November 24, 2020 

Clips from Alleghany


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 By martin newkom

08/04/2009  2:25PM

There is a "strike" waiting to
happen just like in the H.L.
Johnson Tightener. Also my
wife's grandpa back in the
l840-50's found big (bigre!french term) nuggets he
found in Kanaka Crk. So it's
there, we know. We need hope.

07/31/2009  10:56AM

Slow morning in Alleghany but the following seems worth repeating.

China has gone crazy for gold.
In April the government's Foreign-Exchange Agency announced the purchase of an additional 16 MILLION ounces for state coffers.
A few months earlier, National Geographic Magazine reported that for the first time China had surpassed the U.S. as a buyer of gold jewelry.

But here's the amazing thing few investors realize...

What the Chinese government did for oil over the past decade... they are today doing for gold. This is a huge development. China is also one of the few countries in the world where known gold reserves are increasing... not shrinking.
In short, the Chinese government wants more gold. It realizes gold is one of the only buy-and-hold investments in the world right now. The Chinese have a lot of money to spend... nearly $2 Trillion according to a recent report in The New York Times.

The Ministry of Land and Resources has completely rewritten the country's mining laws (known as the Minerals and Resources Law) to encourage local and foreign companies to explore for and produce more gold. The government has also recently created the Shanghai Gold Exchange, to allow anyone to trade gold, on the open market, without government interference.

Twenty years ago, China produced an inconsequential amount of gold. Today, China is the #1 gold-producing nation in the world (a fact Scoop lacks multiple sources to support).

When it comes to gold mining in China, it's a whole different world than what is found in America or Canada. There's no such thing as a NI43-101 disclosure form for mining companies. Instead of a handful of giant companies running the industry (how global gold mining has evolved, especially in the US), it’s basically thousands of small operations scattered across the country.

In short, it's like the American Wild West. Ah, the American wild west; frontier freedom and frontier justice; pioneering spirit as defined by the California gold rush and the population and development of the west; exploiting the natural resources for the benefit of society; producing new wealth. Go, China, go!

As Mike has offered “The California gold belt is the most proven deposit with the fewest miners working it on earth.”

Scoop asks, “Why is the American investor asleep and ignoring gold and developing the gold assets of its oldest gold mining company?”
 By Rick

07/05/2009  8:37PM

Just another crucial thought....

Let's celebrate our birth of Freedom!

Let's not be caught sitting on our butts while it melts away by thieves.

07/04/2009  11:40AM

Happy Birthday to the world’s greatest experiment in the extension of freedom to all.

It happened in a land called America, which evolved into the United States of America.

When our means of barter are under tyrannical control, be that control appointed, elected or assumed the experiment is over. Freedom suffers. Barter in this instance means the exchange or trade of goods and services for something of equal value. The following American leaders had this to say:

“If you would know the value of money, go and try to borrow some.” Benjamin Franklin

“Money is a good servant but a bad master.” Francis Bacon

“Americans have little faith. They rely on the power of the dollar.” Ralph Waldo Emerson

“The use of money is all the advantage there is in having money.” Benjamin Franklin

“Can anybody remember when the times were not hard and th4e money not scarce?” Ralph Waldo Emerson

"Opportunities are greater today than ever before in history. Young people graduating from our schools have greater chances for health. Happiness and prosperity than had the children of any previous generation. A little money will today in setting up a young man or woman in business will do more than it would ever do heretofore. There is a greater demand today for people of character than at any time in the history of America. Industry, intelligence, imagination and persistence are great gold miners’” Roger Ward Babson

06/22/2009  6:14PM


It was a beautiful day last Saturday for the 98th annual shareholder meeting. About 100 shareholders, fifteen present or past employees and a handful of welcomed volunteers gathered at the mine. President Michael Miller called the meeting to order at 10:37am with a quorum just over 8 million shares. Thirty hands were raised as first time attendees. The President outlined what to expect: lunches served from noon to 3pm, underground tours til 4pm, gold offered for sale (great T-shirts as well), and a review of the activities since last year and current affairs.

Minutes were read and past . The names of Scott Robertson Dan O’Neill and Michael Miller were offered for reelection and elected. Prez Miller revived the financial reports that were sent to shareholders. Revenue dropped $548,000 in 2009 from 2008 yet the loss from operation increased $50,000. Liabilities increased $133,000 and inventory decreased $82,000. This was a result of a much scaled down maintenance program from a production mining program, careful sales of inventory to maximize revenue and efforts by the crew to keep the company operating.

