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Mt. Emmons Mining Company engaging in public feedback process

CB open house first of many engagement opportunities

[  By Mark Reaman  ]

The Mt. Emmons Mining Company (MEMC) held a public open house at the Crested Butte town hall last week to gather some feedback on steps being taken to eventually eliminate the potential for further mining on Mt. Emmons while protecting water quality in Coal Creek. Efforts are underway to facilitate a federal land trade allowing MEMC (a subsidiary of Freeport-McMoRan) to easier control water treatment plant improvements and also implement a mineral withdrawal to eliminate mining on Red Lady. 

About 45 people attended the event and seven MEMC representatives were there to answer questions from the public and record feedback.

“We received general questions from attendees about how MEMC will address the community’s interest in permanently extinguishing commercial mining from the Keystone Mine and establish permanent recreational access to the top of Mt. Emmons,” explained Freeport-McMoRan external communications manager Jim Telle. “This will occur in coordination with the Crested Butte Land Trust for certain of the lands proposed to be acquired as part of the land exchange. A wide variety of questions focused on the land exchange, the proposed conservation easement, the mineral extinguishment agreement, and water needs associated with the site were discussed.”

Telle said MEMC received positive input regarding the lands the USFS will receive in the proposed exchange. While much of the traded land is over Ohio Pass by Carbon Mountain and not in the Crested Butte watershed, he said watershed boundaries are but one of many factors utilized in selecting lands for an exchange. 

“MEMC worked with the U.S. Forest Service to include lands that meet USFS exchange criteria and administrative priorities,” he said. “We received formal acceptance of the project proposal in mid-February and are working within the U.S. Forest Service feasibility analysis process. These are USFS requirements prior to the commencement of any formal exchange processes.”

The hope is to complete the land exchange in early 2023. Under the federal land exchange process, the next steps are completion, review and approval of the feasibility analysis, which then would enable the formal ‘Agreement to Initiate the Land Exchange’ to occur. “We are hopeful that occurs by mid-2022,” said Telle. “MEMC has committed to a robust stakeholder engagement process to include a series of future events in Crested Butte and Gunnison as the process continues. Events will be advertised in the newspaper.”

Crested Butte Council gets update from Mt. Emmons mine

Experimenting with new water treatment systems

By Mark Reaman

In a sign of the improved relationship between the town of Crested Butte and the owner of the Keystone Mine on Mt. Emmons, Dave Gosen of the Mt. Emmons Mining Company (MEMCO) updated the Crested Butte town Council about improvements at the facility this week.

Gosen came to the council for an August 19 work session and spent about half an hour going over what the mining company, a subsidiary of global mining company Freeport McMoRan, has done since they acquired the property from U.S. Energy in 2016.

“We have spent the time since 2016 figuring out exactly what we acquired and how best to manage what we’ve acquired,” Gosen said.

Gosen said the water treatment plant was commissioned in 1980, so is considered pretty old. The plant treats water from various sources and MEMCO is experimenting with two pilot programs to test different treatment systems. The two technologies are in the experimental phase and Gosen admitted, “It would be a few years before any new system is implemented. There is no timeline.”

Gosen said in 2018 the company replaced a major piece of equipment in the water treatment plant called a filter press. A hole had to be cut in the roof of the plant to get the new machine inside and he said it took probably nine months to get the new equipment up to snuff. The machine basically removes the water from the processed sludge. The sludge is then mixed with concrete and taken to the county landfill. An older filter press remains onsite as a backup.

Gosen said some re-vegetation work was done on the mine site in 2018, while this year some ditch and road improvements were made, along with some slope improvements.

Responding to a question from mayor Jim Schmidt, Gosen said if for some reason Freeport or another mining company wanted to actively mine the molybdenum in Red Lady, “It would take a lot of money. It would probably require all new underground workings just to start.”

“We appreciate the update and this improved communication and relationship with Freeport,” said Schmidt, “especially compared to the previous owners.”

Mt. Emmons mine site has two major projects on docket this fall

Tailing reclamation and major equipment replacement

by Mark Reaman

Some major work will take place at the Mt. Emmons Mine site this fall. Reclaiming and consolidation of a couple of mine waste tailings piles and replacing a major piece of equipment in the water treatment plant will start next month.

A public community open house to find out more about the mine site will be held Thursday, August 30 at the Crested Butte Town Hall from 4 to 7 p.m.

Mt. Emmons Mining Company (MEMCO) manager Dave Gosen told the Crested Butte Town Council Monday that since Freeport McMoRan (the owner of MEMCO) acquired the site in 2016 the global mining company has been analyzing the mine site to determine what is necessary to keep the water quality in good condition and make the operation run more efficiently.

