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This item is filmed at the reduction ratio checked below/ Ce document est film6 au taux de reduction indiqu* ci-dessous. 10X 14X 18X 22X 26X 30X 12X 16X y 20X 24X 28X 32X 'J<^Mi"»»»iii»ff»»» ▼^ /2^ -ySi^ i \ i MEMORANDUM IN RELATION TO THE ^0to Hims of t|^ €|aHfc, '■ IN LOW^ER CJ^NJ^IDj^. New lOork: C. S. WESTCOTT & CO., PRINTERS, No. 79 John Stkeet. 1865. ,1 Mint of the United States, Phii^adelphia, March 20, 1865. Dear Sir : As the gold fields of Canada are now exciting a good deal of interest, the questions sometimes arise, how gold, so situated, should have remained undiscovered so long; why, since its discovery, a good many years ago, it should have conthiued undeveloped until now; and . what new evidence has transpired, to attract public attention to it at the present time? Knowing that you were long a member of the Legislature from that section of the province, and have been connected with the Canadian government, superintending important public interests in that direction, I would be glad if you coiild answer these points. Yours, very truly, Jas. Pollock. To Wm. McD. Dawson, Esq., (of Three Rivers, Canada,) Fifth Avenue Hotel, New York. Fifth Avenue Hotel, New York, 21s/ March, 1865. • Dear Sir: Having met with such questions as yours before, I had already drawn up a memorandum, giving a brief review of tlie, dis- covery of the gold fields of Lower Canada, which I think meets the pouits j-ou have raised, and which may be used as you see fit. The special reference t<» particular properties is equally applicable to other places, according to the relation they bear to known points of value. Yours, very truly, 4 Wm. McD. Dawson. To the Hcniorable James Poij,ock, Director United States Mint, tStc, Philadelphia. w^ _ MEMORANDUM. I A number of years ago, gold was discovered on a small tributary of the Chaudiere river, now called the Gilbert, in the seigniory of Vaudreuil, in Lower Canada. The discovery was brought under the notice of the government by the Seignior, Mr. de Lery, ar d a patent obtained by him for the exclusive working of the gold mines within the said seign- iory. This patent was granted in 1846, and some desultory work was carried on under it, but not in any systematic or energetic manner, and the public being shut out from the supposed sole locality where gold was obtained, but little public interest was manifested in it. The discovery of gold in California, however, having ex- cited attention, the labors of the Geological Survey of Canada were extended to the valley of the Chaudi6re about the years 1851-52, &c., and it was then for the first time ascertained that gold was to be found over a wide area out- side of the seigniory covered by the exclusive patent. About this time, also, some experimental gold mining operations were carried on upon a small scale at Jersey point — the confluence of the Chaudiere and Du Loup — the result of which has been reported by Sir William Logan, who inspected the work while carrying on the survey, as above, and that result in brief was, that the actual opera- tions produced $4,323 in gold, at an outlay of $2,957, leav- ing a profit of $1,366, which, coupled with the want of skill exhibited in the proceedings, or any knowledge of the mode .] 1 of alluvial gold-digging, which had not yet travelled back from the experiences then being acquired in California, must be considered a decided success. It may be here remarked that tlie work at Jersey point was discontiniied because of a defective title, Tlie survey by Sir William Logan amounted, so far as the actual search for gold was concerned, to the merest ^'pros- pecting," such as trying a panful of earth here and there. There was no attempt to solve the question as to quantity ^ by digging down to the bed-rock, and no search for gold-bearing quartz, the design being rather to ascertain the extent of the auriferous belt than its value. In this superficial examina- tion gold was found almost upon every trial on the Plante, the Gilbert, the Famine, the Etchemin, the Du Loup and tributaries, and on the main Chaudiere and other tributary streams, and also on the St. Francis, in the direction of Sherbrooko, lying within the same belt of country. It must be remarked, however, that at that period the mode of work- ing alluvial mines for gold was less known to our scientific men than it now is to the commonest laborer who has had experience at the " diggings" in any of the gold-producing countries. In the rush to Oalifornia and Australia at that period, the existence of an auriferous country in Lower Canada seems, indeed, to have been in a manner lost sight of without the fact having ever been fairly tested as to whether gold was there in paying quantity or not. This was due, in a great measure, perhajis absolutely, to an idea that got possession of the public mind that the gold was not the product of the country, but had been accidentally scattered through the localities where found by an " ancient drift" from some for- eign source — an idea somewhat attributable, to the frequent montion in the geological reports of the period of the ^^ glacial drift" as being that at which the deposits wore made. At the date