EASTERN OREGON MINING ASSOCIATION NOVEMBER 2019 Volume 362
EASTERN OREGON MINING ASSOCIATION MEETING Meetings are held on the first Friday of the month. The next meeting is Friday, NOVEMBER 1st at the Baker City Hall. The building is located at 1st and Auburn Streets in Baker City. The Board meeting starts at 6:00 PM. The general meeting starts at 6:30 PM. As usual there will be a drawing for a $50 silver medallion at the meeting!
PRESIDENT’S MESSAGE- This quote from Sen. Linthicum pretty well sums up what is happening in Oregon. “Today’s government enterprise often reminds me of the “Blob”, from the 1958 Steve McQueen movie. In the movie, an eerie, sticky, tar-like alien blob pursues its own ends. It slowly oozes through towns and communities absorbing everything while growing larger with every tasty morsel. Oregon’s government appears to be following the same path. It appears to be always growing, crushing and devouring rather than building, encouraging and supporting a free-market economy and the independence of the citizenry.
The unbridled administrative state and its relentless bureaucracy are slowly over-whelming the public. It is a somewhat self-regulating behemoth that grows in either lush or lean conditions and, unfortunately for Oregonians, the super-majority rather likes spritzing this blob with a legislative version of Miracle-Grow”.
There is something we Oregonians can do to stop the “blob”. And that is to make our votes count. Sign a recall petition for Governor Brown, if you haven’t already signed one. Research all judges’ backgrounds so see if they decide cases according to the Constitution, or whether they are simply politicians deciding cases in a manner that promotes the Democratic party. We must be proactive or we will lose.
EOMA’S FIRST NEW MEMBER UNDER OUR MEMBERSHIP DRIVE WILL RECEIVE ONE YEAR OF ICMJ At the October 4, 2019 EOMA meeting, Jason Hagey became our first new member since we started our membership drive. Jason will not only receive EOMA membership and newsletters, but he will also receive a one-year subscription to ICMJ.
Because Ray Creson recruited Jason as an EOMA member, Ray’s name will go into the hat for a drawing in July for a silver medallion. See the following article for details.
INVITATION TO JOIN EASTERN OREGON MINING ASSOCIATION (EOMA) New membership drive. The Board voted on September 6, 2019 that every current EOMA member who signs up a new member will have his or her name entered into a drawing for a silver medallion. If you sign up more than one new member, you will have additional chances to win. Be sure to have the new member name the person who convinced him to join.
Let everyone know what we do. The Eastern Oregon Mining Association (EOMA) has members throughout Oregon, but also from all the western States, as well as a few from back east. Our membership is primarily made up of small mine operators, prospectors, and many others interested in mining, minerals, environment and the outdoors. We are an educational 501(c)(6) non-profit organization. We sponsor the Oregon State Panning Championships at Miners Jubilee in Baker City, put on seminars on geology, ore deposits, rare earth minerals, and geophysics. We are able to work one on one with miners, and have expertise to help them with problems associated with government agencies.
Our goal is to get our miners mining. We put out a monthly newsletter and meetings are scheduled once a month in Baker City on the first Friday of the month. Paying your dues now pays for next year’s membership.
New members can join on line, or send $35 for an individual, $40 for a couple to EOMA, P.O. Box 932, Baker City, OR 97814. They need to include their name, address and phone number. Call President Ken Alexander at 541-446-3413 if you have questions.
As an incentive to join EOMA, and experience the benefits we can offer miners, we are offering a free one-year subscription to ICMJ to each new member. If these new members are already getting ICMJ, EOMA will pay to extend the subscription for a year!
ANOTHER EAST EAGLE CREEK BRIDGE UPDATE-Bill Harvey Bill Harvey has been in contact with Chris French of the Washington DC Office of the Department of Agriculture. Many people met Chris when the Washington Office came out to see what people in Baker County were concerned about in the new Forest Plan.
