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Midas Gold pitches cleanup via capitalism for Stibnite
NICOLE FOY nfoy@idahopress.com Oct 6, 2018
Yellow Pine Pit, the site of the proposed and controversial fish tunnel to route fish back to spawning areas during mining
operations.
Riley Bunch / Idaho Press
STIBNITE — Midas Gold has spent a decade and millions of dollars to convince Idaho that industry
can fix the environment, but conservation groups are skeptical.
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The Canadian mining company is in the federal permitting process to start open -pit mining along the
Salmon River, east of McCall. Their target is the Stibnite Mining District and its 4.5 million ounces of
gold and 100 million pounds of antimony, a metal used in batteries. But, company officials say,
they're committed to an extensive restoration plan that could repair damage done by past mining
operations. Midas Gold estimates actual mining operations will last 15 years and they could be
working in the area up to 25 years.
"We knew going into this that mining had a bad reputation," said Laurel Sayer, president and CEO of
Midas Gold Idaho. Sayer was previously the executive director of the Idaho Coalition of Land Trust,
worked on natural resource issues for U.S. Rep. Mike Simpson and Sen. Mike Crapo, and helped get
the Boulder -White Clouds designated as a protected wilderness area. "We will be restoring as we go.
Because it's a historic mining site, we knew that we had to be different."
While Midas Gold works on federal approval, company officials are working a parallel track to win
over community members. The company's expensive and multiyear campaign to inform the public
includes economic and environmental appeals to neighbors who have become self-taught scholars
on extraction.
Mining would take place in the headwaters of the South Fork of the Salmon River, also known as the
East Fork of the South Fork of the Salmon River. Tribes such as the Nez Perce have fishing rights in
the area, which is an important spawning ground for Chinook salmon. Earlier this year, the
environmental group American Rivers, citing the Stibnite project, named the South Fork of the
Salmon one of the most endangered rivers in America.
"The South Fork Salmon still boasts clear, free -flowing waters, and feeds the beloved Wild and Scenic
Main Salmon downstream," Mike Fiebig with American Rivers said in an April press release. "It's time
for the U.S. Forest Service to put an end once and for all to toxic mining near this treasured river."
Midas Gold already owns the mineral rights to 25,000 acres in the area — about the size of Disney
World — but is seeking a permit under the National Environmental Policy Act to mine on Forest
Service land intertwined with their private holdings. Overall, they say their mining operation will
impact only 2,000 acres of private and public land. The controversy stems from the location of those
2,000 acres, and the fact that the scope of the mining would exceed past those operations.
Another aspect of Midas Gold's permit pitch is the potential of a domestic source for antimony, a
mineral used in electronics, fire retardants and in the national defense industry. It was recently added
to the U.S. Department of Interior's list of essential minerals, and Stibnite would be the only
domestically mined source. According to the Department of Interior, the United States imported
more than 53 million pounds of antimony in 2017 — mostly from China. The entire lifespan of the
Stibnite Mine would produce only two years' supply.
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When it comes to environmental concerns, Midas Gold has a plan for that as well, which they say is
central to the mission of Stibnite. Midas Gold says its intervention and industry is needed to restore
the area to what it was before a century of irresponsible mining. Concerned citizens and conservation
groups such as Idaho Rivers United say the river and the surrounding area are already in the process
of healing themselves — and what Midas has planned would only further disrupt the pristine
wilderness.
"We just need to call it what it is," said Ava Isaacson, conservation associate at Idaho Rivers United. "I
think we would feel more comfortably about things if it was spoken about as a mining project with
potential for restoration, rather than a restoration project with some possible mining."
What's wrong with the South Fork of the Salmon River?
Other companies mined gold and several minerals in the Stibnite area intermittently from 1899 until
1998. During World War II, the mining camp at Stibnite swelled to a town of about 1,000 people as
then Bradley Mining Company mined aggressively for tungsten and antimony. Stibnite was so crucial
to the war effort that men could fulfill their draft service there and Dwight D. Eisenhower, then
Commander of the Allied Forces in Africa, sent a telegram thanking "the men and women of Bradley
Mining Co." for their help.
