April 23, 2017 
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Forum
Topic:
Clips from Alleghany

       

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 By SCOOP

08/04/2013  10:35AM

It is a glorious morning in Alleghany, California’s last gold mining community in the sierra Nevada gold belt. It is hard to believe that thousands of men and women settled nearby. When driving or walking around these now deserted lands, you spot trees or bushes that remain from the endeavors complimenting a long standing mining homestead: apple and pear trees, elderberry bushes and of course the sweet, seedy black berry. Scoop could be sipping a coffee latte right now but instead tosses a handful of those seedy sweet black berries into his mouth.

Well, there is a lot of mining news but details are difficult to get first hand from the miners. Everyone is quite busy. The underground guys continue to explore and the surface miners are fixing everything from roads, utility lines and especially equipment. A low boy Peterbuilt and trailer rolled in with four new tires plus the old ones for the Cat 966 loader. One old tire split and one was a spare that was undersized. Mike found 4 Michelin tires and chose to replace all four. A front seal began leaking last winter so now is the time to replace the seal. It is a major repair job. Did you know that the tire company charges $250 if the customer leave one of these tires behind? The split one is offered to the Alleghany park for the kids to play on.

A couple of gold operations are blaming the reduced or low (ha, ha) price of gold for ceasing or significantly modify their operations. Baloney! If you hear these stories, look a little deeper for the truth. Remember, “Truth, like gold, lies at the bottom.” It is not surprising that there is little underground activity in the mines. Do you have an idea what a gold mine must pay to get workers compensation insurance in California? Think about it. What does an operator pay for each $100 of labor cost? Scoop will give you a moment ot make a guess.

The annual shareholder meeting was held at the mine site on June 15. There was a serious discussion about the Sacramento generated $2 million lawsuit filed in 2009 claiming the company was responsible to pay that amount for not filing 13 monthly reports. The damage was only in paperwork. There was no pollution of adverse effect to the land or downstream from little Kanaka Creek. A class action lawsuit was proposed because the loss affects all Americans, shareholders or non-shareholders.

Another federal agency says the little gold mining operation in Alleghany affects commerce in the United States, which is the authority MSHA claims as its (MSHA) right to inspect the miners’ operation. Wow! The federal lawyer said that because the mine has AT&T it affects interstate commerce. Oh, the phone bill on the date of inspection was $1.44 in long distance calls. What MSHA has done is put inspectors with no underground experience in a complex geological deposit who writes citations which require professional judgment as to safety. It does not work.
.
Ideas on how to challenge the wisdom and legality of this water ridiculous lawsuit are sought. Original Sixteen to One Mine, Inc. does not have a huge bankroll capable of fighting the California Attorney General and the US Solicitor. The answer to the workers compensation percentage is: Underground discount rate is 35.89%. Total payroll taxes are 48.64%. Discount rate depends of payroll size.

No matter the Sixteen to One because of its unquestionable rich geology and its undeniable motivated crew will prevail.
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 By SCOOP

06/28/2013  8:26AM

A group of kids (with adults) are walking from Alleghany to Downieville tomorrow to help raise money for improvements at the park in Alleghany. Pledges in any amount are welcome and should be sent to: ACWD P.O. Box 860 Alleghany, CA 95910 Put the word "trek-a-thon" in the subject line. There will be an article about it in next week's mountain messenger. As far as I know 10 people are signed up. It is a 9.2 mile walk!
 By fredmcain

06/28/2013  5:03AM

Bluejay,

I, too, bought EmGold and Sutter recently along with OSTO. I also bought Hecla and Newmont. I should’ve waited a little longer to buy those last two since they are cheaper now than they were but, what the heck? Who owns a good and reliable crystal ball? Not me. If these two companies stay cheap or fall further, I’ll get some more, that’s all. That helps lead to what some people call “dollar cost averaging”. I am unfamiliar with Probe but I will most definitely look into it along with the companies that our friend “CW” pointed out.

I am truly fascinated by the mining industry. You might even say I have a "passion for it". I think I've always been that way; it's just that it never occurred to me until recently to buy shares in it. I think this is a great business to be in and that’s especially true of the Sixteen To One. One of these days they will probably hit something under the mountain leading to another “big payoff” as you suggested.

You mentioned the “responsible miners with a love of the land” and the “hard working miners” having a “bright rainbow”. You know, maybe I’m wrong about this, but I actually see somewhat of a similarity between some of these miners – especially the ones at mines such as the Sixteen To One or Bonanza Mines – and the small family farmers in the Midwest. These people are attached to the land and are a part of the land. They would be doing just fine if only the government would leave them hell alone.

But the wind can only blow in one direction for so long. One of these fine days, the American people are going to get fed up and yell “enough” and put some politicians in power that will reverse course and rein in some of these insane regulations. At least one can hope. Hope springs eternal.

Regards,

Fred M. Cain
 By bluejay

06/26/2013  2:43PM

I own quite a few juniors out of Canada and a few here in the US like EmGold and Sutter Gold. I bought the California ones, along with OSTO, because I want to participate in the resurgence of gold mining in California. It still hasn't happened but I would like to participate if comes to fruition. Call me a dreamer but I guess that's what I do, inspired by California's past gold mining glory days.