of these reports it may be remembered that speculation was rife as to whether such a tiemendous influx of adventurers into the neighborhood of a quiet, well- ordered community as took place into California would have been more of a blessing or a misfortune. It is quite clear, from a perusal of the reports, that, with the experiences of California then transpiring before his eyes, Sir William Logan was fearful lest what he did say might have caused an exodus from the settlements calculated to upset all the ordi- nary avocations of industry, and, with his habitual caution, he rather encouraged careful investigation than the rush of a crowd to the locality. He, therefore, only reported facts ; but what were these facts, read by the light of the experi- ence since derived from other gold regions ? Why, wher- ever he tried the earth — the mere surface — he found parti- cles of gold. Would not such a fact in relation to any newly-explored district in California have caused the wildest excitement among the miners, and an immediate rush to the locality ? How many a rich claim has shown no particle of gold in the surface eartli, and yet the miners, judging of the spots where from its weight it would sink down into the de- pressions of the rock, have persevered without seeing a " color" to stimulate their hopes until they have been re- warded by the rich deposits at the bottom. Is it possible that the gold of Canada obeys a different law, and remains at the to]) instead of sinking by its specific gravity through the loose material of the drift to its proper level ? Or, is it not natural to suppose that gold, being admittedly more universally found in the surface material on the Chaudicire than in any of the other gold countries, may also be in greater abundance in its natural position at the bottom of the drift ? Notwithstanding that an. influx of strangers was prevented by the general misiipprehension of the cliaracter and origin of the gold deposit — which has only quite recently been dis- sipated by tlie now known fact, that the gold is the product of the country itself — some desultory work was carried on occasionally by the farmers ; and, though without the ex- perience of iiractical miners, always with considerable success. But a general desire has prevailed among them to conceal the amount realized, because they thought the gold would all be seized if known to be of importance. During the summer of 18G3, however, a better knowledge of digging seems to have been introduced among them, and, instead of washing the surface earth, some of the more en- terprising dug deeper, and were rewarded by such success that the quantities of gold brought to Quebec for sale at- tracted attention, and a considerable number of people began prospecting and purchasing land. The government also sent an inspector to the locality whose report was very favor- able, but it was difficult to ascertain the exact quantity of gold mined. It was generally supposed, however, tlat the amount obtained from one small spot on the Gilbert, during the summer and fall, would not fall short of from $50,000 to $60,000. Some gentlemen from New York, having visited the Chau- diere at this time, ajiplied to capitalists in this city to enter- tain the j)urchase of the de Lery patent, and a gentleman who was increclulous, but otherwise willing to speculate, at last consented to visit the locality, remarking that he would take money enough with him to buy all the gold that could be found in the country. On arriving at St. Francis, he Ji Kf \ piiruhased some few thousand dollars' worth of gold, and intimated that he would buy as much as the people could bring to him. The price being rather liigher than the> bad been in the habit of getting, and the market thus brought to their doors, he found himself next moniing be- sieged by a crowd of people, with gold in plates, in saucers, in teacups, in tin pans, in bags, &c., and in such quantity that he had to confess it was altogether beyond his means of purchasing. Thin led to the i)urcha8e of the de liery patent, but the death of the gentleman in quention dehiyed the oper- ations intended under it. In the spring of 1864, a consideralile number of people visited the auriferous region, before the working season com- menced, with the view of securing good locations, but the prosecution of their enterprise was prevented, and many left in disgust, without the intention of returning again, because no locations could be had on any terms. This was due to the fact that, theoretically, the Crown owned all the gold on private as well as on public land. The de Lery patent had been granted for mining within the seigniory of Vaudreuil, burdened with a royalty of ten per cent, of the gross proceeds, and a bill was before Parliament, then in session, to provide for the leasing of claims by the government on private as toell as public property, and ig- noring all right to the gold on the part of the p)foprietors of the soil. This bill encountered great hostility, and roused such a spirit of dissatisfaction — almost of threatened resistance — among the people of the district, that the crowd of new-comers, to the number of several thousand, not only received no encouragement, but