In January 1848, James Marshall was inspecting the building of a saw mill for his boss, when he noticed an unusual rock glinting in the upturned soil.

He was not certain whether it was gold or not and did not want to get people’s aspirations up. So Marshall tried to break the yellow rock with a hammer. It did not split, but it did dent. just like gold would. The woman who was cooking meals for the saw mill construction crew, tried another test by boiling the rock in lye.

They boiled it all day, but it did not change colour. So, they passed the rock over to the mill’s owner, Mr. John Sutter, who also conducted a few tests. Eventually, everyone agreed that this rock was indeed gold.

It seems that the Sierra Nevada Mountains held huge hordes of gold, but that over tens of thousands of years, erosion had loosened up gold nuggets and the mountain streams flushed them down to the bottom of the mountains. Sutter’s property was situated between two rivers and so was likely to generate great wealth.

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