Loading...
HomeMy Public PortalAboutStibnite Mineyc1iT L.cck-S�u k- /-517 TRUCK DRIVERS HAVING} DIFFICULTY ON STIBNITE 'ROAD CASCADE, January 15 — The untimely three day rainy spell which hit this area late last week played havoc with the Stib- nite roads and caused considerable inconvenience to the drivers. Johnny Nock, driver of the Stib- nite Stage, reports that he left Cascade Tuesday morning for Stibnite, and things went smooth- ly until he left Yellow Pine. This stretch Of road is usually danger- ousbecause of rock slides, and as ,he got within a couple of miles of Hopeless Point, a big slide slid in just ahead of him -- about six feet deep and thirty feet wide. After backing up and taking a run at it time after time, he finally had it worked down enough to drive on over it. Then right at Hopeless Point,. another slide came in be- hind him, close enough to give him a thrill. He left Landmark about 8 a.m. on his way out the next morning (Monday) and it was necessary for the rotary to pull him over Warm Lake summit. He was met by the jeep driven by Lee Watson in Scott Valley about 3 p.m., where he left the stage with Watson and drove the jeep and the mail to Yellow Pine. The roads were so slick between Yellow Pine and Stibnite that he couldn't stay on the road, so he stayed in Yellow Pine that night and went on to Stibnite the next morning when it wasn't quite so slippery. But it isn't just the stage driver that gets the hard knocks. This in- stance was recounted concerning the truckers: On a trip to Stibnite Bud Harp started up a hill, fol- lowed by Carney, when a truck stalled in front of Bud's truck causing him to put on the brakes so suddenly that the truck back of him rammed into him smacking one headlight off and guaging a hole in the side of the door. The truck in front received a broken oil pump in the fracas and Bud Harp pulled and Carney pushed him on to Yellow Pine, where he unloaded his load of coal onto Milton Burlile's truck and went on into Stibnite. This trip is dangerous at any time, but at this time of year, it is particularly hazardous. So when you hear the big diesel engines roaring out of town in the chill of a winter night, just remember that Bud Harp, Milton Burlile, Lloid Marnella, Barney Skoger- son, Jake Smith, Sam Stillwell, Jerry May, Sasner, • and Bobby Hoobler aren't in a nice cozy bed like you are, but are starting out on a long, cold trip where most anything can happen - and usually does. By Bradley Blum The Star -News With prices for precious metals holding at low levels, the picture for the mining industry in central Idaho in 19>j5 was a mixture of caution, optimism and legal en- tanglements. In May, the Superior Mining Company announced that it would not open the Stibnite gold mine for the 1985 season because of gold prices that were hovering between $310 and $315 per ounce. Mine manager Bill Josey said that officials of Superior's parent company, Mobil Oil, made the decision not to operate the mine, which is located near the East Fork of the South Fork of the Salmon River southeast of Yellow Pine. Meanwhile, officials of Coeur d' Alene Mines decided to bet that mineral prices will increase and went ahead with construction plans for its Thunder Mountain project at the Sunnyside claim east of Stibnite. The company's construction subsidary, Coeur Exploration, spent the short summer at the 8,000-foot high claim construct- ing a cyanide leaching facility to process gold and silver from 3,500 tons of ore a day. By the end of the construction season, work was completed on the 288,000 square -foot, four - stage asphalt leaching pad, com- pany officials said. The pads are where the piled ore will be sprinkled with a cyanide solution, which causes the gold and silver to dissolve out of the native rock. Stibnite shuts down; e sSunn idy gears up Officials said that all that re- mained to be done next summer would be the construction of a warehouse and a building to house the facility's generating plant, as well as mechanical and electrical work. The facility is expected to begin processing ore sometime next summer. The Thunder Mountain facili- ty's neighbor to the west, Golden. Reef Joint Venture's Dewey Mine, will be the subject of a trial that is scheduled to begin on Oct. 7, 1986, the Idaho Department of Health and Welfare's Fall 1985 newsletter said. Golden Reef has been accused by H&W of repeatedly violating the agency's order in January 1984 to comply with