Virginia Paper - Notes on the Gold-Mill Construction

The discovery of the auriferous cement gravel deposits in and near Deadwood Gulch, Lawrence County, Dakota Territory, in 1876, created a mining excitement, and rush to the Black Hills. Numerous ten and twenty-stamp mills were built on Deadwood Gulch; Central City and the town of Deadwood sprang into existence, and became the centres of the mining industry of the Hills. Gold quartz deposits were subsequently discovered and located on a so-called mineral belt, extending from Whitewood Creek on the south, to Deadwood Gulch on the north. A northerly group of these quartz locations was purchased in December, 1877, by parties in San Francisco, who formed a company, incorporated under the name of the Father de Smet Consolidated Gold Mining Company. This company immediately commenced the work of exploration The deposits were proved to be extensive, and easily mined, but it was found that the ore, on an average, would not yield more than $10.00 per ton* of 2000 pounds. • At this trine the cost of supplies and materials in the Hills was high. Miners' wages were $3.50 per diem, and custom mills charged $6.00 per ton. The successful working of mines on "the belt" necessitated cheap milling. The ores being of so low grade,f this could be accomplished only with large and economically running mills. To insure the greatest possible economy, the Father de Smet mill