A century of aggressive underground and open -pit mining significantly changed the landscape and
quality of the South Fork's headwaters. Arsenic and mercury leaked into the river, miners rerouted
the headwaters and disrupted the flow of salmon, and added a dam that eventually failed in 1965,
rightfully earning the name Blowout Creek.
Since 2011, the U.S. Geological Survey's Idaho Water Science Center has been conducting a study —
partially funded by Midas Gold — on the stream flow and arsenic, mercury and antimony levels of the
East Fork of the South Fork of the Salmon River and tributaries affected by mining. Boise hydrologist
Austin Baldwin said the average amount of dissolved arsenic in the East Fork of the South Fork, is
56.7 micrograms per liter — well above the human health benchmark of 10 micrograms per liter.
Their highest recorded sample in the area is 108 micrograms per liter of dissolved arsenic. The
chronic or long-term toxicity value for aquatic life is 150 micrograms.
"It appears that those have decreased since the late '70s and early '80s, but they're still well above the
human health benchmarks," Baldwin said.
Midas Gold and Idaho Rivers United both cite the USGS findings in their contradicting arguments.
Isaacson, of Idaho Rivers United, said the decreasing contaminant levels means the river is naturally
recovering from the mining past — something Baldwin from USGS clarifies is still inconclusive,
especially with incomplete water quality records. Some restoration and remediation completed in
that area also could have impacted those levels, Baldwin said. Midas Gold, on the other hand, says
contamination in the Salmon River headwaters could only increase without intervention.
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Another serious concern is the open Yellow Pine pit, which has blocked the passage of salmon up the
tributary to spawning grounds since Bradley Mining Company created it in 1938. The area has
adapted, conservation groups say, and salmon still find their way to the spawning grounds above the
Yellow Pine pit. The ones that don't are carted from Nez Perce fish hatcheries above the pits to the
watershed. Federal agencies like the Forest Service, Idaho Department of Environmental Quality and
the EPA as well as private sources have spent about $13 million in the last several years to restore
and reduce pollution in the area.
Repair, conservation and mining
On Sept. 19, the Idaho Press joined Midas Gold Idaho staff members — including CEO Laurel Sayer —
on a tour of the site, about 15 miles from the nearest town of Yellow Pine.
Hayley Couture, Midas Gold's community engagement manager and tour leader, checked in with
onsite staff over the radio at each mile marker of Stibnite Road. The 14-mile long road that starts in
the tiny town of Yellow Pine hugs the Salmon and its major tributaries for most of the trip. Midas paid
for most of the repairs and improvements to the road over the past few years — the company
accounts for nearly all of the traffic. Because of the liability of transporting mining materials alongside
a river, Midas Gold said they plan to transition to using an old logging road.
If the mining permit is approved, those roads would see even more traffic, once the approximately
500 new employees begin working in the area. A fully operational mine would require a fully
operational city. Employee housing planned on the project site would also address community
concerns about a flood of Midas Gold employees exacerbating Valley County's housing crisis.
That housing would be part of a $1 billion investment in Idaho. Midas Gold plans to hire as many
Idahoans as possible and also expects to generate an estimated $86 million in tax revenue for local
communities and the state.
This has been part of the pitch Couture has given on dozens of other tours just this summer alone, as
well as presentations at schools in the area. Many tour members are just curious locals or community
stakeholders, but others are eager to explore a local attraction or revisit family history.
"Tours are the best way to show people and allow them to make their own opinions about mines
because not many people have seen mines," said Mckinsey Lyon, vice president of public affairs at
Midas Gold.
Midas Gold also emphasizes the early "proof points" in their restoration plans during their
community outreach. Their plan calls for ongoing restoration work, including backfilling the open pits
and removing old tailings from previous mines. Investors in international companies aren't usually
patient about getting a return on their significant investment, but Sayer said selling a "restoration
first" plan hasn't been hard.
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"The investors recognize that this is a new way of looking at mining," Sayer said.
John Robison, public lands director at the Idaho Conservation League, said their staff has been
tracking the changes in Midas Gold's Stibnite project for several years. Robison said while Midas Gold
was his "favorite" mining company for their stated dedication to environmental restoration, the Idaho
Conservation League remains opposed to the proposal.