The specimen gold collection sale was a disaster. The catalog was late in its printing with little promotion. Although several people spent great effort seeking a buyer to preserve it , no offers were forthcoming. The Brown Bear property was listed for $1.3 million surface and $2.3 million for surface and mineral rights.

Mike detailed his work to get a bank loan for $3.5 million. What a revealing story about the government stimulus package. A small Plumas County bank and a manager from the federal Department of Agriculture visited the property early spring for a site visit. All went well and Mike’s representation to his directors jumped from a 50/50 possibility to a 80/20 likelihood that the loan would happen. All had reviewed the company’s paperwork and based on a guarantee by the Dept of Ag it looked like it would be funded. The regional government has $1 billion available with another $2.9 billion coming from Congress.

The fed wants to get jobs, get money in the hands of workers and break the ill liquid situation facing the country. Well, two weeks ago the bank rejected the loan. A flimsy excuse was offered. A discussion was held with valuable input coming from some shareholders. Find another bank. After all if a lender has a 100% guarantee that it will not loose its money, what is the problem? If this is what the federal leaders want, do it. Well, another federal agency, the FDIC is regulating the bankers out of the lending business. Sound familiar? Confusion about purpose and fear are alive and affecting the nation’s recovery.

The private loan company ($400,000 first deed) called the note on June 1. The Company must come up with a full payment by September. Mike will pursue a solution. Ideas welcome.

The mine is well maintained. The water level is holding. Some bad ground was caught up with support. The roads and surface looked pretty good. The permits are in order. And the last inspection brought no citations. Shareholder Ott was present and available to discuss the hydro plant. Former director Sandor Holly flew up from Los Angeles and gave an update of the world of detection (not gold but, you know, secret government detection). Much is happening and some will help the Sixteen to One locate gold.

A film crew from London arrived to film gold and the quartz vein for an upcoming documentary. It is the second part of “How the Planet Formed” a high quality presentation of the history channel. No date for showing is know but sometime in the fall.

President Miller ended the meeting raising a metal hammer up for view. It was a pathetic tool: a bent thin metal rod for a handle, a big screw jammed to hold the hammerhead on the improvised handle. But it was solid and could drive anything before it. He said he found it last week while cleaning the old shop. He looked at it and thought that it represented the will and creativity of a distressed miner in need of a hammer. He said,” Times are tough for our company but as this hammer represents how a miner overcomes a problem by fixing it, our situation will return to success. We need to get some more miners working. The gold will follow”

06/18/2009  3:19PM

The weedwackers are buzzing in Alleghany.

Tents are up at the minesite landing.

Ovens are baking goodies for the bake sale Sat.

The clampers are coming to town and the 16 to 1 shareholders and a group of bicyclist! There also is a training operation going on in Plum VAlley Sat. with all the local fire departments and the Forest Service.

Busy weekend.

For those driving to Alleghany Sat. there will be a parade in North San Juan at around 9 am. The way to get around it, is to turn off at Tyler Foote Road off Hwy 49 before you get to North San Juan. Then just past the white fire station on the left and at the store "Mother Truckers" turn left on Oak Tree road, this will take you back to hwy 49 at the post office in North San Juan and hopefully the parade doesn't go down that far!

06/05/2009  10:53AM

Alleghany had heavy thundershowers on the night of the 3rd into yesterday morning. A little over one inch of rain fell. The lightning show was impressive!

An MSHA inspector visited the mine on Thursday. The compliance paperwork was reviewed and no citations were issued.

Please look at the homepage as Rae Bell has been busy updating information on the gold collection. Edda Snyder is putting together a color catalog with individual prices that should be available next Thursday the 11th. Send $10 to receive your catalog.

Edda is graduating from High School today! She has been working in the corporate office a few days a week as part of her senior year studies. The mine is lucky to have her graphic art talent on board and she is learning to do the bookkeeping too! Congratulations on your graduation Edda!

