From the Sunday Summit on the Hope – Princeton Highway to the lofty peak of Snowy Mountain, the Similkameen valley is laced with former and producing mines, prospects, quarries and semi-precious gemstone sites.
The economy of the valley has been historicially tied to the mining industry, but over the years the importance of this industry has been diminished or downplayed due to market conditions and environmental concerns.
Is the time right for the Similkameen to look at this industry more carefully? With the national park debate silenced, a struggling global economy and advancements in mining and exploration technology, are there business opportunities that could add prosperity – and perhaps present opportunities that could someday make the Similkameen a truly unique tourism brand?
The Review has put together a four part series of articles that describes some innovative ideas – and projects that could provide numerous economic benefits to the Similkameen.
Beginning with this issue, we look at the potential of the largest (former) mining operation in the Lower Similkameen, and a few of the local businessmen who are hoping to bring new life to an old industry.
This past February, shortly after the province of B.C. announced their withdrawl of support for a national park in the South Okanagan-Similkameen, Silver Fields Resources Inc. (TSXV: SF) was granted a drilling permit for their mining property in the South Similkameen.
Silver Fields controls the former Dankoe Mine property, located approximately 20 kilometres south of Keremeos, just off Highway 3.
It was a hopeful sign for the mining industry in the Lower Similkameen, which has seen difficult times in the last decade due to uncertainty surrounding the prospect for a national park in the area. A number of local prospects are now receiving renewed interest, in an area known historically for low tonnage, high grade deposits.
Silver Fields exploration plans for 2012 include mechanized trenching and sampling as well as up to 2,000 metres of drilling as recommended by Mr. Peter Folk, P.Eng., the mine geologist of the former Dankoe-Utica Silver Mine, and Silver Fields’ project geologist.
Cawston Mining Technologist Ron Schneider is the local agent for Silver Fields. He worked at the mine for five years between 1975 and 1980, using the earnings to pay for his farm.
“At today’s prices, Dankoe Mine yielded 100 million dollars worth of ore in 25 years.
It has provided industrial level jobs to more than 40 people,” Schneider said.
He and Grant Crooker of Keremeos have spent close to four decades prospecting, staking and working local mining properties. Schnieder has played an active role in local mining
since graduating from BCI in 1972. Crooker’s story is similar, having graduated at a similar time.
“I’ve always had claims locally,” Crooker said. Since 2000, Crooker has been working for Goldcliff Resource Corp., (Goldcliff Resource Corporation (TSX.V-GCN))who have mining interests in Hedley.
Mining has played a big role in the development of the Lower Similkameen. The discoveries on Nickel Plate Mountain, above Hedley brought the railway to the Similkameen; to the east of Keremeos, the Fairview gold camp was one of the earliest camps in B.C., giving rise to the region’s first settlement.
In the latter part of the 20th century and again in the Depression era of the 1930’s, numerous prospects and mines in the mountains between Oliver and Keremeos provided a livelihood for many residents of the region when there was nothing else to do.
The two prospectors have taken an interest in several properties in the area, as recent high prices for gold boosts interest in the area as a mining region once again. Mining companies’ interest in the region rises and falls with metal prices; at today’s gold price in the $1,500 an ounce range, both Crooker and Schneider believe the area has potential for the development of low tonnage, high grade underground operations that would have a minimal impact on the environment.
Schneider recently restaked a former gold prospect located a few kilometres east of Cawston, off the Cawston – Fairview road. Results from a recent sampling program undertaken by Schneider revealed values of 8.23 grams of gold per ton across 1.8 metres ($439). A second surface sample yielded 274 grams per ton of gold ($14,250), while a third adit (tunnel) grab sample graded 30.86 grams of gold ($1,640)and 394 grams of silver per ton ($388). At today’s precious metals prices, a small underground project could prove to be very profitable, if reserves can be proven up.
Schneider also has interests in industrial minerals; last year he hauled $15,000 worth of landscaping rock from a quarry near Yellow Lake. He has worked with OK Stoneworks’ Peter Buckowsky, who cuts and polishes the rock into headstones and other items such as the rock signage at Memorial Park.
The long running debate over a national park in the area has put a damper on mining activities in the region, as few companies are willing to invest in a property which they may not be compensated for. Stakeholders must be aware that history has shown that promises made without signing on the dotted line are seldom kept.
“Expropriated mining properties were to be compensated in a ‘fair and timely’ manner,” Schneider said. “It’s been 12 years since protected areas were established and nothing has been settled. Last October, for instance, the B.C. government had to settle for ‘lost opportunity’ on uranium claims in the Beaverdell area. That cost provincial taxpayers $30,000,000. There are approximately 200 expropriated properties in B.C. to settle – I’ll leave you to do the math.”
The Land Resource Management Plan was put together between 1995 and 2000 by local stakeholders. Mining interests were “sacrificed in the Snowy Mountain area in order to satisfy the majority and make the deal. Schneider see elements of a “divide and conquer” approach at work, as stakeholder groups are progressively targeted for exclusion.
“We no sooner got the LRMP completed, and Parks Canada moved in,” concluded Schnieder.
“This time it’s the other stakeholders rights that are on the line.”
Next week: At the western end of the Similkameen valley, mining interests are developing a zeal for zeolites in Part two of Prospects in the Similkameen.