Bill informed Washington D.C. personnel on his last trip, that they need to direct Tom Montoya to help with the problems, or get out of the way. Because of the Forest Service hold-ups, the East Eagle Creek bridge will not go in until next fall. This year, Baker County worked on the road and established staging areas to facilitate placement of the new bridge next year. The project will probably take about four weeks to complete, with the addition of a spillway around the end of the bridge that the Forest Service wanted, just in case there is ever another huge flood. Please note, that the Forest Service is not requiring emergency spillways around any Forest Service bridges; just on the East Eagle Creek County bridge.
WILLIAM PERRY PENDLEY-ACTING DIRECTOR OF BLM-AEMA William Perry Pendley is the acting director of the United States Bureau of Land Management. A conservative activist and commentator, Pendley was appointed by Interior Secretary David Bernhardt as a deputy director in July 2019. He was elevated to acting director less than a month afterward. Pendley, an attorney, has decades of experience in federal land management policy.
Born and raised in Cheyenne, Wyoming, Pendley received B.A. and M.A. degrees in Economics and Political Science from George Washington University in Washington, D.C. He was a captain in the U.S. Marine Corps, after which he received his J.D. from the University of Wyoming College of Law, where he was Senior Editor on Land and Water Law Review.
Pendley served as an attorney to former Senator Clifford P. Hansen (R-Wyoming) and to the House Interior and Insular Affairs Committee. During the Reagan Administration, he served as Deputy Assistant Secretary for Energy and Minerals of the Department of Interior, where he authored President Reagan's National Minerals Policy and Exclusive Economic Zone proclamation.
Pendley was a consultant to former Secretary of the Navy John F. Lehman, Jr., and was engaged in the private practice of law in the Washington, D.C., area before his return to the West in 1989 to become President of the Mountain States Legal Foundation for nearly 30 years, where he represented AEMA (NWMA) on a variety of cases.
HAMMOND NAMED INTERIM LANDS & MINERALS ASSISTANT SECRETARY-AEMA Casey Hammond has pivoted to acting assistant secretary for land and minerals management, filling the shoes of Alaskan Joe Balash, who resigned in August. Hammond previously was Interior's principal deputy assistant secretary for land and minerals management.
Hammond's role is a key leadership position at Interior. It is one of the five assistant secretary positions directly under Interior Secretary David Bernhardt, overseeing the primary four energy and land management agencies at Interior, including the Bureau of Land Management.
RHODIUM-Northern Miner Rhodium is an irreplaceable material for complying with carbon emission standards in gasoline-powered vehicles, which consume almost all of its annual production. But while global auto sales declined in late 2018 and the first eight months of this year, rhodium spot prices soared to nearly double their 10-year high.
Manufacturing of carbon-emitting vehicles consumes 80% of rhodium production each year due to the metal’s unique ability to convert harmful nitrogen oxide (NOx) in vehicle emissions. Demand from these vehicles — working to comply with stringent emission limits — drive the price of rhodium. The prices are subject to fluctuations during times of even small mismatches between supply and demand, due to rhodium’s small production volumes. (Rhodium is a by-product of palladium and platinum mining.)
Yet, the global downturn in auto sales, paired with the broader economic impacts of the tariff battle between the U.S. and China, have not squashed rhodium spot prices. The slide in auto sales has also overlapped with significant reductions in rhodium demand year-over-year in the chemical and glass industries, which consume much of the remaining 20% of annual production.
Nevertheless, rhodium prices climbed to US$5,400 per oz. by the end of September 2019. This is nearly double the 10-year high of US$2,975 per oz. and more than three times the 10-year average of US$1,627 per ounce.
LYNAS CORP AND BLUE LINE TO DEVELOP RARE EARTH SEPARATION FACILITY-Northern Miner Lynas Corp, an Australian Company, and largest producer of rare earth materials outside of China, and Blue Line, a U.S.-based processor of rare earth products, signed a memorandum of understanding to develop a rare earths separation capacity in Texas.
A combination of growing demand for rare earth elements and supply uncertainty related to the ongoing trade war between the United States and China has reignited project investment, with rare earth producers betting that market forces will remain sustainable over the long term. The project would focus on medium- to heavy-rare earth elements (REEs) used in permanent magnets, catalysts, batteries, and electronics, providing much-needed separation capacity outside China. The joint-venture would be the only large-scale producer of separated medium and heavy rare earths products in the world outside of China, the companies say.
