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Arizona Department of Mines and Mineral Resources Mining Collection

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CONTACT INFORMATION Mining Records Curator

Arizona Geological Survey 1520 West Adams St.

Phoenix, AZ 85007 602-771-1601

http://www.azgs.az.gov [email protected]

PRINTED: 12/11/2002 1 ~ 4 ARIZONA DEPARTMENT OF MINES AND MINERAL RESOURCES AZMILS DATA

PRIMARY NAME: BUCKEYE APACHE MINE

ALTERNATE NAMES: BUCKEYE SUNRISE APACHE FAIRVIEW

COCHISE COUNTY MILS NUMBER: 150

LOCATION: TOWNSHIP 14 S RANGE 27 E SECTION 4 QUARTER SE LATITUDE: N 32DEG 14MIN 26SEC LONGITUDE: W 109DEG 35MIN 07SEC TOPO MAP NAME: DOS CABEZAS - 7.5 MIN

CURRENT STATUS: PAST PRODUCER

COMMODITY: GOLD LODE SILVER LEAD SULFIDE

BIBLIOGRAPHY: ADMMR BUCKEYE APACHE MINE FILE KEITH. S.B .. 1973. AZBM BULL. 187. P. 72 ADMMR GOLD DEPOSITORY & LOAN CO. FILE USGS MAP 1-1310-B. P. 50; MIN DPST MAP OF SILVER CITY. NM & AZ MINES REGISTER 1965-66. P. 70 ADMMR MAP FILE, 2 MAPS

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BU~({EYE APACHE COCHISE COUNTY

CJH WR 4/9/82: Mine visit: in the company of Dick Beard of the ADMR Phoenix drove to the Apache Buckeye mine, Teiiston district, Dos Cabezas Mountains, Cochise County. Looked over the activities of the Gold Depository and Loan Co., (GO and L). Participated in field interviews with Rich Rupert, Geologist, and Frank Arnseiger, Mining Supt., both of GO and L and Randall M. Stewart, Geologist, Phelps Dodge: Corp. Dick Beard will write the Engineers Report of the visit. Note: There seems to be a discrepency as to the public land survey descri pti on of the property. The Buckeye Apache Mi ne appears 01' Luzena, Ariz. U.S.G.S. 151 quadrangle in the SW~ Sec. 34, T13S R27E. A ASMR mine fite letter dated 10/9/81 from Richard A. Rogoff, a San Francosco lawyer retained by GO and L to the AZ state Mine Inspector describes and property as being in Sec. 3, 4 and 9 T14S R27E. Of course, Sec. 34, T13S R27E and Sec. 3, T14S R27E are contiguous so the discrepency may not be important. lIm just surprised that the lawyer did not include Sec. 34, as it i~.' the section in which the mine entry is located.

NJN WR 4/2/82: Bill Cate, geologist with Gold Depository and Loan Company visited. Activity and plans at the Buckeye-Apache Mine were discussed (an office interview report was written).

CJH WR 4/23/82: Phone call: Johb Griff tn, Gold Deposttory & Loan, San Francisco, CA. He had learned that I had vtsited the Apache Buckeye property with Sick Beard and wanted my opinion of it. Told him that I didnlt see enough to have an opinion, and, unless the access road to the north is made available for use, the road to Dos Cabezas would ruin their ore trucks.

RRB WR 10/7/83 Chant Wysor, Manager Investigations, Wachenhut Security Systems and Serives, 3813 N. 15th Avenue, Phoenix, Az. 85014 Ph: 264-0353 and associate were in to inquire about Frank Arnspiqer who was the foreman for Gold Depositoty at the Buckeye Apache in the Dos Cabezas Mountains. They are investiqating the disposition of equipment from the mine and want a deposition from Arnspiger. They made copies of parts of the Buckeye-Apache and the Gold Depository files.

MG WR 3/9/84: I have heard that an out-of-court settlement between Phelps Dodge and the Gold Depository & Loan Co., was made to exchange interest in two mining properties. Phelps Dodge reportedly dropped all interest in the Buckeye-Apache property (Cochise County) and Gold Depository & Loan dropped all interest in the Dos Pobres (safford) property.

BUCKEYE APACHE COCHISE COUNTY

Not active at present except for assessment worko The newly rebuilt road to the Buckeye Apache Mi11was destroyed by a big flood last August. GWI WR 10-11-65

Mr. M. C. Grusendorf reported that the board of directors of the Buckeye Apache Mine wanted to sell but have not reached an agreement. GWI WR 2-5-66

Mine visit to the Buckeye Apache camp used by the Arivaca Mining Corpo GWI WR 9-10-67

Guy Clerc, one of the owners, has moved from Bowie to St. David. GWI WR 10/15/76

Mine visit - Buckeye Apache mine. GWI WR 11/10/76

CJH WR 12/1~/80: Messrs.Kenneth L. La Van, Pete Insana and Tony Insana, all with Eastern Emplre Constructlon ~o., 332~1 Curtis Boulevard, Eastlake, Ohio 44094, phone ~2l6) 951-1~09. Interested ln startlng precious metal mining in Arizona. Particularly lnterested ln the Buckeye Apache Mine, Dos Cabezas District, Cochise County.

J8J WR 10/16/81: Mr. Leonard Leinow, Martec Group, Inc., 700 Larkspur Landing Cmrcle, Suite 199, Larkspur,=California 94939, phone (415) 461-7650, called for file information on the Buckeye-Apache mine in Cochise County. Martec is an investment group. Mr. Leinow reportgsthat the owner of the Buckeye-Apache mine claims the property has 300,000 short tons of proven ore averaging 0.30x/ton.

{!(/ile. NJN WR 10/2/81: Bill Kay of San Francisco (whom I suspect'is associated wi th Gold Depos i tory and Loan Inc.) was i n ;~and recor~ed th.e conversa ti on between himself, Dick Beard and myself. - - - Mr. ~'also reported hts group is sampl ing the Buckeye-Apache Mi ne, Cochi se County. S'Qme prel tminary samples have been as high as .33 Qz/ton Au. He also mentioned seeing Gul f Oi 1 peop 1 e in the Burro Mining' Dtstrtct and a core drill i'ng ri"q near Dos Cabezas.

NJN WR 2/12/82: Alex Laurins of Amert'can Trust and Investment c~lled~ ~e. r~ported that on 2 days notice they can ship 150 tQnsf'd~y'\ Qf' ~,i;ltc~' flux Wl th some preci ous metals content from trre Buckeye Ap~che: Mtne,,~ GGcht$:e. C~unty\ ' He wa~ seeking a 1 ist of smelters he, CQuld shtp to. He als:0 menttoned that theY' are stlll seeking miners to work at the Apach.e.Buckeye mine,

Mine

District

Subject:

DEPARTMENT OF MINERAL RESOURCES STATE OF ARIZONA

FIELD ENGINEERS REPORT

Buckeye Apache D~e July 14, 1967

Teviston District - Cochise County Engineer G" W. Irvin

Present Status

Number of Claims: 4 patented

According to Mr. Clerc there are 6 or 7 patented claims for a total of 96 acres.

That there are 38 claims in all.

In 1966, the dry mill was sold to Consolidated Red Popular Minerals, and removed from the property.

Mr. Jess Angle of Phoenix is president. Mr. C. M. Scherer, 12A West Camelback, Phoenix, Secly. Mr. Guy Clerc, Bowie, a stockholder.

Err Clyde Vo Bro1,m, f{e1J Phllruflelphia Ohio.

Friend Bro\ln:

3021 East \'1hitton Avv~nue PhoBnix J\ri7.0rlC!o September 18th 1960.

Les phoned last night to say that the funds f30r the Buckeye:, l.fould be fo:rthcom:tn~hrhen tho nel.f cOJ"!)orntion i::1 formed "'" that Geisinff(un:" ,,rill be fHJay for"" t.he ~ext ten dH~S, etcH ~ It was good of Lea to phone (;l1d expensive) and I HppJ'GciatH :11:... Hif.~ Gtntemsl1t also sounded good and I 1./i11 attend the meeting of the Roard o~f. Director.s o:t" the Buckeye P\pache Mines Co on the 20th inatj th-" T"ease to Buckeye ;''\arj Ann ;"'1inHs Do llilJ he cancfll1ed ..... - and +-:J!llU!.7 and have the BOHrd H1J.thorize qyself and E.chols to be sale' $ignHtorie~ tJC) a nell !ease to be want~~d&

It rarely is sat:lsfncto,!,~y to tldo busi:ne~sn by phone when details have to bE:; ironed out. I.J\~s J s \!ord ·ts good .... but I have nothing ~31se i>.rith \\rhich to go before the Board, fl.nd so am "on the spot u• Pu.t yourself in my pla.cso ~uppose Ol1lS of them asks wh,~;:, ffilf;tantei?& ! have nOH - any more than at the time I met yon, r~utledge, etc in 'rucson and Ita delll 'Aff.iS made If ; t.hen again ~dhen G~islnge1" liHS here and I~th(~ dee,l l"as rnadeu• :~:'·tudy this over; it is tir18 t.o be brutally frHnk and not beat around the bush.

For' 3J_mo~t ~.l year I hav~ heon ~.rriting about the Gold situa.tion -fljJp~l1'eyd:,ly my l~?l:tt{-;:r$ have never been taken se-r.i(')u~lyl'l thus paid proper attention. Yet this past week it would. appear that everything I have ~i tten has ha,s a 8cund basis in fact, and an advance in thf3 price of Gold is so c10s8 that people 'Hho have millions at stake Hean ta.ste it H. l<1E HA VB f'HLLIONS AT STAKE TOO -- for any advance in the prine of Gold makes the :LHase on th(-3 Buekeye one of thn most prornifdng and. fo.r.rt,astic deals possible. Ju.st read the enclo!3l7d report, take it to anyboo.y t-lho OO.S any kpc.H-.rledge of geclogy and mining -- and he,ve them ertticise it Cn:. the;, can). And, if', af'ter reading the r(~.p()rt. you fail to appreciatf~ the deal - just forget the \vhole thirlg,for you will not deserve to be in on it in anY'tiay.

I have ':.rritten Le;:l throe lett.ers 0n the 15th Hnd 17th 1"e this Gold s i tua tion. Read then, ~.~ tudy them" and ;,'011 1-1i11 n see i>lha t I mean!l.

In my lettor of the 13th to Lm;, a copy of which uas f3ent to you, I vr'ot6 a~ pl~;1inly as ,90881b16 the followi:ng, rHpen.ted here for emphasis: ....

ItBucke\re Apache !1ines Co is in good standing. Any lease 'We grant 1..1111 be 100%"' 0 eK... All minin~: ulaimt3 a~:; per :map sent to you are also 100% O(lKo fJ.S can be inHtantly verified by phoi:.ostnts,etc.

~tThererore, given som21,hing d§.f.Ydte .~9. '\Jork on ,'" and '-4ith; a ne'.f Lease can be frrETl.ted to lEt Hne\" corpora'tlon lt

, as above OUtli};d, by Echols and royself ... " .... ~ <> ..... ," ...

If ... ~ nevI corpoTnt·, on should bn formed here in kri7.ona, uncl r can handle this as properly and as cheaply as can be done .. ALL i"ho put money into this nE)"..J corporation are Incorporators -- eliminating mu.ch red tapG,etc. It shoul/i not be rushed in any W'dY, but done pr-operly right fronl the start.

lfTo get proper guarantees of money forthcoming, is one principal reason I s~lrrP.'eqt.ed that I visit Ohio. Alno ~o that all concerned can ~ee

\{ho is to handle their money, and h011 it is "to be !3pent,etc. That. yay \49 ~tart off '..f:i.th all the cHrds Inid upon the table Qo pnd ! assume every pos:'3ihle responsibility mYBel! a'Q" and take responnihility fnlc"1Y from others. And, perhaps more importantly, £1056 the cJ!~al dfliini t~l.x, r.'~::...,.t...bIDl..ll!lli. .. :tJl~tr.~.

?3FoT' my pwr.t., I KNO\J th.f:it once th8 C1"Osseut is ,,fell under '-my ore \1i11 bAgin to sho'H .... - and 1:Jith the first ~ho"vli!1g of ore the blg mult:t~ mj,Jlion dollD.l" ,"r'E";\'lody 1·re a,I'e going after \J111 b9 def"ini to 1~,P H~'<U1"'~d. Once th.1,:1 oI"eDody :i.s reachec'i. Hverytlling e Ine ifill fall into line f" and things vri.11 :)ret:t.:r mueh take care of th,q~:'l.~H~lves. Gonf'i.dence 1.fi11 replace a.ll els~n"

I ~'1ve Tt:"n,rritten the foregoing c",loted paragraphs fo~> ell1phasis, \·!hich really seems to be needed, Thr:-; 3it~lation as of the t10ment is, in !EH.l?§tOt .. ]9_ £gunr~})lteq§~no d:r.ft'·8rent in visible Gigns any different from what it has be~n rOT' the past yenr, fJ.nd thi8 cannot be tolerated longer. ~;ince the iJhouecians invented money several thousnnd years ngo thH only gun.ra,ntees lllanklnd haq 1,Jtinted in business a.froS.irs is mo:ney J th~1 tang;iible evidence of pnri""ormanc8. I hnve no money, infhn,t T have had Ik"lH gone to do tlv3 ne(~e5~::H,J."y to keep th:t:;t deal n15.;.ve - .... lar~sHl:r for your banaf'it.

You "rill note tl-:u:1.t n t no time have I ever mentioYled 1!\,/htl.t am I to get out oJ: t.hisn with thH exceptIon of pH;;t:rnent foY' "3ervicss :r€lnde1"'ed; and, in, all modest:?, thBr{~ i~ no TlJ.Hl1 nnYHhere 1·yho c0u.ld hav'(-~ !'eplfH?u~(l me for the services I haYe rendered and am. capable of rE~hde:r~tng for t.he next fs'W t"\onth~.. If. yO'~J, do not believe this, :iust say' SO~ yuu wilJ. not be hurting me, you 1.<11.11 only 00 hurting yourself.

