New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1869-01-12
MINES AND MINING.

PINE COUNTY, CAL.-ITs MINES-TARsHISH
-RSMERALDA-GLOBE-I MPERIAI.-MONITOR
CONSOLIDATED-MORNING STAR-NEW PRO-
CESS BY ACKNOWLEDGEMENTS OF
INVESTMENT--A PERSONAL MATTER.
The way to success in the various fields of human
endeavor lies through experiment and failure Since
the acquisition of California, and the discovery of
the vast mineral treasures embosomed in her rivers
and mountains, the BUSINESS OF MINING has grown
into National importance not only a source Of in
dividual wealth. but for the influence of the bullion
product upon the financial stability of the country,
as well as upon its commercial prosperity generally,
and the world at large.
"The mines Of this country" says Secretary Nc
Culloch in a letter to the Committee on Mines and
Mining of the Ii. r. IT, s.. ARE OF the great ee-
ments of National wealth. and their successful deve-
opment is of the greatest Importance; the produc-
tion Of Gold and Silver being particularly desirable
in view of our present financial position
Whatever. therefore tends to illustrate the mpOr-
lance of this element of National wealth. by the
diffusion among people of reliable information
which, while encouraging judicOus investments of
capital shall also expose the causes of failure,
cannot be otherwise regarded than as available con-
tribution to the good of all.
Having been pioneer IN California mining both
as "a" digger in her placer mines and in her quartz
veins, and having been close observer OF the 1ali,
ures as well as the successes which have ATTENDED
now acknowledged to have grown into proportions
of National Importance wish TO occupy a column
or two of The TRIBUNE to tell the public few things
that it will do them no harm to know And, hrst OF
the
CAUSES OF FAILURE.
In the wears 1Sj01-2-3 following upon the excite
ment of the Silver discoveries in the Washoe AL
pine Austin, Humboldt and other districts east
of the Sierra Nevada, about 200 mining Moor
poratOns were organized under the laws OF CalitOr
MIA. principally; but also of New-York and other
States with capitals ranging from 100000 to S5OOO,-
OOp-aggregating hundreds of millions OF dollars.
Is there any sane man to-day who does not know
that this was q mania wild and unTeasOning as the
South Sea-" John Law" OF, other bubbles Of a
former agef And if then at other times of similar
excements, before or since, the public besleged me
subscription Offices in the crazy effort to obtain iGd
Bluff" Colorado" Nevada, or California MIN
ing shares. and lost their money, who is TO blame
for il mainly but themselves Nine tenths OF an
these Haunting 6sSFs t9 os PdS the a ic
of vision" and have passed away, not however
without leaving wrecked hopes and fortunes behind
If experience Is dear school IL Is also certain tat
fools will learn In no other
Let me relate by way Of illustration. brief his
tory OF two mining enterprises me most lpoItan1
facts of which came under my personal observation.
In the Spring of 1865 one of my trips to Califor-
MIA my roommate on the steamer was gentleman
going out as Superintendent OF "Connectlcut
Gold and Silver Mining COmpany"-a corporation of
wealthy men and retired merchants who having acou-
ness in business that hey understood thought doubtless.
that equal success or greater would attend tne new new
qualifications Of the superintendent were-frs that he
Business H ard next, that he had built and kept
hotel" one OF the famous mountains OF the Granite
tical knowledge Of mining probably had neverseen gold
silver bearing quartz rock in his life For these and
was selected by these shrewd MERCHANTS and capitalists,
to erect the machinery and manage all the eompSaed
scientific education aud practical experience were ne
SSaseI and s Gt ad supplied IS
up the COmpany's property, and MAKE mIlonalres OF
again in this city over $4,000 had been expended by
SP iS i 6aG sned %
stockholders wound up the concern 9ocketed the loss
dered why they did not succeeds
Another While on my way to HutOGl 6 Nevada !. in
and miners, going to the Pine Neods" dist district in
possession Of and work some veH eA silver mines that
had been purchased by some wealthy men OF
paid for the claims" several companies organized,
saRa TsH ak Or and Shipped
70 San S9 a h Ud5
ton to the gentleman elected superintendent both the
ieading saoSoc1 stoeShclder from walst Went to
see things" 1t took week at Virginia City to find
aRTeS there the RoSOdeT Claims Of the
frc was called upon to put the new propretors n pos
session He did not know where the claims were Uiti-
Inatey, by careful exploration OF the dstrlet some
ledge were found that seemed to answer the deserp
tOns Of the deeds but they only the common trap
rock Of the country and had not the slightest trace Of
mineral about them. believe Dr. TOrrey Of the United
States Assay once in New-York who was in Nevada
business connected with the location OF the New Mint at
halfdozen companies represented by the President and
Secretary aforesaid. before they gave 1t UP.
Disguised, they all came over TO Unionyile where
made their acquaintance; Was ut mining hnmbug In
sss opinion of these scn'lemon' In miners lingo You
They had been simple enough, not only to purchase
or the slightest investigation to the ruhulness OF the
representations made 70 them but had expended tens OF
thousands upon machinery and transportation before
finding out, by proper geologic. examination whether t
withhold them out OF regard sunuiy
nent. but sadly "sold' aud suffering individuals who
Will read this account OF their mining fdse0 and thank
me for letting them of so easy.
The consequence Of the hundreds Of failures Of min
Ing companies OF which these are representative cases.
by which the public have lost millions OF dollars Is seen
today in the almost utter destruction OF confidence IN
reservation, that ecy case Of failure may lie traced TO
of three principal causes Ignorance Extravaganza
But so far from afordlng evidence Of any actual de-
existed growing out of the disastrous results OF
and S SsFSS S 1s Part Of GS and
proves that system of mining based upon tho huctua
lions OF the stock market or carried on IN violation OF all
the conditions upon which success depends whether in
mining othor business can never be permanently pros
porous; while worked by individuals companies
as regular 81 stenac pursuit directed by SH and edp
al are destined TO become AMP ARR SOW the most per
mancnt and hcalthful sources OF prosperity.
CALIFORNIA QUARTZ MINING.
The gold product Of the surface dggngs steadily
decreasing, while that from the quartz VEINS steadily
Arguments; till at this time the latter amounts to much
the largest sum. Not share OF stock in the California
gold mining companies is he found on the Brokers'
List They are paying too well solid profit to be
.,bnlled" and beared" on the Exchange The Grass
100000 per ennun IL was here that sunk over $780,
o0Oin the experimental days Of 1928. Ignorance
the cause OF the failure We did not know show 10 do it,"
either as to machinery or processes Yet the claims"
owned at that time by the Grass Valley Gold Mining
Company" are to-day worth million OF dollars IN coin,
and many Of them have wonderfully rich and pro,
in my letters to THE TRIDUSE in lsSs have been more
than verified by the subsequent IN quartz
Ing.
Here are some OF the figures from Cronae's valuable
work on " The Natural Wealth Of California: :"
The total production Of the Hayward mine tAmador