the state's Water Quality Standards and Wastewater Treatment Re- quirements. The operators of the Dewey Mine are accused of allowing sediment from tailings piles to be washed into Monumental and Marble Creeks. The trial of Idaho vs. Golden Reef Joint Venture was originally set for Sept. 10 of this year at the Valley County Courthouse in Cascade, but had to be reset because of scheduling conflicts. Another mining issue that may be headed for the courts is Big Creek resident James Collord's request to build a road to his Golden Bear claims. The proposal has the potential for controversy, because most of the activity would take place within the Frank Church - River of No Return Wilderness. 5-TA 2 /XEws Stibnite gold mine sold A Canadian company is ex- pected to close a deal later this month to buy the Stibnite gold mine east of Yellow Pine and put the mine and processing plant back into operation this summer, according to an official of Superior Mining Co. of Boise, the mine's current owner. Pioneer Metals of Vancouver, B.C., is expected to sign a final agreement to purchase the mine from Superior sometime this month, mine manager Bi11 Josey said on Monday. "It hasn't finally happened. It's down to signing of the final closing agreement," Josey said. Josey said that Pioneer plans to operate the open -pit mine and processing area this summer and fall. He said that the mine usually can be worked from June until October. Josey estimated that about 100 workers will be employed by Pioneer and the companies that subcontract the mining, hauling and crushing work done at the operation. The Stibnite mine was closed in 1985 because of low gold prices that ranged between $310 and $315 per ounce, officials said. Gold is currently selling at bet- ween $340 and $350 per ounce, Josey said. Stibnite Mine reopens and the gold is pouring The final product - a 300-ounce dore of gold and silver. BY ROGER PHILLIPS The Star -News Stibnite Mine near Yellow Pine is back in operation and pouring gold for the first time since 1993 after months of red -tape wrangling and bureaucratic hurdles. "We're really excited about this,". mine Manager,Eric Jones said at a pouring last week at the remote mine site located about, 65 miles east of McCall. Jones expects the mine to produce 31,000 ounces of gold this year, and 35,000 ounces each year after. The price of gold is cur- rently around $385 per ounce, and the company pre -sells some of its gold at a fixed price;3d keeps some to sell on the fluctua- tion market, Jones said He estimates the company needs a price of $290 per ounce to break even on its mining operation. The mines (there are currently two in operation) are expected to last anywhere from three to 15 years, depending on future explorations and whether the company can secure necessary permits to remain in op- eration. The mine currently employs 120 em- ployees, and pays $350,000 monthly in wages, Jones said. It will operate from May through October each year, possibly longer if weather allows. The mine is owned by Dakota Mining Co. of Denver, which is bringing the Stibnite's long mining history into the present by using a cyanide leaching process to extract minute traces of gold from tons of ore. The process literally requires turning mountains into molehills. Miners remove ore from open -face mines, which is taken by 50-ton dump trucks to a crusher and re- duced to two-inch material. During excavation, there is 2.5 tons of waste rock for every ton of ore removed from the mines. The waste rock is placed in a reclamation area, and the two-inch ore is placed on impermeable asphalt pads that are coated with a rubber -like compound. Once a la Ver of ore is spread on a pad, pipes simila to irrigation sprinklers spray a one part to 4 909 parts solution of cyanide and water o: , ,° ore. The solution essen- tially dissol .