Page 47 - The Geology and Ore Deposits of Sierra County, New Mexico - Bulletin 10

46 GEOLOGY AND ORE DEPOSITS OF SIERRA CO., N. M.
tons approximately as follows : Chloride, 15,283 (principally from the Silver Monument mine) ; Hermosa, 570; Kingston, 3,675 (largely from the Lady Franklin mine) ; Tierra Blanca- Carpenter, 210 ; Cuchillo Negro, 388 ; Hillsboro, 6,506 ; Lake Val- ley, 46,261 (42,154 tons of low-grade fluxing and siliceous ores included) ; Macho, 1,640 ; Goldsboro, 30 ; Mud Springs, 20; Caballos, 1,430. On the basis of the contained metals, these ores may be divided in tons as follows : Gold, 1,659 ; silver, 6,042 ; gold- silver-copper, 19,884 ; lead-silver, 4,244; lead-vanadium, 328 ; lead-zinc, 403 ; zinc, 60; manganese, 1,239 ; fluxing material, 21,791 ; and low-grade silica, 20,363.
Since 1931 no official figures are available to show the production of the various metals in the county, but in view of the enormous stocks of non-precious metals accumulated as a result of long-continued overproduction in the face of a declining ability to buy on the part of the consuming public, and to the inability of the small producer to operate steadily during a period of declining prices of the metals, there probably was a notable falling off in the quantities of copper, lead and zinc ores produced in 1932 and 1933. The decline in the price of silver during the greater part of this period probably had a similar effect on the production of ores containing small to moderate amounts of silver, when only those of exceptional richness could have yielded a profit under the existing conditions. However, during the last months of 1933 the price of silver increased to above 40c per ounce, and it was believed in many quarters that before many months elapsed in 1934, silver would be valued at some definite ratio with gold, and that the silver miner would be in a much better position to produce this metal at a profit.
On the other hand, an intensive search for gold ores, gold- silver ores and for base-metal ores containing appreciable amounts of gold, was in progress in 1933, and several small prop- erties made a few shipments. For the remainder of the depres- sion at least, and for as long as the spread between cost of pro- ducing gold and the market value is large, whether due to low costs for labor and supplies or to an enhanced price for the metal, a continued increase in the production of gold from Sierra County may be looked for with some confidence.
The embargo on gold was lifted by presidential edict on September 8, 1933, and newly produced gold became a com- modity, bought and sold under free marketing conditions at a fluctuating price which was set daily by Federal authority. Fol- lowing the lifting of the embargo, gold promptly increased in value from $20.67 per troy ounce to $29.10 per ounce, and it rose steadily until on November 14 the price stood at $33.56 per troy ounce. Arrangements had been made whereby the shipper of small lots received payment from the United States Mint almost by return mail, and it was expected that soon the minimum