November 24, 2020 

Correspondence from the President of OAU


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 By martin newkom

06/15/2008  9:51AM

It is said that the odds of
drilling and finding paying
quantities of oil and gas is
around 17to1. Gold might be
greater odds.
 By Michael Miller

06/12/2008  1:09PM

The following “President’s Message” was mailed to all shareholders of record with the 2007 year end financial statements.

Dear Shareholders,
You are receiving a shortened annual report this year for the second time in the past twenty-five years. This decision was made to conserve our limited supply of cash. As always we will have open discussions at the meeting in Alleghany. Please call me, write or e-mail for additional information about the company and our plans or other questions you have.

Mining and Financial Results
Our assets are all in tact but our liabilities have increased since last year. The underground workings are being maintained while I am addressing the most urgent obstacle blocking gold production….working capital.

Last year’s production was the lowest since we took back the lease on the Sixteen to One mine and began operations. It was so bad that even I cannot believe the results. We basically emphasized two underground targets during 2007: rehabilitation of the 1000 -foot level and short-term gold targets. Both failed. Gold production was less than 100 ounces. We followed a speckled trail of spotty gold, which never wired into a typical and expected Sixteen to One pocket.

Geologically speaking, we are blessed with volumes of historical data to interpret and rely on for finding gold. Gold, which is the best indicator of a high-grade pocket, was scattered in and around the quartz on the northern 800- foot level. Remember, we are not prospectors who test supposed discoveries of valuable minerals. Our venerable company is one of the few actual American gold producers. .We just ran out of time to continue the exploration.

Our main underground mining investment was clearing the blockage on the 1000- foot level north of the Tightner Shaft. The goal was to reach the known productive areas in the vicinity of the Red Star mine. We need access, a reasonable highway to move men and materials, to attack the targets previously identified and produce gold. I was very disappointed at the progress. Time and money were running out, so I pulled the crew out of the heading and repositioned them to find gold. The gold continued to elude us. Lay off notices were given in November, and we began a maintenance program, which is still in place today.

Working Capital Solutions
Three solutions on how to proceed were carefully considered: selling our mines, selling treasury stock and selling the gold collection, which was the best choice. You may or may not have the opportunity to see some of the 100-piece collection at this year’s annual meeting. I hope not because I want it sold by then. A gold mine without a grubstake is like a sailboat without wind or a racecar without gas. Once our sails and tanks are full, I expect to successfully implement the following: mine gold, reactivate the public market for stock trading, build a gold detector designed specifically for our vein system, become debt free and have some fun.

On the bright side the gold market continues moving in positive directions. The demand for Sixteen to One quartz and gold is very strong. Most of the people I talk with believe monetary upheaval will get worse. If so, your position in this real gold producing company should bring you financial gain and some peace. I placed some big bets on this mine, company and other Gold Sector findings and remain very confident in the ultimate rewards are worth the gray hairs.


May 26,2008
 By Michael Miller

05/27/2008  1:30PM

To Those in the Process of Rewriting History:

History is replete with heroes and villains WHO offend our modern sensibilities. It is important to assess people in the age they lived. In 1849 little attention was paid to conserving natural resources, which today are called environments. Few paid attention to the rights of the INDIGENES as well. Your program is both flawed in its social account, ANACHRONISTIC and use of the hard sciences as it pertains to the California Gold Rush. It is a mistake to contend that the Gold Rush miners cared less.

It seem to me and others that you are trying to see how much TRACTION you can get out of the political environment. By using the template that the “most extreme views win out” and thereby prevailing to EARMARK scarce money to fund this scheme, very valuable and tangible losses to our environment will occur. If your concern is the presence of toxic elements, SOLUTIONS exist to solve this problem. I offer my assistance as well as Original Sixteen to One Mine resources to improve our California life style and our California dream.

The California gold rush was a REVOLUTION that rumbled across the oceans and through each continent. It manifested itself demographically by drawing hundreds of thousands of people to CALIFORNIA; politically in propelling AMERICA along the path to the Civil War; economically, by spurring the construction of the transcontinental railroad; and socially by unifying the VAST and WILD open lands into the United States of America. Putting all this aside, the Gold Rush established a new template for the American DREAM. The world was long aware of the promises held in America but never had the promise been so decidedly, so gloriously material. The new DREAM comprised the universal hope that anyone could have what everyone wants: security in old age, a better life for one’s children and the many FREEDOMS that seem to come from independent wealth.

