BEALS, J. -- For some time prior to January 1, 1938, Azurite Gold Company, a Washington corporation (hereinafter referred to as Azurite), held under location notices a group of unpatented mining claims in the Slate creek mining district, situated in the eastern portion of Whatcom county, American Smelting and Refining Company, a New Jersey corporation (hereinafter referred to as the Refining Co.), holding the claims under an operating lease.