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Hey we can get Arnold as a board member now!
think of all the publicity. 🙂
Scoop – after reading your last about MSHA and the hearing, I started to get pissed off at what is happening at the mine and at society in general. First of all, the MSHA is just another bureacracy created by a bunch of politicians to justify their positions and create their legacy as the protectors of society – yea right! They – bureaucrats – also believe in the notion that if people/organizations/industries can’t be responsible for themselves, then the government will step in and do it for them. What ever happened to personal responsibility? Granted there are aspects of the MSHA that are good in that they promote safe mining standards and practices – most of which any mining operation should do anyway. The problem is that once an inspector position is created, in order for him to justify his position, he has to find something wrong with whatever it is he is inspecting. The mind set of a bureaucrat is there has to be something wrong – no body can be that safe! So what struck me here is if the inspectors felt that Jonathan should have been wearing safety glasses – where were theirs? They must have been standing in close proximity to Jonathan when he fixed the sign. I bet there is no mention in the MSHA safety manual about the distance one must be from a supposed safety hazard before the need arises for wearing protective glasses. The other thing that really struck me was the expense incurred by all, to get all, to the hearing. This was not an expense paid by the Judge, the Inspector, or the prosecutor – but by you know who – you and me the tax payer -and for what – and it’s not over yet!?
On the up beat – 500 ounces at today’s Kitco price should really help with the bills – like PG&E. Hang in there guy’s and Scoop – keep up the good work!Well, at the risk of stirring up the wasp’s nest again, I’ll embrace Oak’s comments and Scoop’s commentary, especially the persistence you guys are exhibiting. The one comment about the overall cost to us, the tax-paying public, brings back to light the validity of the fight, since without one MSHA wins a default. (My gut tells me the expense will be warranted in an overturn of the citations!)
Perhaps MSHA’s aggression will soon be relegated obsolete. I believe the initial directives had little to to do with safety (as Jonathon’s immediate action reveals) but instead with political grandstanding.
Scoop….I love your input. I’ll bet we all read it everyday. -RB
On September 21,2001, mine manager Jonathan was showing two MSHA inspectors an area of the second exit. He found a sign that was pointing in the wrong direction. He immediately corrected the situation. Either inspector said nothing to him about the incident, until the next day, when they returned and issued a citation to Jonathan and the company. The citation said that Jonathan was driving nails into timbers and flying chips could easily cause permanent disabling eye injuries because he failed to wear safety glasses.
The standard cited was 57.15004: eye protection shall worn “where a hazard exists which could cause injury to unprotected eyes.” Jonathan repositioned the sign and turned the hex screw into the soft wood with his thumb. He then tapped it with a small tool called a rap wrench, which most miners carry with them in their belt. The sign was about chest high. Jonathan did the right thing: he saw a potential wrong in a safety situation and corrected it. It was a small act yet he recognized the problem and fixed it. While his eyes were unprotected, no hazard existed.
Does this standard say that at all times a miner must wear safety glasses when he hit or strikes an object? No. It says when a miner is in danger he must wear eye protection. Why did the two inspectors not say something at the time of the incident? This is most unusual. In over twenty years of interacting with MSHA inspectors, I cannot remember one time when an alleged situation could result into a written citation that the incident was not discussed immediately.
Well, the citation was appealed and a hearing was held yesterday. The judge flew to Sacramento from the East coast. The prosecutor drove up from San Francisco. One inspector flew in from Montana. Bruce Allard drove up from Vacaville to prove his allegation. The MSHA Program Policy Manual states that: “In determining whether a violation could significantly and substantially contribute to the cause and effect of a mine safety or health hazard, inspectors must first find that an injury would be reasonably likely to occur if the violation were not corrected.” Allard could not provide the evidence to meet this requirement. He also testified that a miner must be wearing safety glasses any time he strikes an object. Wrong! Both sides will file a brief , so a decision is months away.
About 120 fifty-five-galloon drums of gold concentrates have accumulated from past milling at the mine. We are moving them near the county road where a transport company will take them to a refiner in Nevada for processing. Gold recovery is expected in the range or 500 ounces. The project should be completed next month.
