Lake Valley, New Mexico – Silver Mining Heydays
Nestled in the rugged landscape of southern New Mexico, lies a testament to the ephemeral boom-and-bust cycles that characterized the American West: Lake Valley. This ghost town, now carefully preserved by the Bureau of Land Management (BLM), whispers tales of silver strikes, daring entrepreneurs, Apache skirmishes, and the hardscrabble lives of those who sought fortune in the late 19th century. The story of Lake Valley is a microcosm of the broader narrative of the Western mining era, a period marked by both immense wealth and devastating loss.
The genesis of Lake Valley can be traced back to 1878, when cowboy prospector George W. Lufkin stumbled upon silver ore in the area. Simultaneously, rancher Lou McEvers made a similar discovery on his own property. These initial finds sparked a flurry of activity, as prospectors and entrepreneurs rushed to file claims, drawn by the promise of riches hidden beneath the arid soil. This marked the humble beginnings of what would soon become a bustling mining camp.
In 1880, McEvers made a pivotal decision, selling his ranch and mining interests to John Miller, a local storekeeper. Miller’s foray into mining proved less than successful, leading him to sell some of his claims to a group of investors. This transaction set the stage for a dramatic turn of events that would propel Lake Valley into the spotlight.
These investors, recognizing the potential of the area, hired men to sink a shaft. At a depth of approximately 40 feet, they struck a rich vein of silver ore. News of this discovery spread like wildfire, attracting the attention of George D. Roberts and J. Whitaker Wright, two mining stock promoters. Sensing an opportunity, they dispatched George Daly to evaluate the lode in February 1881, hoping to capitalize on the find through stock promotion.
Daly’s assessment was overwhelmingly positive. Impressed by the site’s potential, he purchased all eight mining claims along the outcrop. In April, J. Whitaker Wright joined Daly, and together they acquired eight more claims. This marked the beginning of a large-scale operation. The duo then journeyed to New York, where they partnered with George D. Roberts to establish four mining companies. These companies were collectively managed by the Sierra Grande Silver Mining Company, headquartered in Lake Valley. To further enhance their credibility, they enticed Edward D. Cope, a renowned American paleontologist, to invest in the project and assume the role of President of the Sierra Apache Mining Company, as well as an officer in the other three companies. With these arrangements in place, they aggressively marketed stock in the silver mines to investors, hoping to capitalize on the silver boom.
The summer of 1881 brought both opportunity and peril to Lake Valley. While Daly was busy overseeing the commencement of mining operations, the region was also being targeted by raiding parties of Chiricahua Apache, led by the formidable, albeit elderly, War Leader Nana. Despite being in his eighties, Nana remained a force to be reckoned with, leading his warriors in raids on ranches and mining camps, engaging in numerous skirmishes with the U.S. Army.
The violence reached a breaking point when a local rancher returned home on August 17, 1881, to discover his home burned to the ground and his wife and children missing. Though his family was later found safe, having hidden from the Apache, the incident galvanized the community. A civilian posse was formed, determined to pursue the Apache raiders. Lieutenant George Washington Smith, commander of the local Buffalo Soldiers of the 9th Cavalry, attempted to dissuade the posse, but their resolve was unwavering. Reluctantly, Lieutenant Smith and a contingent of 15-20 of his men joined the pursuit.
On the morning of August 19th, the posse tracked the Apache into a canyon approximately ten miles west of Lake Valley. There, they were ambushed by Nana and his warriors. Both Daly and Lieutenant Smith were killed in the initial volley, and several miners were wounded. Sergeant Brent Woods assumed command, leading the remaining soldiers and civilians in a six-hour battle. The encounter resulted in the deaths of at least four soldiers. Eventually, Nana and his band withdrew, and the battered posse returned to Lake Valley with their dead and wounded. Some of those wounded later succumbed to their injuries.
Amidst the tragedy and turmoil, a remarkable discovery was made. On the very day the posse returned to camp, John Leavitt, who had leased a claim owned by Daly’s company, unearthed a vast subterranean chamber filled with silver ore. This chamber would later be known as the "Bridal Chamber," a name that would become synonymous with the riches of Lake Valley.
Leavitt promptly sold his lease to the Sierra Grande Company, and mining operations commenced in earnest. The ore assayed at an astonishing $15,000 or more per ton, leading the stock promoters to declare it the richest silver mine ever discovered. They capitalized on this claim, selling five million dollars worth of stock in their Lake Valley mining companies. In the initial months alone, over a million dollars in silver was extracted from the Bridal Chamber, and the Sierra Grande Company was distributing $100,000 per month in dividends.