This fall the most visible work will be conducted in conjunction with DRMS (Colorado Division of Reclamation, Mining and Safety) and Trout Unlimited. Tara Tafi of DRMS helped design the reclamation efforts and explained the details to council members and county representatives on a Monday afternoon tour of the sites. She said the work would start September 4 and last six to eight weeks. Eventually the sites will hold vegetation.

“We have spent two years since 2016 better understanding what we have and figuring out how to best run the water treatment plant safely,” Gosen said Monday evening. “In terms of safety, we’re serious about safety operations. Frankly, the water treatment plant is old and is at the end of its useful design life.”

Gosen said a major replacement operation would occur this fall with the replacement of one of two big filter presses that extract water from the sludge produced as part of the water treatment process. “That is probably the most critical piece of infrastructure to replace in order to keep the plant running smoothly,” he said.

The new, more modern press should be able to handle most of the water treatment work while the remaining old press will be used as a backup. To get the old one out and the new one in, the roof at the plant will be cut and a giant crane employed. Gosen said fall is the best time to perform such work since sludge generation is at a low point of the year.

Gosen said Freeport is evaluating how to overall best improve the outdated wastewater treatment plant for the long term. He said the analysis would take a few more years before a decision is made to either build a new plant from scratch or continue to update the existing facility. He said no matter the decision, the water treatment at the mine site will be stable and safe. The water is currently treated to go beyond safe drinking water standards, since it is dispersed into Coal Creek, a trout stream with aquatic stream standards.

During the afternoon tour, Jim Frank, owner of the company overseeing the plant, pointed out that while similar plants have a few violations each year, the Mt. Emmons plant has not had a violation in the last 13 years. Frank credited the consistency of the staff. He said the plant treats an average of 320 gallons of water per minute every day of the year. Most of the treated water comes from behind the bulkhead of the old portal located a mile inside Mt. Emmons. He said on an annual basis the treatment plant uses about the same amount of power as the ski area. The mine is also the single biggest client of the Gunnison County landfill, as they deposit between 75 and 100 semi-truck loads of treated sludge at the landfill each year.

In response to council’s questions, Gosen said the company has no plan to mine molybdenum from the mine site.

Town attorney Barbara Green reminded the council that Freeport signed a Memorandum of Understanding when they acquired the site “contemplating there would be no mining there in the future. The exact process to accomplish that has yet to be resolved but it is one element of the MOU they signed along with the town in 2016,” she said.

Water quality continues to be the priority, according to Gosen. “I would like to think at some point we could treat the water without a plant,” he told the council. He said Freeport uses some passive water treatment procedures in other locations but the amount of water treated at the Mt. Emmons site currently prohibits that option.

Overall, Gosen said, the company has taken an “adaptive management approach” to the site. “We look to make the most effective improvements we can, see if they work and move to the next project to improve the water quality and improve operational efficiencies,” he explained. “We work on what we think needs the most immediate attention and go from there.”

The reclamation of two tailings piles and the replacement of the filter press are falling into that category this coming September and October.

Restoration of iron fen on Mt. Emmons appears to be successful

Unique 8,000-year-old wetland is making a comeback

By Cayla Vidmar

The restoration of a unique wetland on Mt. Emmons is wrapping up this summer season. This special wetland—specifically called an iron fen—was designated in 1999 as a Natural Area by the state of Colorado because of the unusual chemical makeup of the water and soils that provide an ideal ecosystem for rare carnivorous plants and unusual dragonflies. The iron fen has likely been around for about 8,000 years, according to fen expert and senior research scientist and professor at Colorado State University Dr. David Cooper.

According to a report compiled for the Coal Creek Watershed Coalition by Dr. Cooper, “Where perennial ground water discharges to saturate wetlands all year, dead plant leaves, stems and roots only partially decompose and accumulate to form peat soils, and these ecosystems are fens.”

What makes the Mt. Emmons fen unique is that it contains a pyrite-rich bedrock and talus, characteristic of only a few fens in the region. When the pyrite oxidizes it produces sulfuric acid, “which, when dissolved in water, forms a strong acid that can leach ions from the rock, including iron,” Cooper states.

According to Colorado Parks and Wildlife, “Mount Emmons and a few other iron fens in the southern Rocky Mountains … are rich in mineral ions (especially iron and sulfur) but have a very low pH, which results in an unusual flora,” including small orchids and one of only four populations of roundleaf sundew in Colorado. Roundleaf sundew is a carnivorous plant that lures insects into a sticky trap, then digests its meal with enzymes before unfurling its trap once again.

The Grand Mesa, Uncompahgre, and Gunnison National Forests District (GMUG), along with the Army Corps of Engineers and Coal Creek Watershed Coalition, are working to restore the iron fen to pre–wagon road days, which runs parallel with Kebler Pass. The iron fen is located to the north of Kebler Pass Road on Mt. Emmons, and spans 15.1 acres across a sloping hillside.