were looked upon as inter- lopers come to 1 ob them of their rights ; and the natural con- sequence was, that the adventurers — who had come, at any / rate, rather early in the season, while mining was yet imprac- ticable, from the spring floods — being unable to procure mining locations either on private property or under any public law, and seeing that some who had commenced work without permission were arrested for trespass, gradually went oi0f, many, indeed, intending to return, had not the gold-mining Act been finally passed so late in summer as practically to spoil the season. It may be here remarked that the obnoxious bill mention- ed as being before the legislature was ultimately withdrawn, and a very liberal act passed, by which the right to the gold is recognized in the proprietor of the soil ; the royalty is abolished — except in the one case of the mining patent pre- viously granted ; and a trifling and easily-understood poll-tax of one dollar per month on each working miner imposed. About two hundred and fifty men did continue at work a part of the season, on a small space of between two and three acres on the Gilbert Eiver, and met with great success, hav- ing obtained, at the lowest estimate, over $116,000 of gold in about one hundred and sixteen days' work, as computed by the division gold inspector. It is known, however, that the miners have at times been averaging as high as $10 to the hand per day, and some parties as high as $30. And it must be taken into consideration that they had every motive to conceal the actual quantity, inasmuch as they were work- ing on the tract excluded from the operation of the new law and subject under the de Lery patent to a royalty of ten per cent., while at the same time they were jicting on pro- prietary rights in violation of the patent, and liable to be called upon to refund the gold should the patent, which is in litigation, be maintained. The miners had, therefore, every motive to report as small a quantity as possible, and t I hence the actual quantity may be considered in excess of the inspector's report ; but taken even at that, it is a splendid average for unskilled labor. • In other parts of the auriferous region, little more was done than ^'prospecting" by the owners of the land, after the new law of last summer had guaranteed, their rights, and some few intending purchasers who have had reports from geologists and practical miners, and in every instance known to the writer these reports have been favorable in tlie highest degree. It may be safely asserted that whatever doubt may have existed — such as may still exist in the minds of some — on account of the seeming absurdity of a productive gold field having remained so long undeveloped at our very doors, these doubts have been removed in every instance by a visit to the country, and an inspection of the mining in progress during last summer. Nor is it so wonderful that the richness of the district should not have been known before. California was inhabit- ed by a similar non-progressive population for a long period before gold was discovered, altliough the search for the pre- cious metals was the original cause of its settlement. Nova Scotia was never dreamed of as a gold field until within a few years ; and so with regard to the Chaudiere, where the great bulk of the auriferous region is clothed with thick forests, and its mere outskirts peopled by a most quiet and non- progressive people, content with the simple abundance in which they live. Viewed, therefore, as a field for speculation, these j^oints present themselves for consideration : First : That a very superficial examination, a number of years ago, proved that the country, within a certain area^ was auriferous — gold being found wherever tried. «*.■•. ■,■*«• w 10 Second : That the only experiment reported at that time calculated to test the question, proved the gold to be in pay- ing quantity at the place tried — Jersey Point. Third : That within the last eighteen months gold has been found in numerous places in paying quantity, and has been worked with great success on the Gilbert — one of the nearest points, be it remarked, of the gold region to the more thickly settled portion of the country. Fourth : That the Gilbert being the most developed, sim- ply because the nearest to a dense population, may be taken as some basis of calculation — the paying character of the mining on it being a settled matter beyond dispute — a spot of between two and three acres having already yielded to unskilled labor between $150,000 and $200,000 in gold. Fifth : Tliat a considerable extent of country, especially on the Famine, Du Loup, and tributaries, that has been prospected, shows precisely the same indications as the rich tract worked on the Gilbert ; many of the places most fully prospected yielding more gold than the Gilbert did when only prospected to the same extent. Sixth : That when tli(> countiy was superficially inspected by Sir William Logan, he found no stronger indications of gold being in quantity on the Gilbert than the other places reported on. Is it then reasonable to suppose that the Gilbert is the only rich spot — or that it is the richest spot — or that it is even