As the mines flourished, so did the town of Lake Valley, named after a small lake in the area that has since dried up. The town rapidly grew, becoming a hub of mining activity, boasting stamp mills, smelting works, and various other mining operations. Alongside the industrial infrastructure, the town also developed a social fabric, with the construction of three churches, a school, two newspapers, numerous retail businesses, and, of course, the ubiquitous saloons.
The population of the town reached its peak at approximately 1000 residents. Initially, water had to be transported from a well located about a mile away. Later, a pump and pipeline were constructed to draw water from the lake, providing a more reliable water source.
However, the prosperity of the Sierra Grande Company proved to be short-lived. Just a year after the discovery of the Bridal Chamber, problems began to surface. George D. Roberts, one of the co-owners, developed a reputation for fraudulent mining stock promotions, which negatively impacted the sale of Lake Valley stock. He eventually sold his share of the company to J. Whitaker Wright. Furthermore, the rich ore of the Bridal Chamber began to deplete, causing the Sierra Grande’s profits to dwindle as quickly as they had surged.
Despite the looming financial troubles, the town continued to develop, although it also gained a reputation for lawlessness. Cattle rustling and stage robberies were rampant in the area. In 1882, Timothy "Long Hair" Jim Courtright, a gunfighter and lawman, was hired as the town marshal. However, he returned to Texas within a year, where he would later be killed in a gunfight with Luke Short, another well-known gunfighter.
By February 1883, the cattle rustling situation had deteriorated to the point that the Territorial Governor ordered the Territorial Militia to intervene. The 1st Regiment of the Territorial Militia in Las Cruces, led by Major Albert Fountain, began to raid butcher shops and actively pursue cattle rustlers in the Lake Valley area.
The silver-laden Bridal Chamber mine was exhausted by 1883, and in August, the Sierra Grande Company ceased its management of operations in the Lake Valley area.
The Bridal Chamber alone yielded $2,775,000 in ore, but Sierra Grande shareholders suffered financial losses. J. Whitaker Wright, the owner, became a multi-millionaire through mining stock promotion, but he was later convicted of stock fraud in a London Court in 1902 and committed suicide in the courtroom. Daly, who had been killed by Apache Indians, was returned to Lake Valley on the day the Bridal Chamber was discovered. Edward D. Cope, the President and paleontologist, lost a significant portion of his fortune and was forced to sell his fossil collection, which later became part of the American Museum of Natural History’s collection. George W. Lufkin, one of the original discoverers of silver in the area, died penniless and is buried in the Lake Valley cemetery.
Although the "original" Sierra Grande Company went out of business, other mines continued to be worked in the area. In 1884, the Santa Fe Railroad constructed a spur line to Lake Valley. The Sierra Grande Company was taken over by new management, and their mines were reopened. However, the golden age of Lake Valley was over. Mining operations continued until 1893, when the implementation of the gold standard caused silver prices to plummet, leading to the closure of the mines once again. The region had produced over five million dollars in silver over the years, but the high costs of equipment and labor prevented any of the mines from becoming wildly profitable. The mining companies then leased the claims to individuals who continued to work them on a small scale for several years. To compound the problems, a fire destroyed most of Lake Valley‘s Main Street in 1895, and it was never rebuilt.
By 1900, the population of Lake Valley had dwindled to less than 200, but it remained a supply center for local ranchers and the few remaining miners. In that same year, Lucius Fisher won the majority of the mining property in a poker game in Denver, Colorado. Fisher attempted to restart large-scale mining operations but abandoned the effort within a few years. The Great Depression further reduced the town’s population, and when the railroad spur was closed in the 1930s, it declined further. During World War II, some mines were reopened to produce manganese, but this revival was short-lived. By the 1950s, only about 20 people remained in the dying settlement. The post office closed permanently in 1955. The last resident of the town moved out in 1994, leaving Lake Valley a true ghost town.
Today, most of the property is owned by the Bureau of Land Management and is located along the Lake Valley Scenic Byway. Preservation efforts have been made to the old site, which still features a number of buildings. The site is maintained by local caretakers and is open Thursdays through Mondays. Self-guided tours are available, beginning at the old schoolhouse. Some properties, located beyond a fence, are private and cannot be visited. The nearby Lake Valley Cemetery is also open for tours.
Lake Valley is located on New Mexico State Highway 27, approximately 15 miles south of Hillsboro, New Mexico.
Contact Information:
Bureau of Land Management
Las Cruces District Office
1800 Marquess Street
Las Cruces, New Mexico 88005
575-525-5400