In 2004 the Colorado National Heritage program conducted a “Survey of Critical Wetlands and Riparian Areas in Gunnison County,” which concluded that historic mining operations had dried up nearly a third of the original fen, but the remaining area was functioning well.

The dewatering of the fen is mostly being caused by water being diverted into a historic ditch away from the old wagon road. According to Ashley Hom, a hydrologist for the GMUG Forest Service, “Without that ditch the water would destabilize the hillside,” which poses a risk for Kebler Pass Road.

In 2015 a storm on Kebler Pass dumped rain on top of snow, causing “substantial surface flow” across the fen, down the hillside and onto the road, which prompted emergency action by the National Forest personnel to widen the ditch between Kebler Pass Road and the fen, according to the Mt. Emmons restoration and mitigation plan.

While the ditch helped stabilize the hillside by diverting water out of the ground, it also resulted in significant dewatering of the iron fen. This issue is what prompted the restoration project through the GMUG Ranger District, which began in fall 2016.

“The goal of this project is to restore the surface and groundwater hydrology, along with the native vegetation, on the portion of the Mt. Emmons iron fen that was impaired by the emergency action that extended portions of the historic ditch… and included construction of a rockery wall, spillway, culverts, and rip-rap on Kebler Pass Road to protect the road yet allow for natural surface and sub-surface water flow from the fen,” according to the restoration and mitigation plan.

There is still some work to be done, states Hom, including more ditch work, planting, feeding and monitoring in the area, which will resume this summer.

Eight monitoring wells have been placed in the fen, four above the ditch and four below the ditch, and hydrologists will monitor the ground water levels in the wells, and the restoration “will be considered successful if [the wells] below the ditch show the water table depth there to be decreasing or rising closer to the surface,” according to the restoration and mitigation plan.

The plan states that “restoring the presence of a shallow water table within the area should provide for fen-like hydrology,” which will, in turn, restore historic vegetation to the iron fen below the ditch.

“Overall the rehabilitation of the drainage ditch within the Mt. Emmons iron fen appears to be successful. Ground water levels have already risen to within 30 centimeters of the surface and water table levels below the ditch are within at least 15 centimeters of those above the ditch,” according to the GMUG watershed team.

There have been many agencies involved in the restoration of this unique swath of wetland, including the Army Corps of Engineers, which permitted the project, and the Coal Creek Watershed Coalition that allocated $45,000 for phases 1 and 2 of the restoration and mitigation project.

You can follow progress of the project and direct questions to Ashley Hom at the Gunnison Ranger District, (970) 642-4406 or ashleyhom@fs.fed.su.

Red Lady Coalition transforms itself with Mt. Emmons activity

Moving from education to advocacy dissolves RLC

By Mark Reaman

After more than a decade as a local organization participating in the effort to keep Mt. Emmons mine-free, the Red Lady Coalition is disbanding as a corporation. The board voted to dissolve the 501(c)3 non-profit organization but board chairman Bill Ronai said the board members are still very committed to staying involved in the outcome of the Mt. Emmons mine situation and will work as a more informal group of concerned citizens to see if a solution can be completed.

Education is a primary mission of 501(c)3 organizations and Ronai said under IRS rules, the board had to dissolve. “We have fulfilled our education objective by commissioning and disseminating the Center for Applied Research study that looked at how our economy works and assessed the economic ramifications to the valley if a mine were approved,” explained Ronai. “The study itself and the public awareness of its results were our educational purposes and those are now complete. Now our purpose feels more like advocacy because we are actively pursuing initiatives to have this situation permanently resolved.”

Ronai said the two primary goals of the members remain to protect the upper valley’s watershed through modernizing the decades-old water treatment plant and ultimately to get a congressional withdrawal of mineral rights on the approximately 6,000 acres of unpatented mining claims surrounding Mt. Emmons.

“Those are the two big goals we all want to see accomplished,” Ronai said. “Everything else falls under those two things.”

One avenue to modernize the aging water treatment plant is to support an idea put forth by mine owner Freeport McMoRan to privatize a small portion of the Forest Service land on which the plant sits. Freeport is willing to keep operating the plant and be monitored subject to a comprehensive contractual agreement. Ronai said the board of the coalition supports the privatization idea as a part of a total solution.

In a letter to supporters of the Red Lady Coalition, the board stated that “a contractual arrangement with extensive compliance and enforcement provisions…”

“…that are legally binding provide better assurances that our watershed will be protected than an underfunded and under-resourced USFS which itself has acknowledged its predicament and favors a contractual arrangement.”

“We want to see a conclusion and we will do whatever we can to help the involved parties along an agreed path,” said Ronai. “We do feel privatizing a small portion of the property can help the matter be settled. With proper safeguards in a contract, that could lead to an expeditious and totally acceptable solution as part of a comprehensive package.”

