First you need a furnace, which is made using a crafting table.
Place Cobblestone in the following formation, where X is Cobblestone, O is blank.
XXX
XOX
XXX
Place the furnace. Next you need Gold Ore and a fuel source. Coal is the best, being that it is reasonably abundant and lasts a good length of time. Right click on the furnace to open the smelt menu, place coal at the bottom and the Gold Ore at the top. The ore will gradually smelt into Gold Ingots, remember to keep supplying fuel if you've got a lot to smelt.
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Snow can go away in minecrafts, and can melt very slowly but it will still melt in the category its in on or by the minecraft.
Yes after a while
Gold ingot = 266
Using World Edit, a multiplayer Bukkit plugin, you can do //thaw [radius] to melt all snow and ice in that radius.
iron diamond gold and leather