HEADQUARTERS 10TH MILITARY DEPOT, Monterey, California, Aug. 17, 1848.
SIR:- I have the honor to inform you that, accompanied by Lieut. W. T. Sherman, 3d artillery, A. A. A. General, I started on the 12th of June last to make a tour through the northern part of California. My principal purpose, however, was to visit the newly-discovered gold "placer," in the Valley of the Sacramento. I had proceeded about forty miles, when I was overtaken by an express, bringing me intelligence of the arrival at Monterey of the U. S. ship Southampton, with important letters from Com. Shubrick and Lieut. Col. Barton. I returned at once to Monterey, and dispatched what business was most important, and on the 17th resumed my journey. We reached San Francisco on the 20th, and found that all, or nearly all, its male inhabitants had gone to the mines. The town, which a few months before was so busy and thriving, was then almost deserted.
On the evening of the 25th, the horses of the escort were crossed to Sousoleto in a launch, and on the following day we resumed the journey by way of Bodega and Sonoma to Sutter's fort, where we arrived on the morning of the 2d of July. Along the whole route mills were lying idle, fields of wheat were open to cattle and horses, houses vacant, and farms going to waste. At Sutter's there was more life and business. Launches were discharging their cargoes at the river, and carts were hauling goods to the fort, where already were established several stores, a hotel, &c. Captain Sutter had only two mechanics in his employ, (a wagon-maker and a blacksmith,) whom he was then paying ten dollars a day. Merchants pay him a monthly rent of $100 per room; and while I was there, a two-story house in the fort was rented as a hotel for $500 a month.
At the urgent solicitation of many gentlemen, I delayed there to participate in the first public celebration of our national anniversary at that fort, but on the 5th resumed the journey and proceeded twenty-five miles up the American fork to a point on it now known as the Lower Mines, or Mormon Diggings: The hill-sides were thickly strewn with canvas tents and bush arbors; a store was erected, and several boarding shanties in operation. The day was intensely hot, yet about two hundred men were at work in the full glare of the sun, washing for gold--some with tin pans, some with close-woven Indian baskets, but the greater part had a rude machine, known as the cradle. This is on rockers, six or eight feet long, open at the foot, and at its head has a coarse grate, or sieve; the bottom is rounded, with small cleets nailed across. Four men are required to work this machine: one digs the ground in the bank close by the stream; another carries it to the cradle and empties it on the grate; a third gives a violent rocking motion to the machine; while a fourth dashes on water from the stream itself.
The sieve keeps the coarse stones from entering the cradle, the current of water washes off the earthy matter, and the gravel is gradually carried out at the foot of the machine, leaving the gold mixed with a heavy fine black sand above the first cleets. The sand and gold mixed together are then drawn off through auger holes into a pan below, are dried in the sun, and afterwards separated by blowing off the sand. A party of four men thus employed at the lower mines averaged $100 a day. The Indians, and those who have nothing but pans or willow baskets, gradually wash out the earth and separate the gravel by hand, leaving nothing but the gold mixed with sand, which is separated in the manner before described. The gold in the lower mines is in fine bright scales, of which I send several specimens.
As we ascended the north branch of the American fork, the country became more broken and mountainous, and at the saw-mill, 25 miles above the lower washings, or 50 miles from Sutter's, the hills rise to about a thousand feet above the level of the Sacramento plain. Here a species of pine occurs which led to the discovery of the gold. Capt Sutter, feeling the great want of lumber, contracted in September last with a Mr. Marshall to build a saw-mill at that place. It was erected in the course of the past winter and spring--a dam and race constructed; but when the water was let on the wheel, the tail-race was found to be too narrow to permit the water to escape with sufficient rapidity. Mr. Marshall, to save labor, let the water directly into the race with a strong current, so as to wash it wider and deeper. He effected his purpose, and a large bed of mud and gravel was carried to the foot of the race.