On October 1st, Northern Sierra Air Quality Management District did an inspection of the mine surface workings. The written report arrived in last week’s mail. The conclusion: “In Compliance”
Tomorrow we have a hearing with MSHA in Yuba City. (8:30 a.m. at the Courtroom Family Law Building, 430 Center Street.) This is regarding a citation that was contested two years ago.
Last night the Downieville Lions had their monthly meeting and dinner at Casey’s Place.
The weather is beautiful in Alleghany.On Wednesday an OSHA inspector visited the mine. No citations were issued.
Phillip O’Donnell author of “A Hardrock Miner & Endangered Freedom” (see “News” on this site) collected mining drills from in and around Alleghany for 50 years. He restored many of them.
On Monday Oct.6th a friend of the museum aquired the O’Donnell drill collection to keep it from leaving Alleghany. The museum will be looking for business and individual sponsors to help it aquire a portion of the collection. Details still need to be worked out.Last winter the window in Mike’s office was blown out by a windy storm. The window was literally blown to bits. A new sheet of tempered glass has been installed just in time for the winter.
Speaking of which, temperatures were in the 40’s last night.The 40HP pump is back in place and running. It is quite a task moving heavy pieces of equipment in and out of the mine.
The new ladders continue to go in on the 49 winze. The miners estimate this project will be done Monday or Tuesday of next week.
Rae finished the 2002 financials for the Museum today. Membership renewal letters and nomination requests went out for the Museum last week. Membership information is posted on this web-site under “Tours”.
David has been trying to scrape up cut-rocks in Gold Sales.
No word from PG&E about shutting the power off.
It is dry and windy in Alleghany. A little rain would be good.
The 40 hp pump motor was fixed yesterday. Mike is driving down to Auburn today to pick it up.
The new ladders are going into the 49 winze.
Rae has been busy getting all the financial data for Underground Gold Miners Museum set up in Quickbooks. It is a mostly volunteer job but she enjoys it.
Something very exciting for the museum happened yesterday but this Scoop doesn’t want to scoop that Scoop so you will have to wait for the details.
The sump pump on the 1500 level died today. It has been a gem for eight years. The system will be down until the 40 horse power motor is repaired.
Fifteen ten foot ladders are finished. We are using steel after all, having designed the ladders with old two inch pipe and one inch re-bar.
Saturday was a scary day for the residents of Alleghany. It was three in the afternoon and there was a stiff breeze blowing warm air up the canyon when the page went out that there was a fire in town. Luckily four out of six of our active fire-fighters were in town. (this is good for a Saturday!) Another arrived shortly having just gone up to the dump. As the fire-fighters went past the fire to get to the fire-house the fire had already spread from the Park by the County yard where it started (lower road) to one house and was to the upper road in one spot. Several people were in town who don’t live here and they all jumped in and helped. Everybody pitched in. Our big truck was parked near the top of the fire where the primary attack took place, by this time the one house was fully involved and could not be saved. However, nothing else was lost. Amazingly the crew, residents and visitors in town managed to protect other houses and keep the fire from jumping the upper road until more enforcements came. And did they come! We had air tankers, helicopters, CDF crews, Pike Fire Department, Downieville and so many we couldn’t keep track! CDF took over the incident and kept crews here until last night. Luckily there were only three minor injuries.
Sadly one family lost their home and the fire was started by some kids showing each other how to start fires at the park. A bank account has been set up at Placer Sierra Bank in Downvieville to help the family who lost their home. Six acres burned, a lot of it Sixteen to One property.
A huge thank you goes out to all the people and agencies who helped save the town of Alleghany!A suggestion for the display of the 116 piece collection – a classic place would be someplace in San Francisco – the City was built with 49er gold and a lot of it probably from the 16 to 1. The old San Francisco Mint would be a location once it is brought back to life. The City wants to remodel it to mixed-use and bring it up to current earthquake codes. Another location might be the Federal Reserve building. It is going through a remodel – that would be ironic wouldn’t it? Or maybe one of the big banks.
Here’s to priceless determination!!!!!
