Woodchopper Gold Claim | Fay Ranches

W OOD CHOPPER GOLD C LAI M Circle, Alaska $12,500,000 1,418± Acres: 230± Fee Acres | 1,188± Acres of Gold Claims

Photo by NPS Josh Spice

Photo by NPS Yasunori Matsui

Woodchopper Gold Claim | Circle, Alaska

INTRODUCTION The year was 1898. One of the most significant events in Alaska’s history was in full swing, The Klondike-Alaska Gold Rush. The Klondike Gold Rush first began in 1896 when gold was discovered in the Yukon Territory. One of the most prominent areas of the Klondike Gold Rush was the Woodchopper Creek region, located about 200 river miles downstream of Dawson City, the epicenter of the gold rush. Woodchopper Creek was, and still is today, an attractive location for miners due to a significant amount of high-grade gold and other valuable minerals.

This offering, “Woodchopper Creek Gold Claim,” consists of a set of 52 claims representing a total of about 1,418± acres, with 15 of these claims (about 230± acres) patented and the remaining 37 claims (about 1,188± acres) unpatented. Located in the Yukon-Koyukuk Borough between the towns of Circle and Eagle, Alaska, the property is an inholding situated within the Yukon-Charley Rivers National Preserve managed by the US National Park Service (NPS). The property’s 15 patented claims were periodically mined up through the 1980s, whereas the 37 unpatented claims remain undeveloped.

One of the most notable aspects of the Woodchopper Creek Gold Claims is the region’s unique geology. The area is characterized by rugged, mountainous terrain in the heart of the Tintina Gold Belt. Woodchopper Creek Gold Claim is part of the mixed forest/scrub-shrub permafrost ecosystem of interior Alaska. It is comprised of highland, lowland, wetland, and riparian features that support more than forty wildlife species, including black bear, grizzly bear, caribou, Dall sheep, moose, wolf, and wolverine. These species use the property as either full-time or temporary habitat, making the property highly valuable for conservation purposes.

The Yukon River supports three species of salmon at this location – coho, Chinook, and chum. Chinook salmon spawn at the mouth of Woodchopper Creek upstream of its confluence with the Yukon River.

The lack of wildfire damage in this area enhances the value of the relatively pristine character when compared with neighboring landscapes that have suffered wildfire damage in the recent past.

The Woodchopper Creek Gold Claims have a rich history and remain a significant source of precious metals in the Yukon Territory. The region’s unique geology and high-grade ores continue to attract mining operations. The potential for significant profits makes the area desirable for both small and large-scale mining operations. While the area presents many challenges, the rewards for successful mining ventures can be substantial. www.fayranches.com | (800) 238.8616 | info@fayranches.com

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QUICK FACTS • • • • • • • • • • •

15 patented claims (230± acres), and 37 unpatented claims (1,188± acres) Estimated two ounces of gold per hour during last mining operation Location upstream from Circle, Alaska, on the Yukon River – about 60 miles Estimated value of the remaining gold reserves –about $60 million net, according to EASI In 1971 Joseph Vogler of Fairbanks purchased the Woodchopper mining claims and continued mining periodically until his death in 1993 Flight time from Fairbanks is approximately 1:15 minutes in a Cessna 180 Gravel airstrip at the property approximately 2,500-feet; repairs will be needed Private inholding in the Yukon-Charley Rivers National Preserve Woodchopper Creek was reportedly first mined in 1898 with an unusually high gold fineness of 0.933 Historic production on the creek produced some 117,000 ounces of gold or over two hundred million dollars at today’s prices Area wildlife includes caribou, very large moose, marten, lynx, wolverine, black and grizzly bears.

The area’s abundant cliffs are important to Peregrine Falcons

Photo by NPS Ken Hill

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Woodchopper Gold Claim | Circle, Alaska

Photo by NPS Josh Spice

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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AREA HISTORY Alaska’s Woodchopper Creek on the Upper Yukon River got its name because the area served as a refueling stop for paddlewheel steamboats as they moved up and down the river. Early residents cut and stacked wood at the confluence of the creek and river to earn much-needed cash. Woodchopper Creek has a rich history steeped in the lure of the riches of gold. During the Klondike-Alaska Gold Rush of 1898, miners that arrived too late to stake claims on the Canadian side of the border moved over to the Woodchopper Creek area of Alaska. The Alaska gold rush then shifted to the creek’s mineral deposits as prospectors began searching for placer gold.

