compensation of all officers and agents of the Company shall be fixed by the board of Trustees.
Art. 9. A Committee of Finance, consisting of five Trustees, shall be elected by the Board, whose duty it shall he to examine the "estimates" and make appropriations for the same ; also, to cheque the books and accounts of the Company monthly, or oftener if required by the order of the Treasurer or any two of the Trustees: vacancies occurring in the Committee shall be filled as in case ot vacancies in other offices.
Art. 10. No stock shall be transferable until after the completing of the main trunk aqueducts, but parties holdiig stock who have been put in possession of uch by the Company, as compensation for labor, personal, services, or other such description of value receive! shall be entitled to a temporary advance from the Company (which must, however, be approved of by the Committee on Finance) until the completion of the works, when the Company saali be open to purchase the stock at the marlfet price.
Art. 11. The annual report ol the aff irs of the Company shall state the amount of capital stock, together with th proportion actually paid: also, the debts and accounts, which shall be raad by the Committee on Finance at the first meeting of Trustees after the annus election of the officers. V Art. 12. In the event of non-payment of installments assessed and due on the stock, the Trustees shall cause such stock to be sold in the manner prescribed by law.
Art. 13. Dividends of the profits of tie Company shall be declared semiannually, in the months of October and April, but no dividends will declared which shall diminish the capital Itoek.
Art. 14. The stated meetings of the second Wednesday of every month
Board of Trustees shall be on the
In conclusion it is necessary to add a rapid movement must be made towai s which leaves no time for correspond! granted to Mr. Hudson, by the
copy of Mr. Hudson's credentials, as the commencement of practical work, direct with California. The power 0.uart*urg Water Company, is as follows :
State Of California. Mariposa County:
V7 all men bv these presents, that we,, les Gaines, J.P.; D. M. Pool, Geo. M, Jrdwick, Jacob Y. Jones and P. Cadell, Jr.. Trustees for the duatzburg WaterfCompany, incorporated the first day of March, One Thousand Eight Hundied and Fifty-four, county of Mariposa, and State of California, have made/constituted and appointed, and by these presents do make, constitute and appoint in our place and stead, put and depute George Hudson, Esq., of New* Park, Yorkshire, England, our true and lawful representative in Great Britan and Europe, for us, and in our names to supervise the finoucial arrangement! uf said Company in London on the most ale, with full power tt> procure the printing of the Company's ind with power also to set his hand and seal, as Treasurer of the Quartzburg Water Company, to the wholgof the scrip or capital stock amounting to seventeen thousand five hundred stares, of one hundred dollars each ; and further, to dispose of ten thousand thares, at par, in one or more lots to suit his convenience and the necessities cf the Company. The said Georgo Hud- q, is authorized also to demand, sue for, recover and receive all sums ot
inonev, and other demands wha?< aid Company.
which may be dne or owing to
Ani generally all and every act or acts, thing or things, whatsoever needful and necessary to be done in and about the premises, for us, and in our names to do, execute and perform as fully, largely aad amply, to all intents and purposes, as we ourselves might or could do if personally present: Hereby ratifying, allowing all and whatsoever our said representative shall lawfully do in and about the premises aforesaid, by virtue hereof.
In witness whereof we have here.o set our hands and seals, the tenth day of
March, in the year of our Lord One Thousand Eight Hundred and Fifty-four
Signed— f JAMES GAINES, J. P., Ck'm. \L. S 1
Trustees far the Quartz- GEO. M. HARDWICK, [L. S.)
burg Water Company, constituting I. Y. JONES, |"L. S.I
the Finance Committee. I D. M. POOL, s [L S
LI- CADELL, Jh. Geu'l Agent. [L. S.j
U. S. OF AMERICA, ) Personally appeared before me the
STATE OF CALIFORNIA: subscriber, a Notary Public in and for County of Mariposa: ) he State and county aforesaid, 10th day
of March, 1854, James Gaines, G. 3L Hardwick,J. Y.Jones, D. M. Pool, and P. Cadell, Jr., to me known to be the persons described in the within in-, strument, and who acknowledged to tach that they executed the same freely and voluntarily, and for the uses and purposes therein stated.
In witness whereof, I have hereunto set my hand, and affixed my seal of office, this the day and year above writen.
rr g l SAMUEL H. P. ROSS,
'J Not. Pub. Mar. Co.
As it is not generally known what constitutes the great improvement in placer mining, which guarantees product ve operations from the comparatively poor mining grounds, I may state that thi improvement comprehends the formation of artificial gulches down the sloes of the mountains by an operation which the miners call "ground-sluicinj," which is accomplished by using large supplies of water from aqueducts <instructed along elevated positions of the mountains. The introduction ot this improvement on the extensive scale has proved these facts, that not onh the partially exhausted placers, but that the new mining ground which exists almost without limit, can be brought into productive operation; and as repeated washings are required before the ground can be so far exhausted that it wil. not yield a fair remuneration for labor, these resources, including operations connected with qnartz mining, may be, therefore, considered permanent, *ith a certain prospect of increased production so soon as sufficient capital is brought to bear on the subject according to the system adopted by the Compan/.
QvAftTZBURG, Mariposa County, Cal.,M'ay 20th, 1854.
(Opv Of Articles Of Incorporation.