anything more than the average of the paying parts of the auriferous belt, and as likely below as above the aver- age ? \^ I 11 The prospecting on the Famine, Du Loup and tributaries, Metgermette, &c., has ^satisfi d the parties interested that they have found as rich deposits as those on the Gilbert (some think richer), and several companies have been formed who are now preparing to work extensively on these rivers during the coming season, besides the Chaudiere Company, the Du Loup Company, and the Reciprocity Company, who have large tracts, and are making arrangements for extensive operations. One company on the Famine put up houses for workmen, cleared considerable quantities of land, and worked gold enough last season to determine the points where they are to operate, and are preparing for active work next sum- mer. Several smaller companies are also preparing to work on this river. On the Du Loup also several companies are preparing to work. A tract of land, about two hundred and sixty acres, has lately been purchased for nearly |)50,000 in cc '• Another, a little over three hundred acres, at about $50,v/vyO for a half interest. A lot of two hundred acres was disposed of last fall to a company for $100,000 prepara- tory to operations next summer, and several other companies have made purchases, or arc in treaty for lands at greater or less prices, according to the extent to which the localities have been prospected. In referring to certain lands in which it is intended to dis- pose of an interest, there is every desire to place the matter fairly on its merits. It is therefore not pretended that these lands have been fully developed. They have been so far prospected as to justify the assertion that they contain gold throughout in every part, with every indication of its being in quantity equal to the Gilbert. If worked to the same extent, with the proof available, by inspection and report, that they were as rich as the Gilbert^ the price would be a hundred times greater than that now asked. But there cannot be a doubt but what many spots on the tract are as rich, for they are selected in the very best part of tl ? gold fields, with lands inspected and favorably reported upon adjoining, with the richest yet known quite near, with a large river frontage, and in the direction of the quartz lodes of the CHlhert — of which the largest deposits yet known arc manifestly the prod- uct — and with the course of the drift therefrom crossing the valley, which would therefore necessarily retain a large portion of the gold. The owners know that the lands are equal to any in the gold region, and view with certainty the profits to result from their development, but looked at merely from the point of view available to others from the reports already made on that section of the country, these elements of a sound specu- lation present themselves in the purchase of an interest therein, viz. : 1. The sligJitness of the risk of loss (if any) should the lands prove less prolific in gold than the existing evidence indicates. 2. The magnitude of the gain, should the land prove equal — or even any spot upon it prove equal — to the ascer- tained wealth in its vicinity lying in the direction of the same belt of lodes and presenting the same indications. ' I. A. «.! On the first of these heads it may be observed that with the mines already proved to be paying, and others that mnst necessarily be discovered unless all experience of other gold countries be, at fault, the enterprise now being introduced into the country will prevent the general price of land from IS again falling below the price asked. The risk of loss is therefore small. On the other hand, the magnitude of the gain is indispu- table should the gold be found in quantity at all equal to what any party may be almost certain of by a glance at the map, the properties already developed or reported upon, and the general Ibearing of all reports upon that section of the country. The purchaser of a mere mining claim in the very best position may miss any valuable deposit, but the purchaser of an interest in a considerable tract so situated has, it may be said, a certainty of finding it in some part. The question rather is, why, with such indications of value,.8hould so low an estimate be put upon the land ? And the answer is simply, that the owners require aid to develop the property, and by retaining an interest will share in the future profit. With regard to quartz veins, the question of gold existing in them in paying quantity may be considered to have been settled when the theory of the alluvial gold being the result of the " glacial drift,'' having its origin in the rock of some fair northern region, was exploded. The geological forma- tion of the locality itself being precisely that of the other gold-producing countries, California, &c., it would have been an odd coincidence if the " glacial drift " had made its rich deposit of gold just where the rock of the country also pro- duces goldy and noiohere else. There has no doubt been a local drift which, from the crushed, broken, and decomposed rock on the surface, has distributed the alluvial gold over the face of the country, but the experience of all other gold