In the early days, using picks, shovels, and primitive sluice boxes, miners washed as much gravel as they could manage during short summers. During the winter, they sunk mining shafts along the creeks to reach bedrock and found the thin layer of gold dust and nuggets called a paystreak. By 1906 eighteen men were mining on seven claims on the creek and its tributaries.

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Woodchopper Gold Claim | Circle, Alaska

Photo courtesy of t he Dick Becker Family

Photo courtesy of t he Dick Becker Family

Most of the work was done by hand, but one small hydraulic plant was used to blast away at creek-side gravel with pressurized water, and three steam hoists were used to lift buckets of gravel out of mining shafts. In 1935 the Canadian investor General Alexander McRae was scouting for locations for mining on an industrial scale, and with the help of Ernest Patty of the Alaska School of Mines, he selected both Coal Creek and Woodchopper Creek.

Soon the price of gold went on the rise, and McRae’s enormous dredges were doing the work of hundreds of men. By operating non-stop under the midnight sun, McRae’s company, Alluvial Golds, Inc., was processing 3,000 cubic yards of gravel every day and made relatively poor ground pay well.

The dredge at Woodchopper Creek operated until 1960, when diminishing returns and high operating costs spelled the end of an era. Private interests used the dredge in 1962, and by 1971 Joseph Vogler of Fairbanks purchased the Woodchopper mining claims and continued mining periodically until his death in 1993. www.fayranches.com | (800) 238.8616 | info@fayranches.com

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Woodchopper Gold Claim | Circle, Alaska

Today the patented claims along Woodchopper Creek exist as a private inholding within Yukon-Charley Rivers National Preserve. The dredge and mining camps are ‘reminders of the ingenuity and grit of placer miners’ along the Yukon River. The Yukon-Charley Rivers National Preserve was created in part to preserve the history of the Klondike-Alaska Gold Rush and gold mining in the region. Between Eagle and Circle, along the Yukon River, visitors can view evidence of past gold mining.

Mining camps with their primitive log cabins and tools of the trade, including sluice boxes, tailings piles, hydraulic pipe, steam boilers, drilling rigs, and earth-moving equipment, dot the riverbanks. From the air over Coal Creek and Woodchopper Creek, one can also see the gold dredges with their neatly piled tailings, telltale signs of past dredge mining operations. These relics of the Klondike-Alaska Gold Rush serve as reminders of an era past and the power of mining to transform the landscape. ~Historic photos courtesy of t he Dick Becker Family

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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ACREAGE •

1,418± Total Acres: • 230± Fee Acres • 1,188± Acres of Gold Claims Photo by NPS Josh Spice

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Woodchopper Gold Claim | Circle, Alaska

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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RECREATION

Photo by NPS Dylan Schertz

W ildlife • • • • • • • • • • • • • • • • •

Grizzly and black bear Moose Wolf Wolverine Dall sheep Caribou Lynx American martin American mink Muskrat Porcupine Bald eagle Sandhill crane Northern goshawk Ruffled grouse Osprey Ptarmigan

Photo by NPS

Photo by NPS Jacob Frank

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Woodchopper Gold Claim | Circle, Alaska

Photo by NPS

F ishing • • • • • •

Chinook, silver, pink and red salmon Northern pike Burbot Arctic grayling Whitefish She fish

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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INCOME OPPORTUNITY • • • •

Eco Tourism Gold Mine Tourism Conservation Mitigation Gold Mining

In 1990, geologist Paul A. Metz wrote that ‘dredging on Woodchopper Creek accounted for the majority of the past gold production of 117,564 troy ounces...’ Data released by the Alaska Gold Company from its past dredging operations (at the creek) indicates that the bucket line dredges on the average recovered 90% of the contained free gold in the processed gravels.

These reports collectively portray Woodchopper Creek as a well-known source of precious metals and for the presence of other recoverable metals, including tungsten, tin, iron, and rare earths.

Rare Earths at Woodchopper Creek Rare earths are 17 metallic elements identified in the middle of the periodic table as atomic numbers 21, 39, and 57–71. These metals have unusual fluorescent, conductive, and magnetic properties, which make them very useful when mixed in small quantities with more common metals such as iron. The “rare” in rare-earth elements is a historical misnomer. The U.S. Geological Survey finds that many rareearth elements are as common as other industrial metals, such as chromium, nickel, tungsten, or lead.