�s microscopic quantities of gold in the .ere, and carries it to "pregnant ponds" near the refinery. The gold -laden solutidn is then pumped into the refinery, where it goes through several processes to separate the gold from the solution. i ne enu iesu t is a .or-, an : to pound (300 to 500 ounces) mound that contains approximately 75 percent gold and 25 percent silver, which is a natural gold alloy. The dor6 is about the size of a small Wmolehill and easily !ts into cupped hands. It requires roughly one 50-ton truck full of ore to produce one ounce of gold, Jones said. The remaining cyanide and water solution is then pumped into a "barren pond," where it is recycled and recharged with more cyanide and returned to fresh ( to piles. Once the ore piles are removed of their gold, they are treated with a chlorine solution to neutralize the cyanide. Jones said the chlo- rine process will soon be replaced by a peroxide treatment, which is more environmentally sen- sitive. The company is also experimenting with using natural bacteria to break down the cyanide. When the cyanide content in the spent ore is reduced to .02 parts per million, which equals 20 parts per billiooi, it is hauled to a reclamation site where it wvi11 eventually be landscaped and seeded. The entire process requires about 30 days, which includes placing the ore, extracting the gold, neutralizing the ore and then removing it. At the same time, the company is mining, it is working with state and federal agencies to clean up pollution left behind from past min- ing activities. The area supported mines producing stib- nite and antimony during the World War II era, it has been operated off and on as a gold mine since then. In the past, the Stibnite area was almost named as a Superfund site due to pollution from previous mining activities. In order to operate, Dakota has to clean up old mining wastes while it is processing fresh ore from the mines. The new operation has met or exceeded all government environmental safeguards, Jones said, noting that the company has also won three environmental awards. "We're doing a really great job," he said. "We've done some real innovative things up here." But to complicate matters even further, the mine is located in chinook salmon habitat, which is listed as an endangered species, bring- ing an added measure of scrutiny to the operation. "We aren't even allowed one fish mortal- ity," Jones said. "And we can't degrade habitat. Habitat is considered the same as fish." Meeting all these demands means the com- pq y may not turn a profit on the mine for two ycikrs, Jones said. "It's the price you pay to operate in this coAntry," he said. "It's crazy, but we have to do it." 1! AeWS --r4t, )4. Z. 1- 2 cr Liners for heap - leach pads are shown in foreground. Gold -bearing ore is piled, middle, and spent ore is shown at rear. Photos by Roger Phillips Molten gold pours from refinery at StibniteIine. i ��t ( 5/a P - /}/ ws /./ia jy- Dakota Mining Corp., owner of Stibnite Mine near Yellow Pine, re- cently announced a planned merger with USMX, Inc. The merger is ex- pected to be completed at Dakota's May 22 annual general meeting, ac- cording to a press release from the company. Stibnite owner to merge with firm Dakota and USMX are currently working on the completion of the Illinois Creek Mine in Alaska, which is expected to produce gold in June. They expect to mine 65,000 to 70,000 ounces of gold from the Alaska mine and more than 140,000 ounces from all mines, the release said. Gold prices keep the lock on Stibnite Plummeting prices force Dakota mine to stay closed likely all of this year BY ROGER PHILLIPS The Star -News The Stibnite mine near Yellow Pine will not reopen this spring and prob- ably will not operate at all this year due to low gold prices, the president of the company that operates the mine said. Plummeting gold prices caused Dakota Mining Corp. of Denver, Stibnite's owners, to shut down the mine last year. Gold was selling for $294 an ounce on Monday. Dakota President Alan Bell said this week that gold prices would have to reach about $370 pefounce before it would be economical to restart min- ing operations at Stibnite. Bell noted that the company will continue its environmental reclama- tion work at the Stibnite site and continue working on the permitting process at the nearby Thunder Moun- tain mine site. "There's no intention to give up," Bell said. He said gold market experts be- lieve gold prices bottomed out at $280 per ounce, and could climb to the mid-$300 range by the end of the year. Meanwhile, Dakota, which owns other mines in Alaska and North Da- kota, is in the process of restructuring itself financially and seeks partners. Dakota recently completed a new financial arrangement where it bor- rowed $1.1 million, which is expected to allow Dakota to finance parts of its current activities including permit- ting, environmental work, reclamation and corporate expenses for about 90 days, a release from the company said. "Dakota is actively and aggres- sively pursuing a potential merger candidate, possible sales of certain assets and possible equity transac- tions," the press release said. The company owes three creditors a total of $15.6 million, the press release said. The largest of three loans, for $10 million, has been converted to a demand note, which can be called at any time. The company was also dropped from the American Stock Exchange /C.. 