Tag Archives: Orvana

An Updated Map of Lake Superior Mining

Basin_mines_3-15-13
The Great Lakes Indian Fish and Wildlife Commission has produced this updated map of Lake Superior mining. Since I’ve written about an earlier version of this map (here, but see also here and here and here) and I plan to write about Lake Superior mining moving forward, I thought it would be useful to share it.

This March 15, 2013 version of the map [pdf] includes more detail and definition as we see new projects come online and exploration and leasing continue apace.

Notice how much more detail we have in this version around Duluth and Hibbing, in the southwestern corner of Superior. Taconite and iron yield to copper and nickel as the trail of exploration moves north. On the south shore of Superior, in Michigan’s Upper Peninsula, the Kennecott Eagle Copper Mine on the Yellow Dog Plains, along with White Pine and Orvana Copperwood, are now properly identified.

Claims and leases have turned much of this area, from L’Anse Bay to Marquette and over to Deer Lake, pink. The new mining runs right up to the edge of the watershed area that stretches from the Carp River to St. Mary’s River.

The densest concentration of leasing and mining claims remains on the Canadian side, on the northwestern shore of Superior, from Thunder Bay toward Lake Nipigon. Gold and rare mineral exploration predominate.

“Areas of Concern” singled out by the Lake Superior Mining Committee in 2010 are unchanged, on both the Canadian and the U.S. sides of the lake; and yet we see mineral exploration and new mining claims right around these areas.

It’s tempting to look at what’s happening around Lake Superior right now and make alarming conjectures about what might happen, three or five or ten years down the road. Nobody knows how many full-blown big mining operations will develop from all this exploration and activity. But it’s clear from this map that new mining is already putting significant pressure on Lake Superior.

All Clear for the Mining Boom in Michigan’s UP, Unclear What That Portends

Just before the holidays I wrote a short post about the one-two punch that Michigan legislators delivered during the 2012 lame duck session. They rushed through legislation to make Michigan a “right to work” state despite widespread protests and they passed Emergency Manager Legislation in defiance of voters.

Most of the news coverage of these bills focused on the action in Lansing and effects this legislation might have in the Detroit auto industry. I wondered aloud (or at least on Twitter) what implications these bills might carry for towns and working people in the Upper Peninsula.

There’s a new mining boom underway in the region, with global giants like Rio Tinto and Orvana exploring, leasing, and re-opening old mines.

This map [pdf], put together by the Lake Superior ad hoc Mining Committee, shows all mines, mineral exploration and mineral leases in the Lake Superior Watershed as of 2010.

Mining-Activity-Lake-Superior-2011

The map merits some careful study. As you can see, there is already significant activity in the Upper Peninsula. On the Canadian side, especially around Thunder Bay and further north, there’s been a leasing boom. Lots of gold on the eastern shore; copper and nickel as you move further west. They’re also exploring for uranium in at least two places.

The new mining is going to put enormous pressure on the Lake Superior basin. There are the usual environmental hazards associated with mining — subsidence, toxic runoff, acid mine drainage. Mining puts the waterways – the Lake and the streams and rivers that feed it – at risk. And then there is the infrastructure that’s going to be built to support all those mines. Access roads and haul roads, like the proposed CR 595 in Big Bay, roads to get to those roads, gas stations to fuel the vehicles that run along those roads, housing to shelter the people who drive on those roads to get to work and haul the ore from the mines, and so on.

Governor Snyder and his cronies in the Michigan legislature are doing everything they can to encourage this new activity. Just before the holidays, the Governor signed a third lame-duck bill, addressing the taxes that mining companies operating in Michigan will pay. The new bill, brought by outgoing Republican representative Matt Huuki, relieves mining companies of up front costs.  Indeed, they will pay no taxes at all until they start pulling minerals from the ground. Even then, companies will pay only 2.75 percent on gross value of the minerals they extract. So a million dollar sale of Michigan’s mineral wealth on the copper exchange will yield the state a paltry $27,500 in taxes.

35 percent of these so-called severance taxes will go to a “rural development fund to support long-term economic development opportunities.”

A number of things aren’t clear to me. What, exactly, is meant by “economic development” here? What’s the best course of development for a rural region, and for the Lake Superior region? How will fueling the boom benefit the region over the long term? How much if any of this money will go to alleviating the environmental impact that all this new mining is bound to have? How is it possible to talk about rural development without taking responsible stewardship of the environment into account?

It’s also unclear what sort of working conditions in the new mines the “right to work” legislation might allow, and whether the Emergency Manager bill could be used to limit community oversight.

For now, at least, it looks like the big mining companies are running the show in the UP, and the vague promise of economic development — whatever that means — has trumped all else.