"The construction of a railroad across the Isthmus of Panama would secure the market for those articles against all competition.
"Some idea may be formed of the demand for them from the prices paid in San Francisco last autumn. Coal was sold at $60 to $100 per ton; potatoes $16 per bushel; turnips and onions for 25 to 62½ cents each; eggs from $10 to $12 per dozen.
"The distance from Chagres to New York has recently been run in seven days. The same speed would carry a steamboat from Panama to San Francisco in ten days. Allow three days to convey freight across the Isthmus, on a railway, and both passengers and freight will be conveyed from New York to San Francisco in twenty days.
"This celerity of movement would secure for American produce the entire market of California. Sailing vessels may be successfully employed between our Atlantic and gulf ports and the terminus of the railway on this side of the Isthmus; and propellers from Panama to San Francisco. These latter vessels will be found peculiarly suited to that trade; they can use their steam through the calms of the Bay of Panama, and against head-winds and currents going north, and their sails with favorable winds and currents coming south.
"These modes of conveyance, in connection with the railroad across the Isthmus, would be sufficiently expeditious and economical to turn the tide of commerce, between the Atlantic and Pacific States of the Union, into that channel. The tendency of our commerce on the Pacific to promote the employment of ocean steamers is of much importance as connected with the defence of our extensive line of coast from latitude 32° to 49°, the protection of the whale fishery, and other branches of trade on that ocean. The establishment of a line of heavy steamers to China would promote all these objects; increase our intercourse with that country, and probably be the means of opening communications with Japan. Money wisely employed in promoting these objects, it is believed, would add more to the power and prosperity of the country than its expenditure on any general system of fortification at the present prices of labor and materials. There is one point, however, of such vast importance that no time should be lost in taking the necessary steps to render it perfectly impregnable—that is, the entrance to the harbor of San Francisco. On the strength of the works which may be erected to defend that passage will depend the safety of California in time of war with a maritime power. Permit a hostile fleet to cast anchor in the harbor of San Francisco, and the country would be virtually conquered.
"The coast has not been surveyed, nor has its outline been correctly ascertained. There are many rocks above and below the water-line, and small islands not mentioned or indicated on any chart, which render navigation near the land, especially at night, extremely dangerous.
"An accurate survey of the coast, to commence at the most important points, the construction of lighthouses, and the placing of buoys in proper positions, are objects of much importance, and, it is not doubted, will attract the early attention of Government."
We come now to that which has built up so rapidly this empire of the Pacific—the metallic and mineral wealth of California. As to the extent of the region, and indications of the existence of the gold, together with the attendant geological formations, the statements of Mr. King's report will not be, nor have not been, gainsayed; but as to the origin of the gold, whether in combination with quartz, or mixed with the sands of the ravines and streams, various opinions have been expressed by those who have spent considerable time in working and observing the different formations. That due weight may be given to both of the principal theories, we extract the observation and opinion of a person who favors the idea of the gold having been scattered over the country, by a tremendous volcanic eruption.
"The gold found in every placer in California bears the most indubitable marks of having, at some time, been in a molten state. In many parts it is closely intermixed with quartz, into which it has evidently been injected while in a state of fusion; and I have myself seen many pieces of gold completely coated with a black cement that resembled the lava of a volcano. The variety of form, which the placer gold of California has assumed, is in itself sufficient evidence of the fact, that it has been thrown over the surface while in a melted state. The earliest comparisons of the California gold were to pieces of molten lead dropped into water. The whole territory of the gold region bears the plainest and most distinct marks of being volcanic. The soil is of a red, brick color, in many places entirely barren, and covered with a flinty rock, or pebble, entirely parched in the summer, and during the rainy season becoming a perfect mire. The formation of the hills, the succession of gorges, the entire absence of fertility in many portions, distinctly exhibit the result of a great up-heaving during past times. But there is one phenomenon in the mining region which defies all geological research founded upon any other premises than volcanic formation. Throughout the whole territory, so generally that it has become an indication of the presence of gold, a white slate rock is found, and is the principal kind of rock in the mining region. This rock, instead of lying as slate rock does in other portions of the earth, in horizontal strata, is perpendicular, or nearly so; seeming to have been torn up from its very bed and left in this position. On the banks of the Middle Fork are several excavations, which can only be accounted for upon the supposition, that they were at some time volcanic craters. There is one of these on the mountain side, about five miles below the "Big Bar;" from which, running down to the base of the mountains, is a wide gorge entirely destitute of verdure, while the earth around it is covered with shrubbery. This, I am fully convinced, was the bed of the lava stream that was thrown up from the crater; and in searching for gold at the very foot of it, I found several pieces entirely covered with the black cement or lava, of which I have previously spoken. From all these evidences, I am fully satisfied that at some early date in the world's history, by some tremendous volcanic eruption, or by a succession of them, gold, which was existing in the form of ore, mixed with quartz rock, was fused and separated from its surrounding substances, and scattered through every plain, hill, and valley, over an immense territory. By its own gravity, and the continual washing of the rains, it sank into the earth until it reached a rock, or hard, impenetrable clay. It still continued washing and sliding down the hill-side, until it reached the rivers or ravines, and in the former was washed along with its current until it settled in some secure place in their beds, or was deposited upon their banks; and in the latter rested among the crevices of rocks."[13]
The following from Mr. King's report, presents the opposite theory, with its evidence in full. The two accounts are at variance both in regard to fact and theory. But that of Mr. King, who enjoyed every facility of obtaining information from observation, and from the statements of intelligent miners, is considered most reliable, in respect to matters of fact, and, therefore, of more dependence in forming a theory. He says—