Rae paid the end of the month bills. Most of the accounts that are past due are co-operating with us. Mike loaned the company$12,000 today to cover the checks. It’s an unsecured loan. Scoop is confident in reporting that Mike believes in both the Ballroom heading and the crew’s ability and motivation to search, locate, and blast its way into a worthwhile pocket. Mining the Sixteen to One is unlike any other gold mine in certain ways. Rae posted a new photo today showing that February had a $100,000 day. In 1993 there was the million dollar day. In 1995 it was the two million dollar week.
Pumps are operating.
Crew continues maintenance in 49 winze. Work going well. Rae filed a Form 8 today with the SEC as notification of our inability to pay our auditors.Director O’Neill spent the day in Alleghany yesterday. He put together and eight page booklet of his drawings of the CDAA activities against all of us. One great line is uttered by the CDAA alligator or crocodile, some reptile anyway acting like a Carpet Bagger.
The miner says, “So maybe the grand jury will drop it…..evidence that we are innocent, and all that….and we can go home.” The reptile says, “maybe not! maybe not enough evidence of your innocence in the crime we made up in first place.”This episode is under “Carpetbagger” in the comic section of our web site.
The booklet is entitled: “You are invited to a Hanging! We got the Bad Guys.”
Over the years moisture rots the wood underground. Some of the stairs between the 800 level and the 1300 level in the 49 winze have decayed and need repair. There is no work place requiring using the 49 winze, but occasionally the pumps and water level are checked. Our long-term plan, which we are following the best we can, is to use steel instead of wood for ladders and support in the winze. Money is tight, so we will fix the ladders with the wood currently on site. The repairs will likely last 5-8 years in wood. Labor is about the same for wood or steel.
Over the past years the shops and storage facilities became cluttered. Many valuable pieces of equipment are inoperable. This week we have repaired the high pressure steam cleaner, the tires on the dump truck, the 400cfm air compressor and the 600cfm air compressor. Like the squirrels, we are all active preparing for winter. Anyone interested in coming to the mine to help organize our valuable stuff will be welcomed with open arms.
The Board of Directors met in Alleghany yesterday for its fall meeting, from noon to 4:30 pm. The financial and mine status were reviewed. We have about 100 tons of gold concentrates stored in 55 gallon drums. Assays are not exact because just like the mine, the mill produces gold cons according to the grade of the head ore. In mining this can be referred to as the nuggeting affect. Occasionally unscrupulous companies will announce assay figures ignoring to mention potential uncertainties of projecting the amount of gold based on assay results. We see it all the time in publications announcing drill results. Any real high-grade gold mine knows that its ore or concentrates are difficult to place dollar amounts with confidence. Having said this, we estimate the cons may contain $150,000. Barrack’s operation in Nevada will process the material, so the cost of transportation plus refining will reduce the net amount to the company. Mike plans to arrange shipping once the concentrates have been moved from the mill site to the county road.
The board accepted Steve Wilson’s resignation. Scott, Dan and Mike discussed what experience and skills would best serve the company in the future. Steve brought solid stock market talent to the company and helped us design the OAU X mart.
Years ago one of the houses in town was built over the boundary on company property. Also the mining family had expanded its yard beyond its property line. The heirs are selling the house and asked for a way to solve the problem. They and their agent presented a proposal, which we agree will solve the problem and create a very nice parcel. The amount of compensation will depend on the square footage but is not significant.
Mike will pursue funding for the following use of proceeds outlined in our private placement memorandum:
1. Open an heretofore-inaccessible area for exploration.
2. Re-establish compliance with the SEC
3. Place Company on one or more Public Markets.
4. Build a new Gold Detector.
5. Working capital including preparation of a Public Offering.
Before further stock offering are approved, the results of mining in the inaccessible area must be evaluated. We are cautiously optimistic that these veins contain scattered high-grade pockets, which will be detected by modern technology currently utilized at the mine.The directors held a lengthy discussion about the damages the Company suffered because of the reckless activities of the California District Attorney Association. Several attorneys have reviewed the issues and presented a convincing argument both legal and factual as to the process. No decision was made to proceed with a suit for damages or to abandon this heading. The contemplated lawsuit is similar to the mining of high-grade pockets at the Sixteen To One mine.
The gold collection is back in Grass Valley. The Ketchum display was limited to about half of the pieces in the collection. We have yet to put the entire collection on display. It will be a fun project to show all 116 pieces in one location. Any ideas on a good site?