Nov then; The quoted paragraphf:1 above are specifice It is clear that.. left to yourseJves the Ohio bunch will t~ach at t~~mpt to try t.o have a any in running thi.nga - ~:nd, up to fl. certain point this i-la~ f) .. K" hut we have passed that stage; from no'w on, and for the next f\~;J m()nth~!f the hight3st phase of' intelligence ohtainable as far ag this p:?'.rtiO!.lle.r deBl is 00ncerned is in Y,fhat. I repl~e8ent. in person. !tny l01;/er or other sta.ge of action :must perforce by of lesser experience and grade. I am speeJcing frankly because it is required -- and he must heve an nr((h~rstanding' -right hf~:re and novl.

'i'he only real 6'\Tidence of al)prec1.o,tion is confidonce~ and the only way this conf·idenCf} can be expressed is by placing 't"eliance and trust in me. 1 ... 1hat has been done to date is evidence of my abi.lity to handle this and I really tho'Jght I to/as nlm:tr ~ of bun:l.ness ~r.lIou!" years ago.,

I do not '!4snt to come to (' hio, hut there is no other \:fay t.his deal can be closed propEfr>ly and expeditiou .. "ly. It:1.8 NOT !?ntisfactory to me to he.ve to do t.hlr~8 exactly as f30mG people in. OhioJ1 wnnt them done, 'lIhen by my O\m Bxperience ("'lhen handling thingB m:rself) I knoll uhat is required and how they 5ho:11d be and can be done 0 If you wan.t help, and you most ceru),inly do, to close this dealt. send me the money· to come- to C\hio after the 20th, and you will f'ind the danl closed and thA crosscut on its llfJ.y vhilf~ you might otherwise be !li:,hinkingH and. mulli.ng about this, that, and the other thing that ~i~q~ come up.

I '.rill' ~xpect to hear from - after YOll have Rsen Les, and :read the lettJers mentioned as sent to him on the 15th and 17th inst.

cc to L.ese

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Friend Les:

3021 East 1~\ibitton Avenue Phot~nix llri 'i;,onu. September 21st 1960 ..

The Special Meeting o:r the Board of Directors of Buckeye Apaohe :~'1ines Co,~ was held as scheduled last night. Five Directors vIere preH,ent

two sent Proxies (one is in S.Carolina p:r~.sently). Thds all 7 Directors 1,lere the full n·;ard. Tho IHv/yer' for the Companjt also ftttended..

I "''as ex~. tlit.:.,. ively qllf?sti.oned and, s·ubjocted"'.o c()n3ide~~,hl.e, .inquiry. . . .-

It was regularly govad and Seoonded and unaniDlOusly approved that the 1.J$s,se to a.nd noW' held by Buokey.e l\~arj Ann T'iines Co. be eanc~}lled.

t

It ,;/Us n,lso R.esolved that :,~essrs Echols ELOO rli8.brtel~on be aut.hari 7:ed t.o nego tia te a MV J.eaae to any cor pore tion PU"ttir.i!37 up proper guarantees of. financing and perfor~nlce - thp lease to be grantodsuhject to approvnl of thf~ Hoard of Directors.

At the Heeting I ~l.de it as clef1.r as I could thlilt preferer~e be given to .J:jl.e l)rosentOhiogroup - a.nd this ia ~tgreeable provided there is action. I asked the )avyer if he knev Kelso -- \<lhich he does. If you \-Jant Kelso to form the ne\i oorporation that is O.K. but before you do this may I suggest that you bold Ei. meeting and ha.ve the :money Uput up".

In my letter of tho 18th (to :Brown) I beli€lva I have gtvan you all neces~~a!"y partictU.ars. I have done everything possible to as~ure the deal to the Ohio groU'p, regardless of the fact that they M.ve kept things n :tn suspense tt for rMlny months longer than has been nevessary .... as far as I am person~1.11y concerned.

~1lu<tt W..lplXnaS 00"',] is up t;.<> you ~tnd Brown. The time hns a'lT;(ived £01' action~ rJW ~oopa~d.tion is youra.. The next to last Pfll"'£.,graph of ray le.tter of the 18th!s fully explnnuto:r.yo

c. vi • Gabrielson. co to C.,V"Browno

T~ri end Lo 8 :

f'.' o Thi· :-no1,"ning I LJ, ch tY2;:,nil 111

3021 Ea~t Whitton Avenue P}loenix i",rl2,ona" rJ1nrch 2nd 1959.

got to thlnk:Lng over por~"lble pDoposal - hence thig letter.

cnn!,ect.ionB

f2he fe'.rJ Inrs;e mining corporations, n:ince the F"'irst ','Jorld ar f have increasingly subsidized the Mining departments of the

Universities and Colleges in the rros~ - directly by donations and Indirectly through -che1.r politica:l affllla'tions and pressure"

i;-,:hy not"(, elnce 98,% of gl"B,_(tuat;e~-:i ;qhocontinue to f.'o11o\'l/ mining go to work for one or other of Baid cOI~orationa& Mor~ than ever before the field of employment 12 limited to them o

.",-,.;' i'l t~l'''' tl Y '''"'l'n i:J> ft'1'''~ Ii.} Cl'r q ;;j u q t m r:' "'i"~ -r; <'I:i (1 Cc,(1''Y-Oe· (;.0, I'7l!f t "-'r f) C·) 'r .......... r '-' ··~'R"~./!a, rr;:~ -t ~t ... .j!oA.. -f) 11 c~!· e~ ~\-..:.. ~~"!' f\-,:~,,_,; ',..', J .. .... ~ ~~~ · ... ,' ... e·3·1. i'j •• , .\:-~ "d...-"J I. .. J .} t:;{~ 1 ... )

of sChooling at publiO expense and starts work tor a corporation it i ,~ht;n ,that h1.:Y real educationb~,s.~p.B9 If diligent l.n hi r~ :'cholaEtlc endeavors he ha:.:~ ab~~orbed ':\(Jme. part of the thsortes 'by ~·(tl,lch men made fi fuccesc out of the means then aV'atlable~ but 1i1!hen he eomf~;~1 to !::l212.bV hI f: ae ump tione a.nd bfJl.iefs he ma.keg mi[~1;8.ke after 1l1i!~talte until by trflil and error and eon~),-tant ad~1.p""

tation to changed a.nd changing condi t1.ons he get:.: on thf: righ t road l.n i -,tettd of' the vU3 .. ys that have led him a traYe

Therefore he is given a job and more or less gently gul~ed Ellong t,o hl",:tng hi!~! e~peri ence I g:t"tT8 him contacts lirt th men ?~ wider experience !n their rennective fields before he 1s allowed much lnl't18.tive - at; least un~til he ha,(i proved.1::)l perf.Q.:r..l!a:nc~ that his judgment haG matured to where responsibility can Be placed upon hi8:~h(,)u.ldar8, that, fH) t.o paak.~ he c~ln f3tand upon hir, 0";111 t;"ro feet -'Ilthout leanlng too heavlly upon tht-1 props that ~~~pc ~~AV'~U'Q'J~y ~A~n n~OV1~8~ f'I)~ h4-l.t. f ... ~.: 1J 'l,"/ .l~.", ~ "~I' V ....... ~ . .1 . '-" '. t,! "' .... ",-. .. .~., .. Ii • lj .tJ;4 t}" v ()'. . . ':... J~ .4. .... -t,.. n..i.

(Th1 preamble 1;; due to thlnklnf~ over pos'ible connections bet~fef~n the lnt;ere~~t_ (~vid,(~nced by '(,ifr L1.chty) of his minIng engineer, Stranahan - ana repeated visits to the Buckeye of a Sc6utenglnenr for Kennecott e Raiph and Jam told me of these vi i tf5 at the time they \~f:H'·e'.at the property, and it 19 llkely hn made other v181ts when they were not present.

trana,han hap lived in ~;nfrord; }"\ri2'lona. for years and_ during the pac t couple of yearg Kennecott haH hpent over a rnilJ..ion dolla.rs fi, ye8..r {1:lfHf10nd drilling an aref:4- vti,;iblf:.~ from ;~jafford foX' pro:::-;pective copper (':iepoGl'ts. It "',xy(}uld be the mOEt 111{ely thing in the 1;lorld for ~tranhan and thip Scout englneer!o meet, indeed~ one of the dut1(:H3 of f~uch embryo geologiBte i~;: to 'ilptck the bra:uH3 H of ~),ny ftnO ,8:,11 ml. ning men er)COlHltered in hcrpee of acquir1.n~!; ;-':ome of their knowledge. tranahan ic an old time_mining engineer of wide exper-t cnce 1'H1C; of the mo::::t; likely men t ha.ve b(!)nn confi()ed in .~nd used by Kenr.tBcott i S Ennb:ryoB· • <h. 0 ea:n tell ;,JhGro tlH~ conneetionn nlEl,Y end a t? $I

I havf-) gone into the foregoing in some detail 80 tha.t you will know that the proposition net forth to you is not a prospeotors dream, but one of real, solidi 't'!orth, qui tedifferent from the Va,8t majority of propositions brought to Los Angeles and back East to be finanoed. By a brief visit here you can check E1very 1rlord herein 100,%, and Gooner or 18Jter I 'tJ1i'111 expeot you will do this.

\~11ile this !lVenturesl! paj~ty prOpOSE1G to :{tart operations ~'ltth a capi tal oy,tlay of over 1tl,OOO,OOO - .. ~ r believe that I can pe!'~form exactly as outlined. in the !11 e tter il you have t and get the property st?,rted. on profi table produotion, a~nd from tha.t poin t expand out of part of prof1 te. But of course 'thi f3 modest opera tlon i 8 not !,ib,6tt Big ~1oney 'lftT&nts , •. - they ;,,rant every thing Blg, the A'tart, operation, a.nd then expa.nc1 to Bigger. . They probably tfiTant a It''\ree~W'ay into the mine from the highway, b'udge ting over $40,000 for roads alone.

I have gone on record againElt acceptance of the deal,iind stated that once we get your InctianapoliB broker8 interested ,.,-6 will get the money and. always be in control of the propos! tinr. Vi/hi ch ! want to dO'G

Not having heard from you for over a. V'.reek I tried: to get you by phone 80 that I could say I hadhaard. from you - for I am convinoed in my Ot'ln mind that this can be a real success in TN'hich '~;1Te ca.n sha.re and that everybody interested, from mtne ot1neI'; to purohaser of sha.rf:l8, ~;i 11 benefi't; for years and yeal:~s to come.

• I ~a.m not 'ttiri t:tng thi.8 to br:lng any \tpre80:~ure" on you to do anything you \liJ'ould not normally have (lone - but mel"ely to state the facts. If you 11111 do the same 1j1 th me I will appree..;. late it. Please let me heal' from you 80 that my rejectton o'f the deal above m.entloned i;{tll have nome vu~ight.

With best personal repards, I am,

3021 Eabv ,altton Avenue Phoenix Arizona. February 26th 19f5D.

Friend Leg:

H)ll')h paid me fl, vi~:1 t thi f.l morning .. He bx'ought a. t'¥:i't) page legf.itl. 01z~d memo-proponal f:f"om the party mentioned lnmy letter to you of .Janu.;:·:u;""y 15th lagt. L~l.ot 'IJlleek :3am had gone Hi th them and their mining engineer to the mi.ne; they had l~Joked around, cut samples ClS they :plea8ed~ 8.n(\, a.fter the samples had been &f!ayecl had t:;ome dj. 8ClHL::lon \~rl th Haluh - hence the l'tro'Qoaal af~~ outlined belot-f. ~Ju:,::ged by the nature of t,he:lr figu,rj.ng th y are fHH~l;:.ing mine£) rf)q,uirlng large Cj~tp'l tal expendi tures, and ~n thEl Buckey'!;; ;;,ie:t).?j Ann it '\1Jt ould seem t:rle~f have sueh a mine. There are not m~ny other suoh mineg HVflilar)le t,.nYlftht~r~~.

I 1i4'8;s no t pre sen t t"lhen they 'lfH:f.r(-) a t the ml ne 4" they Sall things for themselvBo w~thout prompting and cut samples anywhere and how they pleased. ~huG the ooncluAions they arrived at are entirely their- OTj,!llo trhey feel confident the pI~')pert,r Justlfies a p:r~~~ltmina.ryexpeni:U" t ure of O'V'Ht" one m', 111 on dnl1,~)rB - and it gO(~g l.,;t thout g!~ying thRt they are in the mtntng buni.nesf} f,:n-- profi t •.

f2he Pl"OP(H~l tion 'tb,ey hav{~ made iG tmpDrtant to lIB", . Like all 1),1-1"1<,"''''' c·'lC1,..1 "''''''''''''~''\.'~ ~.HJ. ('; 1'" i" .~ "',. ""l'O""'jec t - ~"O f'·,t ...... t·'nq-n "'1P''!I'",·t.-"j ~t~ 0.11 ~~n"" '"" i ........ \.~1 ..... ,:,,( ... J,.", ,i.ll{)l,Ut:;·Q, .• I,,' . \.I . .!.:'1 bL. . \J .,~, .;.,1;&.1. ·,t,!.J":'''.L· ~l ... ·t7JI./·~.-",! .... 'J;'v· ,;;;,,·u,

chnng't3 before dftflnl te tlCCBlytanee or otherE18e* But 'fi'lhatever 6 Hoi ';:3ion l"fe rJc; nlfilk<'1 :1 g lrr~e'rooable I thur:~ t i: eannot be emphaslzect too ~~tl~onglY the. t 14~; :"~;hould be VH!.)Y ca,re.f'u]~ about mnk.ing any decision. It 1 easy to sign such a deal, but will not be easy to biite};;:. out if lat€n~ on 't~Ie flnd it doeM. not Gult us. And unless t';fC havp a t10rth 'lflhile alternative 1t;1e nhou)d not be In a :eur;h to turn 1 t do·wn.