Chinese mines produced 70% of total REE ore in 2018, according to the United States Geological Survey, but China controls nearly all refining and processing capacity in the world, giving it greater control over the supply of usable REEs.
“This is an exciting opportunity to develop local separation capacity for our customers in the United States and to close a critical supply chain gap for United States manufacturers,” Amanda Lacaze, Lynas’ CEO and managing director, states in a press release announcing the joint-venture. Lynas and Blue Line’s announcement came the same month that China warned the U.S. of possible disruptions to the supply of processed REEs, in retaliation for U.S. tariffs on Chinese goods and restrictions the U.S. imposed on Chinese telecom giant, Huawei. China’s National Development and Reform Commission, the country’s top economic planner, stated that China “is willing to continue supplying rare-earth metals to the world markets but it is opposed to those who use the products made with such rare-earths to ‘suppress and dampen China’s development’.” China specifically highlighted the United States’ action against Huawei in explaining its concerns. It also pointed to issues that could provide justification of future REE export decreases, including “rapidly decreasing inventory, inefficient production and environmental pollution.” Regardless of whether China takes steps to stop, or reduce, REE exports to the U.S. – which most analysts say is unlikely – Lynas’ separation capacity in Texas would be a welcome alternative supply. In December 2017, the Trump administration issued an executive order to streamline approval and make it easier for mining and processing projects of 23 minerals deemed “essential to American prosperity and national security,” including REEs”.
RARE EARTH MINERALS AND CHINA-USGS China’s dominant position as the producer of over 95 percent of the world output of rare-earth minerals and rapid increases in the consumption of rare earths owing to the emergence of new clean-energy and defense-related technologies, combined with China’s decisions to restrict exports of rare earths, have resulted in heightened concerns about the future availability of rare earths. As a result, industrial countries such as Japan, the United States, and countries of the European Union face tighter supplies and higher prices for rare earths.
The 15 lanthanide elements—lanthanum, cerium, praseodymium, neodymium, promethium, samarium, europium, gadolinium, terbium, dysprosium, holmium, erbium, thulium, ytterbium, and lutetium (atomic numbers 57–71)—were originally known as the rare earths from their occurrence in oxides mixtures. Recently, some researchers have included two other elements—scandium and yttrium—in their discussion of rare earths. Yttrium (atomic number 39), which lies above lanthanum in transition group III of the periodic table and has a similar 3+ ion with a noble gas core, has both atomic and ionic radii similar in size to those of terbium and dysprosium and is generally found in nature with lanthanides. Scandium (atomic number 21) has a smaller ionic radius than yttrium and the lanthanides, and its chemical behavior is intermediate between that of aluminum and the lanthanides. It is found in nature with the lanthanides and yttrium.
Rare earths are used widely in high-technology and clean-energy products because they impart special properties of magnetism, luminescence, and strength. Rare earths are also used in weapon systems to obtain the same properties.
HECLA MINING COMPANY-Northern Miner Idaho-based Hecla Mining (NYSE: HL) operates three silver mines: Greens Creek in Alaska, Lucky Friday in Idaho and San Sebastian in Durango state, Mexico. It has two gold mines: Casa Berardi in Quebec and its Nevada operations, which include the Hollister, Fire Creek and Midas assets.
In 2018, the 128-year old company produced 10.4 million oz. silver and a record 262,103 oz. gold. In 2019, Hecla is on track to produce 11.7 million oz. silver and 274,000 oz. gold. Its current reserve base amounts to 38.9 million tonnes in the proven and probable categories, containing 191 million oz. silver, 2.8 million oz. gold, 702,000 tonnes lead and 845,000 tonnes zinc. During the second quarter of 2019, Hecla reported it had up to 21 drills turning at its five mine sites. Drilling intersected high-grade material, which could improve and extend operations.
