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The cleanup of the Golden Star mine for January in the shape of a seventy-four
pound gold brick, valued at $15,000, was taken out to Duluth last week by
Fred H. Merritt. This makes $49,125 in gold produced since the middle of
November, which is nearly one-half of the total cost and expenditure of the
mine, including property, buildings, plant and development work. This is
only an illustration of what our Rainy Lake gold fields and do and should
be sufficient to open the eyes of even most skeptical.
A gentlemen just retired from the Seine River and Rainy Lake gold field,
to Duluth and Superior, in speaking of the mining country to the Superior
Telegram, and one of the many advantages said:
"I will point to one advantage enjoyed in the gold country up north
over every other field in the world that I know anything about, and I have
seen a great many gold fields in my thirty seven years of mining experience.
I refer to the numerous water powers in that section. I think the
government of Ontario, which is liberal in a great many things, should do
something to improve these water powers. When they have been improved, many
of the low-grade propositions which now will not pay to operate, can then
be made to pay handsome dividends. I will take the Alice A, which is one
of the biggest propositions in that country, yet undeveloped, and illustrate
the opportunities afforded to operate that property on a large scale with
enough money to develop any one of the half dozen water powers that are
within a radius of six to nine miles of the mine. At Sturgeon falls which
is six miles away, there can be developed power sufficient to operate all
the mines which can be opened up in that section of some time to come. To
put in the necessary wiring and electric machinery to operate 100 stamps
on the Alice A it is estimated would cost upwards of $65,000, so I have
been told by the management. If the fuel cost to operate 100 stamps would
amount to $20,000 per year, which is a small estimate, it would take three
years to pay for the extra machinery out of the cost of fuel to operate
the same number of stamps. This cost of $65,000 would pay also for the development
of a water power, and sufficiently great to furnish power to several other
mining propositions in that vicinity- The Alice A, like a great many other
mining propositions, has been operated on an economical basis, and therefore
could not make the outlay necessary to operate their mine with electricity.
However, a large British corporation has had it's representative in that
section for some time past, and it is said that he has recommended operations
which will be on such a scale as to allow of the development of one of these
tributary water powers and furnish power not only to the Alice A, but the
several new properties which are to be opened in that section. it is also
understood the Golden Star crowd will develop a water power near their mill
and operate not only the Golden Star and J041, but two other properties
the management of that company are interested in. A new era of mining prosperity
is dawning in Western Ontario. There are at least twenty five properties
near the Golden Star which will be operated the coming summer on a large
scale, and I predict not less than 200 stamps dropping in the Seine district
alone the coming fall. Such a showing would be phenomenal, and the output
of gold would astonish the whole of Canada as well as the United States.
"Better mail facilities are needed for that section known as Lower
Seine district. It is growing in importance and yet most of it's mail is
brought in from the American side of the line at the expense of the large
companies. The building of the Ont. & Rainy River railway through this
section will, of course, be a big thing to the Lower Seine district, which
at the recent time is somewhat isolated and hard to reach. Especially is
this time of winter, when all of the machinery and provisions of that country
must come vie the head of the lake to Tower, Minn., from where it is teamed
in the gold district.
"The Golden Star, Olive and Alice A will be down within a few days
with their monthly output of gold bullion.
It is understood the Olive has more than one month output on hand and will
probably send down several thousand dollars' worth of bullion.
"When I left all of the stamp mills were in operation, and it was expected
that within a few days the Olive would start up it's additional ten stamps."
The above is one illustration of many as to the way our mining districts
attract attention from visitors, and when it is said said that not a single
gold prospect has yet been developed, has proved worthless, in these gold
fields, it is hard to convince why capital should seek investment in so
many wildcat schemes in the Klondike with all the attendant dangers.
The O. & R. R. R'y now under construction will run right through the
heart of the producing mines and east of Sturgeon Falls will open up a country,
said to be, equally as rich as around Bad Vermillion. At Island Falls, a
Winnipeg company will put in a two-stamp mill on the Pettigrew property,
while the Hammond Reef will increase their plant to forty stamps.
In addition to the gold mines large tracts of iron will be moved up and
with the completion of the P. A. D. & W. from Gunflint to Ely direct
connection will be made with Tower and Duluth. With all the development
of the mines and the building of the railway at the same time there will
be busy times up this way and those who would get in on the ground floor
should not delay their chances.
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