JALAN RIVER

CONCESSION AND CONTRACT

Official Reports, Engineers Reports

Statements \yith descriptive Maps

TEGUCIGALPA

State of Honduras.— National Printing Office, 3rd. Avenue E., N

.897

JALAN RIVER »

CONCESSION AND CONTRACT

Official Reports, Engineers Reports

ALSO

Statements with Descriptive Maps

i TEGUCIGALPA

State of Honduras.— Nationaf^Printing Office, ml. Avenue E., N.

1897

Concession and Contract River Jalan

Contract dated September 27th., 1886.— Approval by Congress, February 10th. 1887. Decree N.* 15. '

Paid in advance for the exclusive right to extract gold from the bed, bars and banks of tin River Jala:i, 12 annual payments of 1.000 pesos per year, for the construction of an Industrial School, to Jacob Baiz Consul General New York and President Bogran.

''Report of the Director General of Rents of Honduras, for the jear 1888-1889. Exhibit II. E. A. Burke delivered to the Consulate of Honduras in New York in virtue of a con cession $ 12.000."

From the 10th. February 1899 the concession will pay each year $ 1.000.

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( Translation)

f)t tr/tic// /.s a

DECREE N.° 16

•ntracf <-(>.l t'br&ted by the Executive irith Mr. E. A. Burke.

THK PHKSIDKNT OF THE REPUBLIC OF HONDURAS,

To TIIK I'Knl'LK, I5K IT KNOWN :

That the National Congress has ordered as follows:

DLCREE N.° 16.

The National Congress, in view of tlie contract which literally says:

"Alberto Membreno, Chief Secretary of the Minister of I'oinento, in representation of the Government of Hon- duras, lor one part, and for the other Mr. E. A. Burke, citi- /Hii of the city of New Orleans, State of Louisiana, in the Cnited States of North America, have agreed to celebrate the following contract:

Let.— The Government of Honduras concedes to Mr. Burke the exclusive right to exploit and extract minerals and pre rimis metals from the beds, bank*, placers and veins of the River known by the names of Jalan and Teupasenti for the width of six hundred "varas" on each side, measured from a

:al linn established over said river, in distances of 1.000

-\aras," varying with th^ course of the same and as near as

may be practicable, commencing at a point in said river, a

mce of six 1- from the town of Guaimaca, following

down the river, until its junction with the Guayape.

L'nd. Th"iv is granted to the entei prise of Mr. Burke all the priviN-'.-s an 1 i-x-mptions conceded by the existing min- inu' 1 L by the decrees \\hiclireferto the Department,

issued th»* isih. (,f November of iss-j aifl the ?th. of February

Mr. Bulk*- has tli.'iii^it to introduce fiee of all I, Ti>cal ormunicii)al, tb- machinery, tools, or other mater- ials necessary for th* exploitation and extraction of minerals

and precious metals embraced with the limits of the land that is given him, and the exemption from existing taxes, »or any that may hereafter be imposed, for the products that may be exported.

4th. The workmen and other employees, permanently in the enterprise, shall be exempt, in time of peace, from oblig atory military service: and the Government will name a Com- mandante in order to drill the men subject to militia duty at the place where the works are situated, provided no expense is incurred by the State.

5th.— Mr. Burke may transfer, lease or sublease all or part of the rights and privileges that ar£ embraced in this concession, but the obligations which are imposed by it shall always le complied with by those to whom it pertain.

6th. The rights and privileges granted by this contract are without predjudice to those legally acquired by other persons: but all right or concession over minerals or precious metals which shall be forfeited, lapse, or be abandoned with in the limits of this concession, shall revert to the benefit of Mr. Burke, his associates or assigns.

7th. The rights above described, privileges and exemp tions are conceded to Mr. Burke, his asociates or assigns, in consideration of the sum of $ 1.000 annually which he is compromised to give to the Government of Honduras, in the following manner, and during the existence of the works.

8th.— Considering: that the Government desire to com- mence the construction of a building for the establishment of an Industrial School, during the coming year, Mr. Burke is obliged to pay to the person that the Government may design- ate, the sum of five thousand pesos, within twelve months, five thousand more within eighteen months, and two thousand more within two years, counting all these installments from this date: which amounts shall be as an anticipation of the money which Mr. Burke has to pay in the first twelve y^ars. After the expiration of twelve years the annual payments agreed upon, shall be paid in the month of July of each year to the person that the Srovernment may name.

9th. Natives of Honduras, who have heretofore wash- ed gold by the system of "bateas" as their patrimony, in the River Jalan or Teupasertti shall not be prohibited1 from continuing in the said occupation, in the same manner, but they may be prohibited from doing so, in the distance of 50U

"varas" from where Mr. Buike is actually working, without his previous special permission, the same also, if the Hondu-

ans cure t<> wa*»h gold by the sy>f»-in of boxes, machinery ^imilar apparatus.

li»th. A failure to comply with allf of the payments to which thi* contract ivfers will lender it, null and without any value.

llth. —After the capital invested, opera ting expense?, and 1<> PHI- cent of dividends have been realized by the enterprise, there shall be paid to the Government for the benefit of the aforesaid Industrial School, the sum of two and a half per cent of the yearly nett profits of the minerals and precious metals extracted from the zona.

The annual payments to which article 8.° alludes shall be invested also in said School.

12th.— The amount of the p.g shall be payable an- nually in the month of June, and if not paid, it shall b-> d^tHi-mined according to the terms of this contract and j-hall 1)^ recoverable according to law.

l^th. - In case of the transfer or lease of any pait of this n. each lessee shall separately be obliged to pay his

ita of said percentage.