fields shows that where BO much gold exists, some of the quartz veins holding it 14 must have it in large quantity. It would be contrary to all experience were it otherwise. But as it is a well-known fact, that in other auriferous couii^rics, some of the quartz lodes contain no gold, some a mere trace, and comparatively few have it in quantity, and as in those countries it has been many ye&^s after the allu- yial mines were worked that the paying quartz lodes were discovep^d and developed, so in a country covered everywhere with thick forests, like the Chaudiere, it must take some time to test the quartz lodes, and develop the richest. The experience acquired of late years in other countries, will, however, render the auriferous quartz available in this in a much shorter period. So far, it can merely be said that gold has been found to some extent in numerous mws, and m. paying quantity in a few, while detached boulders, of which the parent veins are not yet known, have been found enormously rich. In judging of any particular property, inasmuch as the richest deposits are generally near the parent veins, what is already known of the country, the direction of the lodes and the drift, and published in numerous reports, will enable any one to form a strong opinion as to the probabilities on which he risks an investment, even in regard to properties that have not been at all prospected. It must be remarked that in no gold country in the world can gold-bearing lands be held upon such favorable terms as in Canada. In the auriferous regions of the United States, only small mining claims fire allowed, and a number of these have to be united to constitute a property at all fit for the operations of a large company. In Australia the .same sys- tem was followed, and in Nova Scotia, though a settled 15 u^ couutiy, it has been adopted, and all interest in the gold denied to the proprietors of the soil. In Canoda, however, the liberal law passed last session has reci>guizcd the right of the proprietor to the gold on his property : and therefore it is manifest that to obtain a con- siderable tract of land in the right position, with a certainty of some of the rich lodes running through it, is, under such »i system, worth a small risk, as upon being developed, there is every probabilit;' that (independent of mining by the pro- prietors on their own account) they will be able to sell by the foot what they have purchased by the acre. It will be remembered that almost every one of the great gold fields had to undergo periods of doubt after their first discovery. The gold fields of California (where the " drift" theory also prevailed for a time) were frequently said to be oonfiued to the early discoveries, and that when the known deposits were worked out the supply would fail. Pike's Peak, for a h»ng time after the first rush had gone there, was said to be a bubble that was sure to burst, as the gold was con- fined to a locality that would soon be exhausted ; but the re- /^ A,.,^,,^;^ suit proved that the discovery of the riches of |Hll^||^had oiUy commenced. In British Columbia it was long main- tained that only a few bars on Fraser river would pay, and that these would soon be worked out. but new discoveries every year prove richer than those of the year preceding ; and so it may be said of all the gold regions, that in no one in- stance has gold hej/ijf^^ound in paying quantity in one spot without being followed by richer discoveries thereafter. Is it possible to imagine that the Chaudi^re will prove an exception, and that the rich diggings on the Gilbert will stand alone ? Even if no other gold-bearing spot were known, a reasonable presumption would still be that many such existed ; but when hundreds of places, hurriedly tried, present all the same indications, and as readily yield gold, is it even possible that the richness of the auriferous belt of country generMlly is less than the partially-developed spots yet tried ? In the foregoing remarks there is no effort at a geological report, the intention being merely to give a condensed view of the known facts as they may be gathered from the numer- ous reports made, and as they have presented themselves to the undersigned, perhaps the more readily from his inti- mate knowledge of all that has transpired in relation to the question. That the gold fields should have remained so long undis- covered, it needs only a local knowledge of the country and the population on its outskirts to explain. The same know- ledge would, in some degree, account for the non-development of the region after gold was known to exist, but by far the more important cause, on this head, was the idea that the gold was not the product of the country, but had been casu- ally sprinkled over the locality by the "glacial drift," which prevented outside enterprise from taking any interest in it. The real discovery may therefore be said to date from the fall of 1863, and although checked by the causes explained (which no longer exist) — want of a governing law, jealousy of proprietors, whose rights were threatened, and hence ina- bility of miners to obtain^claims, &c. — the operations of 1864 have been most successful and satisfactory. Wm. McD. Dawson. f^