,
This is to ckrtifv, That the subscribers the majority of whom are citizens of the State of California, pursuant to the provisions of an Act of the Legislature of California, approved April 11th, 1813, entitled ,: An Act to provide for the formation of corporations for certain p roses," do hereby organize themselves into a Corporation, and do declare s follows :
I. The corporate name of said Assuciatio shall be " The Quartzburg Water Company."
11.* The object for which said company j formed, shall be the construction of one, or more, aqueducts from the head paters of the Merced and San Joaquin Rivers, to the varions mining section of Mariposa county, for the purpose of affording a permanent supply of w; ter for placer mining, water-power for quartz operations, and the means of ( >nveying lumber by the water in routes for these purposes; also, for the pui )ose of irrigating the farming land over which the water may be caused to tlo r after being used for the above purposes. The said Company shall be also ermanently engaged in cutting and !>awing lumber, on the routes of the aqu [ucts, with the view of introducing water-power for quartz operations, they till pursue the various departments of the gold business connected with quartj mining.
III. The said Corporation will continti for the term of fifty years unless sooner discontinued or disincorporated according to the provisions of the Act of Legislature of California aforesaid. ]
IV. The capital stock ot said Company shall be one million, seven hundred and fifty thousand dollars, divided into seventeen thousand five hundred shares of one hundred dollars each.
V. The number of Trustees who shal three months, shall be nine, and shall c nsist of the Hon. "Joseph A. Tivey M. L.; Thos. Thorn, James Gaines, J. P;D. M. Pool, John A. White, Jacob Y. Jones, Geo. M. Ha.dwiek, B. F. Rosjf and P. Cadell, Jr.
VI. CLuartzburg shall be the principaliplace of business of said Company. In witness whereof the subscribers hcounto set their respective hands and
saals, this first day of March, One Thotiand Eight Hundred and Fifty-Four, s at Qaartzburg, State of California.
rSigned- JO EPH A. TIVEY, (M. L.) [L. S.l
Te Os. Thorn,
JAilES GAINES, (J. P.)
D.M. Pool,
John. A. White,
Jacob Y. Jones,
G10. M. Hardwick,
B Jf. Ross,
P.jCADELL, Jr.,
manage the Company for the first
Murray.
L. S.] LL. S. [L. S.4 TL. S. [L. S. [L. S.] [L. S.l [L. S.1
'Unty:
xiilp, That on this second March, One Thousand Eight Hundred and Flty-four, personally appeared beoro me Samuel H. P. Ross a' Notary Public aud Justice of the Peace duly oissioncd, aci for the county aforesaid, Joseph A. Tivey, M. L.;
09. Thorn, James Gaines, J. P.; J>, M. Tool, Johu A. White, Jacob Y.
Jones, Go. M. Had wick, B. F Ross,! P.JCadell Jr., am] (i. H. Murray, the parties to the foregoing Articles of Incorporation, and as such known to me, who severally acknowledge that they executed the same for the objects therein stated.
In witness whereof, I have hereunto set my hand and affixed my Notarial Seal of office, the day and year be- ( . fore written, at Quartzbcrg.
L. S. t Signed— SAML. H. P. ROSS,
The following By-Laws of the Company are exhibited not wi.th the view of pointing out a complete system of government, but to afford interested parties an opportunity of making improvements upon the system thus presented. Parties advancing a large capital nay wish to introduce new laws, or, amend those already made particularly cornected with the financial arrangements, so that any alterations or additions to tie laws, which may be required, will meet with prompt attention. The parties are desirous that the public should be perfectly satisfied that there will le no transaction entered into concerning which the slightest doubt can be entertained ; the present position of the Company admits of all the arrangements for future operations being made without any reserve whatever.
Article 1. The annual meeting of Stockholders for the election of Trustees, shall be held on the first of June, anrually, except when the same shall fall on Sunday the election will be held on the Saturday preceding, at the office of. the Company, in duartzbnrg.
" Art. 2. The election of Trustees sbill be decided by ballot, each stockholder, either by himself or proxy, being entitled to as many votes as shares of which he is owner in the Company. Thoe receiving the largest numoer of votes *hall be declared Trustees until their successors shall be chosen, and all vacancies occurring shall be filled by ihe Trustees.
Art. 3. The officers of the Compaiy shall consist of a Treasurer, Sub- Treasurer, and General Agent; also, ,uch other essential officers as the Company may deem necessary.
Art. 4. The Treasurer, Sub-Treasn'sr and General Agent shall be elected by the Trustees, a majority of whom shall be necessary for their ejection.
Art. 5. It shall be the duty of the Teasurer, assisted by the Sub-Treasurer and General Agent, to supervise the business of the Company, which will be under their control.
Art. 6. It shall be the duty of the Geieral Agent to call all regular meetings of the Board of Trustees, or to call a neeting of the Board by the order of the Treasurer, Sub-Treasurer, or of any tvo Trustees ; to keep correct record of the proceedings of the same, which sha.l be open at all times to the inspection of Stockholders; and to register the trac&fer of stock.
Art. 7. It shall be the duty of the Treasurer to receivo all monies belonging to the Company, and to disburse the same only upon the draft or order of the Sub-Treasurer or General Agent countersigned by the Chairman of the meeting, for the appropriation of the sums ordered.
Art. 8. The Treasurer, Sub-Treasurer and General Agent, and all officers of the Company holding any pecuniary trust, or charged with the regular