Schutz' next venture, however, was a financial disaster. In January 1577 Schutz assisted
Giovanni Battista Agnello, a
Venetian then living in London, in the assaying of a black stone which had been picked up lying loose on the surface of
Hall's Island by Robert Garrard during
Sir Martin Frobisher's first voyage to the
Canadian Arctic in search of the
Northwest Passage. Agnello's claim that the stone was gold-bearing (apparently confirmed or at least accepted by Schutz) caused government officials to authorise a second voyage by Frobisher to
Baffin Island. Schutz accompanied Frobisher's ships to
Meta Incognita, where he is said to have found a 'great ruby stone' which Frobisher promised to present to the
Queen in Schutz's name, but which was apparently not heard of again after it came into Frobisher's hands. In August 1577 Schutz, Robert Denham and Gregory Bona, in a brick-lined furnace built for the purpose, assayed black ore mine at the Countess of Warwick's Island, (now
Kodlunarn Island) in
Frobisher Bay. Back in England, between 1 November 1577 and 6 March 1578 Schutz performed three 'great proofes' of the black ore brought back from this second voyage. Agnello and Kranich were also brought in to assay the ore, and Kranich and Schutz were soon at odds, with Schutz accusing Kranich, who was favoured by Frobisher, of 'evil manners and ignorance'. It was later alleged by Robert Denham, who had assisted Kranich with his tests, that Kranich had added gold and silver coins of his own to bring the projected value of the refined ore to £50 per ton. Schutz' tests were conducted in a small furnace in the garden of the London residence at
Tower Hill of
Sir William Wynter, the Queen's Master of the Naval Ordnance. The second of these tests, completed on 6 December 1577, found that the ore contained £40 worth of gold and silver per ton. Although this result fell short of Frobisher's claim that the ore would yield £60 worth of gold per ton, government officials were sufficiently impressed to authorise a third voyage to Baffin Island to secure 2000 additional tons of ore. The results from Schutz' third test, completed on 6 March 1578, were even less promising: the refined ore was projected to yield only £23 15s worth of gold and silver per ton. Nonetheless, Frobisher's third voyage went ahead, and a smelter was built at
Dartford under Schutz' direction at a cost of £583. Schutz made further tests at Dartford of a ton of ore on 29 December 1578, and a half ton of ore on 20 January 1579. The latter test yielded a value of only £10 per ton, causing suspicion to fall on Schutz, Denham, Frobisher and
Michael Lok, a major promoter of the Frobisher voyages. The Commissioners appointed to supervise the voyages then ordered Schutz to perform a further test in their presence at Tower Hill, which he did on 22 March 1579. This time he obtained results of £15 a ton, which appeared to satisfy the Commissioners. Seeing his reputation being thus brought into discredit Schutz offered, in partnership with Robert Denham, to buy the entire 1300 tons of ore at Dartford at 20 marks a ton, and to refine it at their own cost; their offer was delivered by Lok to
Lord Burghley and
Sir Francis Walsingham on 18 April 1579, along with a separate offer from Lok himself for 150 tons of the ore. The Privy Council was at first inclined to accept the offer; however Frobisher insinuated that Lok and Schutz were fraudulently trying to get valuable ore worth £40 a ton into their own hands, and
Sir Thomas Gresham and the other Commissioners, influenced by Frobisher, then termed it a disgrace to the Queen to sell it. The work at Dartford thus came to a halt. In a report in 1581 Schutz' design for the Dartford furnace was blamed, but recent modern research has shown that the real problem was that the 1400 tonnes of ore brought back to England from Baffin Island were not gold-bearing. Hogarth concluded that since Schutz had attempted to buy all the ore himself, he was unlikely to have tampered with the tests, and the 'inescapable conclusion' is that the assay method was at fault, perhaps because of contamination from additives necessarily used in the process. McDermott also notes that Schutz' original test while he was on Countess of Warwick Island had been on a 'rich red ore' from Jonas' Mount, but little of that ore was brought back on the 1577 voyage because the ships were already laden with black ore before the red ore was found, and Frobisher did not mine at Jonas' Mount on the 1578 voyage. Moreover, the original black stone had been found by Garrard on Hall's Island during the 1576 voyage, and according to Michael Lok's account, no ore was discovered during a search of Hall's Island on the second voyage of 1577, and Frobisher 'never after brought home one stone more of that rich ore which he brought in the first voyage, for there was none of it to be found'. ==Later years==