So far no action from PG&E. Rather than repair the electric compressor we are putting our old diesel compressor back online.
We also have a diesel generator that will be adequate for running the pumps. One of our main objectives is to keep the lower levels of the mine dry.
David and Larry Cates (father and son) continue to break rock. We all know that one good pocket (doesn’t have to be big by this mine’s standards) of grade A quartz and gold slab material will go a long ways towards reducing our debt. The demand (for slab) is much higher than the supply. The tenacity of those who work here is what has kept this operation going. It is always easy for bystanders to judge other’s decisions, but we all do the best we can under the circumstances. Our hats go off to the men who have labored hard looking for that elusive pocket! None of them doubt that it is there.
Roy will be busy building new ladders for the 49 winze for the next couple weeks. The new ladders will be metal, which lasts much longer than wood.
A meeting of the Board of Directors is scheduled for tomorrow.It sounds to me that we are sinking deeper into the abyss with the passing of time.
It is becoming clearer every day that the Company’s choices will utimately be assigned to its creditors thus relieving the indecision by the Board from making their painful but responsible decisions.
Our electricity provider, P.G.&E, notified us today it would turn off our power due to the outstanding bill. This has been its option for some time. We got behind for several reasons: the increase in kilowatt hour charges, the high cost for use between noon and late afternoon, our inefficient pumping system, and the decline in production of gold.
We hope P.G.&E. will realize that mining created the revenue and usage for its initial foundation, and the Sixteen To One mine has used its power for almost a century without reneging on any amount of money owed to the electrical provider. We hope someone in the company extends a little more time for us to work ourselves free from the financial hard times we have endured. The bill is $79,000. During P.G.& E’s bankruptcy, a lawyer who provided three months of advice sent the bankruptcy court a $300,000 bill.
The Sierra County Historical Society has an event at the mine site this Sunday. Rae and Mike will volunteer their time to show them around.
Friday the motor on the air compressor burned up. Roy and Ian are figuring out our best option for fixing it.
A good time was had in Alleghany yesterday into the night. Approx. 400 people showed up for Old Alleghany Days. Mark your calendar for Sat. Aug. 14th for next year’s event. (We are going to try and stick to the second Saturday in August for this annual event) If you want to be added to the mailing list send an e-mail using the feed-back form on this site stating that you want to be added with your name and address.
Following are the results of the contests:
Drilling Professional Class:
1st Place: Larry Cates
2nd Place: Mark LovingDrilling Novice:
1st Place: Jenny Berry
2nd Place: Larry WellsMucking
1st Place: Mark Suden & Mark LovingWe were sad to hear of Johnny Cash’s death this morning.
The steam cleaner at the mine-site has been broken for some time. Joe managed to get it fixed yesterday, turned out to be the wiring.
Following are the introduction and conclusion of the post hearing brief. (77 pages of explanation in-between not included).
INTRODUCTION
On November 6, 2000, a miner died. As a result of this tragedy both State and Federal agencies ran amuck by casting blame on his friends and fellow workers. This company and its miners reflect the true intent of the United States Congress, when it ratified The Act of 1977, which requires the responsibility of the operator and its miners to create and maintain a safe work environment. The corporation is merely the means to unite the components of labor, property and capital. A dear friend was lost, a son, a brother and a good soul. Let’s put this in perspective. What is this all about? Is it fixing problems at the Sixteen to One mine or is it work for MSHA and other agencies of the Federal government? Perhaps it is about money or individual growth and promotion by individuals working in a bankrupt system of bureaucracy.
I apologize for the length of this brief. It is necessarily long because of the serious misstatements by the prosecutor in charge of the case. There are also serious misrepresentations of the law and the facts in this painful subject. In order for the Court to reach an equitable resolution to the allegations of illegal behavior by Original Sixteen To One Mine, Inc., I felt the Court would appreciate the testimony and supporting references rather than merely a conclusion of the testimony. I have taken exact excerpts from the transcript. .