14th.— All disputes or questions that may arise as to the interpretation <»r compliance with this contract, between the

Lea, shall 1»- i ^.solved by arbitration composed in the following manual :

The two contracting forties thai 1 each select, a person

rompetent and of good reputation as abitrators to decide the

di-putn>. and incuse of discord, the aibitrators

-hall naniH a third. * The Judgment of this Tribunal &hall not

\^ apealable.

In faith ol which and witness thereof both contracting two of likn tenor in the city of Tegucigalpa, on th"*J?th. day of the n.onth of S*-ptt-niber 1886.— Albei to Mem breiio. E. A. Buike.

Vowing the aforementioned contract, celebrated between Messrs. the Ohief Secretary in th" IVpartment of Public Works, Licenciado don Alberto Membreflo and Mr. E. A. Burke, and which consists of fouiteen articles; and consider- ing: thiit the d»-srrib»(l Chi-f S-(Vtary has observed the instructions, which to that effect were communicated to him. Therefore, the President, DEOKKK-: -That it is approved in all

7

its parts.— Tegucigalpa, September 27th. IS8(>.— Lns BO<;KAN. -The Secretary of State in the Interior Department. —C. Go- mez.^

DECREE:

Article 1.°-— To approve the Contract previously described. Given in Tegucigalpa, on the loth, day of the month of February 1887.

MAKCIAL VIJIL,

i). i>.

JESUS INESTROXA, S. MARTINEZ,

I>, 8* D. S.

To the Excutive Power.

Therefore Excutes: Tegucigalpa, February 18th. 1887.

LUIS BOGRAN.

The Secretary of State in the Department of Public Works.

FRANCISCO PLAXAS.

State of Louisiana. ) Q Q Parish of Orleans. \ "

KNOW ALL MEN BY THESE PRESENTS

That 1, Edward A. Burke, of New Orleans, in the State of Louisiana, for and in consideration of the price and sum of ten thousand dollars, to me in hand paid in cash by John A. Morris, of New Orleans in the State of- Louisiana, receipt whereof is hereby acknowledged and due and full acquittance and discharge granted therefor and other valuable consider ations, I do by these presents grant, bargain, sell, transfer and convey unto said John A. Morris, his heirs and assigns,

All my right, title and interest of every nature and kind whatsoever in to and of the following concessions together with all the privileges, benefits, exemptions and emoluments thereunto appertaining or {herewith connected, to wit.

The concession made to me said E. A. Burke by the Government of the Republic of Honduras of the exclusive

8

of extracting, an 1 working, and improving minerals and precious, metals on the banks, beds, bars, placers, veins or rnineralogical somces of the Jalan <fr Teupasenti River and commencing at a point on said River six leagues from the town of (Juaimaca and extending to thef junction of said river with the river (luayape estimated as a distance of about eighty miles in Hunting length and extending six hundred "vans" on either side of a central line which shall be eM ibli-hed by Surveyois at a distance of one thousand "va- varying in direction with the course of said vein.

Said contract was approved by President of the Repub-

I Honduras on the 27th. September, 1886, was ratified

confirmed and approved by the National Congress of the Re-

public of Honduras as per official ratification of the State De-

partment of said Republic, dated Tegucigalpa, February 10th.

7, and survey ordered.

All of which right*, benefits, privileges, etc., are set forth in documentary evidence which has been furnished an deli- •d by me to said John A. Morris.

T«> have and to hold said lights, benefits, privileges, etc., unto said John A. Morris, his heirs and assigns forever, and which I hereby bind myself, my heirs, executors, and administrators to wanant and defend unto him and them against thn lawful claims and demads of all persons whomso- ever.

In witness whereof I hereunto sit my hand and seal this fifteenth (15th ) day of June, A. D., 18S8.

(Signed) E. A. BURKK. (Seal.) Signed, sealed i nd delivered in presence of

•"•I

JKI i. (\ \Vi N< K

Signed

W. RENAUDIN-.

accept th* foregoing sale and transfer made

n

\Vitness my hind and seal this 15th. day of June, A. D.

1888.

(Signed) JOHN A. MORRIS. (Seal.) Signed and sealed in presence of JEFF. C. WKNCK,— \V.

9

State of Louisiana. } a a »

Parish of Orleans. \ k ,

BK IT KNoWN,

That on this fifteenth day of June, A. D., 18SS, be- fore me, John Bendernagel, Notary Public in and for the Parish of ( )rleans, State aforesaid, duly commissioned and qualified, personally came and appeared Edward A. Burk*1, and John A. Morris, to me known, the said Edward A. Bur- ke as the person named in and who subscribed the foregoing Deed and Conveyance and the said John A. Morris as the person whose name is subscribed to the foregoing acceptance thereof and they severally acknowledged that they signed and executed the same for the uses and purposes therein set forth.

In faith whereof, I hereunto set me hand and seal this 18th. day of June, A. D , 1888.

(Signed) J. BENDEKNA<;KL,

Notary Public.

Tegucigalpa, June 18th. 1890. John A. Morris Esquire:

The following decree his been issued to-day:

- "SECRETARY OF STATE IN THK DEPARTMENT OF FOMENTO

(PUBLIC \VOKKSI

Tegucigalpa. June 18th. 18!><».

In view of the proceedings of the survey practized by the Engineer don Jose Esteban Lazo on the days 13th., 22th., 24th., 25th., 26th., 28th., 29^. and 30th. of April, and 22th. and 23th. of May previous, in accordance with the decree of the 7th. Fe- bruary of the present year, by which he was commissioned to Survey the concession 01 the Rivers Jalan and Teupasenti, granted by contract made on the 27th. September 1880 to Mr. E, A. Burke, which contract was tranferred to Mr, John A.