Yes, the new dream had a dark side as it replace the slow EVOLUTION of California, which began with the eighteenth century religious expansion of missions. It destroyed as it created new attitudes and a changed landscape. The Indians lost their way of life just as the Californians lost their EMERGING culture. An historical analysis of mankind would likely suggest that these changes were inevitable when considering the grim fate of aboriginal people almost everywhere. The DESTRUCTION of the tribes of California may not have depended on the discovery of gold, but the gold certainly hastened the process.

Did the Gold Rush affect the environment? Of course it did; however the changes appear insignificant COMPARED to the events of recent history as people rush to occupy the fertile two hundred mile gold belt, home to millions of ounces of GOLD extracted and millions of ounces of GOLD that still rest in the ground. How much control over a free people can you exercise without lurching into tyranny, which will rarely operate for the good of the people OR the environment?

H.W. Brands in his authoritative book, “The Age of Gold” expresses the ultimate meaning of the GOLD RUSH this way. “The Gold Rush shaped history so profoundly because it harnessed the most basic of human desires, the desire for happiness. None of the gold-seekers went to California to build a new state, to force a resolution of the sectional conflict, to construct a transcontinental railroad, to reconstruct the American dream. They went to California to seek individual happiness. Some found it, some didn’t. But the side effect of their pursuit—the cumulative outcome of their individual quests—was a transformation of history. The men and women of the Gold Rush hoped to change their lives by going to California; in the bargain THEY CHANGED THEIR WORLD.”
 By martin newkom

04/02/2008  10:15AM

Yes, there were stream miners
referred to as "grifters" who
were forced into the activity
because of the bad times.
 By Rae Bell

04/01/2008  10:42AM

I thought the second California gold rush was in the 1930's during the Great Depression?
 By Michael Miller

03/31/2008  3:08PM

A shareholder sent me an article from London’s Financial Times 30 Mar 2008 titled:
“New California Gold Rush As Prices Soar”. It’s cute but far-fetched.

Though it's been more than 160 years since the first California gold rush, record high prices of the precious metal are driving a new gold rush, equipment retailers and government officials say.

“This is the second big California gold rush. We’ve had a lot of phone calls from people who are quitting their jobs and prospecting full-time," Harrigan McGregor, owner of, an equipment retailer in northern California, told London's Financial Times.

The Bureau of Land Management - which handles commercial mining claims, most of which are for gold mining - said new claims are up fourfold since gold topped $1,000 an ounce earlier this month. It now hovers well above $900 an ounce.

Roger Haskins, senior specialist for mining law at the BLM, told FT the high price of gold was “obviously driving [mining] activity up tremendously."

“We have a market imbalance at the moment and there’s more demand than supply,” he noted. “Gold sits in a little niche because it’s speculative?.?.?.?People buy it as a hedge for the future."

The most notable mining location for gold is a strip known as the Gold Belt, or “Motherlode”, which runs near Highway 49 (named for prospecting “49ers” of the 19th century) and the Sierra Nevada mountains.

Experts say only about 5 - 10 percent of available gold had been mined already.

Here are my comments:
1. The second California gold rush began in 1975 and lasted until the beginning of the 1990’s bear market. It was the awakening of the unmined gold left in the Sierra Nevada mountain range and other former gold productive regions in the West. What is now happening in the gold sector in California is basically apathy. I doubt many people are quitting their jobs for the rigors of prospecting.
2. It was less than a month ago that gold passed the $1000 price. I doubt many people headed for the mountains during the winter to stake a new claim with the BLM. Many companies and individuals abandoned marginal claims as the filing fees increased. Few if any claims with gold potential were dropped. Any increase in filings would likely be on dropped claims with little economic value.
3. California’s gold belt tops the most proven gold deposit with the fewest active mining operations. A safe estimate of unmined lode gold is in the 80% to 90% range; however the surface placer gold and shallow pickings are probably 90% gone. Gotta love those Brits for comprehensive and reliable reporting. Unfortunately, an article like this could appear most anywhere. I do, however expect more trucks pulling into Alleghany with anxious men ready and equipped to pluck that easy gold from the waterways.
 By Michael Miller

02/28/2008  10:23AM

Yes, Dick, it is not only possible but very likely to locate a signal 20 meters or more.