"The idea of remining Stibnite and restoring the previously impacted areas is a good one," Robison
said. "The project errs by going outside that box too much, degrading far too much pristine habitat
and increasing the risk of future contamination.... We are inviting the Forest Service and Midas Gold
to re -envision a project that scales back to historic mining sites."
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Community support and concerns
The reopening of three mining pits is chief among opponents' concerns, as is the additional traffic
and work in remote wilderness. They're also worried if Valley County and the small backcountry
community could handle the housing strain or weather the boom -and -bust cycle of a mining town.
They're also skeptical Midas Gold will follow through with their restoration plans.
About 120 people attended a McCall protest against Midas Gold's plans for Stibnite over Labor Day
weekend, according to Boise State Public Radio. Whether they're for or against Midas Gold's proposal,
Valley County residents are well -versed on Midas Gold's plans, down to arsenic levels in the water
and the endangered salmon population. Some are suspicious of Midas Gold's extensive public
relations campaign, specifically the company's circulating draft of the West Central Mountains
Community Partnership Agreement — a "starting point to formalize our commitments to the
community," according to the draft.
"My concerns are that it's being drafted before the EIS (environmental impact study) is available and
we don't know what the alternatives are," said Fred Coriell, a McCall resident who frequently rafts on
the South Fork of the Salmon River. "My concern is that getting community support at this point in
time only bolsters their support politically and with investors."
The community agreement and visits to city councils in McCall, Cascade and Donnelly are just about
establishing a "social license" ahead of potential federal project approval, which includes extensive
public comment periods, Lyon said. It also helps Midas Gold have early conversations about potential
solutions to community concerns.
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Other community members feel that allowing mining on a major Idaho river is too risky. Even short-
term memories can produce an example. Last year, a federal judge held another Canadian -owned
mining company Atlanta Gold (no relation to Midas Gold) in contempt of court for allowinw arsenic
and iron to enter a tributary of the Middle Fork of the Boise River, according to the Associated Press.
Last month, the judge ordered them to pay $250,000 fine.
"My feeling is that we should follow the precautionary principle that if you cannot guarantee there
cannot be damage, then we cannot risk it," said Judy Anderson, a retired high school teacher who
lives in McCall. "That place is too spiritually and ecologically precious to risk."
Diana Bryant, 78, owns and operates Wapiti Meadow Ranch along Johnston Creek with her husband,
about 10 miles down the road from Yellow Pine. Bryant said she's not against mining in her backyard
— she's seen a lot of operations come and go over the 30 years they've run the ranch and their
previous outfitters business. But Bryant thinks Midas Gold's proposal would ultimately hurt the
backcountry community of Valley County.
"The Midas Gold operation frightens me a lot because it is exponentially larger than any of the others
and in fact they have said that it would be one of the largest mining operations in North America,"
Bryant said. "Its tentacles will spread out over the entire eastern half of Valley County, which will
really limit the recreation uses back here that are so important to people that live in Donnelly, McCall
and Cascade."
But many in Valley County believe business would only be better with the Stibnite project. During the
decade Midas Gold has been purchasing land, conducting research and doing exploratory drilling,
community members say they've only benefited.
During a lunch stop in Yellow Pine, Corner Restaurant owner Matt Huber told the Idaho Press he's
had a good working relationship with the Midas Gold leadership and the staff who trickle through
town. He said mine workers and drillers can sometimes be rough characters, but he said everyone
employed by Midas Gold has been respectful of the small Yellow Pine community.
"They're just good people," said Huber, wearing a "Support Stibnite" hat. "The care in who they've
chosen, it's meant a lot to us."
Ryan Boley, owner of Birch Glen Lodge and Motel in Cascade, said the Midas Gold employees who
come through the area or stay in the lodge seem to have a "genuine pride in the work they are
doing."
"I know that they're there to make money," he said, "but it seems like the emphasis is on the
environment and doing better as far as mining goes."
What's next?
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Sayer said Midas isn't trying to take advantage of the deregulation emanating from Washington, D.C.,
as critics allege. The requirements of their original proposal were drawn up with the assumption of a
Hillary Clinton presidency, Sayer said, and they're planning to stick to those original guidelines.