I own one in Canada by the name of Probe Mines. It's treated me the best of any of my holdings. They have a great story, a great president/geologist and are loaded with cash along with the fact that Agnico Eagle Mines owns over 10% of the company. During this big sell-off in gold it's holding up fairly well. I strongly suspect there is a future with this one. Even owning a little will keep you well placed for a possible pay off as their gold resources continue to expand at their Borden Lake property in Ontario.

Concerning the Original Sixteen to One, there is only time between now and the next big pay-off day. How do I know this, easy.?That's the way it has ALWAYS been.

Now if some of these so-called appointed regulators get laid off with California's shrinking budget, along with federal government layoffs that have to come, things may slowly change back to normal when the hard working miners actually had a bright rainbow to follow minus the uninvited government trouble makers.

My advice to people who believe they are qualified mining regulators, get your own house straightened up before you start messing up the lives of our caring and competent miners in Alleghany. We don't need you nor do we want you. We are responsible miners with a love of the land. Sometimes governments really suck in stupidity. They are sucking money out of everyone because they can't even square off their balance sheets.

It's always been about the money.
 By fredmcain

06/26/2013  1:53PM

CW,

Thanks for the information. I'll check into those companies to see if they're still around.

I have noticed that a couple of the so-called "penny stocks" I've been watching (Emgold and Sutter) have kind of been holding their own in the recent gold debacle. They're volatile, but they're hanging in there. Sutter rose back up to 22 cents this morning after trading lower the last few weeks. Then later in the day it was down again.

Oh the hydraulic mining, it used to be that you could see a long stretch of it along the railroad tracks there plied by Amtrak between Blue Canyon and Colfax somewhere. The vegetation has never fully recovered from the damage. That is the kind of thing that, unfortunately, gives miners a bad name. That's really a shame because mines like the Original Sixteen To One are really very environmentally friendly.

Regards,
Fred M. Cain
 By cw3343

06/25/2013  4:24PM

sorry - that was off topic for this category. Move it elsewhere if you wish...
 By cw3343

06/25/2013  4:23PM

Please understand I am in no way recommending any of these, or the two earlier - just merely pointing out the fact they are (or were?) based in the USA.

-Golden Star Resources
-Royal Gold
-Freeport-McMoRan
-Dutch Gold (might be gone)
-Gold Reserve (was in Spokane, but mines in Venezuela - could habe been nationalized...)
-McEwen Mining

And of course the one that is always the most upfront in disclosing and disseminating info to shareholders -- is the Original 16 to 1...

No doubt there are quite a few privately held juniors still around in the USA. I think I even read somewhere that they were considering dusting off some of the old gold mines in Alabama - who knew...

Some good history with Homestake Mining, which was bought by Barrick ~10 years ago. They were the longest listed company on the NYSE at the time!

Also interesting history with North Bloomfield near Nevada City with the Malakoff (sp.?) Diggings. They were the kings of hydraulic mining, with water cannons so large and powerful that a man could not strike a crowbar through the 6" water stream! They dumped tailings into the Yuba River, and farmers in the Delta sued - essentially ending hydraulic mining in CA. I think there is a park or historical landmark near Nevada City, or somewhere, where they operated.
 By fredmcain

06/24/2013  9:21AM

CW,

Yes indeed! You are right! For some reason I really thought Newmont was Canadian, too. I thought I saw that somewhere.

But their website lists Denver as the location of the H.Q.

So, that's good news. I am not familiar with Coeur. Maybe I'll check that one out, too!

Thanks again!

Regards
Fred M. Cain
 By cw3343

06/24/2013  7:55AM

Fred - per your 6/20 post:

I think there are still quite a few US gold companies. For instance, Newmont is in Colorado (or at least they used to be).

Coeur is silver, but they are US-based.
 By fredmcain

06/24/2013  5:43AM

I was looking at the "AccuWeather" radar map and it looks to me as if Northern California is receiving some rare early summer rain!

I sure hope that reduces your fire danger in Allegheny!

Regards,
Fred M. Cain
 By fredmcain

06/20/2013  8:22AM

I never heard of "Colossus Minerals" before so I did a search. Amazing! Another Canadian company!

Is the Original Sixteen To One Mine the only gold mining company left that's actually chartered in the United States?

Regards,
Fred M. Cain
 By SCOOP

06/19/2013  2:30PM

It’s sad, no pathetic what has happened in the small cap mining market. Colossus Minerals spent time and money to issue a press release June 19, 2013) that it was actually going to pay a semi-annual note interest payment. Wow.
 By SCOOP

06/03/2013  7:15PM

Has the mine mentioned the unknown animal devouring food at the 1000 level station? The big cat footprint going south took place at the same time, so it overshadowed what was thought to be a little mouse’s activities; however these miners seem to appreciate any life form entering the depths of the mine. They decided to catch the little creature and return it to the great outdoors. A trap was set!

Day one: the bait was gone but no animal was caught.

Day two: the delicious treat inside the trap was gone but no animal was caught.