When we were inspiring electronic inventors, dreamers or complete nut cases after our successes with detectors (1992) were widely publicized, all degrees of the above named wizards found their way to Alleghany. It was a lot of fun. I kept an open mind and discouraged no one to test his or her invention at the mine. I knew that the technology to find gold in our quartz veins was “the real deal”. We proved it time and time again. Any improvements would mean more pockets of gold to mine.

Perfecting detection in the range of five to fifteen feet was our main thrust. Some of the equipment I saw detected a signal three hundred feet or more. This great distance was not particularly valuable to us because we already identified our vein system and to drill a core or drive a drift three hundred feet on an unproven signal would be expensive and foolish.

The electronics for identifying gold verses iron differs. I think iron technology is more advanced than gold technology because of its value (and financial support from taxpayers) to military applications. One group of investors that came to Alleghany was made up of retired military high-ranking officers. They were also gold mining lovers. One night after a barbeque (they supplied the steaks and scotch) we lit up some Cohiba cigars I smuggled out of Cuba. The talk turned to Russian and American military history, so I listened but led the conversation with questions. I respected these men and will never forget that night of conversation. Why am I telling you this?

These men, retired generals and admirals, knew the value of technology and related its military development over their careers. Now they were pursuing gold. A reoccurring remark that night was how much more enjoyable it is to work for gold than for a better way to kill and destroy. I was humbled and honored to be in their presence.

We have yet to perfect the search for gold. Technology of detection and deception with other metals has reached outer space. Much of this advancement will benefit our development. Finding a WWII buried tank is not a problem for hunters today. Finding gold at the Sixteen to One will not be a problem after our technology plan is set in motion. We will change the face of underground small vein high-grade mining. We have the best mine in the world as a beta site to do this.

Thanks for the question.
 By martin newkom

02/28/2008  10:20AM

Mike, my holding of the 16-1
is partly historical and e-
motional, ie I am owning a
piece of my heritage: my mother
was born in Alleghany near
where the Red Star cafe is,
my grandpa and one of his
brothers ran the general store
there from 1900-1915, approx.
Those two also operated the
Eldorado mine which at that
time was a complete "craps
shoot" and they went broke,
however my grandpa had an
almost completely ongoing
checkers game with H.L.
Johnson of the Tightner.
All I am doing is offering
a possible suggestion for
promotion if the 16-1 with
the caveat that it must be
economical or it is not
feasible. I have in no way
any problem with management
who is doing a fine job under
the circumstances.
 By Dick Davis

02/28/2008  12:21AM

Dear Mike,

Currently the news is reporting a hunt for WWII treasure in Saxony Germany. An article claims that a “sophisticated metal detector” has indicated gold at a “depth of 20 meters.”

Depending on geology, is this at all possible?

Best regards,

Dick Davis
 By Michael Miller

01/03/2008  4:12PM

Bluejay, are you familiar with the data that goes into specifics about our development that is available to anyone? If not, please get it. It is offered for free by e-mail or regular mail. The info can be found a few entries below this one.

Specific corporate advisors are listed on the short form executive summary. There are nine names. Eight have over 325 years of mining experience. All have had exceptional careers and continue to be of great value to the Sixteen to One. There are others who are readily available to me (not listed) with the touch of a phone. Our Company is fortunate to have such people on board and interested in participating in our success. One of them called me within an hour of your posting with a recommendation that I respond.

Martin, promotion or “getting our name out there” can be expensive. Liquidity is a result of public promotion. In the process the market place allows owners and non-owners to decide whether to buy or sell. I know a lot about the Gold Sector market and have advisors who know more than I.

For all those without a gold position and on the sidelines the questions are, “Do I have discretionary money to join the future excitement in the Gold Sector? If so, how shall I do it?” It is true that if the first answer is yes, will that person even know there is a situation like ours available. Our use of proceeds addresses this current shortcoming.

Over the past thirty years gold speculators (they used to be called “gold-bugs”) have had a decreasing selection of opportunities in the stock market. Many companies merged and most others have poor prospects of actually producing gold. There are gold speculators still, but there are few if any gold bugs anymore. When I got into gold, the “gold-bugs” were twenty years or more older than I. Most are dead. I have not see an infestation of new gold bugs hitting the marketplace. Having said this I do believe that more and more people are aware of the necessity to preserve (store) their wealth (assets). Gold is a proven way to do this. Ignorance is our biggest enemy. This FORUM has always been maintained to inform, educate or entertain. It is an economical method of advancing our company and ideas. I have yet to discover a better gold play in the marketplace than the one we have detailed in our data package.