_ 10

Morris on the 1.~>th. of June 1SS8. Having seen the Report of

the Specific Kevisor and the opinion of the Fiscal General of

the Treasury: and \\heivas, although the Survey has not been

luted over all ill- .-xt^nsion granted, the operations prac-

1 by Engineer Lazo are in accordance A%Uh the geodetical

principles and also with the laws on this branch; and as the

^rnment can, since there is no prejudice to a third party,

its approval to the partial survey executed; therefore

the President

DECREES:

1st.— To approve the survey lef erred to, in accordance to la\\ and under the abov?e terms.

•Jnd.— To extend in favor of the interested party the par- tial attestations lie has petitioned for. The final title shal- be issued when the Survey has been completed. Be it known and registered. Signed by the President.

l.y illness of the Secretary of State the chief clerk.— Julio Cesar Duron."

In communicating the above to you for your information and other effects, I subscribe myself, your obedient servant.

(Signed) Jruo CKSAK DURON.

:;M:m:i. i ^ a

KNo\\ ALLJIKN BY THESE PRESENTS,

That I, .John A. MonK of NYw Orleans, in the State of Louisiana, have made an appointed, and by these presents do make constitute and appoint Edward A. Burke, at present residing in NYw Orleans aforesaid, to be my true and lawful Agent and Attorney in fact, for me and in my name place and stead to sell, transfer, convey and assign for such price and -ideration in cash, stock, or on such terms and conditions as he may think proper.

All my right, title and interest of every nature and kind whatsoever in to and of the following concessions together wtih all the privileges, benefits, exemptions and emoluments thereunto appertaining or therewith connected to wit;

11

The concession which was made to said Edward A. by the Government of the Republic of Honduras o* the ex elusive light of extracting, working and inip'oving minerals and precious metals on the banks, beds, bars, placers, veins or mineralogical soiyces of the .Jalan or Teupasenti River and commencing at a point on said river six leagues from the town of Guaimaca, and extending to the junction of said river with the liver Guayape, estimated as a distance of about eighty miles in running length and extending six hundred "varas" on either side of a central line which shall be established by Swrveyors at a distance of one thousand "varas" varying in direction with the course of said rivers. Which contract was approved by the President of the Republic of Honduras on the 27th. of September 1886 and was ratified confirmed and approved by the National Congress of the Republic of Hon duras as per official ratification of the State Department of said Republic dated Tegucigalpa, February 10th. 1887 and survey ordered.

All of which rights, benefits, privileges, etc., aresetfoith in documentary evidence in my possession. And for the purposes aforesaid my said. Attorney is hereby authorized and empowered to make, sign and execute the necessary deeds, con- veyances or other instruments of writing necessary to be signed and executed in the premises with full power of substitution and revocation hereby binding myself to ratify and confirm all and whatsoever said Attorney or his substitute shall law- fully do or cause to be done in virtue hereof.

In witness whereof I hereunto set my hand and seal at New Orleans in the State of Louissiana this twenty ninth day of January A. D. 1889.

JOHN A. MORRIS. (Seal)

Signed, sealed and delivered in the presence of A. W. COCKERTON.— DAVE H. MORRIS.

State of Louissiana. ) R q "* Parish of Orleans, f °'

BE--JT KNOWN

That on this twenty nioth day of January A. D. 1889 before me, John Bendernagel a Xotary Public in and for the

12

Parish of Orleans State aforesaid, duly commissioned and qualified personally came and appeared John A. Morris to me known as the person named in an'd who subscribed th/3 within and foregoing power of Attorney and acknowledged that he signed and executed the same for, the uses and pur poses therein set foith and expresed.

In faith whereof I hereunto set my hand and seal this •Jt»th. day of January A. D. ISSi).

Notarial seal.

J. BENDERNAGEL,

Notary Public

El Vicecdnsul de Honduras,

Certih'ca: que la firma de J. Bendernagel, Notario Publi- co en New Orleans, que autoriza este documents, es autentica y la que usa en todos sus actos.

Para los usos legales, expido el presente en el puerto de Nueva Orleans, a los treinta dias de Enero del ano 1889.

(Seal)

E. HERNANDEZ,

Vice-consul de Honduras.

I In- tt rid 't/i ic

Consulate New Orleans.

.1. A. de G. de Fonblanque, Esquire Her Majesty Consul for tli^ port and District of New Oleans in the United States of America. <•

Certify: that John Bendernagel Esquire whose true sig nature and seal are respectively subscribed and affixed to the in-trum»'iit hereunto annexed was on the day of the date thereof! Notary Public in and for the State of Louissiana duly commissioned and sworn to whose official acts full faith and credit are due in court or thereout.

In testimony whereof I do hereunto ^et my hand and seal of office at the city of New Orleans this :30th. day of January in the Year of our Lord one thousand eight hundred and eighty iwne.

(Seal) A, DE Gr. DE

II, B. M Consul

Stamp One shilling. § *

I, GEORGE FREDERICK WARREN,

Of the city of I^ndon, Notary Public by Royal Authority, duly admitted and sworn do hereby certify to whom it may concern, that I have carefully collated and examined with the originals the foregoing copies and I further certify that the same are true and faithful copies of the said originals and agree therewith in every respect.

Whereof an act being required I have granted these presents under my notarial firm and seal to serve and avail when and where need may require.

London, the sixteenth day of October one thousand eight hundred and eighty nine.

(Seal) G. F. WARREN,

Notary Public.

El infrascrito, Consul General de la Republica de Honduras en Londre?,

Certifica: qne la tirma y sello que anteceden y que son al parecer los que usa en sus actos oficiales don George Fre- derick Warren, Notario Publico de esta ciudad, cuyos actos oficiales merecen y se les da entera fe y credito, tanto en jui cio como fuera de el.

Dado bajo mi mano en el sello de f.ste Consulado General hoy dia veinticinco de Octubre de 1889. ?

(Sello) W. HINNKV.