~rheir€3n.mpllng of' the Buckeye ~3 tope (;\;;:~:~4. f{) £1, torr) 1. B' h~hf;r 'tb.H.n the C::,flserva ti ve geneX"·e.1. f:,;ample C,h01'J'U on t.he t!.c; May Map gtl1.1 i T; i r: rea~~OIV11)le iri every 1;.1lty.

The following 1s their proposal - verbatim.

Assume ~h~adsn of 0.4 oZ gold per ton. ? e 0 oz nllv(JT' i'1 ~I

'r~~n~~pwe~ VA'1'6a (.'l1 ~ .. f.). 1.1p~p .. ,J\ • ~ .~,~ ~~""'_ .. \!. -:-~~..,.~ VM .,1 .. 'Jt.. v: '-o.;~ \, _.,( \......, _ ........ r;tJ J. .

0 A X 95;~:, X '1::33 .. . ., '7 I) X ('\1t- _~.(f.'

X ?G¢ 0 ~jojt:.?

1t, 12 .. t~~~t _~~.}." S:8

:t? ~ st;J ~i ry~

.. L" I;,!".

0acovered values per ton 15~7? cume :-=~OO tonp per' day milling rate

'hatiop of conc~ntrat:ton 12 to 1, O'~ IG.6 tong concentr!ttes adaYe

HEVENUg - per dp;y It total $ ;)t15t~

Development ;4ining Hauling ore

;~total

~100.be l~~OOm 00

60.00 Milling .::1'.00.00 General Exnense 200.00 Hauling 16:6 tons concentrates249.00

(JJ:H~ra ting prof! t

1;:)e(;(: :DeRr:ecl~t~

$1,000,000 over 5 years

Profit before taxes

Mine preparation and equipment POi/lrer :.:!;upply '>fu t er F;uPJ')ly Road Construction Mill - 200 tone @ $2,000 per ton day f:'thopt3b ~'!8,rehou8e, ~,8'aY' off'1ce,eto HOUGing Cont:lngencies

Working capital for 3 months

~~2 1 500 a day foX" 90 dayg

5f}5.00

190.00

•

{OiL

~per ton

1.50 G.OO

.30 ;l.OQ 1.00

_.1.26

:$ 300»000 60,000 25,000 :Z:5, 000

400,000 150,000

50 J OOO 100 eO()O

~!!; 1 J 000, 000

3.72

.. 95

As .a preliminary to j:'oregoing expendi tures, . for a complete check up» the f()1101)l.Tlng 1,"toulc1 be addl tional.

I\oads :n:i.amond, dri lling 6,000 ft @ ~lj}5 Ac ;::;a.ying .-Geological, $1,000 a mo for 6 mOR :::upervision -

!~> 2,5()O 2b,OOO

1 11 000 G,OOO '!~I.~20Q

l:el:leY '~v()uld require a firm option for One year, during 1prhieh time the l:';xploratlon fund would be u.c-;ed to determine whethHr or not to proc~ed with the m&jor financing.

All cost er~tima.te8are of cour88 liberal - may not have any real relation to actual costs of op~ratlon.

It 18 important to note the wording «LaBs Depreciation". 'Phl D probably means that they get all their C~,p1 tal ex.penai~ure8 rf~t_urned bef.'ore !l.!..V ('l~,Gtribution of prof1t~~ •.. :_TI ftny event tilSY want 90% - \"1h1 Ie t18 get 10%. .

The proposal outlined on the preceding two pages oan be assumed to be subjeot to further ne~otlatlo~ and ;o~e ohange -but not much or.lange. Our aeceptance meA.nf~ that eV8rything""'ls turned over to them ;",yi thout 1?eCOUrS8 t then the bes t 'l;~e could expect ii;fould. be tha.t, after they had received. in t"ull ftl1. capltal outlay \~~t; ".'TOl-tId be in rin{~ to receive ten pe:t.:' eent 0:[' any profi ts remainl~g after taxes. )hich will not be much.

It will be easy to enter into ~ueh a deal. Once it is nigned over ~~';e oaO:lot "ct.i(~k outo Tb,ero l.? little prospect of our eet t5.ng .l3,uything 1"or 8CV(H?3.1 ye~1.rG at best. ::hould they have onG legaJ. .. 3(;hewer ~tn the'!r outflt \~..rho 'i,NlntB to liniV;t~;(e a n~me tor' h).ills,elf :':i.!ld a,equ:1.1~~::: PG\iel~ In the (:ol"'porntlon il at our expenne thf3n al ~~, 'i~te ~!Yi 11 r~e t (Jut of 1 t :t G tro u'ble (\0 And 1: h5tVe found that there are oniy too many such people. ~bey crop up when there i8 ~$).nythl:ng ~!or·th ·\ir~J.le for them in t~igb.t.

,,:/b,at ht,~v'e W(-; t!1Ei an Hltorna ti va (j·b(;uld. this proposal 'be turned dO";,in%. T'hi,F) ie the tIme to 10 ()k. aJ.lthe f8.CtS in the fi:~,oe for Gorne ~ec18iori must be made. Once made it must receive active coopex'8, tion -- not me:r-ely pa£~ :;1 va recognl tiona PeI~sonal likes and dJ .. t=511Js.:t:El, ballet's - regardles;3 of.' what they may be founded upon 1 'vJ"hBt11,er i gnor'ance or expe:(r.i ence - rnU~i; t be gubord.l nD.. ted. to attainment of any objective decided upon.

If anyth:lng haFj be(:-)n learno(1 at all :it 18· thf..-tt my original pla,n for f inancl ng ;:tnd opers. tlon li1'~'H5 cO{lorect; tha t my' g'llbC-:1equent plan" to t:lnd a brokel" wi -th ft nlientele through whom the rn:lne could ~be' :t"irlancecl if "'aIf:~'O c()!-·re'c'r.---Y-believ"e that my \<!ork i.n Lc)s Angele:.; has put me on tl d.irect 'br".fack" if not in actual conta<:~t, with such a broker.

To complete any such arrangements additional finances are required an.a pr'oper" authority gl ven ;:;·\0 that once nef~()tiatlon8 begin t.11th pritlcl:pals there 'wti 11 be no ht tch Ol~ delay .... and that any and all requirements will be met. in rlue nourS8 the S.E.C. ftdlY h8.'v(~ to be contacted. -- hut; an:r Fiuch Hei?,;ula tory requtr-emente will be brought up and ll.H3t through the Br~nke_r selected;! e.f..{ch o:t whom has his own ~channelsn~

You helve a ji1if:~veral rnl11ion dolla.r minel~. You haVE! all t.he fact;':! up to thin mom.ant -- vrhat art~ ,you golng to do about it"

Very truly yours D


Not tor publication" pending FIELD ENGINEERS REPORT

add! tlons to the milling equipment

Mine I Buckeye Apache Mines and Mill Date Dec. 4, 1957

District Tevlston Mining District, Cochise Co. Engineer Axel L. Johnson

Subject: Additions to report of Oct. 2, 1957. Information from Bam Wallick & Ralph Richert, and Personal Visito

Location See report of Oct. 2, 1957.

Number of Calims - See mport ot Oct. 2.

Owners See. reportot Oct. 2. ; -

IAassees J .Buckeye Marj-ann Mining Co., Box 1824, Goodyear, Ariz. V'.sam Wallick, Box 1824, Goodyear, _ Ariz. and VRalph Richert,- 6109 E. Exeter, Scottsdale, Ariz.

Straight 10 % lease ot net smelter returns.

Principal Minerils J Gold and silver ores.

Present Mining Activity Mill test at the mill. 2 men working.

GeolOgy & Mineralization See report c€ Oct. 2.

Ore Values Bee report of Oct. 2. / .;

Milling & Marketing Facilities A dry mill has been installed at the old mill site, about 1.2 miles from the mine. This mill was designed ands.et up by William W-. Davis otPhoen1x, Ariz. ,using crusllers, vibrating screens, cyclones and other equipment trom the Southwestern Engineering Co., Los Angeles, Calit., and trom other companies.

The main feature of the mill, different trom other mill designs. are the m . tables (, in number), which concentl'll the ore by gravity separation 07 means of SlWcin~ and vibi7a.ting and a blast of air caming through the sreens on which the ore is agitated! The ore is crushed and screened into S difterent sizes, these sizes varying from 8 mesh to 100 mesh, each different size at are being ted to a separate table. Each table is composed. of a shaking vibrating screen , with a different mesh sreen for each t:able depending on the size ore treated. The screens are set at an angle ot-1S to 20 degrees. Air is being fQrced up thro-ugh the meshes ot the screens by means of blowers discharging a blast ot air below the screens. The concentrates work up to the top end of the table and discharges into small ore hoppers, -while the tailings are discharged at the lower end ot the ~ble. - A.rrr material which passes down through the meshes of the screen discharges into a dyclone. -

Mine ore is first IiXa dumped through a 10 in. x 10 in. grizzly and ted into a 24 in. x 36 in. impact mill. This impact mill is not able to grind the ore down from the 10 inch size to the sizes required for t he tClble teed at required capacity. Oversizes from the various vibrating screens are also returned to the impact ~ll for regrind.

The teed to the Various tables is not uniform. Some of the tables get overloaded and some _ of t he other tables wark with very 11 ttle -load.

Operators plan on obtaining a _ jaw crU,sher as a primary crusher ahead of the impact mill, and to install automatic feeders for each table. They also plan to call on the mill designer, Mr. Davis for _ an adjustment otthe mill operation.

Operators report the following grade of concentrates on a recent mill testa Gold ----- 0.38 os., $ilver ----- SO oz.; Lead ----- 16 %. .

~erators admit getting poor reeovery, and blames this on l.rregular teed on the _ table and mill not working to capacity. They believe the,. will get up to 90 % recovery after the additional milling equipment is installed & the operation adjusted, with 6 t!nt~·


Not for publication on acc. of FIELD ENGINEERS REPORT incomplete & unverified information.

Mine Buckeye Apache Mines and Mill/ Date Oct 2, 1957

District Terleton Mining Dist., Cochise Co. Engineer Axel L. Johnson

Subject: Field Engineers RePort. Information from Guy Clerc & Tom Bean, and Personal Visit.

Location About 10 1/2 miles SW of Bowie. Drive 1.3 miles west from Bowie on Hw,y. # 86. Turn left (south) and drive 8 miles to the mill and an additional 1.2 miles to ~he mine.

Number of Claims 3~ claims ---- 14 patented and 24 unpatented, as reported by Mr. Clere.

Owners Buckeye ~Ch~ Mines Co., 1012 Grand Ave., Phoenix, Ariz. {;ha~o G~brief50n, President, and s.13 .. ~ Eccles, Secretaryj of s~ addrt;ss. Capl.talJ.zed for 250,000 shares. Mr.¥ Guy Clerc of Box I077, Bowl-e, ArJ.z. reports ?Dg 14, 700 shares. Pres. and Secretary- not contacted.

Lessees Sam wallick, et. al., Willcox, Ariz. Could not locate Mr. Wallick. Lease reported by Mr. Clere to be for 10 % of net smelter returns.

/.,/

Principal Minerals Gold ores.

Present Mining Activity Closed down temporarily on account of milling difficulties, and breakdown of mill equipment.

Geolthgy and Mineralization //J ( a) According to Guy Clefc, stockholder:

A blanket vein of quartz, from 3 to 13 ft. thick, with a dip of 3 to 10 degrees to the west, towards the tunnel openings. Quartz vein contains flower Gold and a very small amount o~ p;nruxx galenaV' Footwall and hanging walls are granite.

(b) According to ThoMS P. !5ean, former owner: ; The ore body on the Buckeye claim is not a blanket vein, but an ore lens

deposited in a favorable structure in the granite, with feeders from belowo Mro Bean estimates the ore body to be about 800 ft. x 600 to 800 ft. and 13 ft. thick at the eenter and diminishing in width to 3 ft. and. less around the edges. Ore body is circular or elliptical in shape, with an average dip of slightly over 10 degrees ta the NW. The dip is rolling~ rather than uniform, and also broken by several faults.

J.he ore body on the Apache claim is a similar ore lens, formed under the same condi tiona. This ore body dips about 45 degrees to the south. Its size and extent has not been. determined.

Ore Values (a) According to Guy Clerc, stockholder:

Sampling of the ore body by Buckeye Apache Mines Co. in 1946~1948, showed values from $12 to $40 in Gold and Silver, with an average 1m of $20 to $25. About 75 % of the value, was in. Gold and the remainBing 25 % in Silver.

(b) According to Thomas P. Bean, former owner: A fair estimate of the whole vein would be about $11 per ton. This can

be raised up to $.30 per ton by means of selective mining and hand sortingo A set of samples taken in. the shaft on the Apache claim showed about $20 per ton in values.

Ore in Sight and Probable No information available.


Not for publication on" acc. of FIELD ENGINEERS REPORT incomplete and unverified inform.

Mine BuCkeye' Apache MYnes and Mill Date Octo 2, 1957

District Teviston Mining Dist., Cochise Coo Engineer Axel 1. Johnson

Subject: Field Engineers Report ( con It)

Milling & Marketing Facilities A mill has been installed on the old mill site, about 1.2 miles from. the mine. Reported capacity of the mill is 150 tons. This is a dry mill, manufa.ctured by the Southwestern Engineering Coo of Los Angeles" Califo The mill crushes and screens the ore into 5 different sizes, after which the ore is fed to , dry tables---- one different size for each table. Each table is cQmposed of a shakingvibrajing screen, with a different mesh for each table, the screen being set at about a 15 or 20 degree angle. Air is being forced up through the meshes of the screens by ~ans of blowersAischarging a blast of air b$l~w the screen&. .

I did ·rtot see the mill operate as it had been closed down on account of mechanical failures, and no one was around to explain its method of operation. However, that is the way it looRed to me from a cursory examination of the mill.

