Gold mining in Nevada

Emigrant
Las Vegas
Sterling
Borealis
Round Mountain
Denton-Rawhide
Robinson
Lucerne
Reno
Ruby Hill
Bald Mountain
Cortez Hills
Pipeline
Rochester
Fire Creek
Phoenix
Florida Canyon
Marigold
Lone Tree
Hycroft
Betz-Post
Meikle
Storm
Hollister
Pinson
Turquoise
Midas
Twin Creeks
Starvation Canyon
Jerritt Canyon
Active gold mines in Nevada, with Reno and Las Vegas
Rawhide, Nevada, 1915

Gold mining in Nevada, a state of the United States, is a major industry, and one of the largest sources of gold in the world. In 2014 Nevada produced 4,940,540 troy ounces (153.668 t), representing 73% of gold in the United States and 6% of the world's production.[1][2] Total gold production recorded from Nevada from 1835 to 2008 totals 152,000,000 troy ounces (4,700 t), worth over US $228 billion at 2011 prices.[3] Almost all the gold mined in Nevada comes from large open pit mining using cyanide heap leaching recovery.

The Nevada mining industry supported an average of 14,413 direct employees in 2014, with about 65,000 additional jobs related to providing goods and services needed by the mining industry. The average pay for mining industry employees during this time was $88,634 per year, the highest for any employment sector in Nevada.[2][1]

A number of major mining companies, such as Newmont Mining, Goldcorp and Barrick Gold Corporation, operate gold mines in the state. Active gold mines include those at Jerritt Canyon and Carlin Trend.

Although Nevada was known much more for silver in the 19th century, many of the early silver-mining districts also produced considerable quantities of gold. The Comstock Lode produced 8,600,000 troy ounces (270 t) of gold through 1959, and the Eureka district produced 1,200,000 troy ounces (37 t). The Robinson copper mine has produced well over 2,700,000 troy ounces (84 t) gold, along with over 4 billion pounds (1,500,000 tonnes) of copper.

Carlin Trend

Goldstrike (Post-Betze) Mine in the Carlin Trend, the largest Carlin-type deposit in the world, containing more than 35,000,000 troy ounces (1,100 t) gold.[4]

Gold was discovered in the vicinity of Carlin in Eureka County in the 1870s, but production was small. Placer deposits were discovered in 1907, but the deposits were too small to cause much excitement. It was not until 1961 that the Newmont Mining Corporation found the large low-grade gold deposit at Carlin that the mining industry began to take notice. The Carlin mine began producing gold in 1965, but at the price then of $35 per troy ounce, the ore grade was still too low to cause a rush to northern Nevada. It was not until the gold price shot up in the late 1970s that mining companies rushed to look for similar deposits.[5]

The Carlin Trend, part of what is also known as the Carlin Unconformity by geologists, is 5 miles (8 km) wide and 40 miles (60 km) long running northwest-southeast, has since produced more gold than any other mining district in the United States. The trend surpassed 50,000,000 troy ounces (1,600 t) of gold in 2002. The Carlin and other mines along the trend pioneered the method of open-pit mining with cyanide heap leach recovery that is today used at large low-grade gold mines worldwide.

New ore deposits are still being opened along the trend. The South Arturo deposit was discovered by Barrick Gold in 2005. The deposit contains an estimated 1,300,000 troy ounces (40 t) of gold.[6]

Dun Glen Mine

The Dun Glen Placer Mine is situated in Pershing County, Nevada, along Dun Glen Creek, which drains from the west side of the East Range Mountains. Reports indicate lode gold was discovered and vein deposits were mined in Dun Glen Canyon during the early 1860s. Chinese miners attempted drift mining of the gold laden placer gravels between 1880 and 1890 with limited success due to the water table. Further exploration of the deposits in the 1920s to 1930’s led to the first mechanized placer operation in 1931.

Golden Fleece Mine (Nevada)

The Golden Fleece Mine, Washoe County, Nevada, near Poeville site, was operated by the Golden Fleece Gold & Silver Mining Company, incorporated on February 2, 1875,[7] which held one patented claim on the site. W. F. Stewart had published a geological report on the mine in 1879, which had an eight-foot vein of ore.[8] The small mining site was located at latitude: 39.584753, longitude: -119.903055 and has received more interest from historical point of view, than for its yield of gold. Several other mines were operating in the Poeville Mining District during 1863 and mid 1880.

