The original source of Korean gold may be found in the quartz veins, which, in the case of the American mines, is alleged to give exceptionally rich returns. The alluvial deposits, brought down from the veins in the mountain-ridges, have been freely worked by Koreans; and when more scientifically treated the yield is satisfactory. The schotter sediments, in the case of the Tong-ko-kai mines, attained a maximum of seventy-five feet in depth, a thickness of sedimentary matter some fifty feet in excess of the usual formation. The concession was granted in 1898. Under it powers were given to a German company to select a place twenty miles long and thirteen miles wide, within two years from the date of signing the contract, for the purpose of working all minerals during a space of twenty-five years, with an annual payment to the Korean Government of twenty-five per cent. on the net profits. The revenues received from these contracts belong to the Imperial Household, passing directly into the private purse of the Sovereign. In the case of the English syndicate, the percentage was compounded for a sum of £20,000 and an annual payment of a further £2000. The site, which the Germans selected for their concession, was, at the moment when they assumed control over the areas, the centre of extensive alluvial workings. The native miners strongly objected to the innovation, and prepared to resist the rights of the German company by force. In the end, however, their hostility was overcome by granting them twelve months’ additional occupation of their works, and, when Herr Bauer assumed charge as administrative engineer, opposition was already at an end. The district is covered with the remains of old workings in the schotter of the river-bed; they are also to be found in a few places in the quartz upon the mountain side. In the absence of the requisite machinery, work upon the concession was necessarily disorganised. Eventually the concession was abandoned, close investigation failing to disclose its possession of any very remunerative qualities. At the time of its withdrawal, the company employed nine Europeans, thirteen Japanese and Chinese, and some three hundred Koreans.