Even the two least abundant rare-earth elements (thulium and lutetium) are nearly 200 times more common than gold. These elements are labeled “rare” because, in contrast with other metals, rare earths do not often concentrate in exploitable ore deposits. Consequently, most rare earths come from a small number of sources.

As an example of their many beneficial characteristics, rare-earth batteries offer greater energy density, better discharge characteristics, and fewer environmental problems upon disposal. High-strength rareearth magnets have allowed numerous electronic components used in appliances, audio and video equipment, computers, vehicles, communication systems, and military gear to be miniaturized. Fiberoptic cables that use erbium can transmit signals over long distances because the erbium amplifies the signal.

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Woodchopper Gold Claim | Circle, Alaska

Over the past 20 years, China has gained control of about 97% of the world’s rare earths either through territorial control or possession of exclusive mining rights. Competitive nations such as China have learned to use rare earths as an economic and political bargaining chip on the international stage. This has placed rare earth-poor nations, including the U.S., at a disadvantage. To the extent that new domestic supplies can be developed, including those at Woodchopper Creek, international tensions would be eased, and national security would be improved.

Mineral Value of Unpatented Claims In 1990 Joe Vogler hired consulting mineral geologist Paul A. Metz to study and report on the extent of gold ore reserves contained in the 52 claims. He also asked Metz to predict the market value of recoverable gold deposits. Metz’s unpublished report presents an in-depth assessment of recoverable gold in both the unpatented claims and in the tailings left over from the mining of the patented claims.

His report concludes with these statements: Conclusion This economic analysis of t he Woodchopper Creek placer gold property reveals t hat significant values of indicated and inferred reserves of modern alluvial placers are present. In addition, t here exists a high potential for t he discovery of paleoplacer reserves t hat can be mined by conventional placer mining met hods. The existing dredge tailings also have considerable value for road construction in t he Yukon-Charley Rivers National Preserve.

Utilization of t hese tailings would not result in increased disturbance to t he land surface or to ot her stream bed sources. The total estimated market value of t he proper is $8,141,348.

Of interest, Metz’s market value is based on a market price for gold of $350 per troy ounce, while the real price in mid-1990 was over $750 per ounce (Figure 10). Why would Metz not draw on the actual market price? Perhaps he wanted his estimations to be seen in a conservative light; his report is riddled with such language. But one might wonder how Joe Vogler would have reacted if Metz had reported a market value of $17M for Woodchopper Creek gold instead of $8M – which is how the $750 value would have translated in Metz’s report.

Source: EASI report dated July/August 2022

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CLIMATE

Climate data courtesy of http://www.city-data.com/city/Circle-Alaska.html

The most pleasant months of the year for Eagle, Alaska, are July and August, with high temperatures in the range of 70-75 degrees and winter lows (January) around -24 degrees. There are about 12 inches of rain, 61 inches of snow, and 154 sunny days on average per year.

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Woodchopper Gold Claim | Circle, Alaska

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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MINERAL RIGHTS Photo by NPS

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Woodchopper Gold Claim | Circle, Alaska

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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Photo by NPS Greg Kinman

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Woodchopper Gold Claim | Circle, Alaska

CONSERVATION | STEWARDSHIP Each of us at Fay Ranches loves the land and wants to see it remain a productive agricultural ground and a quality fish and wildlife habitat. Through promoting thoughtful land stewardship, Fay Ranches has guided owners toward a legacy of conserving wide-open spaces, enhancing and creating fisheries and wildlife habitats, and implementing sustainable agricultural operations. Fay Ranches is proud to say that since our company began in 1992, our clients’ conservation ethics and land-use practices have significantly enhanced our work landscape.

Photo by NPS Matt Cameron

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LOCATION Woodchopper Creek, a tributary of the upper Yukon River, part of the Yukon-Koyukuk Borough between the towns of Circle and Eagle, Alaska: 65.2947°N 143.4117°W. The Property is an inholding situated within the Yukon-Charley National Rivers Preserve managed by the US National Park Service (NPS).