El inj'rascrilo, Secretarto de Estado en el Despacho de Re- lac tones Enter lores del Gobierno de Honduras,

Certifica: que la^» firma que antecede del senor Consul General de la Republica de Honduras en Londres, que dice: "W. Binney," es autentica.

Tegucigalpa, Agosto 12 de 18(.C>.

(Sello) CESAR BONIKLA.

- u-

[Translation]

Tegucigalpa, 13th. of August, 189."). Mr. E. A. Burke.— Presente.

Today there has been issued the decree which says: r Tegucigalpa, 13th. of August, 1895.

In view of the previous petitions in which Mr. E. A. Burke asks that the Government shall recognize him as the Agent of Mr. John A. Morris, in respect to the concessions of the River Jalan and the River Guayape approved by Congress in favor of the former, the 10th. of February 1887, and trans i-irt'd to rhe latter the 15th. of June 1888, and considering that the documents presented by the petitioner are according to law, and that the opinion of the Attorney General is favor- able, the President

DECREES:

To ]<•<•< >^nize Mr. E. A. Burke as such Agent of Mr. John A. Morris, in all that concerns the concession referred to, as fully as authorized.— Communicated and registered.

BONILLA.

retary of State in the Department of Public

E. Constantino Fiallos. Comiiimiirnted to yon for your information and other

\Voiks.

servant,

. < '<mx tan lino Fiallos.

Jalan River.— Guaimaca Section

TRANSLATION of certificate of town, authorities.

At a meeting of the municipal authorities of the town of Guaimaca on the Jalan River in November 1896 in response to a request for information from the Scientific Commission of France, a certified statement under seal of the Municipal- ity was given to the effect of that:

1st.— They ratified and confirmed the opinions or infor mation indicated in the public document made before the Jus- tice of the Peace, by the authoiities of the town January 27th. 1890 and in addition testified:

2nd. That the river Jalan and many quebradas are auriferous. In parts coarse gold is found, in other parts the gold is fine:

3rd.— That above Guaimaca is found the Quebrada *'Ti- grilla" in which is found coarse gold in abundance, the grains frecuently having particles of quartz attached, there is also a quebrada or creek in front of the mine "Nana Julia,'1 from which coarse gold has been taken for many years in abund- ance; this quebrada flows East, until it enters the quebrada "La Mansion" which enters the Jalan: ?

4th. —Below the town of Guaimaca and above the "Ba- rranca Rica" or "Rich Bank," near the Jalan River, exist the old mines "Belen" and "Patastera,'' also others, the names of which are not known.

The Patastera is said to contain a very rich "hilo" or vein of gold, and below this mine is found the "Barranca Ri- ca," large banks which many of the "gold washers" of this town have visited.

These banks contain coarse gold in abundance and are famous for their richness? but the distance from tlvis town being about 7 leagues, and there being "Tigers" in the local- ity the gold washers of this town only go there occasionally.

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TRANSLATION

••fifu-dtt' of town authorities of Guaimaca made 27th. of January . ratified by town autorithies Noven&eT 1896 at request of nt (tic Commission of France.

The river passing Guaimaca is and always has been called the Jalan proper. Therefore in this description will call it the Jalan.

Head waters of the Jalan rise in "El Tom ate," drains all of the country between mountain range which forms Nord- western boundary cf Guaimaca valley to the foot hills which form Eastern boundary. The creeks "Santa Teresa" and "Peralta" empty into Jalan about one mile and miles above town as shown in map. The creek "Lologuara" emp- tys into creek Barnis near town, creek Barnis flowing into Jalan about H mile below town.

From crossing of river Jalan to a small cannon about 500 feet long, called "El Cliorro," a distance of about leagues, the river averages from 100 to 150 feet wide flowing through level country and having high banks of gravel red and yellow lay and quartz formations. Flow of water from 5 to 20 feet wide, differing in depth and rapidity.

El Chorro Cannon (canon) is about 20 feet wide at its head, and 1 t<> i; iwt wide at its mouth;— below "El Chorro" has '••imed a -mall bur from which the women have washed gold, also two more bars below "El Chorro" are known as having been washed by women.

Above "Kl Choiro" emptys quebrada "Tule" which rises near "Ci^ualtHr.-r I A leagues from town emptys creek "Gua- fchnalia."

Kroin cannon "El Chorro" the river enters virtually into foot lulls and i- very winding, Conning numerous bars of email dimensions.

Thf .Jalan juM above win- re eivptys "Rosario" is about

1<> > IWt wide, the Kosaiio. at its mouth being about 7;") feet

__ 17

Just below where the Rosario emptys into Jalan, the river is about 200 feet wide forming on South side of riv^r a large bar of 500 feet long by 100 wide; also bank about 30 feet high from which the women have washed gold. (This information was taken from people who live in ranch at the mouth of the Rosario).

The quebrada uSan Marcos" flowing from San Marcos Mountains, is only creek emptying into Jalan between Rosa- rio and "Rio Aba jo." At junction of Rosario, the country on South side of river is level rolling country back to about a distance of one league, North side being hilly.

The Rosario rise about 7 or 8 leagues South- West of Guaimaca, draining all the country S<?uth and West of the head waters of the Jalan and the mountains Agua Fria, Za- pote and Caliche.

The creeks San Diego and Cigualteca are only streams of importance emptying into Rosario from valley on left hand side. The creek "Charcos" emptys into Rosario from valley on right hand side and forms at crossing of the "Camino Real" a distance 6 leagues from Guaimaca. The "Caliche" rises in the Caliche Mountains, and emptys into the Rosario from right hand side, about 2 leagues above mouth of Rosario, it and its mountain branches carry gold and are being washed at present by women. "Los Coralitos" one of its principal branches rising in foot hills is being washed by women and they taking up from * 0.50 to $ 1.00 per day with "bateas." From the house of Rosa Rodriguez to Caliche colors are found in river and some of the small branches. The first creek emptying into Rosario from right hand side is Agua Fria about J league above its mouth. The "Agua Fria" ri^es in the mountains of Agua Fria, receiving the creek "El Zapote" which rises in the mountains of El Zapote. Creek "Zapote" and "Agua Fria" are noted as having been washed by women. (This information in regard to gold having been washed was given by people who live the mouth of Agua Fria).