My anguish over the dismal misstatements by the Secretary have affected my confidence that her emissaries in the field are actually looking after the health and safety of America’s most precious resource, its miners. Have the participants in this investigation followed the laws, regulations, customs and mores of health and safety in the mining industry? It has become a possibility that other forces drove this investigation and subsequent administrative hearing. Therefore, I also reviewed the Secretary’s brief, checking statements with the cited transcript reference. Time and time again the reference had nothing to do with the opinions of the statements. This has been a new experience for me to address. Is it sloppy or is it intentionally misleading?
Mining is inherently a dangerous business, much like automobile racing is inherently dangerous or professional football or space travel. Miners at the Sixteen To One mine are keenly aware of this. They are provided all the tools to minimize the dangers. It is a small mine with a very connected crew. Everyone interviewed by the investigators was properly trained. Written procedures and policies are in place. Safety meetings are regularly held weekly. Equipment is kept in proper working order. Spare parts and supplies for performing mining were on the mine site. Management has stressed the need to stay focused on mining once the crew enters the property. After work it was not uncommon for the miners to get together where the topics of conversation would expand. It usually came back to mining because these miners love their work. At the work place it is all business.
So, the day Mark drove his locomotive into a stationary chute and died was special. It had never happened before to anyone associated with the company. For people who never met Mark to refer to him as a victim is inaccurate. For Steven Cain to concoct a story as he did from no evidence and continue propagating its veracity is an injustice to Mark and all the miners at the Sixteen To One mine and elsewhere throughout America. It may even be a crime.
There is no legitimacy to the two violations alleged by the Secretary. All of us who knew Mark Fussell, know the mine and are associated with the mining industry want this record to accurately reflect the events of November 6, 2000. For Mark, we have pursued the truth. We hope his death will help make the mines of America a safer place to work. A momentary loss of attention caused this accident. There was no defective equipment and the company and its partners in safety, its miners, are not negligent and guilty of violating any federal regulations. This was a tragic accident that must be recognized, if all of us at the Sixteen To One mine and throughout the industry wish to avoid a repeat in the future. It was an error in human judgment. Only until we recognize it for what it was can we take the educational steps necessary to reduce the potential for it happening again. This will be Mark Fussell’s legacy.CONCLUSION
In introducing this brief, I pondered, “What is this all about?” After preparing it, I now ask, “Is there such a thing as an accident anymore?” Mark Fussell would be the first one to testify, “I messed up. My death was my responsibility, and no one is to blame. It was caused by my momentary lapse in attention.”
Federal law requires a mining company to conduct an investigation of a fatal accident. My investigation was very thorough and very lengthy. It included hugging Mark’s father. We both shared an unwanted bond, the accidental death of our sons. My investigation included attending Mark’s funeral, where so many of his friends gave testimony about his free spirit of life. Charles Schultz briefly addressed this during the hearing.
Mark Fussell died in a tragic accident, underground at the Sixteen To One mine. The two citations later issued by the Secretary of Labor, Mine Safety and Health Administration attempt to lay blame where none exists. They deserve to be dismissed.Respectfully submitted,
By: Michael Meister Miller, president
Original Sixteen To One Mine Inc.On: September 9, 2003
Mike has been swamped working on the Respondent’s post hearing brief for the Administrative Hearing which is due. The finished document is 80 pages long.
Rae is very involved in the Community of Alleghany and has been busy getting ready for “Old Alleghany Days”.
The hoist rope inspection is due and the person who x-rays it for us will be up next week.
The pumps are going. Production is not.
Cool weather in Alleghany.
Something is better than nothing right?
This is nice to read..
I love the news SCOOP.
yes somethin is better then nothing
Gol’dang, miss those daily updates! (But, hey Scoop, be sure to enjoy life up there…if I’m like the rest of us, we can’t wait for another clip!)
Yesterday the Sierra Economic Development District Board met at Casey’s Place for the second time within two months. Two members of the Board of Supervisors of Sierra County sit on this Board. President Betty Riley said the reason they were back was “because of the energy she saw at the previous meeting in Alleghany.” Hopefully some positive projects will manifest as a result of these interactions.
Joe got the loader fixed and is busy screening rock again.
Two small gold bars were shipped to the refinery on Wednesday. It takes up to three weeks from the time the refinery recieves the bullion for it be refined.
We are all impressed with the Gold Price these days. The P.M. London fix today is $375.80(You can check the daily gold market at Kitco.com) Will it make it to $400 per oz this year?