The Property is located in the upper Yukon River basin in east-central Alaska about 70 miles west of the Canadian border. It is an uplands area of low-to-moderate size hills and mountains formed by an eastwest trending fault zone located at the northern base of the Alaska Range. The nearest population center is Circle, Alaska, a town having just over 100 full-time residents as of the 2010 census, which lies about 60 miles downriver from the property to the north-northwest.

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Woodchopper Gold Claim | Circle, Alaska

GETTING THERE The Woodchopper Creek Gold Claim property is approximately 60 miles upstream from Circle, Alaska.

Traveling 162 miles northeast of Fairbanks, Circle (population 100) is located at the end of the Steese Highway on the south bank of the Yukon River, 14 miles downriver from the Yukon-Charley Rivers National Preserve. Access to the preserve via Circle is one of only two road-based options available.

AIRPORT SERVICES Fairbanks International Airport is approximately 134 miles west of Circle, Alaska. Circle, Alaska, has a 2,500-foot by 60-foot gravel surface runway. www.fayranches.com | (800) 238.8616 | info@fayranches.com

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Woodchopper Gold Claim | Circle, Alaska

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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Woodchopper Gold Claim | Circle, Alaska

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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SUMMARY Woodchopper Gold Claim consists of approximately 230± acres of fee lands and approximately 1,188± acres of mineral rights only gold claims in the biodiverse Yukon Charlie National Preserve interspersed with mineral-rich mining claims (‘claim-acres,’ aka ‘the property’). The ownership includes both patented and unpatented claim-acres along Woodchopper Creek, a tributary of the upper Yukon River, part of the Yukon-Koyukuk Borough between the towns of Circle and Eagle, Alaska; 65.2947°N 143.4117°W. The property is an inholding situated within the Yukon-Charley National Rivers Preserve managed by the US National Park Service (NPS). The property’s 15 patented claims (230± acres) were periodically mined up through the 1980s, whereas the 37 unpatented claims (1,188± acres) remain undeveloped.

The EASI appraisal describes an estimated $52 million net in recoverable gold deposits present in both the patented and unpatented mining claims reflecting a market value of gold at $1,800 per troy ounce (‘tr oz’).

Photo by NSP Josh Spice

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Woodchopper Gold Claim | Circle, Alaska

Photo by NSP Josh Spice

The report instead shows that ecological uplift might be called for if future mining were to be pursued on the unpatented claims. A probabilistic road map (PRM) plan embracing ecological uplift of the mined, patented claims alongside minimum impact, eco-conscious mineral development of the unpatented claims might be the most attractive option. Such a plan would have to contend with unofficial but de facto wilderness designation for the surrounding preserve. But with rigorous commitments to the protection of air and water quality, biodiversity, and effective waste management, mining permits may be granted.

Given the location of the property within the National Preserve and given the unique ‘island ecosystem’ features of the intact watershed, the property has become an acquisition target of private mining companies, federal agencies as well as non-profit organizations. Some have emphasized mining, while others have emphasized conservation. www.fayranches.com | (800) 238.8616 | info@fayranches.com

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PRICE $12,500,000

TERMS Negotiable

CONTACT This is an exclusive co-listing with Fay Ranches, Inc and Top Shelf Realty, LLC. Please contact Troy Dana at (360) 402-5500 | tdana@fayranches.com or Yvan Corbin at (907) 301-0875 | yvan@topshelfrealty. com to schedule a showing. An agent from Fay Ranches or Top Shelf Realty LLC must be present at all showings unless otherwise noted or other arrangements are made. To view other properties, fly fishing properties, and sporting ranches that we have listed, please visit our web page at www.fayranches.com.

NOTICE Offer is subject to errors, omissions, prior sale, change or withdrawal without notice, and approval of purchase by owner. Information regarding land classification, carrying capacities, maps, etc., is intended only as a general guideline and has been provided by the owners and other sources deemed reliable, but the accuracy cannot be guaranteed. Prospective purchasers are encouraged to research the information to their own satisfaction.

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Woodchopper Gold Claim | Circle, Alaska

www.fayranches.com | (800) 238.8616 | info@fayranches.com

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TROY DANA Fay Ranches, Inc. Designated Broker Licensed in: WA, AK c. 360-402-5500 tdana@fayranches.com

FAY RANCHES INC. (800) 238.8616 info@fayranches.com www.fayranches.com

YVAN CORBIN Top Shelf Realty, LLC. Licensee Licensed in: AK c. 907-301-0875 yvan@topshelfrealty.com