EASTERN OREGON
MINING ASSOCIATION
MARCH 2019
Volume 354
EASTERN OREGON MINING ASSOCIATION MEETING
Meetings are held on the first Friday of the month. The next meeting is Friday, MARCH 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.
Everyone is welcome to attend these meetings. There is time for discussing mining and getting to know other miners. As usual there will be a drawing for a $50 silver medallion at the meeting!
WHITMAN DISTRICT RANGER KENDALL CIKANEK
Ranger Cikanek will our guest speaker at the March 1, 2019 EOMA meeting. This will be a good opportunity to meet the Whitman District Forest Service Ranger. Find out what is happening on the Wallowa-Whitman National Forest, and what changes are in store for the future. Bring your Forest Service questions to the March meeting.
YOUR MEMBERSHIP DUES WERE DUE JANUARY 1ST
If you can’t pay in person, please send your $35 dues ($40 for a couple) to the EOMA, PO Box 932, Baker City OR 97814. You should also be able to pay with a credit card or pay pal on our website. www.h2oaccess.com If you want a $40 membership and pay on the website, just donate $5 along with your $35 membership payment and we will get you credited with a dual membership. This year the Oregon Legislature is controlled by a Democratic super majority, so we will need all the help we can get to keep more outrageous anti-mining bills from being passed.
SEND YOUR NEWSLETTER ITEMS
If you have information or interesting articles about mining items to share in the newsletter send them to Ken Alexander alxk@ortelco.net , Chuck Chase CHASE3285@msn.com or Jan Alexander alx@ortelco.net . Be sure to indicate the source of information you send.
PRESIDENT’S MESSAGE
Ross Island Sand and Gravel in Southeast Portland is closing its ready-mix concrete division and laying off around 40 employees, as well as all their truck drivers. Ross Island Chief Operating Officer Randy Steed said that the decision to close came from the Pamplin Corporation, which owns Ross Island Sand and Gravel. Steed says the company, founded in 1926, will focus on its dredging and gravel sites in Stockton and San Diego, calling it “a long-term business decision”.
Oregon Governor’s “cap and trade” bill that she is pushing in the legislature, could have dire impacts on Baker County’s biggest mining employer, Ashgrove Cement. Ashgrove has spent millions of dollars on state-of- the-art scrubbers, there is no better technology available. In other words, if they are forced to buy expensive “carbon credits”, their cost of production will increase to a point that it will be impossible to compete with Chinese cement makers. Picking out certain industries and making them pay useless taxes, so Oregon politicians can have money to spend on “pie in the sky” projects is not a practical solution to a questionable problem.
BAKER COUNTY IS NOT A HOME RULE COUNTY
Early county governments in Oregon were very limited in the services they provided. Their primary responsibilities were forest and farm-to-market roads, law enforcement, courts, care for the needy and tax collections. In response to demands of a growing population and a more complex society, today’s counties provide a wide range of important public services, including, public health, mental health, community corrections, juvenile services, criminal prosecution, hospitals, nursing homes, airports, parks, libraries, land-use planning, building regulations, refuse disposal, elections, air pollution control, veterans services, economic development, urban renewal, public housing, vector control, county fairs, museums, dog control, civil defense, senior services.
Originally, counties functioned almost exclusively as agents of the state government. Their every activity had to be either authorized or mandated by state law. However, in 1958, an amendment to the Oregon Constitution authorized counties to adopt “home rule” charters, and a 1973 state law granted all counties power to exercise broad “home rule” authority. As a result, the national Advisory Commission on Intergovernmental Relations has identified county government in Oregon as having the highest degree of local discretionary authority of any state in the nation.
Unfortunately, Baker County has not opted to adopt a home rule charter. Hopefully they will look into the possibility of doing this soon.
HB 2623 PROHIBITS HYDRAULIC FRACTURING FOR OIL AND GAS
HB 2623 is in front of the Oregon legislature now. It prohibits use of hydraulic fracturing for oil and gas exploration and production in Oregon. Evidently, high paying jobs in the mining industry are not to be in Oregon.
BAYHORSE SILVER-Northern Miner
The company has tabled 23 new silver channel samples from its Bayhorse silver mine in Oregon. The company is trying to find the mine’s higher grade zones; it will then designate the barren zones as support pillars in its mine design.
The company sampled from two new raises and stopes that were built 15 metres apart. It took samples measuring 1 metre by 0.2 metre on 0.9 metre centers from the western end of the main haulage way, where it’s also taking bulk samples. Highlights included 902 grams silver per tonne, 715.37 grams silver and 544.3 grams silver. Its lowest sample returned 3.72 grams silver. More than half of the 23 samples graded higher than 50 grams silver.
Bayhorse intends to take its mine into production without completing a feasibility study or calculating reserves. In October 2018, the company tabled a National Instrument 43-101 report on Bayhorse that estimated the project contains 256,170 inferred tonnes grading 676.56 grams silver for 6.9 million oz. silver. The company based its resource in part on 90 historic underground drill holes totaling more than 4,500 metres from 1984.