Please reread the entry in this topic submitted on the first day of 2008 . I must have failed to express what I meant to say or what I wrote is not what you heard. I welcome any improvement.
 By bluejay

01/03/2008  1:28PM

Gold almost hit $870 today and most would expect that shareholders would have something to show for it with an advancing share price. Instead, basically, no one cares, how sad.

I, along with many, have invested in this operation with unsatisfactory results.

Everything positive I have read is stated to be just right around the corner and it has been that way for years.

I think it is high time for the board of directors to take some responsibility for their elected positions by figuring out why things are not working out or by hiring an outside professional to tell them.

Personally, I would like each board member to submit to the shareholders on this forum page what they have done and what they are doing individually to increase the value of our company.
 By martin newkom

01/01/2008  8:19AM

The company needs to explore
an economical way to promote
its common stock other than by
present means whether it is by
an exchange, bulletin board,
pink sheets, boiler room or
by direct sale. There is not
enough apparent publicity now
going for the mine.
 By Michael Miller

01/01/2008  12:19AM

Why I would consider putting some of my money or available assets into a gold company:

1. The Gold Sector must have strength and length.

2. There must be an honest buy/sell market for my investment. If events both external and internal look better than they do at the time of my purchase, I may invest more. If circumstances deteriorate significantly or my personal needs change, I may convert back to cash and find another speculation, investment or storage of my wealth.

3. No matter what the size of the market capitalization or any other relevant figure stated in financial statement or other company documents, my rationale for determining the amount of risk to the amount of reward (my money becomes greater than the amount spent) leans towards the reward side. Time is also a consideration.

4. There must be some unique, specific or other reasons particular to the company beyond those general reasons within the Gold Sector on the horizon.

5. The Company must disclose an outline of its current situation and its program or plans for the future so I can make an evaluation of its proximity to reality and its likelihood of success.

IN OTHER WORDS FORECASTING, AS ALWAYS, IS THE KEY TO PROFIT. It will be up to me to conclude the upside potential and the downside risk.

A package of documents is available either by e-mail or regular mail for you to forecast and predict what will happen to the Sixteen to One mine in 2008, one hundred and twelve (112) years after its discovery in 1896.

Address: Original Sixteen to One Mine, Inc.
P.O.Box 909
Alleghany, CA 95910

If you send for the information, I would appreciate any constructive criticism you may have for us to fulfill our dreams and the implementation the our plans for the future.

Sincerely and best wishes for year 2008 and your future,
Michael Meister Miller, president
December 31, 2007
 By Michael Miller

11/12/2007  5:30PM

Dear Andy,

It was a long and enjoyable conversation we had today about gold and the opportunities at the Sixteen to One mine. I just wrote the following historical perspective that fits nicely into our shared beliefs.

Californians will occasionally read a newspaper story about all the abandoned mines throughout the State. Are these mines really abandoned? Likely nine out of ten people not directly involved in mining, when the subject of gold mining comes up, respond automatically with something like, “Oh yeah, there are a lot of abandoned mines out there.” There is very little awareness on the part of the general public or no awareness of the facts that contributed to this historical ignorance.

The spot price of gold was frozen at $35.00 an ounce in 1934 by U.S. legislation. Nothing else in the country was frozen. Nothing else that human beings buy and sell was frozen, only gold. The spot price of everything else went up either due to inflation or the economic principles of supply and demand. This is what caused most of the mines to close. There is no awareness that those “abandoned” mines were not abandoned, they were forced to close by $35 gold. The next knock out punch was the federal war limiting order of 1942 by Presidential Order to force miners into essential war industry by significantly cutting back supplies available to the mine operators. After the war was over everything else except gold went up in price. There was no point in opening or reopening a gold mine. Those that did survive like the Empire in Grass Valley, California (closed in 1956) and the Homestake in Lead, South Dakota (closed a few years ago) eventually got caught in spot price manipulation.

The gold and anti-gold bugs have persisted for generations. One of the casualties of the $35 spot price fix was that an entire generation of men who would ordinarily have gone into mining did not do so. One consequence was felt in the modern gold rush that occurred after the price fixing of spot at $35 was lifted by legislation in 1974. Gold mining had blossomed with large open pit metallurgy. The footprint of mining changed. The generations of underground gold miners were in short supply. Skills were lost.