Still, in her testimony before the U.S. Senate Committee on Energy and Natural Resources in luly,
Sayer asked lawmakers to streamline the environmental review process with ideas like mandatory
timelines for decisions.
"I do not advocate overlooking any required legal element of environmental review or reducing
standards," Sayer said during her testimony. "Rather, environmental review and permitting can
always be more efficient, which is what we in the mining industry believe Congress intended in the
first place through its environmental laws."
The completed EIS was originally due to be published for public comment in November 2018, but
publication has since been delayed until May 2019. Lyon said if they get a decision by the middle of
2020 and further state permits approved, construction could begin by the end of that year. The first
year of construction would include fixing Blowout Creek, which Lyon said is one of the largest
pollutants in the watershed.
Mining would begin in the Yellow Pine pit first — as well as the construction of a controversial tunnel
that would divert the East Fork of the South Fork and the salmon within it for about 10 years.
Midas Gold representatives said they aren't considering the possibility the project won't be approved.
"We are confident in this project and its ability to meet the environmental requirements to be
approved," Lyon said.
Robison from the Idaho Conservation League said Midas Gold would have a higher likelihood of
success and conservationist support if they scaled back the parts of their operation that involve
places that weren't mined in the past.
"The public is going to have a chance to learn more about the project in the coming months when the
EIS comes out," Robison said. "We just encourage them to ask tough questions and apply the lessons
learned from previous mining companies who made grand promises, but didn't have a mine plan that
acknowledged the risks and dealt with them ahead of time."
Still, locals who remain opposed to the Stibnite project aren't that optimistic. The greater Valley
County community seems supportive of the project and the economic boost they think it will bring,
several local opponents told the Idaho Press. Midas Gold has the political connections and money to
buy goodwill. All opponents have is a plea to preserve valuable landscape for as long as possible.
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"That's why I think we're fighting an uphill battle here — the people who feel the way I do — because
we are all individual citizens who don't have any additional clout," Diana Bryant said. "Whether it's
going to make any difference in the long run, I'm not sure. But at least I can let people know there are
reasons to not be in favor of it."
Reporter Riley Bunch contributed to this story.
Nicole Foy covers Canyon County and Hispanic affairs. You can reach her at 208-465-8107 and follow
her on Twitter @nicoleMfoy
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COURTESY OF MIDAS GOLD IDAHO Sep 26, 2018
Antimony in the U.S.
Antimony is mainly used as insulation due to its poor electrical and heat conductivity. It is
commonly found in batteries, electrical wire covering and other flame -proof materials.
According to the U.S. Department of Interior's 2018 Geological Survey, in 2017 no marketable
antimony was mined in the United States.
U.S. resources of antimony are mainly in Alaska, Idaho, Montana, and Nevada but are currently
unmined. Top world resources include Australia, China, Mexico and Russia, among others.
Stibnite is a common ore mineral of antimony.
In 2017, over 53 million pounds of antimony was imported into the United States, reported the
Department of Interior. The proposed Stibnite Mine site east of McCall would produce an
estimated 100 million pounds of antimony in its lifespan.
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History of Stibnite
1899: Mining arrives in Stibnite area of Idaho
1927: Bradley Mining Company begins mining
1932: Bradley Mining Company installs mill and increases operations
1938: Mining operations block fish passage with Yellow Pine pit operations, production of gold
and antimony began
1940s: Bradley Mining Company switches from underground to pit mining. During World War II,
Stibnite produced 40 percent of the nation's domestic supply of tungsten and 90 percent of its
antimony. More than 1,500 people lived in Stibnite.
1948: Blowout Creek dam constructed
1955: Mining operations dismantled, houses moved out of Stibnite
1965: Blowout Creek dam failed
1982: Canadian Superior Mining begins a cyanide heap -leach operation
1988: Hecla Mining Corporation purchases land and begins pit mining
1998: Mining operations in Stibnite ceased
2009: Midas Gold purchased land ownership and began preliminary studies for Stibnite Gold
Project
NicoleFoy
Nicole Foy covers Canyon County and Hispanic affairs. You can reach her at 208-465-8107 and follow
her on Twitter @nicoleMfoy
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