BONNANZA MINING OPERATION NEAR HALFWAY-DEQ HEARING
The Oregon Department of Environmental Quality invites the public to attend a public hearing February 26, 2019 at 4:00PM at the Lion’s Club in Halfway, and to submit written comments on a proposed Section 401 water quality certification for the Bonnanza Mine project in Baker County. This is a conventional placer mining operation. The applicant, Danny Johnson, of Rare Earth Resources LLC, proposes to use fully contained gravity separation mineral processing equipment to extract the gold. Water will be recycled and reused during processing. Stormwater controls are also on site and are regulated through DEQ’s 1200-Z program. The applicant will mitigate impacts to wetlands through the creation of 2.22 acres of side channel in Pine Creek.
The applicant proposes to move approximately 560 feet of Pine Creek back into its original streambed, install a section of pipe to run the Moore Ditch through to prevent seepage into the mining area, and modify wetlands in order to recover gold through placer mining. Restoration and revegetation is proposed by the company. The project will take place in Section 15, Township 7 S Range 45 E.
DEQ ensures protection of Oregon’s water quality by issuing Section 401 certifications if the proposed activity may result in a discharge to surface waters. The company’s job is to propose a project that assures DEQ that the discharge will comply with applicable sections of the Clean Water Act.
MSHA ANNUAL REFRESHER TRAINING MARCH 8, 2019
The March 9 class is full, so Ed Sinner will give another annual refresher, Friday March 8. There are still some seats available for March 8 class. This is an 8 hour training session. The instructor for this course is Ed Sinner. The place of the training will be Baker Technical Institute, BTI, located at 9TH and G Streets in Baker City. Class starts at 8:00AM.
Classes must not exceed 30 miners, so reserve a space: call Jan Alexander at 541-446-3413.
MSHA NEW MINER TRAINING APRIL 12, 13 and 14 HAS BEEN CANCELLED-ADDITIONAL ANNUAL REFRESHER WILL BE APRIL 13, 2019
We had only a few miners who indicated they might want to take the new miner training. Thus, Ed Sinner cancelled the three-day course, but will conduct another annual refresher on April 13, 2019. The place will be at BTI, 9th and G Streets in Baker City. If there is a need, new miner training will be scheduled after June 1, 2019. Call Jan Alexander at 541-446-3413.
SB 46
After a discussion with Cari Buchner at DOGAMI about metal mining and the current law which still says if you “surface mine” zero yards you theoretically need an exclusion certificate, she agreed to work with DOGAMI to fix this language. The wording needed changed on line13 where it says, (B) “Affects less than one acre of land” which, of course, theoretically means any surface mining would “affect less than one acre”, even with a pick and shovel.
COUNTIES WORK TOGETHER TO KEEP OUR FORESTS OPEN-FAFA
County Petitioners from Harney, Wallowa, Malheur, Grant, Baker, and Union Counties, are preparing to petition Agriculture Secretary Sonny Perdue to keep the Wallowa-Whitman and Malheur National Forests roads open, and not subject to the 2005 Travel Management Rule. The counties are requesting that 36 CFR § 212.1 be amended to reflect the addition of the following single provision: “The provisions within 36 C.F.R. Part 212 do not apply to either the Malheur National Forest or the Wallowa-Whitman National Forest.”
Other Forests, such as Umatilla National Forest, caved long ago, and these forests are “closed unless designated open”. If you drive on a road with no gate or barricade of any kind, but the road is not on the “open road map” you will be cited. Thus, if the precedence can be set with the WAW and Malheur, Sonny Perdue will also be asked to facilitate future inclusions in the list of exempted National Forests, by adding to 36 C.F.R. Part 212, Subpart A, “The provisions found in 36 C.F.R. § 212.1 through § 212.81 do not apply to the following National Forests: Wallowa-Whitman, Malheur and any others to be exempt from the regulatory requirements of the 2005 Travel Management Rule.
MINING BANNED IN METHOW VALLEY HEADWATERS
A Public Lands Bill Includes Protection For Methow Valley Headwaters From Mining. The area is approximately 340,000 acres and is on the Okanogan-Wenatchee National Forest.
This week the U.S. Senate passed legislation introduced by U.S. Sens. Maria Cantwell (D-WA), and Patty Murray (D-WA) to protect the Methow Valley watershed from mining. The Methow Headwaters Protection Act, which passed as part of the Senate’s broad public lands package, will protect 340,000 acres of national forest in the Methow Valley from potential development of a large-scale mine.
“Whether for farming, fishing, or recreating outdoors, clean water plays a central role in the outdoor economy of the Methow Valley. We can’t let destructive mining put that at risk,” said Cantwell. “This legislation is a win for the valley, and I will continue fighting to preserve and protect it for generations to come.” Senators Cantwell and Murray “understand that this gateway to North Cascades National Park is no place for an industrial scale open-pit copper mine. The legislation now moves on to the House of Representatives, which is expected to pass it and send it to the president’s desk.