EOMA SILVER MEDALLIONS FOR SALE As most of you know, EOMA will not be minting 2019 medallions, but we still have 2018 medallions available, as well as some medallions from previous years. They are currently selling for $50.00 apiece plus $5.00 shipping, handling, and insurance. (Prices are subject to change). You can order yours from the EOMA website and pay by pay-pal. Or, you can send $50 plus $5.00 shipping and handling to EOMA, Medallions, PO Box 932, Baker City, OR 97814, or call 541-523-3285. Also, you can buy them at our EOMA meetings.
EOMA ADVERTISING AND SALE LISTINGS WANTED-GOLD Gold Specimens and Gold nuggets, mostly from Oregon mines. Fair prices paid. Also selling Gold nugget jewelry, specimens, nuggets and more. For an interesting and informative experience explore www.northernnevadagold.com. Call Robert 775-455-6470. GOLDEN ANGEL PLACER CLAIMS FOR SALE Located on Pine Creek, adjacent to the High Bar (Gold Rush) claims, the four 20 acre Golden Angels have an approved Plan of Operation in place. Good County road access, water for processing, WPCF permit goes with the sale. For information, call John at 541-620-1177.
FOR SALE Ed Hardt is selling his placer mining equipment. Ed's trommel is 20 feet long, 5 feet in diameter, gear driven, positive drive. It will process up to 100 yards a day, will not slip or spin out. Also, one three-inch pump, a two-inch pump, two and three inch flat hose, and a generator. Call 541-377-9209 or email Ed at twohardts@hotmail.com. Price for all is $15,000.
GOLD CLAIMS FOR SALE (3) 5 unpatented placer claims (160 acres) located on Elk Creek near Baker City. Sale includes all equipment (2 excavators, dump truck, trommel, pumps, generators, etc). Site was featured on the cover of ICMJ’s Prospecting and Mining Journal (August 2014). Approved Plan of Operation with US Forest Service in place and can be transferred (expires 2021). DEQ process permit goes with the sale of the claims. For price, pictures and details, call Don Enright, 509-860-1145 or email: donaldenright25@gmail.com
FOR SALE TWO 80 ACRE ASSOCIATION PLACER CLAIMS (5) Because of health reasons, we are selling our two 80 acre Association Placer Claims. These two claims are the last two claims on the top end of Elk Creek, a short distance from Baker City. A road goes through most of it. Sell for $7,000 each, or best offer. Will take gold, silver or will sell for a lesser price for cash. Call Ken Anderson at 541-519-9497 or Chuck Chase at 541-310-8510.
NATIVE SPIRIT 60 ACRE CLAIM FOR SALE This claim is located on McCully Creek on the Wallowa-Whitman National Forest just west of the town of Sumpter. Good access, off-channel water is available for processing. DEQ process permit goes with the sale of the claim. Plan of Operation is scheduled to be approved for 2020 work. Call Charles Stewart at 541-910-5435 for more information. BLUE SKY PLACER MINE $7,500 Three mining claims, two on Bull Run Creek, and one on Swamp Creek, a tributary of Bull Run Creek. The mine has a Plan of Operation and is set up for a trommel and backhoe operation. Can assume the plan and the $1,400 Bond. Six off channel ponds. Number six pond is the fresh water pond and number five you can discharge into. Can pan gold out of the tailings. Quite a bit of testing done and assay work; has all of the 17 Rare Earth Minerals. Call (541-310-8510)
SUE PLACER FOR SALE-$12,000 The Sue is located on the North Fork Burnt River, which is open for suction dredging, and is accessed by a good county road. The North Fork has a long dredging season-July 1-October 31 each year. I am selling the 20-acre Sue claim, along with two dredges (a 4” and a 6”), two trailers for them and accessories, two wet suits with weight belts, one repair kit and a few other items. There is also an approved Plan of Operation with the Forest Service for using a trommel and mechanized equipment beside the river.
The equipment alone is worth over what you will be paying for the total package, it's like getting the claim for free. For information call Stan Baker 541-938-8353 HM 509-386-7465 CELL swbrockett@msn.com.
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Remember too, new members joining EOMA (see page 2) will receive a free one-year subscription to ICMJ. EOMA members who give gift memberships to EOMA will be put in a drawing for a silver medallion as well as the new member receiving a subscription to ICMJ.
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