'Wino " Rork PQQe) i Mine (Continued from Page 1) and will no longer be traded on that exchange after this week. Bell said there were several rea- sons for Dakota being dropped, but it was primarily because Dakota's price fell below $1 per share. Its stocks are still being traded on the Toronto and Frankfurt exchanges. Stibnite mine reopened in 1993 and has operated intermittently since that time. During peak operations, the mine employed between 100 and 125 people. The mine currently employs five full-time employees. Feds sue Stibnite owners for $7 million Government wants to be repaid for costs of pollution cleanup BY MICHAEL WELLS The Star -News Bradley Mining Company was sued in U.S. District Court in Boise last week by the Envi- ronmental Protection Agency and the Forest Service. The two agencies are seeking $7 million for cleanup work as- sociated with the company's mining operation in Stibnite. The EPA and forest ser- vice are using the federal Superfund law that allows the government to seek reim- bursement for the cleanup of hazardous substances. Since the early 1980s, the forest service has been work- ing to clean up the Stibnite mining area located 14 miles east of Yellow Pine. The area was used from 1927 through the mid-1950s by Bradley Mining Company to mine tungsten, antimony and gold. Tungsten from the site was used as a filament in light bulbs. It was also used to strengthen metal during World War II. Antimony was used as a fire retardant in paint for Navy warships and in flight suits of fighter pilots during the war. The land is owned by the estate of J.J. Oberbillig. Most of the mining was done by Bradley Mining Company on land owned by Oberbillig, court documents said. No other mining com- panies have been named in the suit, U.S. Department of Justice spokesperson Andrew Ames said. "While Bradley operated the Stibnite Mine, Bradley generated and disposed of hazardous substances into the environment at the site," court documents said. "Bradley gen- erated and disposed of ground waste rock containing hazard- ous metals on the ground. Hazardous substances then leached from the waste rock into the environment." "Bradley also generated mill tailings containing haz- ardous metals, and disposed of them in Meadow Creek, behind the Keyway Dam, and in other areas downstream," court documents said. Theforest service is seeking $6 million from the company in cleanup costs that included rerouting the channel of Meadow Creek away from waste mining deposits. Water and wildlife tests Photo courtesy of the Payette National Forest Crews use an adapted track hoe to plant 10,000 willows to stabilize the bank of the new Meadows Creek channel in 2005. About one mile of creek channel was relocated away from toxic materials left over from the Bradley Mining Company operation in the Stibnite area. showed higher than accept- able levels of cyanide and arsenic in the creek and in the fish and aquatic insects, which led the forest service to decide to reroute the channel away from the waste deposits. The Meadow Creek project that started in 1999 was com- pleted in 2006. The EPA also began clean- up work at the site in 1985. The EPA seeks $1 million for its work to close mine -tailing ponds, Meadow Creek channel work and for regarding and re- planting the area of aspent ore pile, court documents said. The lawsuit was filed in U.S. District Court in Boise last week and has not been answered yet by Bradley Min- ing Company. Company attorney Jon Wactor of Oakland, Calif., did not respond to requests for an interview. The company still owns mining claims in Idaho and California, Ames said. Star -News News Prep Sports/Schools Page Page 1 of 1 Mob M &+uu PRe TREES AT STIBNITE - Cascade High School student Jaeger Jensen prepares to plant trees at the Stibnite mining area near Yellow Pine. Jensen and other members of the Cascade Environmental Science class planted 1,95o trees at the request of Midas Cold Corp., which paid $1 for each tree to the school's science department. http://www.mccallstamews.com/pages/prep_schools_page.php 11 /5/2015