Previous employee Steve Shappert came by the office yesterday. Steve was our hoistman and safety officer for many years. He is a volunteer for the Camptonville Fire Department. It’s always good to see Steve.
A customer from Nevada is in Gold Sales bright and early this morning looking to buy a specimen.
Love to hear about the everyday activities at the mine. Lets keep those Clips from Allegany coming.
Over a year ago a French television crew came to Alleghany to make a short documentary about California gold mining. Everyone cooperated with them, including a gathering of musicians at the Red Star Café. In return the French crew promised to send us a copy. We gave up on them but were surprised when a video arrived at the post office. If anyone wants one, send the company $15 or $20 and we’ll get one to you.
One of the transmission mounts on the loader broke Monday. It was taken out of service and a new one arrived today. It should be back in good working order tomorrow.
A brief rain and lightning storm hit today. Joe found a tiny quartz and gold rock in the screened the waste rock. You can never get it all, but even though we hope for a nice chunk, the miners’ confidence is reinforced when little gold is found in the waste rock. Decades ago the Company used to mill all the quartz. The mill was the equivalent of a giant assay system that helped the supervisors selecting where to look for high grade. Good gold detectors and skilled miners make this old practice unnecessary today.
August was the last month for one of the contract miners. Money is scarce and he had to take a regular paying job to get by. The price of gold for calculating production distribution is the last day of the month, which was $375.60 per ounce.
Today is a regular work day for all at the mine: a round was mucked, drilled and blasted underground, some high-grade was cut for jewelry sales, mike completed the first draft of our MSHA brief, and Melissa continued typing.
The Private Placement Memorandum is ready to circulate to qualified and interested parties. The Company offers one million shares of its treasury stock for working capital to perform specific projects.
Many of the pieces in the Company’s gold collection are on display in Ketchum Idaho at Barry Peterson’s Jewelry store. Ketchum holds an annual Wagon Day event on Labor Day weekend. The town is packed. A shareholder whose grandfather was a director of the company in the 1920’s telephoned our office this morning from the store. She lives part time in Ketchum and was thrilled to see the gold specimens. She was very impressed saying, “It is a spectacular display.” This is the first time the collection has left California. The display goes to September 14, 2003. Stop by, if you are in the area.
Our ATF # finally came in yesterday’s mail.
Mike is making a trip to Orocal today to sell slab.
Our PG& E usage for the mine was down this month from 63,200 KWH for July to 22,400 KWH for August. Part of this has to do with the pumps being out for a few days. It is also a reflection of conservation efforts being made including a unit that was recently installed on the electric compressor to help it idle more efficiently.
We’ve been screening our piles of waste rock for sales of road rock and landcape rock. The large piles of ore near the mine-site office will be screened and metal detected last.
Hope everybody has a safe,relaxing holiday weekend.
Thanks for these posts Scoop! I really enjoy reading the details of what is going on up there.
The miners are sacking high-grade out of the footwall on the 1075 level. Hopefully it continues. This is Larry Cates heading. He is putting in 5 foot slab rounds and 6 foot bench rounds.
Today Melissa Cates is weighing the self-rescuers for their three month inspection.
The pump situation has improved with the repaired pump in-place.
The following citations have been terminated from our last inspection by MSHA:
The portal and Substation on the 1500 have both been painted with fire proof paint. (2 citations)
Cover plate on the 110 water heater has been replaced.
(1 citation)Records of hoist exams have been updated.
(1 citation)Hoist operators Ian Haley and Roy Stai have been trained on the BG-174 Draeger Unit.
(1 citation)With such a small crew the miners wear many hats. Ian is the leader of the Accredited Miners Association (the group leasing the mine). Roy is versatile as an electrician, computer technician and metal detector operator among other things.
The water-usage reports were filed timely.
David was busy in Gold Sales yesterday with six walk-in customers (from Texas) who made several purchases. (Thanks for the p-nut brittle Rod)
We have been having e-mail troubles due to the “sobigworm” virus. Hopefully it will be resolved soon.
Here is a summary of our income statement for the six months ended June 30, 2003. These are unaudited financials.