Fortunately, for the Sixteen to One mine in Alleghany, California, gold mining in this high-grade district defied the $35 spot price. It and others were operated by their owners and continued to be mined by aged miners. In 1975, when investment capital appeared, eager to strike it rich, few young men could be found with the skills to get the gold. Unproven and untested men responded to the new liberation of gold. It is all about price not source. Unfortunately, most operations suffered from the generational loss of experienced men to teach their skills as underground gold mining craftsmen. Many mistakes were made and much money was lost and again most of the mines fell silent, a condition that exists today.

Limitations, fixations, interventions, inflation and regulations about wiped the underground gold miners from the “abandoned” mines. But that was not enough to complete the job. In addition to the $35 route of ’34 (no longer a factor) a new idea was implemented to beat back the appeal or opportunity of gold. It was called the IMF GOLD AUCTION.

The IMF (International Monetary Fund) played a major role in gold prices during the exciting years after gold was de-regulated. In 1977 its last monthly gold auction on December 7 awarded 524,800 ounces of fine gold. Awards to successful bidders were made at a common price of $160.03 an ounce. Prices submitted ranged from the common price to $165.00 an ounce. Bids were received for a total of 1,133,600 ounces. Various market sources expressed their disappointment at the results of the December auction and pointed to it as the reason for the sluggish action of gold in recent weeks. (Gold was unable to rally even though the dollar’s weakness was quite pronounced.) It turns out there was a “leak” by somebody at GSA or U.S. Treasury that the Treasury was printing forms for its own auction to be held soon. Professional traders began shorting the yellow metal and to a certain extent so did the public. Months later the Treasury announced it had not printed invitation forms for an impending gold auction. Some who were short for the February delivery in New York or the March delivery in Chicago were in for a rude awakening.

Something I noticed years ago and is currently true today is the privacy of gold buyers. Gold is a storage of value with characteristics like no other asset. I was surprised to discover a list of the December 7, 1977 buyers of the IMF auction. It included: Union Bank of Switzerland, Zurich, N.M. Rothschild & Sons Ltd., London, U.K., Republic National Bank of New York, New York, U.S.A., Homestake Mining Co., San Francisco, California, U.S.A., J.Aron & Co. Inc.,New York, U.S.A. and three banks from Germany. In total there were nineteen buyers of the 524,800 ounces.

You are right. People with no gold mining background or experience in gold or mining may find our plans difficult to understand. Thanks for you help in developing working capital. Original Sixteen to One Mine, Inc (yes, I know you are a shareholder and know this) never was nor ever will become an “abandoned” mine. Its owners know its resources value.

 By Michael Miller

08/14/2007  12:56PM

Brief Analysis
August 14, 2007

One big obstacle blocking this business opportunity is reaching consensus of the ultimate objective. Shall the Company be a conduit for making more money so the players can then do it again with another venture? Can it become an end in itself rather than another means to an end? Few people know our vision. Why? Probably because management is unable or unwilling to discuss the vision and end product. Only a few people have expressed an interest and also have some ability to advance the vision. If I cannot find them, they must find me. The public vision is readily found throughout company documents.
We discussed diversification. I agree with the concept. There are two immediate areas of great future growth that nobody is cracking: forest improvement and water treatment for stream bed mercury. There is a worrisome collapse of the lumber milling industry in California. There are mine sites (20,000) in California with alleged “toxic” water discharge. We have the knowledge to meet these needs. Imagine miners wearing white hazard suits cleaning the mercury from the streams and getting paid to do so. What do you think will be attached to the mercury? That’s right…. gold. The fear of regulations has sparked property owners with “toxic” discharge to offer their land to the Company at reduced or no cost.
Signs are appearing in print that the environmental movement has reached acceptable lunacy. My logging friends and I discuss solutions to the problems now cited in newspapers: fire dangers (too much understory) and excessive imports. There are no better businesses in the world than the ones where competition is minimal and demand exceeds production.
Water is a California resource of expanding interest. Our next phase of water development is generating power and redefined consumption. The Company has water rights to enter both these lucrative fields. Our water should become a great hit because of its minerals. The world suffers a shortage of minerals in all areas of food and beverage (World Health Organization). The “waste” from our operation has positive soil amendment minerals and is a great gardening product.
The Company owns large land positions in two very appealing rural locations in northern California. Both locations could be successfully developed for recreation and tourism.
The Company is not just another gold mine. It operates a precious gemstone mine. Currently, only one commercial operation produces quartz and gold in the world. Ours is noted as the best in color pattern and hardness.
Original Sixteen to One Mine, Inc is more than a one-dimensional opportunity. It can dominate the natural industries of high-grade mining and forestry husbandry.
 By Michael Miller

07/12/2007  1:19PM

For those of you new to this web site and the Sixteen to One mine, some confusion make arise about the hoopla-taking place in the courtroom. Dig deeply under NEWS and the FORUM for an historical presentation. Do not be misled about our corporate goals, our past accomplishments and our visions for the future. We find and mine gold for our existence. That is my main interest.