Underground Gold Miners Museum had its annual meeting of membership last Saturday. Two new board members were appointed and the incumbents, whose seats were up, were re-elected. The membership adopted an amendment to the bylaws to allow up to eleven board members. This was done in the hopes of getting more active involvement going. Currently there are six board members and their biographies will be updated soon on the museum web page. A raffle was held of all current members and John Scully won the raffle prize. To become a member and support the museum’s efforts to preserve, promote and protect mining resources through education go to the museum link (upper right) on the Sixteen to One home page and then click on “membership” on the museum page. Underground Gold Miners of California Museum is a 501 (c) 3 non-profit. Donations are tax deductible to the full extent allowed by law. The museum is a separate entity from Original Sixteen to One Mine, Inc. Many people seem to be confused about this. Establishing its own identity is one of the museum’s priorities this year.

The Sierra County Fire Safe council was awarded a grant to create a “fire safe zone” below the town of Alleghany. The project is well underway and must be completed by June 30th.

Sierra County has applied for a grant from the Dept. of Housing and Community Development to build a new ambulance station in Alleghany. A public hearing will be held on Thurs. June 11th at the firehouse in Alleghany at 6pm. This is a much needed structure for Alleghany. Our ambulance is over 20 years old and is unreliable. Downieville Fire Protection District has a new ambulance to give to Alleghany but it is too large to fit in our current structure. As a matter of fact the only way we were able to get the current ambulance in the shed was by shaving a couple inches off the rafters in the shed and removing the antennas from the roof of the ambulance!

06/01/2009  2:28PM

Pencils were sharpened and calculators were firing as David and Mike reviewed the gold collection with the intent to drop prices. Thirty-one pieces out of 100 were studied (all specimens with no carvings). The old price totaled $323,090. The new prices dropped $71,955. Even though the spot price for gold rose from the original pricing, the idea is to bring them down to make some sales.

The next step is to cross-reference them with the photographs made last spring and make a nice spread for this web site. Too bad no one stepped up to keep the collection whole. It is truly a slice of California’s gold as Huell Howser would say.

04/24/2009  8:26AM

It is snowing here this morning! What did I just say?

04/22/2009  10:54AM

Springtime in California is as unpredictable as its politics. It's hot!!

Word is that a couple of hundred tons of footwall has moved into the 800 level so the track is no longer passable. That sounds like a big number but it should be fixed and timbered in three days. Maintainence is on-going and a must for most underground mines.

04/14/2009  1:44PM

It's snowing in Alleghany today. Not reallly sticking though.
 By mnewkom

04/14/2009  1:44PM

For Rick: los osos todavia
estan duermiendo, quisas.
 By Rockroby

04/12/2009  8:59AM

Happy Easter everyone
I hear the Brown Bear is for sale,three million I hope it sells
and the Sixteen to One can get back to mining.Having no luck getting shares on the open market even at a dollar per.Looks like Western Goldfields got bought out by New Gold & Bullion River might be back mining soon maybe they would like to buy the Brown Bear their right next door they also own land right next to the 16 to 1.
May the future be Golden
 By Rick

04/10/2009  5:02PM

Scoop...when you see Mike, mention how I'd like to do a supply run to the Plumbago as soon as the road seems reasonable.

04/09/2009  9:34AM

Road open. Scoop checked in with Buck at the Plumbago Sunday. His beer is holding but getting low. Someone brought him a ten pack of chew, so the tobacco habit is okay. Buck has held order at the mine since 1999. Keep it up, Buck. Mountain House road is blocked by snow at Forest. Drove to the Yuba river bridge at the Nevada County/Sierra County line. Road very rough but passable.
 By blackjack

04/08/2009  7:40PM

Is Kanaka Creek road open, if open how far in ?
 By Rick

04/08/2009  6:32PM

Hello Scoop! No bears sighted in town?

I'm curious about the snow level and snow-pack.
 By Rick

03/31/2009  5:18PM

Donde esta los osos?
 By Rae Bell

03/23/2009  11:02AM

Guess scoop didn't catch the weather prediction for the weekend. They were prediting snow down to 2,500 feet by Sunday. I don't think it got that low, but we got about 8 inches of snow here. It cleared up last night and was 16 degrees on my porch this morning! And as a reminder we ALWAYS get snow in April.

03/21/2009  2:25PM

Hey, almost forgot to mention the two videos to see and vote your preference. It will help the new video production team and someone will win a quartz and gold specimen for their effort. Why not you? Check NEWS for location of videos.

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