Day three: the cage was pushed up against a mine timber so the latch would not be set free. The food was gone but no critter was trapped. Now the miners’ minds were engaged. This must be a smart little fellow. All precautions were set in place. The miners knew they could out think the four legged thief.

Day four, actually the morning of the fourth day when the miners arrived at the station, the trap door was closed. A beautiful tail was seen pressed against the wires. No, it wasn’t a mouse. It was a ring tailed cat, not the big guy that hangs around the lower shop. This was a youngster and a beauty at that. Joseph pulled out his camera. (Scoop has yet to see the pictures but heard that Joseph almost teared up at the sight of the cute little young one. Was he thinking about taking it home?) They carefully carried the cage up the Tightner Shaft, down the 800 level and opened the cage door behind the shop next to the creek. Freedom!

Scoop wants to get this photo for you to see. Ring tailed cats are known historically as the miners friend. It is a rare event to see one. But the questions remain. How did these animals and why did these critters enter the mine and travel down the shaft to the 1000 level?
 By fredmcain

05/28/2013  1:52PM

Godesses, Martin? Huh?

You've really got me wondering. I really hope I can make a trip out there some time!

Regards,
Fred M. Cain
 By martin newkom

05/24/2013  9:57AM

Congratulations to Gma Rae on
the latest "Blessed event" and
thank the Lord for Mike having
the two "Gold Godeses" in the
Origsix office.
 By SCOOP

05/15/2013  5:42PM

The 2012 annual report was mailed to shareholders yesterday. The theme is “The Year of Exploration” and covers the current and future emphasizes for the company. The cover has one of the most valuable gold specimens to ever come from the mine. W When Rae gets back to town from helping with her fresh granddaughter, Scoop will ask her to post a picture on the web site.

Just like a good fish story, reports of a recent gold fine are overstated. It was better than the crumbs but not up to the size that excited the miners years ago. Source says not to belittle the happiness gold brings. We want to stay on good terms with the gold goddess. At least the usurious demand for 18% interest on back taxes is extinguished. Tomorrow’s Mountain Messenger has the front page picture and story. If you read this forum and don’t have a subscription for a truly one-of-a-kind newspaper, pony up for a year’s subscription.
 By martin newkom

05/10/2013  12:43PM

I read the topic of "rails in the
mine" What might be the signif-
igance of that requirement?
 By SCOOP

04/01/2013  11:44AM

The annual shareholder's meeting will be held on Saturday June 15th this year. Today is the date of record.

The museum also will have its annual gold show that weekend. The museum has a new website under construction at the same address: www.undergroundgold.com

Very warm weather for over two weeks now. A thunder storm over the weekend knocked out the radio repeater on Ruby Bluff. All of our local fire departments depend on this repeater to be able to communicate. Lee Brown the fire chief from Downieville (grew up in Alleghany) spent his Easter morning making the journey from Downieville to Ruby Bluff via snowmobile? (Need to ask him.) to fix the problem which he did! By 2pm the radios were back online. It takes many dedicated volunteers to keep emergency services operational in rural areas. In urban areas it is taken for granted that somebody will be paid to respond when you need help. Not so here. What is worrisome to Scoop is that the age of our volunteers keeps increasing with very few (if any) volunteers age 39 or younger. In the case of Alleghany the youngest volunteer is 47 and the oldest is pushing 70.
 By SCOOP

03/08/2013  4:29PM

Rain, snow, hail and sun warm enough to act like a lizard on a rock pile. This has been today’s weather report from Alleghany. The Sacramento news TV stations pay weathermen to inform us. Scoop can only laugh when the little chart shows the sun partly shadowed with water drops, and flakes (snow). Then the announcer comes on and says something like this: partly cloudy with chance of rain, snow at higher elevations, intermittent thunder and lightning possible. They get paid for this???!!!

Here’s a mining report from Alleghany: gold located at different places, a lot in specific locations and none at all in others; chances of finding it daily except when no one is looking for color.

A fellow found a 1833 gold coin recently nearby. No gold seekers were in Sierra County in 1833, so speculation goes that some mine must have lost it while panning. In any condition the rumor is spreading that it’s worth $16,000. In mint condition the price may exceed $100,000.

The traveling vet came to town last Tuesday. He set up in the Sixteen to One office to give two cats shots and pull a tooth from another cat. A big dog stayed outside and took a shot in his rear.

In June road work will begin to replace the surface from Ridge road to the ‘Y’ in
Alleghany. All bids exceeded the estimate. The lowest bidder came in at $1.9 million. Changes are taking place to settle the difference of under $200,000.
 By RyanBaum

02/23/2013  12:03PM

Thank you, SCOOP, for some additional context. When I reread the article, I came to two possible inferences:

The second to last paragraph includes the phrase, “other pressures than local and stockholder interest.” Could this imply personal challenges whether financial or succession related? The last paragraph then refers to “quiet for too long dealing with…” could imply nearing a settlement or truce with the various agencies.

I'm hoping for the later as I only wish the best for our leader of the firm.

Any further "scoop" from you, SCOOP?

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Alleghany, California 95910
 

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