Alaska Journal of Commerce
February 4, 2015
Groundhog Day for mining controversy in Southwest Alaska
Published: 2015.02.04 12:45 PM
Is another mining controversy stirring in Southwest Alaska?
Nondalton’s tribal council is protesting the move of its village corporation, Kijik Corp., to form a joint venture with Anchorage-based Alaska Earth Sciences to explore a copper/gold deposit near the village and adjacent to the Pebble project.
Pebble is near Iliamna southwest of Anchorage. Nondalton is a community near the Pebble project. The joint venture will explore on state-owned lands near where the Pebble Partnership, a subsidiary of Vancouver-based Northern Dynasty Minerals, proposes to build a large surface mine.
On Jan. 6, Kijik Corp. and Alaska Earth Sciences, Inc. announced the formation of Chuchuna Minerals Co., with Alaska Earth Sciences Inc. holding a 51 percent interest and Kijik Corp. owning 49 percent interest in the company.
The exploration venture will explore near Groundhog Mountain, which is on nearby on state lands.
The Nondalton Tribal Council isn’t happy about that, however. In a statement released Feb. 3 the council said, “We don’t want mining in our area. We don’t want harm to come to our land and water in any way, shape or form. This is the foundation to our way of life and culture.”
Despite those feelings, economic development and jobs are badly needed in the region, which is one of the more economically depressed areas of the state. Populations in small communities in the Iliamna area are dwindling, village schools are closing and local services, such as mail delivery, are being curtailed.
Mining development is one potential for local development and jobs.
Several geophysical surveys have been conducted on the Groundhog property over several years, Kijik and Earth Sciences said in their press release Jan 6. Multiple occurrences of porphyry-style mineralization have been found in the area including Pebble West and East, and several other significant discoveries. All of these occur along a northeast-trending mineralized system.
Chuchuna Minerals Co. will be seeking an option partner to continue exploration efforts including geophysical surveys as well as drill testing identified target sites, according to the press release.
A possible preemption of mining in the region by the U.S. Environmental Protection Agency is still possible, however. EPA has moved to use its authority under the Clean Water Act to preempt development and has proposed a ban on large mines in the Bristol Bay region, an area the size of many states.
The action has been halted temporarily by a federal court order in an action brought by Pebble Partnership. A decision is pending from Alaska U.S. District Court Judge H. Russel Holland in Anchorage.
Kijik Corp. is the ANCSA Village Corporation for the community of Nondalton, located on 6 Mile Lake between Iliamna and Lake Clark. Nondalton is the closest community to the Groundhog Project and is adjacent to the Pebble Project.
“Kijik Corporation brings local experience and resources to the project from the outset, greatly improving the development of an effective community engagement program and focused successful workforce development, the press release said. “In addition, Kijik Corporation has other strategic land holdings in the vicinity of the Groundhog Project.”
Alaska Earth Sciences is a geologic and project management consulting company operating in Alaska since 1985. The company has decades of experience working in remote areas of Alaska providing geologic consulting expertise and support to the natural resource and mineral exploration industries.
View the original story here.