Original Sixteen to One Mine, Inc is the last and oldest traditional underground, high-grade gold producer in the United States. Gold mined from the well proven quartz vein system can be documented by reading various technical papers included herein as well as reading the newsletters and annual messages from the president. Even after 100 years of mining the people most familiar with the mine and company are excited about what’s ahead.

Noteworthy great strengths are the men and women who have and continue to participate in the ongoing affairs of business. I hope to expand those numbers as we proceed with developing our corporate assets. Gold, while not attractive to some has its own proven history and value for over 6,000 years.

Past board members can also be found here for your evaluation. With this introduction I submit a recent letter from a long time friend and confidant, Charlie Brown.

Supreme Court of California
350 McAllister Street
Sacramento, CA 94102-4797

July 4, 2007

RE: Court of Appeal CO516696
Supreme Court Case S153654

Ladies and Gentlemen:
My name is Charles I. Brown. I was a Director of the Original Sixteen to One Mine, Inc. from 1990 to 2002. I am very familiar with the circumstances surrounding the
death of Mark R. Fussell on November 6, 2000, and have diligently followed the developments since that time.
In my opinion, the indictments for manslaughter were totally unjustified and without merit, as determined by the Superior Court which dismissed the case. Also, the dismissal and/or favorable resolution of all fines by MSHA and Cal-OSHA are powerful evidence that the death was accidental and the indictments unwarranted. It is therefore my opinion that the indictments were politically motivated.
All the courts that have ruled on this case have also agreed that the prosecution of this case was illegal. The District Attorney of Sierra County never legally appointed the CDAA attorneys, and the attorneys did not conduct themselves in accordance with the California law that governed their activities.
The decision by the Court of Appeal to grant the CDAA attorneys immunity under the anti-SLAPP statute is totally illogical, and fails to follow the facts and the law. It is apparent that the Court of Appeal reached its decision independent of the facts and the law, and then had to bootstrap an illogical justification for their decision. Under the circumstances of the earlier decisions in favor of the company and Mr. Miller, the award of attorney fees to the CDAA attorneys is incomprehensible.
I urge you to review this case inasmuch as the decision by the Court of Appeal could have significant and widespread effect on the rights of citizens to challenge the authority of a defendant to exercise powers reserved exclusively to the government. Additionally, the case deserves review solely on the basis of the award of attorney fees.
I know that both Mr. Miller and the Original sixteen to One Mine, Inc. were severely damaged by these illegal indictments. It is impossible for a company to arrange financing or otherwise conduct its business when its CEO is or has been under indictment for manslaughter.
Thank you very much.
Respectfully submitted,

Charles I. Brown
 By Michael Miller

05/07/2007  4:46PM

Short crew this Monday. Still 1000 level advanced five feet and two rounds in secondary headings. Also a new mechanic on board to fix our rolling stock (two loaders and one flat bed truck.

This sounds like something SCOOP would write about, which is not my purpose. I received a letter today from an investor wishing to take a good position in the Company. He found trades on the pink sheets for a penny or over the years for a dime and became confused about the private placement price. Don't fault him. For more information on this subject check Stock Exchange Listing on FORUM. Here is my reply.

Dear X,

Good to hear from you. I also would be feeling uncomfortable with the information you have at your keyboard regarding two markets. This topic has been discussed on the FORUM over the years. It has been called the gray market, which some brokers have used the pink sheets for grounding (stealing is a better word).

A former director sat on the Pacific Stock Exchange (PSE) in SF for many years. When the PSE closed OAU (the exchange symbol) lost its public market. I let it go to conserve money. Plus gold was in a heavy bear market, so stock interest was low. The exchange on our web site is the fairest market for buyers and sellers. The price represents knowledgeable and willing buyers and sellers. A shareholder selling via the pink sheets has a broker or lawyer who is either lazy, dumb or a white-collar crook. Take your pick.

