On the morning of January 24, 1848 Marshall was fetching water for his new-built water-powered sawmill by the river when he suddenly saw gold flakes in the water.
He later said:
“
I picked up one or two pieces and examined them attentively; and having some general knowledge of minerals, I could not call to mind more than two which in any way resembled this, sulphuret of iron, very bright and brittle; and gold, bright, yet malleable.
I then tried it between two rocks, and found that it could be beaten into a different shape, but not broken.
I then collected four or five pieces and went up to Mr. Scott (who was working at the carpenters bench making the mill wheel) with the pieces in my hand and said, "I have found it."

"What is it?"
inquired Scott.

 
"Gold," I answered.


"Oh!
no," replied Scott, "That can't be."


I said,--"I know it to be nothing else."

”
On the morning of January 24, 1848 Marshall was fetching water for his new-built water-powered sawmill by the river when he suddenly saw gold flakes in the water. He later said:
“
I picked up one or two pieces and examined them attentively; and having some general knowledge of minerals, I could not call to mind more than two which in any way resembled this, sulphuret of iron, very bright and brittle; and gold, bright, yet malleable. I then tried it between two rocks, and found that it could be beaten into a different shape, but not broken. I then collected four or five pieces and went up to Mr. Scott (who was working at the carpenters bench making the mill wheel) with the pieces in my hand and said, "I have found it."
"What is it?" inquired Scott.
 
"Gold," I answered.

"Oh! no," replied Scott, "That can't be."

I said,--"I know it to be nothing else."
”
James Wilson Marshall