One day Mr. Marshall, as he was walking down the race to this deposit of mud, observed some glittering particles at its upper edge; he gathered a few, examined them, and became satisfied of their value. He then went to the fort, told Capt. Sutter of his discovery, and they agreed to keep it secret until a certain grist-mill of Sutter's was finished. It, however, got out, and spread like magic. Remarkable success attended the labors of the first explorers, and in a few weeks hundreds of men were drawn thither. At the time of my visit, but little over three months after the first discovery, it was estimated that upwards of four thousand people were employed. At the mill there is a fine deposit or bank of gravel, which the people respect as the property of Captain Sutter, although he pretends to no right to it, and would be perfectly satisfied with the simple promise of a pre-emption, on account of the mill which he has built there at considerable cost. Mr. Marshall was living near the mill, and informed me that many persons were employed above and below him; that they used the same machines at the lower washings, and that their success was about the same--ranging from one to three ounces of gold per man daily. This gold, too, is in scales a little coarser than those of the lower mines.
From the mill Mr. Marshall guided me up the mountain on the opposite or north bank of the south fork, where, in the bed of small streams or ravines, now dry, a great deal of coarse gold has been found. I there saw several parties at work, all of whom were doing very well; a great many specimens were shown me, some as heavy as four or five ounces in weight, and I send three pieces labelled No. 5, presented by a Mr. Spence. You will perceive that some of the specimens accompanying this, hold mechanically pieces of quartz; that the surface is rough and evidently moulded in the crevice of a rock. This gold cannot have been carried far by water, but must have remained near where it was first deposited from the rock that once bound it. I inquired of many people if they had encountered the metal in its matrix, but in every instance they said they had not, but that the gold was invariably mixed with washed gravel or lodged in the crevices of other rocks. All bore testimony that they had found gold in greater or less quantities in the numerous small gullies or ravines that occur in that mountainous region.
On the 7th of July I left the mill, and crossed to a stream emptying into the American fork, three or four miles below the saw mill. I struck this stream (now known as Weber's creek) at the washings of Sunol & Co. They had about thirty Indians employed, whom they payed in merchandise. They were getting gold of a character similar to that found on the main fork, and doubtless in sufficient quantities to satisfy them. I send you a small specimen, presented by this company, of their gold. From this point we proceeded up the stream about eight miles, where we found a great many people and Indians--some engaged in the bed of the stream, and others in the small side valleys that put into it. These latter are exceedingly rich, and two ounces were considered an ordinary yield for a day's work. A small gutter, not more than a hundred yards long by four feet wide and two or three feet deep, was pointed out to me as the one where two men-- William Daly and Parry McCoon--had, a short time before, obtained 17,000 dollars worth of gold. Capt. Weber informed me that he knew that these two men had employed four white men and about a hundred Indians, and that at the end of one week's work, they paid off their party, and had left $10,000 worth of this gold. Another small ravine was shown me, from which had been taken upwards of $12,000 worth of gold. Hundreds of similar ravines to all appearances are as yet untouched. I could not have credited these reports had I not seen, in the abundance of the precious metal, evidence of their truth.
Mr. Neligh, an agent of Commodore Stockton, had been at work about three weeks in the neighborhood, and showed me in bags and bottles over $2,000 worth of gold; and Mr. Lyman, a gentleman of education and worthy of every credit, said he had been engaged with four others, with a machine, on the American fork, just below Sutter's mill; that they worked eight days, and that his share was at the rate of $50 a day; but hearing that others were doing better at Weber's place they had removed there, and were then on the point of resuming operations. I might tell of hundreds of similar instances; but to illustrate how plentiful the gold was in the pockets of common laborers, I will mention a simple occurrence which took place in my presence when I was at Weber's store. This store was nothing but an arbor of bushes, under which he had exposed for sale goods and groceries suited to his customers. A man came in, picked up a box of Seidlitz powders and asked the price. Captain Weber told him it was not for sale. The man offered an ounce of gold, but Capt. Weber told it only cost fifty cents, and he did not wish to sell it. The man then offered an ounce and a half, when Capt. Weber had to take it. The prices of all things are high, and yet Indians, who before hardly knew what a breech cloth was, can now afford to buy the most gaudy dresses.