<<<In the Mother Lode, many mine shafts have filled up with water, adding to the environmental issues. And the partial urbanization of the region creates local opposition.
"If you are near civilization, it is difficult," said John Parrish, the state geologist.
Parrish said it can take seven to 10 years to assemble the needed permits for mining in California.
Emgold Mining has been working on the Grass Valley proposal since 2003. And still the hurdles are considerable.
Emgold is a "junior mining company," meaning it has no active operations. Although it raised $1.75 million in new loans last month, it has warned investors about its troubles obtaining the capital it needs to complete the permit process.
"We've been hit with the recession, just like everybody else," said Chief Executive David Watkinson. "Even with the high price of gold, you'll find junior mining companies are struggling to find money."
Watkinson said mining would create 400 jobs in Grass Valley. He said he's encouraged that the project won support of 72 percent of Grass Valley residents in a survey conducted four years ago by the city.
But there is opposition. Critics say the project would create environmental hazards and hurt the quirky character of Grass Valley.
"We feel the real gold is the wonderful environment," said Ralph Silberstein, a software consultant and president of CLAIM, or Citizens Looking at Impacts of Mining.
Similar issues swirl around the Sutter Gold plan.
Some residents worry about potential noise and traffic problems. They also complain that a resumption of actual mining would mean the end of the daily tours of Sutter Gold's mine, which is one of the area's top tourist attractions.
While Sutter Gold officials acknowledge they'd have to close the tours, they insist that commercial mining can peacefully coexist with the area's tourist trade.
Some merchants say Sutter Gold deserves a shot.
"The area was founded based on gold mining," said Scott Harvey, a prominent Napa and Amador County winemaker who operates a tasting room in Sutter Creek. "It's kind of hypocritical to deny somebody the ability to run a mine."
"The landscape of the community has changed. When it was an operating mine … it was pretty much in the middle of nowhere. The community has grown around it."
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