There is no bid or ask on the Pink Sheets. The transfer agent gets some transfer notices but does not know the buyer or seller. It is usually a clearinghouse. All shareholders of record receive an annual report with a meeting date and voting proxy each year. Therefore shareholders know about the market place on the web site. Why would anyone sell their stock for a penny or even twenty pennies when a buyer has an offer above that price? The Pink Sheets list a phony market. I will once again contact US regulators about the situation but once again nothing will change.

The company places a value on its treasury stock greater than either market price. Until the fools have liquidated their stock or have been cheated out of it, this pink sheet fraud will continue. When I pulled up, I noticed very little volume. This will correct itself when we hit our next pocket or when I have successfully borrowed some working capital to implement our mining and business plans. I am confident that the problem you see will disappear rather quickly. As a major shareholder I value my shares well over $1.00

With this situation I understand you may not want to proceed. I am glad you wrote back and will continue to blast the pink sheet boys for screwing with our shares. I do not care for the American public market situation and have written that we will entertain listing on some other country’s market if a good one can be found. Gold is looking very strong and there are not many opportunities like ours around. Please stay in touch.

 By Rick

04/02/2007  10:04PM

Please read below first! Scroll down to Michael Miller's recent entry first to get a perspective.....

My inference in the more-recent Forum entry just now, the one to a "shy-lock scheme" is bourn from a love of Elmore Leonard's books and yet there is an applicable reality check here: not a caviat, just an explanation of how there is absolutely no way I was referring to the Sixteen to One Mine as the shy...instead, the other way around.

The real deal is always the real deal. After all, "It's not lying when it's true."

Now, anyone that wishes to meet me in person and find out for themselves who I am, I plan on being at the hearing, this April 18 in Sacramento, to witness the CDAA's misguided pitch, and if called upon, offer my own. I'll be the guy guy who looks just like you, except I may have recently gotten a hair-cut...just because it's been tickling my ears, not my brain.
 By Rick

04/02/2007  9:52PM

Considering the asset, the stock is worth upwards of $2.00 per share traded in an open forum. Sub-penny purchases in a sly trading venue substantiates value upward of $5.00 per share, being a shy-lock scheme.

No, I don't owe anyone money, and do own some legitimate shares in OAu.
 By Michael Miller

04/02/2007  4:59PM

Here is an issue of concern for the Company.

From time to time sales of stock are reported to us. Someone has been buying stock between $0.001 and $0.195 for several years (Bloomberg account). The current bid on the market is $0.01. Shareholders aware of this have written the SEC complaining and asking me to investigate. One shareholder placed a bid with his broker for 10,000 at $0.10 when he heard stock was selling for $0.01. Even though he placed a higher bid, it remained at $0.01. A shareholder wrote that the pinks and OTC Bulletin Board were the source for the penny quote. I contacted Carl at, who said OSTO is not on either pink sheets or OTC Bulletin Board. I later received a communication from a New York broker that Hill Thompson was a market maker on the Gray Market, so I called Hill Thompson and talked to George on the trading floor. The following summarizes our conversation and was sent to him.

April 2, 2007
Dear George,

I am somewhat smarter after our conversation today but still do not know how to treat the trading abuse of Original Sixteen to One Mine, Inc stocks (OSTO). I asked about the Gray Market. You called it the “non published price” market, which is how OSTO is trading. You said that upon receiving a sell order, you find a market maker to buy; however apparently there are no market makers except Hill Thompson. If there is a market maker, how can I identify him? If there are no market makers, how do we get one or what happens to the stock shares that are sold?

My responsibility is to protect shareholders from unfair stock market trades for both the seller and buyer. Also, it serves the Company no useful purpose for stock accumulation at a penny or other price below the current prices that can be found on the Company’s web site (OAU X-Mart).

You asked about our transfer agent. Our transfer agent is a meticulous record keeper. He transfers all the sales on OAU X-Mart. We may not know about sales/transfers by shareholders in street name, especially if they object to the release of information to the companies they own. Also this is a very old company. Many shareholders are third or fourth generation descendants from the first shareholders. They may be out of contact with the company and have an old share certificate. This is important because there have been two stock splits and one old share now equals thirty shares.

Some shareholders are willing to increase the penny bid but have had no success with their brokers. Is there a better way to handle this issue? We need a quick or short-term solution. Our goal is to bring our financials into SEC compliance (needs auditing), find an appropriate market place and the problem will go away. Until then, your ideas will be appreciated.

Michael M. Miller, president

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