The Sixteen to One mine in the Alleghany Mining District is a unique gold deposit and requires an unfamiliar operation, which is recognized by its owners, its miners, geologists, engineers, and some public agencies for 125 years. It is a rare California high-grade, hard rock, underground gold mine. The Company celebrated its 100th year anniversary on Oct. 9, 2011. becoming the oldest gold mining corporation in the United States. Experts estimate that sixty percent or more of the gold deposit remains. Production is approximately 1,500,000 ounces of gold.

Over thirty miles of horizontal workings and millions of cubic feet of vertical excavations called stopes exist. The entire grounds are not maintained for mining. Once an area is targeted for mining, travel ways and escape routes are brought into safety compliance. Production miners set up a heading (face) and begin a drill-blast-muck sequence into the quartz. Gold is hosted in the quartz vein as exceedingly rich concentrations called "pockets". Metal detectors are regularly used underground as a tool for guiding the direction of the work. Metal detectors are also used as a tool to classify the ore underground. A positive effect reduces the volume of rock taken from the mine, thereby reducing costs.

In 1992, the company initiated a gold marketing plan of selling gold in quartz as a gemstone. This produces revenue significantly greater than selling gold into the spot market. Demand for the Sixteen to One gold-in-quartz gemstone exceeds supply.

Production has been termed a "feast or famine" situation for over 100 years. Reserves in this high-grade gold mine cannot be termed as "proven". At the Sixteen to One the search for gold embraces: (1) historical maps; (2) geophysical prospecting; (3) underground headings, drifts or tunnels. When operations detect the presence of gold, the Company evaluates the environment and changes from exploration to development to production rapidly. The company hoards gold and sells it according to short-term cash needs. These facts create headaches for the Company managing cash flow between pockets.

Balance Sheet notes:

No value is recorded on the balance sheet for timber reserves. The company owns 470 acres of prime forested timberland. No value is recorded on the balance sheet for the Company owned water-rights. Reduced value is recorded on the balance sheet for buildings, equipment and land. No value is recorded on the balance sheet for marketable aggregate and decorative stone currently stockpiled. No value is recorded on the balance sheet for goodwill. Fixed assets are recorded at historic cost less depreciation which cloud the true value of Company assets.

BALANCE SHEET COMPARISONS

For the three-month period ended September 30, 2021 there was no significant changes to the balance sheet.





STATEMENT OF OPERATIONS

Revenues

Gold revenues for the six-month period ending September 30, 2021, decreased by $39,695 (56%) compared with the same period in 2020 due to supporting COVID-19 California and federal restrictions, decrease in sales, and the emphasis on maintenance instead of producing gold.

Expenses

For the nine-month period ended September 30, 2021, compared to the same period in 2020 total operating expenses decreased by $33,230 (15%) to support and comply with COVID-19 California and federal restrictions.

For the nine-month period ended September 30, 2021, compared to the same period in 2020, the company showed a loss of $287,932 compared to a loss of $137,201. The $150,632 (109%) difference is due booking legal fees from 2019 that were overlooked, bringing Directors fees up to date and adjusting inventory that hasn?t been done for years

© Edgar Online, source Glimpses