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<br /> <br />sample, and would not divulge the full extent of his so-called <br />"proprietar}• process," meaning some process or methodology as <br />part of his testing process. Essentially, Pene could not be <br />cross-examined as to the validity or trustworthiness of his <br />sampling or testing process. In fact, Pene testified that no one <br />else was using his process to his knowledge. <br />Wayne Irwin was presented with what he described as a <br />fairly small sample of concentrated black sand furnished to him <br />by Marion Shaw. Irwin testified he did not know how big the <br />original sample was, but the sample presented to him was 15 grams <br />which he believed was adequate. Unlike Pene, Irwin claims no <br />secret proprietary process and described in detail his process <br />which resulted in the production of a dory bead which he gave to <br />Marion Shaw. Irwin expressed [he opinion based on his assay <br />results that there could be commercial value to this black sand <br />deposit depending upon how much head ore was needed to obtain <br />that sample. Irwin testified if you needed to run as much as ten <br />dump trucks of head ore, then it would not be economically <br />feasible. <br />Irwin testified he was knowledgeable in the general <br />area concerning mining operations and testified he was not aware <br />of any ongoing economically feasible mining operations on the <br />western slope or in the San Miguel River Basin. He testified it <br />takes two to three years to even get a permit and only knows of <br />one active permit which has been issued for extraction for value. <br />Irwin testified that 95 percent of the companies in the past have <br />gone broke primarily because of the fineness of the gold, al- <br />though newer technology within the last three [o four years is <br />making [he process more economically feasible, but right now the <br />price of gold is not high enough to justify this type of mining <br />operations, but that if gold rose to the level of 5500 per ounce <br />(currently 5385) a lot of activity would be spurred. <br />The Court also heard testimony from Mike Kephart from <br />Grand Junction Laboratories as to his testing and assay performed <br />on samples gathered by Mr. Wood of Lampert and Associates. This <br />testing procedure and sampling process appears to be the only <br />outside objective sampling done. Mr. Wood testified as to his <br />experience in obtaining soil samples as part of his job and that <br />his methodology in gathering the samples was a commonly accepted <br />method for subsequent testing. <br />Mr. Kephart performed the assay on those materials <br />gathered by Mr. Wood. Like Mr. Irwin, this was a fire assay, <br />which is the standard in the industry. According to the testimo- <br />ny of Mr. Kephart and Defendant/Intervenor's Exhibit 1, the . <br />quantities of gold and silver contained in the sand and gravel <br />and so-called black sand were not present in commercially viable <br />quantities to make extraction worthwhile. <br />9 <br />