Past Riston & Production J. . , 1) M:tne owned by a Capt. TeVis and a cattle company" who opera,ted the mine

prior to 1882, and patented the claims in 1882. The ore was milled at the mill site about 1.2 miles from the mine, and also at one other mill. Gravity concentration with tables (wet) were usedo Mr. Bean reports that the tailings ran about $ 6 p~r ton in Gold and ~ilver, and were subsequently retreated with cyanid~ion for additio~l extraction. .. . (2) ivJine bought on tax sale by Thomas P.· Bean and E. S. inderson in 1935. Mpo Bean reports that 7 patented claims and 1 patented mill site was purchased. Bean and Anderson subsequently located additional surrounding claims.

(3) Bean and Anderson subsequently operated the 'mine, shipping the ore directly ~o the A. S. & R. smelter a.t El Paso. The ore haa to be hauled part of the distance to Bowie by burro, as there was no road that could be used. Mr. Bean reports that, the value of the ore shipped was from $30 to $32 per ton. Only selected spots on the vein and high grade streaks were mined in order to keep the grade ,up. Mr. Bean reports that they just about broke eRen on the ~peration, an~decided to,~~spend operations.

(4) Property purchased by Cha.:1t¥,?Gabrielson, '1?hoenix, Ariz. abou~ 1944. (5) Buckeye Apache Mines Go. t6rmed about 1945. ' (6) Operations of :the Buckeye Apache Mines Co. 1946 to 1948:

(a) Sank well --- 75 ft. deep (b) Built 2 Quonset huts and a mess hall. (0) Built 5 miles of road into the property. (d) Sampled the mine workings, and cleaned out the workings to get ready

for mining. Gompany ran out of money, before miilmng operations could be started.

Mine worki~s i) On the Buckeye claim - .. ~ 6 tunnels into the mountain through the ore

body_ Tunnels are from 100 ft. to 500 ft. in length. Total footage about 2,000 ft. (2) On the Apache claim -------- 1 shaft (incl. 3, deg.)----about 30 ft. deep ..

Also one tunnel about 30ft. long and one tunnel about 50 ft. long.

Present Mining ~erations There was no one working at the property, and no one at the mill. l'-Ir.?GuY lerc repo.rted that they had experienced milling difficulties and had gone to Denver to clear up same. Examination of the mill showed that one of the EBH(iRgSX crusher drive shafts was dismantled, apparently due to mechanical failureo

Genera.l Remarks !VIr_ Thomas P. Bean reports that the ore, in his opinion, is not easy milling, and very probably would require cyanidatiQn. He states that much of the ore is graphic tellurium (s.y1vanite) associated with lead sulphides.

.... h .. rARTMENT OF MINERAL RESu\.Jh,.;...E:S STATE OF ARIZONA

.{ FIELD ENGINEERS REPORT { BUCKEYE APACHE MINES & MILL

Mine BUGK.ftYB- M:A.lt'JkNk M-lliE Date August 13, -1957

District TEVISTON, COCHISE COUNTY Engineer Lewis A. Smith

Subject: Information from Owner - Office Call

Location: North and East side of the Dos Cabezas Mountains - 1 mile North of E1roa Camp. '

Owners: /Ralph RiChirt, Samwalfick, and Associates v c. w. ,brielson, 1012 Grand Ave., Phoenix, Arizona

Pro~rtl: 4 SUNRISE. GROUP claims) Patented - 1 ASSOOIATION claim ) 4 Mill Sites - Patented

36 Unpatented claims

The work has been done on the 36 unpatented claims.

1 - 150. ton Davis Dry Mill v' Concentrates from dump ran $150.00 per ton in gold, silver and lead-

mainly gold and silver. 1 Compressor (450) 1 HDll Bulldozer

Men Working: 4 on development work.

Geology: Two flat veins, dipping 200 and 22 0 respectively, intersect. Both dip westward and one strikes N30W and the otherN5E. The main ore zone is at the intersection of these two flat veins. ·The country rock consists of granodiorite, or granite, cut by diabase; rhyolite porphyry, and andesite porphyry dikes. The vei,ns cut all of these formations.

I '

~ .

DEPARTMEN. JF MINERAL RESOURCES Daily ~eld Engineers

Date

Day

Expenses Meals --------------------------------------Lodging (Receipt)

Miscl.

Total

Meter Time of Depart.

Meter Time of Arrival

\

Jc.PARTMENT OF MINERAL RESO""kt;.;.£s STATE OF ARIZONA

FIELD ENGINEERS REPORT

Mine Buckeye Apache

District Teviston District ---- Cochise Co.

Subject: Present Status.

Location 26 miles N. of Dos 9abezas.

Number of Claims 4 patented claims 3 patented mill sites 16 unpatented claims

Date May 3, 1956

Engineer Axel L. Johnson

1 mile N. of Elma Camp.

Owners ~COrding to the records at the County Court House in Bisbee, 4 patented mining· ims and 3 patented mill sites are owned by y""Buckeye ApacheMines Co., c/o G. • Gabrielson, 1012 Grand Ave., Phoenix, Ariz. ..

Principal Minerals Go{d and ful ver •

ASSQY~

v Buckeye Apache Mines Co.

Y Apache G r o·up

MOTZ ENGINEERING co.

Au Ag Total Ozs. Value Ozs. Value Value "Checks"

Apaohe - Shaft - 1 0.36 $12.60 5.7 $ 4.59 $16.99 2 0..42 14.70 6.1 4.70 19.40 5 1.68 58.80 15.2 11,70 70.50 4 1.72 60.20 29.2 22.48 82.68 5 0.49 17.15 8.4 6~47 25.62 6 0,,67 ' . 25.45 8.9 6.85 30.30 7 0.28 9.80 5.2 4.00 15.80 8 0.84 29.40 20 .. 8 16.02 45.42 $57.84 Av.

'Vein - 9 0.73 25.20 6.8 5.24 50,.44 10 1.19 41.65 19.6 15.09 56.74 43_59

Tunnel .... 11 0086 30.10 10.4 8.01 38.11 12 0;,,32 11.20 2.3 1.77 12.97 15 Oc6? 23.45 7.6 5.85 29,30 26.79

Wiley Post Cut -14 1~28 44.80 68.9 53 0 05 97.85 97.85 Halfway - Gulch -15 O~16 5.60 6.0 4.62 10.22

Cut ",;.6 0.33 11.55 9.8 7 11 55 19.10 14.66 Apache No.1 Shaft ·-17 ' 0.18 6.30 1.8 1.39 7.69

18 0.16 5.60 3.4 2.62 8.22 19 0,,12 '4.20 2.00 1 0 54 6.?4 20 0.2l 7.55 2.4 1.85 9.20 7.71

, 21 0.27 9.45 2.7 2.08 11.55 22 O~48' 16.80 6.9 5.31 22.11 23 0.44 15.40 3.4 2.62 18.02 24 0~18 6.50 2.8 2.16 8.46 15.03 25 0.56 19.60 6.1 4.7.0 24.30 26 0.'37 12.95 5.2 4.00 16.95 27 0.85 29.75 12.9 9.93 39.68 26.94

Apache No. 2 Shaft -28 0.41 14.35 12.5 9.63 23.98 29 0,72 25.20 10.7 10.55 35.75 50 O.5? 18,20 11.6 8.,.93 27~lB 28.95

Average No. 1 Shaft 15.63 Av.

Gold @ $53 OZ, Silver 7l¢ oz.

J ..

LIST OF CERTIFlED ASSAYS MADE FROM ORES FROM THE PROPERTIES OF THE BUCKEYE APACHE MINES COMPANY

v' * * *

V APACHE CLAIM Ass~ Certificate No. 32,556 By A. H. Jacobs, Tucson, Arizona. Serial Number 84569.

Gold ozs per ton Silver ozs per ton $ per ton'

72.20 7,305.2 $ 8,151.90

Serial Number 84,571 2.18 37.0 104.79

Assays by O. K. Weisner, assayer for Consolidated Gold Mines Co., Dos Cabezas, Ariz •

• 60 .42 .54

132.00 1,.302.5

6.24 9.20 6.85

1,902.7 5,334.30

25.37 21.10 23.75

9,951.89 50,981.8Q

~ Assay by Jonatham Gordam, Tombstone, Arizona. /'

Certificate No. 3578

431.00 16,843;00 26;875.00

Assay by Hawley and Hawley, Douglas, Arizona. ,Certificate No. 112,447.

556.60 11,462.00 30,504.40

Sent to American Smelting and Refining Co., E1 Paso, Texas, Smelter Lot 731.

Gtlld Silver Lead

29.50 ozs 415.00 It

15 .. 4 %

$ 983.80·per ton 260.43 n

6.61 !f

Total Value per ton

List of Assays taken generally from three tunnels on SUNRISE CLAn~

#1 #2 #3 #4

Assays by C. H.

Values in gold and silver n " It It

If II tI rt

u II II It

Diehl, Phoenix, Arizona.

54.00 18,,00 13~60 25.80 .

... BUCKEYE STOPE

$ 1,250.75

$15.27 $8.33 $24.82 $20.78

7.12 14.84 17.38 25.87 5 .. 70

TO ALL WHOM IT MAY CONCERN: /

Phoenix, Arizona October 24th, 1947

The ~riter, Leroy Sunderland of Phoenix, Arizona, studied Mining Engineer~ ing at the University of Nevada, then took an additional year (1899) at the same university studying Inorganic Chemistry and Metallurgy, particularly Cyanidation, then a new pr-ocess.

After working at various mines in Navada, California and British Columbia, I was with the firm of Charles Butters for 18 years in Central America, at the gold-silver mines of Devisadero, Comacaron, San juan de Lamai, Chontales, etc. I built, rebuilt, and operated mills from 100 to 600 tons daily capacity, and at times also too~ charge of the mining operations.

After two years in Cuba as Superintendent of a 600 ton a day Flotation plant, I returned to the United States; then for three· years wa.s Field Engineer for the United Verde Copper Co. of Jerome, Arizona, for which Company I examined mines in Mexico and the Western States.

One of the very best gold-silver mines of my experience was the·Chontales mine, where for years I operated a 400 ton a day cyanide plant. Yet from what I have seen the Buckeye is far better than the Chontales - and I have seen but a small part of the property of the Buckeye Apa.che Mines Comp=;.ny.

Hy experience co·vers some of the largest and most important gold-silver mines of the West and Central America. But it has never before been my experience to see such a large hody of gold-silver ore as is now exposed at the Buckeye stope of the Buckeye Apache Mines Company. I call this a well developed mine, capable of producing an enormous tonnage of ore at low cost ~r ton~ I truly believe this mine will shortly be one of the largest and most profitable mines of Arizona.

The work already done and planned on the property shows thEl t the Management has courage, vision, and mining ability~ Their work is an inspiration to all interested in the, mining bu~iness. Every indication shows they can safely be antiCipated tQma~e a profitable and lasting sucoess for the Buckeye Apache Mines Co.

State of Arizona ) ) SS County of Maricopa

Very truly yours,

/~1. A L? cx::'~~~~~

Leroy Sunderland

Leroy Sunderland, known to me to be the person whose signature appears above,· signed the fortigoing in my presence. Q

... /~/&~ Nota.ry Public

My Commission Expires January 4, 1951

(SEAL)

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BUCKEYE-APACHE MINES CO. Box 1163

Bowie, Arizona

September 20th, 1947

The Buckeye Apache Mi.nes Company is a sound business proposition because every share of stock to be outstanding in the Company is today backed by several dollars worth of ore in plain sight. From the Buckeye stope alone, if desired, several hundred tons of ore can be mined daily -- and there is enough ore visible to keep in continuous operation for many years the 200 ton a day mill now "in process" of being built.

Th1.s ore is so wide and so situated that it can be mined largely by mechanical means on a low cost, large scale basis. Areas in the Buckeye stope assay high, and $40 ore is fairly common - yet estimates are based on an average of $12 a ton in gold-silver. The ore also carries some lead, at present high prices almost enough to meet mining and milling expenses - leaving the gold-silver values as profit.

The ore now exposed has caused many mining men to state that the Buckeye Apache mines has one of the largest proY££ deposits of gold-silver ore in the entire "West. Because of what they saw they invested their money and interested their friends. This great tonnage of ore is an assurance of safety and profit for the stock-holders of the Buckeye Apaehe Mines Company. .

Last week surveyors made surveys for the mill for the El Paso firm of engineers who are to build our 200 ton a day concentration-cyanid~tion plant. This mill is to be built as a 'turn key' job, electrically driven and almost automatic in operation, estimated to make several tons a day of lead concentrates for shipment to the El Paso smelter; and bars of gold-silver bullion tor shipment to the Mint.

After operations have been smoothed out by a few weeks of operation we expect total mining and milling costs to be about $5 a ton, and, with recoverY of gold-silver values estimated at $10 - NOT inclliding lead values - it is considered that estimates with an ample margin of safety will shov,r profits of ~7 a ton •.

200 tons a day, 26 days.a month, 12 months a year -thus indicates profits of $438,800 a year - equal to 60¢ a share.

The Capitalization is low - thus fair to investors, and the fact that the mill is now tin process' of being bu.ilt, to be completed in about six months, provides reasonable assurance there may be higher prices for shares, as well as earnings to be applied to dividends.

The Company is free from debt, all properties fully paid for, with cash on hand towards paying for the mill, and vital parts of mill equipment have already been purchased and paid for. The large tonnage of ore and good grade of values elimi.nates the 'gamble' or uncertainty associated with the usual mining enterprise. The Management and many other experienced mining men believe that the Buckeye Apache ~.1ines Company has as good a chance for success as any mining company formed in this country for the past 25 years~

Very truly yours,

C. W. Gabrielson. '''~

As S Q Y-..S

Buckey~ Apoc.ne Mfnes Co.

Apache Group ==~=========-. .,- - ~==:.;..~.: -- ==~-.,.,==-=~===:;====:::.'"'::-==,====

MOTZ ENGINEERING co.

Au Ag Tota.l Ozs. Value Ozs. Value Value "Checks"

Apaohe - Shaft -1 0.3e $12.'60 5 .. 7 $ 4.39 $16.99 2 0.42 14.70 6.1 4.70 19.40 5 1.68 58.80 15.2 11.70 70.50 4 1.72 60.20 29.2 22.48 82.68 5 0.49 17.15 8.4 6.47 23.62 6 0,,67 25.45 8.9 6.85 30.50 '7 0.28 9.80. 5.2 4.00 13.80 8 0.84 29.40 20.8 16.02 43.42 $57.84 Av.

