 | Get all the essential market news and expert opinions in one place with our daily newsletter. Receive a comprehensive recap of the day's top stories directly to your inbox. Sign up here! |
(Kitco News) - After the first gold rush 175 years ago, prospectors are heading back into the California hinterlands hoping to find their fortune.
For amateur placer miners, a literal perfect storm has hit California as the state continues to recover from years of major wildfires and record snowpacks this winter in the Sierra Nevada mountain range. As that snow melts, the rush of water pushes loose debris, dirt and boulders downstream. In all that debris: gold.
According to media reports, gold hunters have been converging on Sacramento and Placerville in central California, taking to the creeks and streams with their gold pans and other equipment.
"Anytime you can stand next to a river, and you hear the boulders tumbling, you know the gold is moving, too," Jim Eakin, owner of a firewood business in Placerville and amateur gold seeker, told the New York Times article published Sunday.
Albert Fausel, a third-generation owner of the Placerville Hardware store, said in an interview with CBS that he is already seeing a pick in his store for gold equipment.
"We do a lot of different gold supplies in here," Fausel said in the interview. "So now, instead of selling dynamite, I'm selling metal detectors."
Also, in an interview with the New York Times, Fausel described his own recent treasure-hunting experience. In a wetsuit with goggles and a snorkel, the business owner spent a recent Sunday afternoon sweeping a creek bed for potential nuggets.
He said that in about 20 minutes, he had found about $100 worth of gold.
Not only has California's volatile weather created an environment for a new gold rush, but the precious metal holding around $2,000 an ounce is adding to the gold fever.
|
| QE isn't over and will drive gold to $3,000 and Bitcoin to $100,000 in the next decade - Crossborder Capital |
Thomas Fuller, the author of the New York Times article, attended the monthly Gold Country Treasure Seekers club and talked with its president Tony Watley, who said he expects it to be a magnificent year.
Another member of the club, Mark Dayton, said that he had seen more gold in the last two meetings than in the last two years.
"There was $50,000 of gold up at that table," he said.
According to a growing number of amateur miners, the best time to hit the western slopes of the Sierra Nevada will be in June and July when the water levels recede, making the sandbanks and bars more accessible.
Meanwhile, anyone hoping to make an easy fortune should remember that California state law does not allow the use of heavy equipment for placer mining. Potential prospectors will have to find their gold the old-fashioned way with shovels, pans and sluice boxes.