These people are so misinformed, it is just sad. Their fear of a “destructive mining operation” is groundless. The effects of mining today on the National Forest resources is analyzed to death in an EIS, and adverse impacts are mitigated. Maybe the farmers, fishers, and tourists would want to see a real mining operation, as well as the trees and streams.
SUCTION DREDGE MINERS PROPOSE FUNDING TO CLEAN UP STREAMS-Salem Statesman Journal
Oregon’s suction dredge miners, recently banned from gold mining in salmon-bearing streams, are taking a new tack. They’ve formed a nonprofit, called StreamSavers, and are asking the Legislature to fund stream cleanup projects using their dredge equipment.
The miners say that, in addition to bringing up gold and other valuable minerals from stream bottoms, their dredge equipment uncovers old fishing lures, lead shot and trash, much of which is toxic.
“Our waterway cleaning process will actually assist nature in returning itself to what it was meant to be, a clean, pristine, refreshing water source without pollution,” the nonprofit organization’s web site reads. “StreamSavers are trained and experienced technicians with a deep concern for aquatic health that will last for generations to come.”
A House committee will be holding a public hearing on the proposal, House Bill 2737.
COST OF SUCTION DREDGE PERMITS
Once you purchase the 700 NPDES permit and pay $250 to get on DEQ’s permit data base and $250 for the annual permit ($500 total) it locks you in for an annual $250 permit renewal that will be invoiced to you each year. The only way to stop that billing will be to send DEQ a Permit Termination Letter with your name and permit number. If you terminate your permit you will pay the $250 to get back on their data base and $250 for the permit when you are again ready to mine. And depending on what time of the year you sign up, you could be charged another $250 for a total of $750. All these fees are subject to change, and in the future you may be paying more to dredge in Oregon.
SILVER MEDALLION PROGRAM A TOPIC AT THE MARCH MEETING-Ken Alexander
I will have a full report with information about the mints I have contacted and prices at the meeting. Based on this information, Board Members can decide how to proceed.
SILVER MARKET TRENDS- Washington D.C
Last year, the silver market faced a challenging environment which was reflected in a muted price performance. Preliminary estimates point towards a minor 0.3 percent increase in total supply whereas demand contracted 3 percent. A slowing Chinese economy, coupled with rising U.S. interest rates, an equity market bull run, and global trade tensions, affected the price performance across many markets, including gold and silver.
This year, we expect the sentiment to be more supportive for the silver market. The start of 2019 has already proven to be good for silver investors. The U.S. Mint for example, sold 12 percent more American Eagles in January compared to January 2018. In addition, the expected slowdown in the U.S. FED rate hiking cycle should also benefit silver, which in comparison to gold, has a very attractive price point based on the high gold:silver ratio at around 82.
SILVER DEMAND-Silver Institute
Silver demand from industrial fabrication, responsible for approximately 60 percent of total demand, is forecast to rise modestly in 2019. We expect most sectors to record reasonable growth based on silver’s use in a wide variety of applications. Silver demand from brazing alloys and solders as well as electrical and electric applications is expected to rise again this year. This is on the back of continued demand from the automotive sector, which uses an increasing amount of applications, such as safety features, window defogging and infotainment systems, and for electric and hybrid vehicles. We also forecast growth in silver’s use in a variety of additional sectors, such as water purification, chemical applications, LED lighting, flexible electronics and screens as well as anti-microbial applications in textiles.
EOMA ADVERTISING AND SALE LISTINGS
2018 EOMA SILVER MEDALLIONS FOR SALE
We still have 2018 medallions available. 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.
FOR SALE: BURNT BRIDGE CLAIM
This 20 Acre claim is located on the North Fork of the Burnt River in the Wallowa-Whitman National Forest. Burnt River Road runs parallel to the river from one end of the claim to the other offering excellent access to the river and campsite. Claim contains over ¼ mile of river open to dredging. Copies of approved 2017 DEQ permit 600 PM and 2017 DEQ 700 PM (4” suction dredge) available. This claim is for sale for $2500. Contact Joe Toce email: toceja@hotmail.com
OPPORTUNITY -Looking for someone mechanically inclined to learn about and run a hard rock gold mill. One may be available for scrap price. Time to pass on the technology and know-how. Need a younger working partner and gold ore to run. Dr. Thom: tseal@unr.edu
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, will take gold, silver or will sell for a lesser price for cash. Call Ken at 541-519-9497 or Chuck 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 2019 work. Call Charles Stewart at 541-910-5435 for more information.
CARETAKER POSITION AVAILABLE
Wanted: Full time caretaker for remote property about 20 miles from John Day, Oregon. Primitive, well insulated house, wood heat only, good water from spring. Off the grid, power from gas generator if needed. ¼ mile level driveway off county maintained road. Must have own chain saw, 4 x 4 vehicle with chains, cut own firewood, and help with chores. Inquire by e-mail (tseal@unr.edu) or by mail to Caretaker, PO Box 8353, Spring Creek, NV 89815.
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