The Rosario flows principally between high and rugged banks, varying in bmath from 15 to .">() feet and is noted for its boulders.

The distance from Guaimaca to Barranca Rica is about 7 leagues and from Barranca Rica (Rich Bank) to Te^pasenti is about 6 leagues. Distance Guaimaca to Teupasenti l:i leagues.

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REPORT

>'//?////, on the (hi a in tar <i Section, Department of Te- tjiicifjalpa, Hirer Jal<i,i Concession, from*' El Tomate" or head

of Ike n'c IT fn Harr<inra liicn, (Rich Bank) about 11 leagues.

From "El Tomate" to "Barranca Rica" some of the banks prospect gold. All the bars down to "El Chorro" 1J leagues below Guaimaca profpect fine leaf gold. "El Chorro" is a narrow canon, 5 or 6 feet wide, perpendicular walls of hard rock, h'ne place for dam, large bar below, surface prospects well.

Rosario River, or Quebrada k2i leagues below Guaimaca, pans tine gold, large bar below mouth of Rosario in Jalan better, from f>o cents to $ 1.00 per cubic yard, Rosario large stivam.

<,)uebrabra<la San Marcos, enters Jalan from San Marcos mountains on South side, good sized stream, pans fine gold, large bar at mouth, about 3J leagues below Guaimaca.

(Quebrada Guayana, South side, 3i leagues from Guaima- ca very fine gold.

yuebradas Palomas and Guamilas, latter flows into Jalan from North side, line stream of water, large bar prospects well, mars^r gold, X'i leagues from Guaimaca.

(^iiebrada Tule, enters from North side, carries fine gold, dry except in wet sec.son.

Rio Aba jo is near here, where lives Ignacio Mejia on North side, other houses and small ranches on South side, below this a large bar which pans tine gold.

niielua.la Hahlonado, small stivam from South side shows ••rs. about one mile below Hio Aba jo.

Quebrada A^ua Frin, North sid,\ good stream, about 4 i l^ ; leagues below (iiiaimaca, la)-g«> bar, women washing ootnei ^"11. About J league up thn Fno the "Quebrada del < )ro" •(.!•(;,, M ('reek comes from Cerro Bonito range into the Fri<» pans coarse gold. Said £o be rich and good for

ind sluiciriLC P>etween MaMonado and Frio lives Deside- rio Jimene/, a good guide.

19 -

La Tumba, about miles further down, gravel bunks i:> to 20 feet high, on North side of Jalan. 3rd. crossing from Mejia's house. Hydr^Vilic ground.

Quebrada Mojastre, good stream, South side, from Chile mountains, pans yeV, large bar below mouth, about 5j leagues below Guaimaca. Say 26.000 "varas," and 51 .000 "varas" from head of Jalan.

Belen Mine, old mine, East and West vein, dip to North, bounded on North by River Jalan, East by "La Patastera Mine/', South by Chile Grande Mountain, West by the "Que brada Mojastre," carries gold and silver. Shaft 18 feet, 4 feet wide all in ore. (Samples) N.° 6, reddish; N.° 7, blun jabon; N.° 8, rose colored; N.° 9, dark ^ey and bluish.

La Patastera, old mine, reported as being rich in gold, 300 yards up from river, about. Shaft 40 feet deep. Drift from bottom running East, shows 4 feet ore in heading, hard smooth foot wall, could not determine hanging wall. East and West vein.

Samples from heading in sacks N.° 11, N.° 12 to Retiro.

Tracing vein over East ridge samples in sacks N.° 13 and 14.

Lower Patastera, East and West vein about 150 yards below the Patastera. Old shaft 12 feet, with 9 feet drift. Vein in heading over 6 feet. Samples from heading in sacks N.° 17, N.° 18, N.° 19, N.° 20, yelow, red tinted.

Mammoth, large East and West vein or deposit, about 200 yards from river Jalan, South side, enormous outcrop. Samples N.° 15, N.° 16.

(Note. Assays of this "deposit" ran about $8 gold. Mr. Gifford was much interested.)

Barranca Rica (Rich Bank). River h is great fall, banks i nd bars pan coarse gold, famous resort for gold washers, who often come from Guaimaca 6 leagues to waeh gold here. Excellent place to dam or hydraulic.

Here may be said to commence, coarse gold in Jalan and about here ends the Guaimaca Section which has a length of about 12 leagues or 53.000 "varas."

ABOVE GUAIMACA.

Mr. Smith reports on various streams flowing into the Jalan as follows:

"Quebrada del Cnmino R^al de Onca" a little fine gold in some of the banks, very little in the Quebrada.

Quebrada "La Calera," no gold.

Quebrada "El Misoco," no gold.

Quebrada A/acualpi, coarse and fine gol 1, for near one league, there lose gold in main stream and find it going up East branch to hill carted "Nana Julia."

Quebrada "La Mansion,-' in places find "quartz gold" this quebrada heads in hill, "Nana Julia" or Grandmother Julia, reported to be a very rich gold mine, once worked by an old woman named "Julia."

NOT K. I have prospected the "Old Ladys Mine," out good, can trace vein quite a distance, old shaft caved, filled nearly to top. Evidently worked for a rich soft streak, ore or dirt carried down to foot of hill where there is a fine

am of water for I should say 20 stamps, marked on my list for prospecting later on in Olanclio zone.

