How To Salt A Gold Mine (April 1968 | Volume: 19, Issue: 3)

How To Salt A Gold Mine

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Authors: David Lavender

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April 1968 | Volume 19, Issue 3

A classic western aphorism commonly attributed to Mark Twain defines a gold or silver mine as a hole in the ground with a liar on top. Generally, the misrepresentations were a standard form of mining-camp bragging—but not always. Luxurious rewards awaited the bunco artist who could make gold seem to appear in a hole where no gold actually existed, or the con man who could produce, for suspicious examining engineers, specimens of silver that assayed higher (as the gulled buyer discovered too late) than the ore body from which they supposedly came.

Small investments could produce grand returns. By dishonestly increasing the apparent per-ton worth by a mere twenty-five cents, a seller could unload a hundred-thousand-ton mine for $25,000 above its value. Microscopic amounts of metal were enough to create such inflation. Dusting a ton of ore with one eightieth of an ounce of gold, at its price of $20.67 per ounce, would add twenty-five cents to the value per ton—as would less than one quarter of an ounce of silver.

Nor was it necessary to sprinkle the salt, as the fraudulent additive was called, throughout the exposed ore—that would have been too expensive—but only in those samples, taken here and there, from which the valuation of the mine was calculated. Since many a mine has been sold on the basis of samples totalling only a few tons, less than a hundred dollars might be enough to turn a handsome trick.

Newcomers, panting with desire for quick money, were so convinced that riches could be plucked carrotlike from the ground that they often believed any encouraging signs they saw. And, of course, there were obliging souls ready to provide attractive sights.

No one was handier at furnishing these tantalizing glimpses at high-value ore than William Lovell, champion fraud of Leadville, Colorado, during that famed silver camp’s first frantic boom. From the outset, Lovell used more than a pick and shovel to bring him fortune. When he joined the headlong rush across blizzard-swept South Park and over the snow-heaped Mosquito Range in the winter of 1877–78, he took along a wagonload of chickens to sell at premium prices. A howling storm snowed him in near an abandoned log cabin. Freighters who broke through the road several days later found him hale and fat, surrounded by feathers and frozen chicken remains. Ever afterward he was called Chicken Bill.

Bill was one of the first to prospect on Fryer Hill, immediately north of the new camp at Leadville, but he was not as lucky as two Germans, August Rische and George Hook, who followed close behind him. In April of 1878, Rische and Hook obtained a grubstake, including a jug of whisky, from Leadville’s store-keeper-mayor, H. A. W. Tabor. The long, back-packing trudge up Fryer Hill winded them. They sat down in the shade of an evergreen, refreshed themselves with a nip from the jug, and looked up the slope ahead.