Goldfield

Goldfield was discovered in 1902, and began major gold production in 1904. The ore occurs in altered shear zones in Tertiary dacite and andesite. Total gold production through 1959 was 4,200,000 troy ounces (130 t).[9]

Robinson/Ely

The Robinson district at Ely, Nevada produced about 3,000,000 troy ounces (93 t) of gold through 1990, as a byproduct of copper mining.[10]

In 2014 the Robinson Mine produced 86,601,987 pounds of copper, 26,303 troy ounces of gold and 741,717 pounds of molybdenite with 617 employees.[2]

Gold royalties

All mineral and gold production on public and private lands in Nevada is subject to a Net Royalty payable to the State. The gross proceeds from the sale of minerals minus allowable deductions determine the taxable net proceeds. If the net proceeds from sales by a mine in the taxable year total $4 million or more, the tax rate is 5%. For less profitable mines the tax rate is graduated down to 2%. Miners' net proceeds are also subject to federal corporate income tax of 35%.[11][12]

Because the NPM tax is an ad valorem property tax, the amount of the net proceeds times the property tax rate goes to the county where the mineral was extracted. Any additional amount of tax paid up to the 5% goes to the State.[11]

In 2015-2016 the Nevada net proceeds royalty raised $101.6 million (down from $255.6 million in 2012) from gold and silver production, of which the counties received $51.1 million (down from $127 million in 2012).[12][13]

Gold Mining Companies in Nevada

See also

Aerial view of Round Mountain open pit, 2008.

References

  1. 1 2 George, Micheal W. (January 2015). "Gold" (pdf). Mineral Commodity Summaries 2015. U.S. Geological Survey,. Retrieved 24 March 2016.
  2. 1 2 3 Perry, Rick; Visher, Mike (9 October 2015). "Major Mines of Nevada 2014" (pdf). Nevada Division of Minerals. Nevada Bureau of Mines and Geology. Retrieved 24 March 2016.
  3. ↑ Update on Production and Exploration Activity in Nevada - 2009 at Nevada Bureau of Mines and Geology
  4. ↑ Western Region Gold Deposits at USGS
  5. ↑ Donald M. Hausen and Paul F. Kerr (1969) Fine gold Occurrence at Carlin, Nevada, in Ore Deposits of the United States, 1933-1968, New York: American Institute of Mining Engineers, p.908-940.
  6. ↑ Ed Cope and others, "South Arturo: a recent gold discovery on the Carlin Trend," Mining Engineering, Jan. 2008, p.19-25.
  7. ↑ Details on the company are held at the Nevada State Archives. Informations on out of business companies are summarized here:
  8. ↑ Stewart, W.F.; Geological Report upon the "Golden Fleece" Gold and Silver Mine, Peavine Mining District, Washoe County, Nevada, 1879. A microfilm copy of the report is held at Mathewson-IGT Knowledge Center, University of Nevada, Reno. Information available: .
  9. ↑ A.H. Koschmann and M.H. Bergendahl, Principal Gold-Producing Districts of the United States, US Geological Survey, Professional Paper 610, p.177-178.
  10. ↑ Laurence P. James, 1990, "Gold in the Ely (Robinson) copper district, White Pine County, Nevada," in Gold in Porphyry Copper Systems, US Geological Survey, Bulletin 1857-E, p.E28.
  11. 1 2 Understanding Nevada’s Net Proceeds of Minerals Tax (PDF). Carson City, NV: Nevada Taxpayers Association. 2008.
  12. 1 2 "2013-2014 Net Proceeds of Minerals Bulletin" (pdf). Nevada Department of Taxation. Carson City, NV: Division of Local Government Services. 8 July 2014. Retrieved 27 October 2015.
  13. ↑ "2015-2016 Net Proceeds of Minerals Bulletin" (pdf). Nevada Department of Taxation. Carson City, NV: Division of Local Government Services. 1 June 2016. p. 9. Retrieved 22 October 2016.

External links

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