Higher up the mountain are fine quartz prospects, and a rave of beautiful white marble.

Ir is my opinion that the Guaimaca Section contains en- ormous deposits of gravel carrying fine gold.

From "El Tomat*1' the head of Jalafi to "El Chorro" I do not think there is sufficient "fall" in the River to dam and flume, or room for tailing*, but there is pay gold in many of these banks, and some fine large streams of water coming down from mountains near by having 4.500 feet elevation above sea level, and the "tine gold saver' or Amalgamator will reap a rich harvest. The section h is not been thoroughly prospected. %

The Archeologist \vill be interested in this section, as the vast number of mounds, and finds of pottery marks the site of an ancient city, near the present town.

E. A. BURKE.

Paraiso Section of River Jalan

REPORT

of the Governor of the Department of El Paraiso on River Jalan

To the Supreme Executive Power:

The subscriber Political Governor of the Department of El Paraiso, in compliance with your order of the 27th. of the past month, and conforming to the data which has been fur- nished by persons that merit faith, extend the following

REPORT:

1st. To AVest of the town called "La Puerta'' known as the limit between the Department of Tegucigalpa and El Paraiso, and from this point down the River Jalan as far as the Puerta, we have to reckon about 6 leagues of national land, (surface) and another league of municipal land.

In this tract is to be found a place called "Patastera" crossed by the Jalan River where there is to be found gold washings and several known veins, bearing lead and silver, and also the Quebrada "Los Montones" which is auriferous, and there are places for washing gold in its confluence with the Jalan.

It runs from South to North in national lands, where timber is to be found, and also precious woods of various kinds, on both sides of the river.

2nd. From the Teupasenti village down said river to th« North, there are more or less eight (8) leagues of land private property (surface) and about eight (8) national, until the "Ca nas" which is the lir\iit of the Department of El Paraiso, dividing it from Olancho.

In the same land is comprised one league and a half be- longing to the municipalland of said village.

3rd.— The river and quebradas that go to the Jalan by the North are as follows :

22 -

TheQuebradasChupadora, Colina, Jugilate, San Antonio, El Cacao, El Frijolar, Agua Fria, San Rafael de la Lauguara,

l\\o of them Irive g«»ld although there ere no washing places because their course runs through lands of private property, bat in national lands are to be found the quebrad.-is Carrizo, Agua Fria, La Aguja, Zarcil, Boqueron anfd Lis Cafiitas.

There are no veins of gold or silver in exploitation, but there are washing gold places without excepting the Jalan, whose broad playas (buiks) are well known as auriferous.

EXPLANATIONS I

The Zone (Olancho) pertaining to the Jalan in this De partment, measures indts length from West to East about 25 leagues, in a straight line, and following the course of the said river, which forms a curve, may have about 30 leagues, and from South to North about 10 width, said land in its greatest part is wild, that is why, my opinion is, that if the Govern ment thinks it convenient they should accept the proposition.

Yuscaran, February 24th. 1890. CAYETANO BONILLA, EDUARDO BONILLA,

Governor. Secretary.

NOTE:— The Report indicates the distance from La

Puerta to Teupasenti 7 leagues.

Teupasenti to Canales 16 ,,

Making the Paraiso Section a distance of about. .23 ,, The Guaimaca Section, or Tegucigalpa Depait

ment^ is about 11 ,,

The Olancho Section, from Canales to junction,

about 45 miles or 15 ,,

This would make a total length of about 49 ,,

It is my impression that the distance is over estimated:

Ma yes measured Olancho Section about. . 45 miles. Lazo measured Guaimaca Section about. . 28 ,, To be measured, Paraiso Section, ab^ut. . 30 ,,

Total 103 ,,

I prefer to keep on the safe side ^>y saying from 75 to 90 miles,

E, A. BURKP.

'HIV MR. .IALAN

«

KL PARAISO ol» TKl I'ASKN I I s !•:< I I <

( Translation )

Teupasenti, the lOtli. of February

Hon. Governor of this Department.— Yuscaran.

>

In answer to your two comunications of the :ird. an. I Oth. instant I have the honor to report you as follows:

1st.— The river passing through this village is callnd ,Ja- Ian from "La Puerta" to "Las Canas," limits of its jurisdic- tion between the department of Tegucigalpa and Olancho.

2nd. -From this village up, there is one league of mun- icipal lands and five leagues of national Ian N.

3rd. There are placers or gold washing places on both sides of the river until "Patastera,'' and there are also several mineral veins carrying silver.

4th.— The qnebrada "Los Montones" is very aurifemus and the gold washers exploit it at its confluence with the Ja- Ian river. It runs from South to North in national Ian U

5th. —There are abundant precious and building woods on both sides of the river.

6th.— From this locality down to the North, there is one extension of about seven leagues belonging to the individuals and seven of national lands to "Las Canas'1 limit of the de- partment of Olancho. The seven leagues belon. th* individuals are distributed as follows: <>n<> l^n-ii'- and a half to this Municipality, limited by the property of Mr. Moncada which extends one leagtiH and a half to "Kl lar;" from this point to the "Olingo" th^iv are four l^;i. belonging to M. M. Hojas and Padillas

7th.— The rivers and quebradas which tlowd into th- .la Ian on the same North side areas follows: in the lands of this Municipality, the quebraflas "Chupadero" and "Colirta;" in the properties of Mr. Ramon Moncada are the quebradas "Gnajilote," "San Antonio,- "Ei Cacao" and "Frijolarj1'-

24

in those belonging to M. M. Rojas and Padillas are the quebradas "Aguja," ''San Rafael" and "Guangara,'' the 2nd. and I-ird. dairying gold, but never beer* washed;— in national lands are the quebradas "Carrizo," "Agua Fria," "Zarcii," "Boqueron" and ''Las Caiiitas," all these carry gold in abundance. '

8th.— There is no gold veins in explotntion nor known; but very rich placers, not excepting til** Jalan river, whose wide banks, without any doubt are the focus of unexhaustible richness.