Vein - 9 0.73 25.20 6.8 5.'24 30.'44 10 1.19 41.65 19.6 15.09 5.6.74 45.59

Tunnel -11 0.86 BO.I0 10.4 8.01 B8.11 12 0:.32 11.20 2.3 1.77 12~97 15 Oc67 23.45 7.6 ·5.85 29.30 26.79

Wiley Post Cut -14 1~28 44.80 68.9 53.05 97.85 97.85 Halfway - Gulch -15 b~16 5.60 6.0 4.62 10.22

Cut" ·:-6 0.53 11.55 9.8 7,,55 19.10 14.66 Apache No.1 Shaft -17 . 0.18 6 .• 30 '1.8 1.59 7.69

18 0 0 16 5.60 5.4 2.62 8.22 19 0012 4:.20 2.00 1,,54 6.74 20 0 0 21 7.55 2.4 1.85 9.20 7.71 21 0.27 9.45 2.7 2.08 11.S5 22 0p.48 16.80 6.9 5 .. 31 22.11 25 0.44 15.40 3.4 2.62 18.02 24 0,,18 6.30 2.8 2.16 8.46 15.05 25 Oa56 19.60 6.1 4.70 . 24.30. 26 0.'37 12.95 5.2 4.00 16.95 27 0.85 29.75 12.9 9.95 39.68 26.94

Apache No. Z Shaft -28 0.41 14.55 12.5 9.65 23 •. 9B . 29 0.72 25.20 10.7 10.55 35.75

50 0.5~ 18.20 11.6 8.,.93 27.13 28.95

Average No. 1 Shaft 15.63 Av.

Gold @ $53 oz, Silver 71¢ oz.

LIST OF CERTIFIED ASSAYS MADE FROR ORES FROM THE PROPERTlES OF THE BUCKEYE APACHE MINES COMPANY

* * * APACHE C.1AlM

Assay Certificate No. 32,556 By A. H. Jacobs, Tucson, Arizona. Serial Number 84569.

Gold ozs per ton Silver ozs per ton $ per ton

72.20 7,.305.2 ~) 8,151.90

Serial Number 84,571

2.18 37.0 104.79

Assays by O. K. Weisner, assayer for Consolidated Gold Mines Co., Dos Cabezas, Ariz.

,60 .42 .54

132.00 1,302.5

6.24 9.'20 6.85

1,902.7 5,334.30

Assay by J onatham Gordam, T'ombstone, ltrizona. Certifica.te No. 3578

431.00 16,843.00

25.37 21.10 23.75-

9,951.89 50,981.80

Assay by Hawley and Hawley, Douglas, Arizona. Certificate No. 112,447.

556,60 11,462.00 30,504.40

Sent to American Smelting and Refining Co., El Paso, Texas, Smelter Lot 731.

Gold . SilvQr Lead

29.50 ozs 415.00 It

15.4%

$ 983.80 per ton 260.43 n

6.61 n

Total Value per ton

... List of Assays taken generally from three tunnels on SU~ISE CLAIM

#1 Values in gold and silver #2 nun It II

#3 1l " "If It

/14 n II It It II

54.00 18.00 1.3.60 25.80

Assays by C. H. Diehl, Phoenix, Arizona. - - ... - BUCKEYE STOPE

$ 1,250.75

$15.27 $8.33 $20.78

7.12 14.84 17.38 25.87 5.70

LIST OF' CERl'IFIED ASSAYS MJ.J)E FROM ORES FroM THE PROPERl'IES OF

THE BUCKEYE APACHE MINES COMPANY

Assay Certificate No.- 525,56 By A. H. Jacoba, Tucson, Arizona, dated July 1st, 1935. Serial number 84569 - - - APACHE CLAIM .

Gold ozs per ton Silver o~s per ton $ per ton

72·.20 7,505.2 $ 8,151.90

Serial number 84.511

2.18 57.0 104.79

Assays by O. K. Weisner, assayer for Consolidated Gold Mines 00., Dos Cabezas, Arizona. July 1955 - - - APACHE CLAIM

.60

.42

.54 152.00

1,502.5

6.24 9.20 6.85

1,902.7 5,554.50

25.57 21.10 23.75

9,951.89 50,981.80

Assay by Jonatham Gordam, Tombstone, Arizona. July 2nd, 1955. Certifioate No. 5578 - - - APACHE CLAIM

451.00 16,845.00 26,875.00

Assay by Hawley and Hawley,- Douglas, Arizona. April 29, 1955. Certificate No. 112,447 - - - APACHE CLAIM

556.60 11,462.00 50,504.40

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PROSPECTUS Dated Apri I, 1947

BUCKEYE APACHE MINES COMPANY (An Arizona Corporation)

Offering 75,000 shares of fully paid, non-assessable stock at $2 per share - under Permit granted by the Arizona

Corporation Commission.

Company I ncorporated September, 1939

Main Office - - - ..: - Box 1163, Bowie, Arizona

Temporary Office - 1012 Grand Ave., Phoenix, Ariz.

OFFICERS AND DIRECTORS

C. W. GABRIELSON Mine Operator Bisbee, Arizona President, General Manager and Director

JESSE W. ANGLE Kist Botti ing Works, ABC Produce Co., etc. Phoeni_x, Arizona Vice-President and Di rector

C. M. SCHERER Farm Dairy Equipment Co. Phoenix, Arizona Secretary-Treasurer and Director -

S. B. ECHOLS Echols Tire Service Phoenix, Arizona Director.

H. Y. HEISKELL Director

Farm Dairy Equipment Co. Phoenix, Arizona

R. A. LUTZ -Director

LYLE HINER Director

Spartan Trailer Distributor Phoenix, Arizona

Resident Vice-President and Manager Phoenix, Arizona Mutual Benefit, Health & Accident Co.

Stockholders Annual Meeting each Third Thursday in January of each year, as may ·b~.·determined by the Board 9f Directors, at ~ither Phoenix'or Bowie, Arizona.

·ll-U-C·-KEYE A P--ACH E MINES COMPANY , ..... .:.:... ,.\.,.

HISTORY

Arizona Bureau of Mines, Vol. 5, No.6, states: "Gold deposits in the Dos Cabezas range were discovered prior to the Civil War ... and have been operated intermittently./I .

The property now owned by the Buckeye Apache Mines Company is one of the oldest mines of Arizona. Operations started before the Southern Pacific Railroad entered Arizona in 1880; it was, like Tombstone, one of the largest of the early mines, with two mills in operation and over 300 men said to be working on the property. Roads were bUilt, a mine railroad to mill from mine over one and a half miles long, etc. Reliable old timers who visited and knew the camp when it was in active operation state there were over twenty saloons serving the men who made this camp their headquarters and th is was one of the I ivel iest and toughest camps of those wi Id days.

The veins were well prospected by workings and good work was done, but as it was impossible with the machinery then available to grind the ore fine enough to release the gold-silver values which are locked up in microscopic form in the ore, and recovery of the values they did release was prevented by the sulphides in the ore. "sickening" the mercury used to catch (amalgamate) the values, the property was closed down in 1892. Watchmen's wages were paid until 1920, when the roads washed out and the property gradually became inaccessible. It then was acquired by others, who brought it to the founders of the Buckeye Ap'ache Mines Company, who acquired and have 'maintained clear title to the entire property.

The work these men did 60 years ago is of the greatest value to us today; they opened up large bodies of ore, thus proved the great value of the mihe - and with modern process of recovery this ore is rich ore. Since their day the research, expenditures, and hard work of mining men allover the world has resulted in an enormous technical development, and developed equipment and processesthat enable us to recover the vast treasure of gold and si Iverin the ore in plain sight in our mine. This vast accumulation of data and experience is available, to be used almost as freely as the air we breathe.

. PROPERTY

The property is situated about ten mi les southwest of Bowie, a station on the main line of the Southern Pacific Railroad, and on paved Highway 86. "

The Company owns outright 30 Patented and Unpatented mining claims (about -half a mile wide and two miles in length), in the Tevis mining district, Cochise County, Arizona - in the midst of a region which by records of actual production is the richest mining area of Arizona.

The claims are contiguous, in one block. Cut by four canyons, the ORE is exposed in veins and workings the" entire"TWO MI LES length of the property. For convenience, the property is described as of three different groups, the Sunrise, Buckeye, and the Apache. On each of these three groups a large amount of ore has been developed and is available for immediate mining.

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it for large scale extraction. An estimated 2,000 tons of $10 are lies broken in the stope, and, from the present "faces" of ore, when proper equipment is provided, over 150 tons of are a day may be continuously mined.

In this Buckeye stope there is an intersection of two flat lying veins, the Buckeye and the Mountain View. Each dips about 20 degrees, at right angles to each other, and cross in the stope. This junction of the two veins shows in the stope as a zone 150 feet across, with are from three to fifteen feet thick (high). While 69 samples taken from across the entire stope show a weighted average of $10.58 a ton, the 29 samples taken from across this 150 ft. zone of intersection show a weighted average of over $15 a ton in gold and silver. This junction of veins may be followed

, upward into the mountain for hundreds of feet, and has all the ear marks of a continuous, large and rich body of ore from which tremendous profits can be made.

Visitors state that in the Buckeye stope and vicinity the quantity of are in' plain sight is so large tl-'lat it cannot be estimated; and the general average of $10.58 a ton shown on the Assay Map is much lower than that obtained by others who have "check sampled" the stope.

This ore is all above creek level, with no shaft sinking necessary to handle the ore, much of which may be handled mechanically by underground scrapers at low cost. The future tonnage to be obtained by shaft sinking is incalculable. There is,ampleore above creek level for many years of large scale operation.

ROADS AND -CAMPS

While the property is almost unknown because it was inaccessible for many yea rs, today a fa i r road has been bu i It right to the foot of the Buckeye stope. A good camp has been built with capacity for 20 to 30 men at the old millsite, where. men can live in comfort in all weathers, handy to both mine and mill.

As this is intended to be one of the really large mines of Arizona, another camp has been started on 80 acres of fairly level ground three miles nearer Bowie, where families may live closer to school and other conveniences.

PRESENT FINANCING

The proceeds of this offering of 75,000 shares are expected to net the Company at least $120,000. The stock is to be sold at $2.00 a share, less the normal sa les expense.

The purpose of this financing is to obtain items of mine equipment, bring electric power to mine and mill, develop water for the mill, and to install a 150 ton a day flotation-cyanide plant, as well as to provide cash. reserves to place the Company in a sound cash position.

With this financing completed, it will probably not be necessary to use earn~ ings from production for the purchase of equipment other than to enlarge the scale of operations and production, and thus a large part of said earnings can be set aside for distribution as dividends at the discretion of the Board of Directors.

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of the total only gold and silver bullion will be produced for shipment to the U. S. Mint. This will eliminate paying freight and smelter charges, a higher percentage of recovery is possible, and greater profits per ton to be expected.

Lead is sell ing at higher prices than for the past 50 years, and is in great demand, so scarce that it is posted as a "critical" metal. At present high prices, the lead content of the ore is indicated as almost sufficient to defray the expense of operation, leaving most of the gold and silver as clear profit.

Exhaustive tests have been and will continue to be made on the ore so as to have a mill that will gerthe utmost in metallurgical return 'and ease of operation, with a minimum of man power and cost. This mill is to be planned and built by a firm of well-known engineers who have specialized in erection of such plants, thus are familiar with and practise up-to-date approved developments. Once this modern and efficient mill is in operation the property can be very profitable to all stockholders.

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Buckeye Apache Mines Company C. W. Gabrielson,

President

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MEMORANDUM OF ASSAY

Made for ....... .. :1.$..m§J;: .... ~:~9 .... Q:~~JXX~.Y.. ............................. . Tern pe, Arizona ............................ ·:·i~?;.'.~ ....... B~ ............. , 19 .. ~~.'?

SAIVIPLE NO.

REMARKS:

1 .L

NO •............................................ 1 (\r'j

CHARGE $ ....... :::.~.~.~~.~: ................................ .

AVOIRDUPOIS COPPER, OR LEAD, OR TOTAL

SILVER

AND ORE TESTING LABORATORY

MEMORANDUM OF ASSAY

Made for .......... Q.~ ... J~~! .... §..9.X+.~.~~~ ....................................... . Tern pe, Arizona ............................. ~.~~1?:.! ........ J::7. ......... , 19 ... ~.?

PER TON of 2000 POUNDS AVOIRDUPOIS COPPER, OR . LEAD, OR TOTAL

SAMPLE NO. n G~LD I SILVER AT .:)5·, .. 00 PER OUNCE i AT 0 .. 90 PER OUNCE II AT PER LB. n AT PER LB.

OUNCES I 100' sl DOLLARS I CENTS I OUNCES I loo'si DOLLARSI CENTS n PERCENT I DOLLARSI CENTS II PERCENTI DOLLARS I CI!:NTSII DOLLARS I CENTS

l o.I/V t 3~ b ,I/,lt" 3'

REMARKS:

NO •............................................

C H ARG E $ ..... 1.a.2.5 .... 2.d •...................... By

t, Cot,

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DEPrH~rMENT OF MINERAL RESOU~L: . .E. .. ,. STATe: OF'ARizONA

OWNERS MINE REPORT

Date June 7 J 1939

I. Mine IBUCkeye Apache

2. Mining District & County Tevis ,/ V/

3. Former name E .. S. Anderson and T. POI Bean

4. Location 1 mile north of Elma Camp

5. Owner 6. Address (Owner)

7. Operator 8. Address (Operator)

9. Presideht 10. Gen. ~gr.

12. Mill Supt.

14. Men Employed

11. Mine Supt. /"

~ld 13. Principal Metals silver ,

15. Production Rate 16. Mill: Type & Cap ..

17. Power: Amt. & Type Man power

18. Operations: Present lI/f .. r If" "G1 SAd D~se -~. • n erson

: BUCKl!..'YE 1~ ACHE

1 9. Operations Planned 2 miles road r Au, ll.g

Cochise 2 - 2 T Lr S,· R 27 E

... S [\ d n 1L1..0-C J) ·~a Dr., Bisbee .l:!;. I. _'"l.n erso, . \.)lBT '39 ..

