Gold Rush

A gold rush or gold fever is a discovery of gold—sometimes accompanied by other precious metals and rare-earth minerals—that brings an onrush of miners seeking their fortune. Major gold rushes took place in the 19th century in Australia, New Zealand, Brazil, Chile, South Africa, the United States, and Canada while smaller gold rushes took place elsewhere.

In the 19th century, the wealth that resulted was distributed widely because of reduced migration costs and low barriers to entry. While gold mining itself proved unprofitable for most diggers and mine owners, some people made large fortunes, and merchants and transportation facilities made large profits. The resulting increase in the world's gold supply stimulated global trade and investment. Historians have written extensively about the mass migration, trade, colonization, and environmental history associated with gold rushes.

Gold rushes were typically marked by a general buoyant feeling of a "free-for-all" in income mobility, in which any single individual might become abundantly wealthy almost instantly, as expressed in the California Dream.

Gold rushes helped spur waves of immigration that often led to the permanent settlement of new regions. Activities propelled by gold rushes define significant aspects of the culture of the Australian and North American frontiers. At a time when the world's money supply was based on gold, the newly-mined gold provided economic stimulus far beyond the goldfields, feeding into local and wider economic booms.

Gold rushes occurred as early as the times of the Roman Empire, whose gold mining was described by Diodorus Siculus and Pliny the Elder, and probably further back to ancient Egypt.

Life cycle

Within each mining rush there is typically a transition through progressively higher capital expenditures, larger organizations, and more specialized knowledge. They may also progress from high-unit value to lower-unit value minerals (from gold to silver to base metals).

A rush typically begins with the discovery of placer gold made by an individual. At first the gold may be washed from the sand and gravel by individual miners with little training, using a gold pan or similar simple instrument. Once it is clear that the volume of gold-bearing sediment is larger than a few cubic metres, the placer miners will build rockers or sluice boxes, with which a small group can wash gold from the sediment many times faster than using gold pans. Winning the gold in this manner requires almost no capital investment, only a simple pan or equipment that may be built on the spot, and only simple organisation. The low investment, the high value per unit weight of gold, and the ability of gold dust and gold nuggets to serve as a medium of exchange, allow placer gold rushes to occur even in remote locations.

After the sluice-box stage, placer mining may become increasingly large scale, requiring larger organisations and higher capital expenditures. Small claims owned and mined by individuals may need to be merged into larger tracts. Difficult-to-reach placer deposits may be mined by tunnels. Water may be diverted by dams and canals to placer mine active river beds or to deliver water needed to wash dry placers. The more advanced techniques of ground sluicing, hydraulic mining and dredging may be used.

Typically the heyday of a placer gold rush would last only a few years. The free gold supply in stream beds would become depleted somewhat quickly, and the initial phase would be followed by prospecting for veins of lode gold that were the original source of the placer gold. Hard rock mining, like placer mining, may evolve from low capital investment and simple technology to progressively higher capital and technology. The surface outcrop of a gold-bearing vein may be oxidized, so that the gold occurs as native gold, and the ore needs only to be crushed and washed (free milling ore). The first miners may at first build a simple arrastra to crush their ore; later, they may build stamp mills to crush ore at greater speed. As the miners venture downwards, they may find that the deeper part of vein contains gold locked in sulfide or telluride minerals, which will require smelting. If the ore is still sufficiently rich, it may be worth shipping to a distant smelter (direct shipping ore). Lower-grade ore may require on-site treatment to either recover the gold or to produce a concentrate sufficiently rich for transport to the smelter. As the district turns to lower-grade ore, the mining may change from underground mining to large open-pit mining.

Many silver rushes followed upon gold rushes. As transportation and infrastructure improve, the focus may change progressively from gold to silver to base metals. In this way, Leadville, Colorado started as a placer gold discovery, achieved fame as a silver-mining district, then relied on lead and zinc in its later days. Butte, Montana began mining placer gold, then became a silver-mining district, then became for a time the world's largest copper producer.

By region

Australia and New Zealand

Various gold rushes occurred in Australia over the second half of the 19th century. The most significant of these, although not the only ones, were the New South Wales gold rush and Victorian gold rush in 1851, and the Western Australian gold rushes of the 1890s. They were highly significant to their respective colonies' political and economic development as they brought many immigrants, and promoted massive government spending on infrastructure to support the new arrivals who came looking for gold. While some found their fortune, those who did not often remained in the colonies and took advantage of extremely liberal land laws to take up farming.

Gold rushes happened at or around:

In New Zealand the Central Otago Gold Rush from 1861 attracted prospectors from the California Gold Rush and the Victorian Gold Rush and many moved on to the West Coast Gold Rush from 1864.

North America

The first significant gold rush in the United States was in Cabarrus County, North Carolina