Wh.— From uLas Canas" to South up river there are the following quebradas 'k/apote" and "Cullamapa," which rise in the mountains of* "Olingos" and flow always over na tional lands, both are auriferous and principally the 2nd., which became famous since the last year on account of its rich gold placers which are considered almost as fabulous. The quebradas "Carpules" and "Las Animas" are in the properties of M. M Rojas and Padillas. The quebrada ''Ya nmguara" tlow.s over lands, belonging to this Municipality and to Mr. Ramon Moncada. It is reported that in this que l'iada exibt coal veins The 4'Pava'' flows in municipal lands and "Veiarru/" in lands [t^rraining to Mr. Oamilo T. Duron.

loth.— This Municipality has in thn South side of the river, lands twenty leagues long and seven and a half wide.

The mountains of k'El Pueblo'' and kiEl Chile'' surround this village as well as the "Santa Rosa" mountains which runs toward East when enters in the Department of Olancho.

This is all I can now inform you about the subject you referred to and I have the honor to be, etc., etc.

Sf al of the Municipality of Tcupnscnti.

(Signed) RAMON MONCADA.

Olancho Section, Jalan River

FROM CAftALES TO JUNCTION OF Tin-: (H'AYAl'K

Retire: January 4th. Major E. A. Burke.— NeAV Orleans,

Dear Sir:

As soon as I got well I started for Juticalpa to get money for Barnhart and myself, but, owing to the absence of th^ merchant I was directed to, could not obtain any, and after losing four days in telegraphing, I started for Jalan. I at once started up river in a canoe taking with me a "bat- man and tools, tent, etc, proving and prospecting banks and bars as I went. The river was still deep and T had con- siderable difficulty in getting up stream, having to walk almost all the way over rocks an 1 cutting through brush.

The name Jalan, signifies in Indian dialect, beautiful, and it is indeed a beautiful river. Th-> South side as far as I went is an immense virgin forest mountain, somewhat in- clined to flat, with good aluvium soil extending a distance of forty miles from North to South, and about sixty miles East and West, all national and unoccupied land. A most delightful climate, the temperature at 6"a. m. is 62*, and at 12, 80°, F. The river rises from 900 feet at La Jagua to 1 .'.no feet in 40 miles, and the general height of enclosing moun- tains is from 1.000 to 4.000 feet. It produces everything abundantly, and has plenty of wild cocoa growing near the rivers on the hill sides. It is well watered, has the beautiful valley of La Azacualpa on the South and East side, and the river Jalan on the No^th and West. The river has a general depth at this time of the year of about 8 feet can 1> navigated by pitpans if a few obstacle? are removed.

I prospected the secoild bars as far as I went, rfnd ob- tained generally from 20 to 40 colours a pan or "batea,'? and even 300; much richer than Guayape, and it has scarcely

26

been worked, but seeing the difficulty of ascending the river aud consequent loss of time, and having to look after Minas de Oro, iTreturnad here.

As I could get no reliable information to depend on and having no data to furnish you with I took considerable time and trouble to find out particulars. *

The Jalan mountain is just the place to place a colony, being only occupied by tigers, deer, tapirs, monkeys, pec- caries, wild boars, wild turkey and other game. The river has plenty of fish.

The expenses, as is always the case here, have amounted to much more than I anticipated, owing to the many enter- prises on foot, labour*is both scarce and costly, at least double of what it used to be.

On my return to Comayagua will send you detailed ac count of all expenses, which, though much higher than I ex pected, will meet your approbation, I trust.

Neither Mr. Barnhart nor myself have received any letters from you since you left Honduras, still we trust everything is all right with you.

Yours truly,

EDWARD P. MATES.

OLANCHO SECTION

ENGINEER MAYES' REPORT, WITH MAP

Comayagua: January 17th. 1897. Major E. A. Burke.— New Orleans. Dear Sir:

I commenced sketch survey of River Jalan at La Jagua. In the first twelve miles up river, the ri\ter is about 500 yards wide in parts, running through sand bars, although the stream is only about 100 yards wide generally in the flood season.

"Cbmayagua brook," 8 miles begins to be seen bed rock, and about here are some old workings, which only gave a few colours to the pan.

"Las Tinajas," in miles, is a considerable ll.tt, colours to the pan, but the brooks, Oropenduln^ Paya, Comayagiiela, and UisisiM have occasionally been worked.

"Cajon del Higuerito" is I ccnsiderth^ beginning ()f ,1,.}, part of the river, as from here up more regular work has been done.

"Sara," 17 miles, up to here I invariably obtained fail- results from the bars and brooks, but owing to the amount of sand and depth of river could not calculate its probable worth.

At 20 miles are rich bars and banks, particulary at "Cacao Colorado" an extensive Cocoa plantation; I consider it an extensive and deep placer, and it ought to be at once prospected, the banks of Jobo, Sara, and Tamagacefc being favorable for sluices. Up to Sara the rocks are entirely conglomerate, but from there up is mica schist.

"Pozo de Funes" bar, 22 miles, I tested, and it gave me an average of 30 colours to the pan. This bar has a fall of six feet, and is very favorable for sluicing. It could at once be worked. The gravel consists of moderate sized stones.

At 24 miles is a considerable bar and small island which prospects oO colours the pan. From here up all of the banks and bars are rich, literally full of gold, though generally very fine, still not flour gold;— the natives never work the bars and banks but get down to the centre of the stream to bed rock and obtain very coarse gold by diving under water in the pits in river, but this can only be done during one or two months in the year.