20. Number Claims, Title, etc. 20 claiJp.s -titre· gOOd·

2 1. Description: Topography & Geography Rugged deep canyons

22. Mine Workings: Amt. & Condition 1 stope open lO~ 000 tons mined out ,(,.4 shafts full of water

(over)

23.' Geology & Mineralizatior. Qranite ore tellur·ide

24. Ore: Positive & Probable, Ore Dumps, Tailings

24-A Vein Width, Length, Value, etc.

25. Mine, Mill Equipment & Flow Sheet

t ".

600,000. tons of positive are tailings and dumps worked in ~~ year

1900

~, .

26. Road Conditions, Route Road conai tion bad, trail also bad - route J?owie or:boEi" Cabezas

27. Water Supply 60 gal. per minute

28. Brief History Worked in early SO'S8 No milling done since 1900 year

29. Special Problems, Reports Filed Money - one engineer's report

30. Remarks

31. If property for sale: Price, terms and address to negotiate. $75,000"

". ... , \ "

32. Signed F.. S.. Anderson ······························Do-s··6ab·e~zas········· ................. .

33. Use additional sheets if necessary.

Mine

District

Former name

Principal Metals

Power: Amt. & TypC! .

Operations: Present

Operations Planned

Nuinber Claims, Title, etc.

Description: T opog. & Geog.

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DEPAKrMENT OF ,MINERAL RESOURCE.~ STATE OF ARIZONA

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OWNERS MINE REPORT

h ,/il!.'{::';·t~~~,

Date

Location

Address

Address

Men Employed

; ,.~;I.\l;("'~'?\'''~;··' ~. ,r

Mine Workings: Amt. & Condition

(over)

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Geology & Mineralization

Ore: Positive & Probable, Ore Dumps, Tailings

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Road Conditions, Route

Water Supply

Brief History

/ .5,pecial· Problem.s, Reports Filed

Remarks

If property for sale: Price, terms arid address to negotiate.

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During the latter part of the year 1937 I became interested in knQwing more about, a certain group of mine claims iocated in the Dos Cabezas mountains of Cochise County, of Ariz,ona. "Therefore. in December of' that year I paid a hurried visit to the properties.

Samples of mineral bearing rock were taken at different points without. however, following any particular system of sampling. These ware taken merely to give ma an idea as to values.

An assay report on the samples as made by nalpb L. Motz of Bisbee,. Arizona. gave the following results: ~

Sample marked "Buckeye No.1": " " " "2 " tf ,1 u 3 " II .. " 4: " " "Apache"

3 cuts 6 ft. wide; 5 ft wide taken along drift pillar 2 to 5 ft •

It UNO. 6" - loose pieces of quartz

" "

ton $64.97 " 47.15 " -34.43, " 51·47

ton 28.91 14.24

The preliminary e:x:~iriation and sample this year (1938) I ma4e a s~cond trip to th

interesting that in April.

At this time I was s1;lpplied wit t e Motz, Mining Engin~er of Bisbee, Arizona. report to be reliable in all such details a

I do not believe which reads as follows:

LOCATION: The property Cochise County, Ariza ,the Chirioahua MO"TVra,~"", Springs and the s~ two peaks or.haad

a report made by Mr. Ralph L. ersonalobservatlon I tbund the

] was able to check. r '

copy in total Mr. Motzt, report t

of the

range a.re

an 'approximate elevation of 6500 feet above sea level. , The s are very. steep and the canyons are abrupt and rugged.

The sides of the canyons are covered with brush of the 'semi-tropical type, with a 'fai r growth of oak and juniper, intermingled wi th deSert cacti.

Cochise County is located in the southwestern part ot.Ar~zoIl6.. The cliI1late···· is very mild .. ' The summers in the valleys are hot but the ·a.ltitude of the mountains give them a. cooler olimate~ The bights are always 0001 in the hottest part of the summer. The winters are very mild. Sometimes there is a light fall of snow which ,keeps the springs alive~ The rainfall averages about 20 inches a year. All in all the clima.te is ideal for all-year activities, and a man can work outside all the year ,round.

, " , " I' ~ V,·,, PROP~: T!l9 p,'~erty cons~sts of 18 un~ented claim~Apaohe, Wil;l/R~~,ars, .t",: Clar~ss~/ Apache Tom,jApache Sq~~t South Apac~, Gen. 'Olli}ter', Ap¥he 'Chief, fioldle~, F1orencfta, San'Francisco, Wilet"P~st. Apache\lld~ Coohi~,"'Gerb~mo and Ea.Yf~~' ' these olaims being shown on the accompanYingmap.T~,other two are the Gold ~ockp whioh lies totha west of the Apaohe Tom, ~nd the Mark Twain, which lies to i;he south of the HalfwaYe

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ACCESSIBILITY:· The property lies on the northeast side of the Dos Cabezas Mountains. At the present the nearest railraod point is Willcox on ·the main line of the Southern Pacific Railroad. From Will.cox a good automobile road, unpaved, runs 15 miles southeast to Dos Cabezas. At Dos Cabezas, a mining town, there are several stores, service E!tation J scho~l. and other establishments. FroIn Dos Cabezas a fair road winds up the mountains for about 5 miles to the ridgeJand then down the other side for 2 nales to the Elma Camp. This is a camp that was establis~ed by the Central Copper Co. some years ago and consists of B. number of buildings. Thls camp can be secured under lease. The water supply of the cwnp is verY good and the water is piped to the Various buildings.

\

From the Elma Camp to the several workings of the grou.p.are trails. These trails are the ordinary bUrr)) trails at present. It is about 1/12 miles by trail .. from the Elma c~ilp. to the Apache Shaft. ",

Bowie, anothe"r station on the main line of the acific, is about 12, miles to the northeast of the property. FrO!Il. BO'wie good road to a cee camp in the lower end of the Buckeye Canpon. This 1!t 3 miles from the" property and a good road could be built dOWYl the canyon. The' . stance then.from the property to a shipping 'point ,on the railr d would be 12 mI B age.inst the presen't dis'tance of 23 or 24 miles to \,ji~l other good featUre of the road to Bowie would' be t.lle fact that the haul 0 con e trates would be all down hill, whereas now there is ¥les of steep G' a up of the camp.

At Willcox, or Bowie, tha oro or c J. ates can be loaded into cars.and shipped direct to the smelter at El Paso. n~is smelter is the customs smelter of the American Smelting &. Refi . y :pay for the gold, silver, copper and lead contentsQ

tance. Tucson, 100 miles to th

e southwest, lies abput 78 miles from Dos ira largest ill Arizona, about the same dis

ome of the University of A;J:izona, is about and is, reached over excellent roads.

HISTORY: of the Dos Cabezas mountains have been known to 'prospectors si c days of the wastw~rd movament. The main traveled road to Califor . a, . Forty-niners ran thro1}gh a lou pass a few miles to the

,south of Dos Cabez large amount of work 'was dono' in this section in th~ early part of. the 80' BCI' The evidence of this early work is still seen in the old shafts t

tunnels and mill dumps. These old shafts are espaoiallynumerous in the'vicinity of the claims herein referred to. Several mills were operated in the Buckeye Canyon.

Considerable gold has been taken out of the placers at the foot of the Dos Cabezas Mountains to the north of the property~ This gold no doubt has been deri ved froTsl veins similar to th~ ones on this" group.

GEOLOGY: The main geological formation on ,these claims is granite_, The granite haa been cut by llUllerous dikes of various porphyries and other igneous rock. .A deta~led' geological examination 'has not boen made as yet. The gram te is also cut with f

, , , numerous veins of quartz. 'Thora are sev~ral of these veins that ar.e of cOllsider-\ able ,Size. The main vein from the Halfway through the, Wiley Post to the Apache \\

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and Will Rogers crops out on the surface for several thotJ§and feet and is frOlll 18 \" \, inches to 3 feet wide on the surface. Immediately adjacent to this vein there ar~~; numerous parallel small veins. These form a'banded structure that is ver~y notice- \ able. In some places the footwall of this vain is schist. There are several :pom-~\\ inent veilis parallel ,to this vein on which considerable work was done in the past •. "',\ Time has not permi tted an exte~si va ·study of the geqlogy .and the other veins... \

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MAIN VEIN: There has been considerable work done, on this vein. Several old shafts were found that had beon filled vfi th viater and debris. Tw'o of these are on the HalfWay claim. One of them, Shaft No.2, has been completely unwatered and the

'depth was found to be 55 feat. The vein at the surface 'of this shaft is about 12 inchos wide. This and at the face at the bottom it 1s 33 inches wi'de. About 200 'feet further 'west on this vein at the point where sample No. 16 W&lS taken therein :is 12 inches wide.

Shaft No. 1 on the Halfway claim has been unw~tered and cleaned out to a depth of about 85 feet. This shaft was sunk on the vein and pitches 35. Therein at a depth of 25 feet is 36 inches wide. and varies between 30 and 40 inches, the balance of the distance J except tha.t at two points it in 48 'inch~s wide. It seems to be stronger ,as it'goes down.

At the location work on the Wiley Post Claim the vein' S 12 inches wide on ' ,the surface ~d is highly mineralized.

This vein again prominently outcrops at the workings on t e Apache claim. The vein was originally exposed in the bottom of the gulch and i om 14 to 20 inches wide. At this point from which sample. 9. a' 10 were .take a lens of gold ora is sho,~. The shaft at the Apache is oi sunk and has attained a depth of 35 feet. The vein'here dips .atan -an .32 ' nd varies from 30 to :/:J inches in width. On the west side of this eha exposed a. fine body ot ore which trends to t'he west awa.y from the sha.ft. e ottorn of the shaft the lena ,exposed, in the gulch is coming into the shaft a.nd II oubt at"more depth v..1.ll combine wi th the, other.

The surface oxidatio sulphides of iron and lead a e is about 200 feet lower in e]

ization is stronge considerable dept'

ein is very shallow and in all workings the vein. The vein ' at the Apache shaft at the Ha.lfway shafts B,nd the mineral

nt leading us to believe that the mineral.such mineralization will' contin'ue for 8

SAMPLINGS JiliD .AS ,\ plea were a,ll, wi th the exception of 14 and 16, taken by grooves cut ac n for the full ,fidth. These samples were then assayed by me for gold, sil The higher values ,of gold and silver were accom-panied by a higher value ,of lead. ,In tbe values of the samples the lead was not taken into account. The price of lead is ,not as stable ,as gold. and silver and the smel ter deductions for lead are very high. ' If the concentrat,es a,re made by tabla concentration the lead 'will run very high and the value will 'add conSiderably to the profits. A sheet Sh01,'ling the assay values is 'attached to this report,. The following points should be noted: Sample No. 7 taken, at a depth of 30 feet in the shaft shows the low grade spot between the two lenses of ore, No. 8 showing good ore coming' back into the shaft. rrhe a.verage of ,the 8 samples in the shaft is $37.84 and of the three taken in 'the tunnel a.t the mouth of th~shaft is $26.79- . The samples in shaft,No. 1 were taken at intervals of 5 feet, starting with a depth of -25 feet for'Noe 17. The assay returns of these samples show that the values are

,getting better with depth with an averuge for last 15 faet samples, of $26.94. The' ,bottom 15 feet of ,the No.2 shatt averaged $288:95. The average w1dthof these samples in the two shafts on the Halfway and the one on the Apaahe is 33 inohes.

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RECOMJ.:1F.:NDATIONS: The main vein is a very strong vein on the surface and can be traced for e. considerable distance. ' At all places where opened up the sampling showed a good grade of ore. Where any depth has been obtained the mineralization

\ is strong~r than on the surface. In the assaying the sem.ples showed the presenc$ I\~" / ,I

of tell.]:rlUffi. The values a.ppear to go wi th the iron and lead sulphides. The' l' property has merft and should be vigorously prospected and developed. This should be done at tho points where the vallws have been proven.

The No. 1 shaft of the Halfway is now down to the 85 foot point and from, all evidence must be considerably deeper. The No.2 shatt is only 175 feet from the No. 1 shaft and has a depth of only 55 teat. This shaft haa been boarded up to keep debris from falling in. It might 'come in handy at future time as an air shaft or other outlet.

The No. 1 shaft should be sunk to a depth of about or 'approximately 300 feet' below the present bottom.

The shaft on the Apache shpuld be sunk 200 feet. bottom of this ,shaft a drift should be run to connect vd th the bottom of the • i shaft on the Halrway. The distance along the vein betwee' a two shafts w 11 be about 1400 feat. The conriection should be TWl. from~en s which ,will shorten, the 'time. The time necessary to complete this wor, aft iog and drifting, will be from 9 to 10 months . ' , ',' , "

Work should be dona s-t the same tim 1 the trail from the .Elms Camp to the shaft sites.

If the vein is found '., development work, there wil factors used in this comput shafts, an extensio f 100

same general average and width by this n ore body containing i26',oOO tons. The {p1t1~ti~of.l400 fe,at between the two " rises frbm the No. 1 shaft of the Half:way

and then drops R~~~'~~-J ,...

shaft, and 12 cubic feet in place to weight one' ton.. With an a of $20.00,. which is. below the average founq' in: the sampling, the g ss value would be $2,520 0 O.

the silver and gold in the' or!3 at the present prices

Accurate rec he assay values of the sha.fts and drifts shoUld be kept. \~en the work is completed it should not be a difficult matter to determine ,the flow sheet and the tonnage of e. mill ..

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The following is an approximate cost of doing this work:

2 portable compressors. each 240 cu. ft~ capacity. 2 hoists Drill, steel, tracks, cars Shaft sinking - 100 ft. at Apache Shaft si~ing - 100 ftQ at Apache, 300 ft. Halfway 1400 drifts at $8.00 Superintendence" engineering, assaying, etc.