Total Revenues: $96, 099
Operating Expenses:
Salaries and Wages: 23,205
Contract Labor: 8,645
Telephone & Utilities 40,643
Taxes-property&payroll 9,081
Insurance 1,655
Supplies 4,388
Small equip.& repairs 2,775
Drayage 4,970
Corporate Expenses 5,679
Legal and Accounting 1,464
Depreciation 7,941
Other expenses 2,807Total Operating expenses $113,253
Profit (loss) from Operations: (17,154)
Other Income & (Expense) (14,913)
Loss before taxes (32,067)
Income tax expense $(800.00)
Net Loss $(32, 867)
It rained again this morning. The firefighters in Alleghany were up in the middle of the night responding to a false alarm at a remote Pacific Bell relay station.
Two of the 16 to 1 miners, Bob Hale and Roy Stai are volunteer fire fighters. Bob Hale is the Fire Chief.
We had a little flury of activity on the OAU x-mart today.
Today we had a visit from two Grandchildren of W.I. Smart one of the original partners who incorporated the 16 to 1 in 1911.
They said they have some photos that they will donate to the museum. We will include them in the photo album on this page as well.
The usage reports for our Water Rights are due this week as are the annual assesment work notices on all the mining claims.
Our General Liability Insurance comes up for renewal in October. Rae is filling out the application.
The financials for March and June are completed (with the exception of the managements discussion and analysis). Rae tried posting them to the forum but the formatting did not stay intact.
Our web-master will be adding a new link to the “Company” page for current financials soon. More on the results of the financials next time…..
We finally had to bite the bullet and purchase two new computers. One is for the Corporate Office and is used primarily for accounting, the other replaces the five year-old computer at the mine-site office which contains all the Auto Cad data on the mine.
Luckily one of our miners, Roy Stai is multi-talented and built the computers for us, greatly reducing our cost. Thank you Roy!This August has been very unusual for Alleghany in that it has rained twice. We had an all-day rain storm at the beginning of the month and a two-day rain storm Thursday and Friday of this week. Our power was out for five hours on Friday.
I can SCOOP this because Five Scoops exist and all are directly affiliated with OAU.
The miners continue to find specks of gold. It is a big block of ground up dip from the Ballroom and to the north. All quartz with gold showing should be prospected.Powder and cap magazines are almost empty. No ATF number yet. The miners are slabbing face rounds, which do not require the technology of rock breaking, as do drift, sink or raise rounds. Easier on the explosives demand.
The miners are here for pride as they are for profit.
MSHA brief arrives. The objective is to identify the really most likely root cause of Mark’s accident. The result will benefit future miners as the industry pursues safety for themselves. Mike prepared the transcript for his brief shortly after it became available. OAU will submit on Sept 6.
Congratulations! Burn the coupon book. Final payment was made on a 1998 bank loan of $95,000. The Company was never late or missed a payment in five years. The loan was secured with equipment and gold.
Wild blackberries are beginning to ripen throughout Alleghany. It is an annual event.
On July 31st, Bill Walker of Walker and Associates was on the property to inspect a small prototype plant for the removal of arsenic from mine discharge water. Walker and Associates are water quality consultants from Sacramento.
The plant was designed to use various forms of iron to remove arsenic from a small portion of the mine discharge. Results indicate that water discharged from the plant is well within the new standards for arsenic set by the EPA. The next step is to construct larger and larger plants until all the discharge water from the mine can be treated.
The booster pump (twenty horsepower) was installed and operating this morning. The importance of pumping includes keeping the expensive electrical transformers on the 2050 level dry.
Last week Mike had a phone conference with the lawyer representing MSHA. The topics were two old citations that fell through the cracks. Mike agreed to a modification of one for incomplete paper work ($55). The other was when Jonathan removed a modest hazard while on an inspection with MSHA. He tapped it away and was cited because he was not wearing safety glasses. Since he was not in any danger, the act (Mike agrees with Jonathan that the removal of the nail presented no likelihood of injury) does not meet the requirements for a ticket. Since Jonathan is management, the MSHA inspector made a big deal out of nothing. It is now up to the lawyer to review the regulations and determine the next move. Jonathan did the right thing and safely removed the “potential” hazard immediately upon finding it.
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