At 29 miles begins "Cajon del Oro Menudo" it is a rocky cannon or narrow part of river about two miles long. It is deep and rapid and dangerous for canoes. * The river has large rocks in the stream and on each side, which no doubt cover up in many parts old river channels, which ought to be rich: above this the river widens, is shallower, and has considerable bars and shallow places, which with good machinery ou^ht to produce excellent results.

"El Mejicano Ford" at about 37 miles commences to be found larger colours in the bars and banks where I tested and it gave me an average of 10 and 20 moderate sized colours to the pan. Mr Barnhart was with me on the last six miles of river sketch. There still remains sixty miles more o'f river to sketch in, Mr. Barnhart promised to continue up river with me, but as it is all foot work, it is rather hard work,

28

The bars are colored yellow, and the banks green, (on map) but the ^shallow parts are every few hundred yards;— ma- chinery can be brought up river mifch easier than on the Guayape, and the river being as yet riot worked, for at least 60 miles up there is every hope of success^.

Just at the end of "Cajon de Oro Menudo" 29 miles, is a small bar ou the S. E. side of river, which I prospected, and it gave me from 100 to 300 colours to the pan on the surface. I consider that no washing should be allowed except you get up some enterprise, as any laborer with a single rocker ought to make good wages. It is only through the fear of snakes and tigers, and the entire absence of population and inaccessibility of river that has kept back the "batea" workers, but once you begin to work, hundreds will flock. I think a census should be asked for and taken of the population who are supposed to work on these first 60 miles, so as to prevent others pretending. At present only about 10 persons down at Sara, and now and then a party above,— the washing taking place above the first 60 miles.

That gold in large quantities exists in the Jalan there is no doubt, but it remains to be seen if it can be profitably worked. In a few months I expect to be able to send you samples of Jalan coarse gold out of bed of river which some women intend washing for me with "batea.'' The river has a much greater fall than Guayape River.

fours truly,

EDWARD P. MAY IN.

P. S. I enclose produce of 2 pans which I obtained at small bar at Cajon del Oro Menudo.

Jalan Cqncession and Contract

EXPLANATION

Contracts were made with the Honduras Syndicate of London, led by Messrs. John Taylor's Sons, Mm : the

Mysore Gold Fields of India, and of tl.v South Al'iirai, ploration and Mining Company (Limited) for preliminary works on the Jalan River Concession, and. based up«,n - factory results, agreements were entered into for tin- formation of about 16 companies, that is to say; the Syndicate \\ have a preference selection of 10 miles, and Sub compani be formed for each succeeding 5 miles, each company to have 30.000 pounds working capital, promoters or undeiuiit. per cent of shares, vendor 40 per cent in shai tee Exhi-

bit F.)

Engineer Henry \Voolcock of Grass Valley. California, was ordered from Peru, arrived in Olancho in January.

Derricks, materials and supplies were ordered from < fornia, roads were made, houses built, plant transported. lumber gotten out, dam constructed, and river put in a thune by April, when washing of top gravel began.

The work had been started too late in the season, as e\ thing should have been ready by Nove'mber. The sj rains came on, a log was carried into the finme carrying away part of it.

The Superintendent was absent when thil cabled to London an exaggerated repoit <.f the , in

dicating that the works were destroyed, by the time here- turned and correct information could be cabl- 1 ;i\ lor's Sons cabled orders to suspend, being of the opinion thut the flood season had set in, and that the ri to justify the expense of repairs.

Mr. Burke cabled a proposal to lease th- irorks, $*J all expenses and pay them a royalty or divide profit*. \vhi»-li accepted.

Burke became dangerously ill in Tegucigalpa, was short of competent men, could only concentrate his work on saving the large works on the Guayape m;r Retiro, when out of danger from his illness, he gave orders for repair of Jalan flume, but in August 25th 1890, the Guayape works were destroyed, and on the following day the telegraph brought news of the destruction of the Jalan flume.

The dam had been anchored to bedrock and remained intact for two years, but Mr. Burke could not take advan tage of this fact, as his resources had been exhausted in Gua yape work, and he had become interested in the Monserrat, Opoteca, and San Marcos properties.

The financial pa^iic which swept down the firm of Bar- ing Brothers, London, panics in Australian and Argentine shares, demoralized the London market, and the rebellion of General Sanchez in Honduras rendered it impossible to float any Honduras mining enterprise in London.

A recent examination of the gravel on the claim shows pay gold.

The Syndicate house built from one large cedar tree, four rooms, is in a good state of preservation, and on arrival of the French Scientific Commission last November the only guardian, a tiger, evacuated the premises.

The expenses connected with these works, as per Mr. Woolcock's statement, were 32.000 "pescs" or say $18.000 gold, including plant, houses, excessive salaries, etc.

The same woik can be done within $ 10.000 gold now.

Results were only reported to Taylor's Sons. The only reports published show from top gravel about 60 cents per cubic yard. Bedrock was not taken up.

It is notorious in the country that the coarse nugget gold was appropriated by employees, ounce nuggets were common, and much larger ones were found.

Mr. \Voolcock was concientious in his work, but frequent- ly absent and it is quite safe to say, Taylor's Sons never received one half of the product of the claim.

My own opinion of the Jalan River Concession is, that the quantity of auriferous gravel is less than in the Guayape Concession, that is to say; the placers are not so extensive, but I believe the gold is coarser, affd the ground very much richer than the Gun yape, especially the Paraiso Section which is famous for nugget gold.

3t

The statements which 1 make over my signature are hased upon documentary evidence and reports, they are subject to examination and verification, and of course, I expect any negotiation effected in respect to these properties to he based upon a confirmation of th-* mit-«rial f.u-ts us sut-d by me, over my signature.

K. A. BURKE,

Tegucigalpa, May 20th. 1897.