$3.000.00 1,000.00 1,000.00 1,500.00 8,000.00

.11.200.00 4."300.00

30tOOO~00

(Signed) Ralph L. Motz

Bisbee, Arizona Dec. li, 1935

Registered Engineer, State of Arizona Certificate No. 266

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MOTZ Et\lGINEERING co.

Au Ag Total ozs. Val ue ozs. Value Value

Apache - Shaft - 1 0.36 $12.60 $ 4.39 $16.99 2 0.42 14.7° 4.70 19.40 3 1.68 58.80 11.7° 70.50 4 1·72 60.20 22.48 82.68 5 0.49 7·t5 6.47 23.62 6 0.67 2,3.45· 6.85 3'0.3° 7 0.28 9.80 4.00 3.80 8 0.84 29·40 16.02 I 3.42 $37.84

Vein -. 9 0.73 25.20 5.24 0.44 10 1.19 41~65 15.09 6.74 43.59

Tunnel - 11 0.86 30.;10 .01 8.11 12 0.32 ' 11.20 2.97 13 0.67 23·45 30 26.79

Wiley Post Cut14 1.28 44.80 9 , 97.85 Halfway - Guloh, 15 0.16 5.60 10.22

,Cut 16 0.33 11.55 19.10 14.66'

No. 1 Shaft 17 1.39 ' 7.69 18 ... ' 2.62 8 .. 22 19 1.54 6.74 '20 1.85 9.20 7G71 21 2.08 11.53

6.9 5·31 22.11 3'.4 2.62 , 18.02 2.8 2.16 8.46 15.03 6.1 4.70 24.30

~.95 5.2 4.00 16.95 29·75 12.9 '9·93 39.68 26.94

NOe 2 Shaft ,14.35 12.5 9.63 2341198 25·20' 13.7 10.,55 35.75 18.20 1106 8~93 27.13 28.95

Average No. 1 Shaft 15.63

This is the termination of the Motz report.

Under date of January ,31, 1936. the College of Mines & Metallurgy, 'El Paso. Texas, rendered a report of results obtained in flotation tests made' with ore from the Apache shaft, from whi ch I take the following s urnmary q The complete report is a. very exhaustive analysis of the methods employed, leaving room for no doubt 'as to the correotness of the results.

. The summary reads: "Flota.tion 'l.'ests on l~:paohe Shaft Ore., This is unusually good flotation ore. ,the high recoveries cbtained being much better than can usually be expectedo

While the ore is hard. the values shatter out while the ore is still coarse •. so that grinding costs will be about normal~,

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The amount of reagents reCluired is.a minimun, 'both in quality and kinds, . xanthate and pine oil being all that is necessary.

Thirteen tons concentrate into one, thus dividing haulage, freight and . smel~er charges and treatment by thirteen.

The value of the sample tests is Au .32 ozs., Ag 5.64 OZS., Pb 1.95%.

The grade of concentrate shipped, a.ssuming that the ora milled is represented by the sample tested, will ba:

Au - 3.98 oz., Ag -. 67.8 oz., Pb - 24.6%, Cu - 1.32%.

The recovery .,is:

Gold 8il ver - 96.1%

The ·val us of a t'on of concentrate ia,

Out ot this will be

This com.pletes the su.mmary •.

Since Mr. Motzt rapor . claims known respectively. a the one ovmership.\ hese p. constituting the g miner

charges."

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ted was prepared, the two groups of en and, "Buckeye", have been included in . physi cally part of the group of .clailns undordiscussion.

According producers until owners are state

local h· tory; the Buckeye and Sunrise mines were profitable

finally abandoned """'-LLI' .......... .-IIrr..L

. of gold and' silver.

zation of silver forced their suspension. The former ·ld on to the proparti.Gs· for ma.ny yea.rs 'until they sing able to operate under ths then prevailing prices

The Sunrise mine is stated to havo been quite extensively developed, but will ha"',e to be unwatered before an exhaustive ax~inution can .be ntade. However, this is a step that can be left until soms future time as the development of the, Buckeye mine, in conjunction with other openings, will give ample ore reserves for e. long time41

The Buckeye is directly across the canyon from the H~l:t'way shatt. It shows evidence of considerable stoping, and must have supplied a large tonnage to the mill erec~ed at a point ~earer the outlet of the canyon.

Mr. estimates tons. He basis for The assay per ton.

Thos. P. Bean, who has made un exhaustive study of tho Buckeye property;· that the tonna.ge of the Buckeye, easily available amounts to 369·,228 has been rather conservative in taking a value of $84100 par ton as a calculating that the. tonnage states represents. gross value of $2.953.824.POG records show that the average of 35 samples taken gave a value of $10.13 . '

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CONCLUSION: 'Afte;r two visits to ~he properties referred to above~ I am of the opinion that no further time should be wasted but that steps should be taken to properly finance the installation of a mill of, say anlnitial capacity of 50 tons per day.

Without doubt the properties should be opened up and equipped from the Bowie side, not only on account of , the shorter haul, from the mines to that station, but also because of the greater accessibility.

A good road should be bull t frow. a point in the Buckeye' present road from Bowie terminates u:pl~he Buckeye Mine. Whi the country isdacidedly rugged, it is nothing compared to si to .overcome in Mexico. The construc1iion of such a road pres

. difficulties., .

In the building of a. sma,ll ini tial mill so that its capacity can be increased without cations.

anyon where the the topography of ations I have had s no ,engineering

plan the set .. up lete modifi-

There is no doubt that these to the :l.Iiterestaof the investors. basis, so that zonas of high~g~ade ores in' ore oocurencas such as these will be

a worked to very great advantage ,have been made on a conservative

encountered at intervals

su.bmi tted,

r~E. D. N ela,on t General Manager Map-'oan Coal & Coke Co. 'Las Espel'anzaa, Coah u11a I Maxi co

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9-8-58 Weekly Report ALJ

BUCKEYE APACHE MINES COCHISE COUNTY

11 Miles South of Bowie •

.j See Guy Clerc, Bowie, regarding mining operations at the Buckeye Apache Mines.

Was told that the mine operators had informed him that they expected to commence operations again soon, after having been closed down for some time.

Mr. S. B. Echols 1012 Grand Avenue Phoenix, Arizona

My dear Ben:

'rempe, Arizona October 22, 1946

Since we were boys together many yea~s ago I have been continuously engaged in the mining business, operated gold and other mines, for years was scout seeking gold mines for mining companies, etc. This work gave me wide experience and practical,knowledge in what it takes to make a big and profitable mine - and first hand knowledge of what big gold mines are from the surface - dovID to depths of thousands of feet.

i Your Buckeye Apache mines have such unusually l~rge ore exposures that I was

surprised, I never expected to see half' as much are as I actually saw. ~~at I did see completely overshadowed any previous experience. I have never before seen so much are in sight for the amount of development work done, and can say that I have never seen anything as good. 'Wnat I like most about the ore is that it is ffalive tf ,

so well mineralized throughout that it can be depended upon to be consistent in grade and character to great depth. You have already in the Buckeye stope more than enough ore to justify installation of a 150 ton a day mill, and larger. This ore is bedded in such a way that mining it automatically increases your, ore reserves.

The idea of installing a centrally located mill is good. This will enable ore to be drawn from several places on the property, thus permit selective mining without imposing undue strain on anyone operation - and it can also assure almost any grade desired for the mill. The capacity of the mill can also be increased by merely adding a few items of equipment. It is not difficult to foresee that, it may not be long before you are milling 1,000 tons of ore 'a day, especially since :you are going to install the best milling equipment and hire the best operating brains, of the cyanidation process to get the last few cents per ton out of the ore in its first ~ through the mill. This sort of extraction assures profits from almost every ton passed through the mill. Profits for you - and for your stockholders.

The tremendous exposures of ore on your property are of vast significance to any man who understa~ds mining and I am happy for you that you are associated with the Buckeye Apaohe~ines Company, for to me everything about it indicates long continued success and satisfaction.

state of Arizona ) , County of Maricopa) S .. S.

Carl Merrl.ll, known to me to be the person whose signature appears above, signed the foregoing in my presence.

My Commission expires January 4, 1947

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. " Field Engineers Report Buckeye Apache Mine Cochise County R. R. Beard 4/5/82 -2-

When asked about the difficulties of hauling 100 tons per day over the access road from Dos Cabezas Mr. Arnspiger said that they were still talking to the private land holder who was blocking the much easier access from Bowie. He seemed reasonably confident that they would be able to use that access for haulage~

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.o"b ~Jtl/~~ . (:.JPl~1r .. ~v DEPARTMENT OF MINERAL RESOURCES

/c-STATE 0,. ARIZONA

~ I FIELD ENGINEERS REPORT

Mine Buckeye-Apache Date

District T e vis ton, Co chi seC 0 u n t y Engineer T13S R27E Secs. 33 & 34 Dos Cabezas Mtns.

Subject: Fie 1 d Vis i t

Operator: Gold Depository & Loan Company 2124 Union Street San Francisco, Califo~nia 94123

Apr i 1 5, 1982

R. R. Beard

Numerous inquiries have been directed to this office by the media and the general public as to the status of the operations at the Buckeye-Apache property. Mr. Cates of G.D. & L. was in the office trying to find a suitable mill to ship ore from the property and reported that they had 100 tons of ore stockpiled and that they could be in production at the rate of 100 tons per day within 90 days. Therefore, Cliff Hicks of the Tucson office and the author visited the property to become acquainted with the operation.

In an effort to find out how to contact the operators locally the author called the Department of Economic Security Job Service in Willcox who said they had no contact with the operator but had had numerous inquiries from job seekers. The State Mine Inspector was then contacted and reported that they had received no notification that the property was planning to go into production. The Safford office of the BLM said that a letter of intent to build a road on the property had been received but that the operators were camping at the property and had no local address. They also confirmed that the access road from Bowie was blocked by a private land owner and that the only access was over the mountains from Dos Cabezas.

The property is nine miles by road from Dos Cabezas. Turn north at about the center of Dos Cabezas and continue past the old Mascot Mine, over the summit and past the Elma Mine. The road from the sum~it to the property is steep and extremely rough in places and it was found necessary to load the bed of the pickup with rocks to get in and out. A four wheel drive vehicle is recommended for the trip.

Rich Rupert, a geologist with G.D.& L. was met on the road in and he confirmed that we were headed the right way but didn1t think we would make it back out without help. He also reported that Bill Cate had left earlier ~n the day to talk to some mill operators.

At the property we found Mr. Frank Arnspiger in charge and three miners. They had just set off a blast at the portal of an old drift and were preparing to return to work. The vein or lens is quartz carrying galena and pyrite. It is 3 to 4 feet thick at the portal and dips at about 200 . Several specimens were taken from the blast.

Mr. Arnspiger gave us his home telephone number in Phoenix (237-35360 as a place to contact him. He said that this was the Apache adit and that the ore contained 0.5 oz. of gold (in the pyrite) and 8.0 oz. of silver (in the galena) per ton. He said he was going to drive a drift on the strike of the vein and then stope upward. The vein pinches out about 45 feet down dip. He said that they had about 120 tons stockpiled from old dumps and that he could be in productio~ at a rate of 100 tons per day by the end of the week.

When they go into production he expects to work about 35 people on tw~ shifts per day. He said they already had over 200 applications for jobs which is why he hasn1t contacted the DES Job Service. He also said that within 3 or 4 months they expect to start production on the Gold Farm property nearby and that he would need more miners at that time. He reported that G.D. & L has several properties in the area.

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LAW OFFICES

RICHARD A. ROGOFF A PROFESSIONAL LAW CORPORATION

2124 UNION STREET

SAN FRANCISCO, CALIFORNIA 94123

TELEPHONE (41!5) 346·3287

TELEX 17 t 792

'October 9, 1981

State Mine Inspector Capitol Building, West Wing Room 705 Phoenix, Arizona 85007

Gentlemen:

Re: Buckeye Apache Mine Chochise County, Sec. 3,4,9 T14S R27E G&SR Meridian

Please be advised that I have been retained to represent The Gold Depository & Loan Co., Inc. (GD&L) in connection with its prospective activities with respect to the referenced mine.

GD&L intends to employ ~ Mining, C()~~:)Of Phoenix to undertake exploration acti vi ties"'-"'-f'or'" the'-"purpose of determining the commercial potential of the old Buckeye Mine. Specifically, an extensive sampling program oft the 'ore reserves of the Buckeye Mine will be commenced, usin'g the existing well below 'the mine portal, and the existing old county maintain-

\ \)'0. ad road to the mine. GD&L does not intend to process any ore whatsoever on the property. It· will be necessary to

\build a' hoist from the mine portal to ,a spur of the West , .Ridge, since, the mine portal is now 'approx imately 380 ',) vertic1e feet above the buckeye Canyon intermi ttent stream , bed. The ini tia1 crew of ACC Mining will consist of three

\. men.

If the exploratil"!'. progr.~m j.!v3ic~tes !?0tP.!'t-:i.~J for. 0e~]elopment, we will notify you well in advance before the commencement of construction of a mill and development of stockpiled ore from the "mill. By this letter GD&L wishes only to notify you that limited exploration work will be undertaken during the next few months, as set forth in' the preceding paragraphs.

Very truly yours,

RICHARD A. ROGOFF

RAR/ldc

CC: Bureau of Land Management MSHA

~Department of Mineral Resources

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Mr. Richard A. Rogoff 2124 Union Street

October 15. 1981

San Francisco, California 94123

Dear ~1r. Rogoff:

Thank you for sending us a copy of your letter to the State Mine Inspector. \~e apprec i ate your courtesy.

I have enclosed an informational pamphlet on starting up a new activity in Arizona. You may find it of interest. I have also enclosed a list of our publications for your information.

We are a non-regulatory, non-taxing, promotional only, agency. Please let us know if we can be of any assistance.

JHJ:at

Enclosures

Veyy truly yours,

John H. Jett Director

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No dealer, salesman, or any person has been autho!'izedto give information or make any representation not contained in this Prospectus. Any other or different information or representation must not be considered a.B

authorized by the Company.

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No dealer, salesman, or any person has been authorized to give information or make any representation: not contained in this Prospectus. Any other or different information or representation must not be considered as authorized by the Campany~

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PROSPECTUS

Dated November 1, 1946

BUCKEYE APACHE MINES COMPANY (An Arizona Corporation)

Offering 150,000 shares of fully paid, non-assessable stock at its par value of $1 per share - under Permit granted by the Arizona Cor~oration Conrrnission.

Company Incorporated Sep"tember,.1939

Mine Office Box 1165, BO\rie, Arizona

OFF! CERS AND DI RECTORS

c. W. Gabrielson Mine Operator Bisbee, President, General Manager and Director

Jesse W. Angle Kist Bottling Works, etc. Vice President and Director

Ray B. Krebs Real Estate, etc. Secretary-TrGasurer and Director

s. B. Echols Director

H. Y. Heiskell Director

s. M. story Director

Lyle Hiner Director

Echols Tire Co.

.Farm Dairy Equipnent Co.

Ranch'Activities Co.

Resident Vice-President and Manager Mutual Benefit, Health and Accident Co.

Phoenix,

Tombstone,

Phoenix,

Phoenix,

Phoenix,

Phoenix,

Arizona

.Arizona

Arizona

Arizona

Arizona

Arizona

P..rizona

stockholders PJmual.Meeting each Third Thursday in Januar.y of each year, as may be detemined by the Board of Directors, at either Phoenix or Bowie, Arizona.

BUCKEYE APACHE MINES COMPANY

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BUSINESS

The Buckeye Apache Mines Company owns outright a large gold-silver mine. The Company conducts a general laining business under a comprehensive charter embracing most branches of the metal nuning business, for the benefit of all its stockholders.

CAPITALIZATION

The total authorized capitalization is $1,000,000, divided into 1,000,000 shares, each $1.00 par value. All common stock.

STOCK ISSUED

To October 15th, 1946, 532,000 shares of $1.00 par value were issued and outstanding; as followst-

Issued for properties For cash and equivalent services, etc.

HISTORY

400,000 152,000

Arizona Bureau of Mines, Vol. 5, No.6, states: "Gold deposits in the Dos Cabezas range were discovered prior to the Civil War ••• and have been operated intermittently."

The property now owned by the Buckeye Apache Mines Company is one of the oldest mines of Arizona. Operations started before the Southern Pacific Railraod entered Arizona in 1880; it was, like Tombstone, one of the largest of the early mines, with two mills in operation and over 500 ;nen said to be 'working on the property. Roads were built, a mine railroad to mill from mine over one and a half miles long, etc. Reliable old timers who visited and knew the camp state there were over twenty saloons serving the men who circulated around the camp, and this was one of the liveliest and toughest camps of those wild days.

The veins were well prospected by workings and good work was done, but as it was impossible with the' machinery then available to grind the ore fine enough to release the gold-silver values which are locked up in microscopic for.m in the ore, and recovery of the values they did release was prevented by the sulphides in the are usickening ll the mercury used to catch {amalgamate} the values, the property was closed down in 1892. Watchmen I s wages w~re paid until 1920, when the roads washed out and the property gradually became inaccessible •. It then was acquired by others, Who brought it to the founders of the Buckeye Apache Mines Company, who acquired and have maintained clear title to the entire property.

PROPERI'Y

The property is 6i tuated about ten miles southwest of Bowie, a st.ation on the main line of the Southem Pacific Railroad, and on paved Highway 88.

The Company owns outright 30 patented and Unpatented mining claims (about 500 acres), in the Tevis mining district, Cochise County, Arizona - in the midst

L:f a region which by records of actual production is the richest mining area of Arizona. __ J

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The claims are contiguous, in one block. Cut by four canyons, the ORE is exposed in veins and workings the entire TWO MILES length of the property. For convenience, the property is described as of three different groups, the Sunrise, Buckeye, and the Apache. On each of these three groups a large amount of ore has been developed and is available for immediate mining.

ENGINEERS I P.EPORrS

Reports on the property were made at various times by mining engineers, each report having been made separately.

Ralph L. Motz, of Bisbee, Arizona, made a report on the Apache group. This states "126,000 tons of ore may be blocked out with relatively little expense on a part of the Apache vein alone - value $2,500,000. n

E.D. Elson in his report covers both the Apache and the Buckeye groups. He agrees with Mr. Motz's report on the Apache, and states, "In the area of the Buckeye stope alone there is now, readily available, about 500,000 tons of ore, valued at $3,000,000."

other engineers visiting the property have said that the Sunrise group has the best ore showings of any part of the property.

VEIN SYSTEM

The veins are wide, from three to fifteen feet. The ore is a typical quartz-pyrite, with some galena, and, in places, tellurides. Values are goldsilver, distributed throughout the entire vein mass, and apparently not particularly associated with the sulphides present Put microscopically distributed ~n the quartz gangue. The veins are well mineralized and give every evidence that the values will persist to the greatest depths possible to mine, being similar in every respect to ore from the best known producing gold-silver mines of the West.

There are many veins on the property, the most prominent being the Buckeye, Apache, San Francisco and Mountain View veins.. They have two distinct general directions of strike and dip, and, while the mineralization in these veins is apparently identical, they originated at depth from sources far distant from each other.

GEOLOOY

The only IIcountry rock" is coarsely crystalline granitee This granite is cut by dikes of andesite, diabase, aplite and some rhyolite, all Tertiary, in the order named. The veins are later than any of the younger intruSives, as they cut all formations. The rO.cks are merely "host rocka" and hq.ve had but little, if any, effect on the mineralization. The ore mixture was fixed in the deep seated magmatic zone, thus can be expected to be consistent in character and values.

MINE DEV~LO~[ENT

Many different workings (29) are in ore on the property on the various groups. ONE of these workings is the Buckeye stope, from which former operators (prior to 1892) took out about 10,000 tons of ore in merely starting the stope

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I and preparing it for '~arge scale extraction. An estimated 2,000 tons of $10 ore lies broken in the stope, and, from the present "faces" of ore, when proper equipment is provided, over 150 tons of ore a day may be continuously mined.

In this Buckeye stope there is an intersection of two flat lying. veins, the I Buckeye and the Mountain View. Each dips about 20 degrees, at right angles to __ ' each other, and cross in the stope. This junction of the two veins shows in the ~~i stope as a zone lSO feet across, with ore from three to fifteen feet thick (high). -r While 69 samples taken from across the entire stope show a weighted average of $10.58 a ton, the 29 samples taken from across this ISO ft. zone of intersection show a weighted average of over $15 a ton in gold and silver. " This junction of veins may be followed upward into the mountain for hundreds or feetJ and has all the ear marks of a continuous, large, and rich body of ore from which tremendous profits can be made.

Visitors state that in the Buckeye stope and vicinity the qu.antity of ore in plain sight is so large that it cannot be estimated; and the general average of $10.58 a ton shown on the Assay Map is much lower than "that obtained by others who have "check sampled" the stope.

This ore is all abo"lft creek level, with no shaft sinldng necessary to handle the ore, much of which may be handled mechanically by underground scrapers at low cost. The future tonnage to be obtained by shaft sinking is incalculable. Thera is ample ore above creek level for many years of large scale operation.

ROADS AND CAMPS

While the property is almost unknown because it was inaccessible for many years, today a fair road has been built right to the foot of the Buckeye stope. A good camp has been built with capacity.for 20 to 30 men at the old millsite, where men can live in comfort in all weathers, handy to both mine and mill.

As this is intended to be one of the really large mines of Arizona, another camp has been started three miles nearer Bowie, in which families may live closer to school and other conveniences.

PRESENT FINANCING

. The proceeds of this offering of 150,000 shares are expected to net the Company at least $120,000-. The stock is to be sold at $1.00 a share, less the normal sales.expense.

The purpose of this financing is to obtain items of mine equipnent, bring electric power to mine and mill, develop water- for the mill, and install a 150 ton a day cyanide plant, as well as to provide cash reserves to place the Company in a sound cash position.

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.,:

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I I Wi th this financing completed, it will probably not be necessary to use

earnings from -production for the purchase of equipnent other than to enlarge the scale of operations and production, and thus a large part of said earnings can be set aside for distribution as dividends at the discretion of the Board of Directors. J

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, Upon completion of this financing there will then be outstanding about 682,000 shares, leaving 318,000 shares in the Treasury of the Canpanyo It haa always been and Will be the policy of the Management to keep the number of shares outstanding to as few as possible. This is evident by the past mato 1"'1 of the Company.

COMPAlfi

5

This Company has no preferred stock, and no funded debt, either outstanding or anticipated; no mortgages, royalties, or licenses to be paid. No Officer or Director, as such, has been paid a salary, and will not be paid any salary, bonus, or remuneration as such during the coming year. Salaries and payments are to be made to persons who may be Officers or Directors solely for active Managerial and Administrative services - at the discretion of the Board of Directors.

LEG AL D1"'T AILS

Legal details in connection with this offering were handled by Dougherty, Chandler and Connor, of Phoenix, Arizona. The Arizona Corporation Commission has granted a Permit permitting this offering of 150,000 shares to residents of the state of Arizona.

CONCLUSION

The Buckeye Apache Mmes Company owns outright a large property on which large bodies of gold-silver ore are exposed. At present Buckeye Apache Mines Company stock is a speculation, for earning capacity is dependent upon the scale of operation and production. Its property is large, big enough for several big mines, veins are numerous and strong, and exceptionally well mineralized - with low cost ITI.ining conditions permitting much of the ore to be handled mechanically.

The 150 ton a day cyanide plant to be built will be located so' as to draw ore from several places on the property, which will penni t of selective mining and maintenance of desired grade, and will permit of mining different areas so as to get the best out of each at all times, and quickly 'provide for expansion of operations. This plant will get maximum extraction of the values on the first pass through the mill of the ore, (99% is possible), and produce gold and silver bullion in bars for shipment to the U. S. Mint, thus eliminating smelter charges and freights.

Exhaustive tests have been and are being made on the ore so as to get the best possible mill - and eliminate waste and lost, motion. Once this mill is in operation the property can bever,y profitable.

BUCKEYE .APACHE MINES COMPANY

C. Vi. Gabrielson President

L_ J

I

\

\ \ \

. TO AtL \-JHOM IT· MAY CONCERN:

Phoenix, Arizona October 24th, 1947

The writer, Leroy Sunderland of Phoenix, Arizona, studied Mining Engineer .. ing at the University of Nevada} then took an additional year (1899) at the same university studying Inorganic Chemistry and Metallurgy, particularly Gyanidation, then a new process.

After working at various mines in Navada, California and British Columbia, I waS with the firm of Charles Butters for 18 years in Central America, at the gold"'silver mines of Devisadero, Comacaron, San Juan de Lamai, Chontales, etc, I built, rebuilt, and operated mills from 100 to6:0crtons daily capacity, and at times also too~ charge of the Inining operations.

After two years in Cuba as Superintendent of a 600 ton a day Flotation plant, I returnkd to the United States;, then for three· years was Field Engineer for. the United'lVerde Copper Co. of Jerome, Arizona, for which Company I examined mines in Mexico and the Western States.

One of the very best gold-silver mines or my experience ytas the Chontales mine., where for years I operated a 400 ton a day cyanide plant. Yet from what I have seen the Buckeye is far better than the Chontales - and I have seen but a. small part of the property of the· Buckeye Apache l'Unes Cornp3.ny.

}1y experience covers some· of the largest and most important gold-silver mines of the West and Central Am~rica. But it has never before been my expe-· rience to see such a large body of gold-silver ore as is now exposed at the Buckeye stope of the Buckeye Apaohe Mines Comp3.ny. I call this a well developed mine, capable of producing an enormous tonnage of ore at low cost per ton. I truly believe this mine will shortly be one of the largest and mas t profitable mines of Arizona.

The work already done ·and planned on the property shows that the Management has courage, vision, and mining a.bility. Their wDrk is an inspira.tion to all interested in the. mining business. Every indication shows they can safely be anticipated to mak.e a profitable and lasting success for the Buckeye Apoche Mines Co"

Very truly yours,

~~c::::~~~ v Leroy Sunderland

State of Arizona ) S8 County of .Maricopa )

Leroy Sunderland, known to me to be the person whose signature appears above, Signed the for"going in my presence, /, ,~,r) ~,& ...

. /{-I:J,~ Notary Public

My Commission Expires January 4, 1951

{S?AL)

, .

January 31J 1947

Mr. C. W. Benson P .. O. Box 612 Bowie t Artzon8

Dea.r ifJ:ri> Benson:

J1nclossd is copy of' Mr.

E.. D. Nelson's report· on the Buekeye-

i Ap'Behe Mine, whi ch you. re~l nested.

11" En(~.

Yours very truly)

January 29, 1947

Mr. 10. W .. Benson P. O. Box 612 Bowia. • .Ari zona

Dear I~tr. Benson!

IGnclos~d is£opyof: Mine Ol1Uer's ' Report on. the BUCkeyet,Apache Mine, a$ requested :tn your card of January 23.

We have no extra copies of ~r:rf N!elt!on f to) repol~t on ,the above propertYJ! but 'will be glad to sand you one $.S soou a,s we oan ht'ive some made ..

RICM:LP gU<h

n I C 7;1~' • l' £toger . fI . • £i!C1I1D. ng 111ield E.ngineer,

('~.

Mr. E. S. Anderson, Gen. Deli var-j ~ Bisbee. Arizona,

Dear Mr. Anderson;

~ .

5 September 1940

I am returning herewith oopy of report whioh you sent to be filed with the mine owners report on the Buokeye-Apache Mine.

This report has been 00p1e4 and the oopy e:ttached. to the report on this property .•

J8C-jrf enola.

Yours ve~J truly,

J. S, Coupal Director

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