As for the end of the Red Lady Coalition organization, the website has been taken down, the Facebook page is dormant and the net distributable cash has been donated to the Coal Creek Watershed Coalition.

Mt. Emmons mine talks stall over privatization

“We have to go slow to go fast”

By Mark Reaman

Talks are continuing between the parties trying to figure out the best way to eliminate the threat of mining on Mt. Emmons, but a “significant hurdle” has been encountered.

It was reported at Tuesday’s joint meeting between the Gunnison County commissioners and the Crested Butte Town Council that mine owner Freeport-McMoRan is pushing to take some of the mining land on Mt. Emmons out of U.S. Forest Service control and transfer it to the company so it can more quickly address some of the clean-up issues.

Such a move would essentially privatize hundreds of acres where tailings piles, treatment ponds and the water treatment plant are located. Not everyone involved with the negotiations is on board with that idea.

“We had a meeting in Denver Monday and encountered a significant hurdle,” said Crested Butte town attorney John Belkin. “Freeport wants to clean up the site outside of the Forest Service purview. They don’t want to have to deal with the process and oversight of the Forest Service. Some call that privatization. Freeport said they want it transferred to more easily deal with the clean-up. There are obviously issues to be worked out and the best way to structure all of this is being contemplated. It will require untying some big knots. While the meeting was productive, it showed we have some thorny issues to deal with.

“There is a difference of opinion on the best way to handle the clean-up,” Belkin continued. “Some people have concerns with privatization. Freeport probably wouldn’t use that word and instead looks at it as a ‘transfer’ to facilitate the goal. They have real concerns with the Forest Service process.”

Attorney Barbara Green, whom the town has retained to help with the situation, agreed it is an unusual situation for the Forest Service to oversee that kind of clean-up.

“Having this sort of clean-up on Forest Service land is not normal,” Green said. “It is not so much a clean-up as it is work on the ponds, on the ditch and on the waste rock piles in an effort to minimize the pollutants running into the water treatment plant. Freeport is currently in the process of gathering information on the site to analyze their options.”

“The conversations among the parties have been frank and candid and difficult, but they have been focused on problem-solving,” added county attorney David Baumgarten. “We have a lot of work ahead of us, but we have a willing partner with Freeport-McMoRan.”

Baumgarten reminded the elected officials that the issue encompassed more than just a clean-up. While short-term characterization of the site is a part of the equation since Freeport isn’t yet sure what they own with the mine, he categorized the issues into “four silos.”

The silos include the underlying base idea of a mineral withdrawal to permanently prohibit mining on Mt. Emmons. There is the clean-up and stabilization of the mine site. The elements incorporated into improved and consistent water quality standards for Coal Creek and the long-term future of the water treatment plant or a functional alternative are the last two silos.

“Obviously there are differences on how those at the table would set the priorities,” Baumgarten said. “The conversations will continue and they may be difficult. We may have to go slow to go fast. There are no easy answers here. The ultimate intent is that mining doesn’t occur up there.”

“The roots of the discussions remain how to accomplish a mineral withdrawal while meeting everyone’s needs,” said Green.

“Freeport has never changed its messaging,” said Belkin. “They continue to say they have no interest in mining Mt. Emmons. The current presidential administration adds to the complexity and will make it a challenge to get anything done.”

Green said that everyone who needs to be at the table to get something done is part of the discussions. That includes the mine owner, representatives of the governor and state regulatory agencies, representatives of U.S. Senator Michael Bennet’s office and the High Country Conservation Advocates.

“We have everyone we need as long as we stay in problem-solving mode,” Green told the local officials. “We might be at the point where we just need to take some time and let Freeport gather the information from the site.”

“The issue now is that Freeport would feel better to privatize so as not to have the federal leash on them,” said Baumgarten. “But we say we are more comfortable with that federal leash on them.”

Belkin said the land in question would amount to a couple of hundred acres where the water treatment plants sits and where tailings piles and treatment ponds are located. “It is a small slice of the thousands of acres of unpatented mining claims,” he said.

“But because ‘privatization’ is such a charged word we are still trying to figure it out,” added Green. “The company is saying they want to own the mess that they bought from U.S. Energy and get on with this. The obvious implication of using that word is enormous. The state is there to help and willing to help cut through the knots but is mindful to not do anything contrary to the local desire.”

County commissioner Jonathan Houck pointed out the state had unique leverage with Freeport since the mining company had operations in other parts of Colorado.

“So if everyone is sort of on the same page, what’s the hold-up?” asked Crested Butte mayor Glenn Michel. “What will keep it moving?”

“Trust,” responded Belkin. “Between everyone.”

“Community dialogue is important,” added Green. “It is important for the elected officials to signal the importance of the withdrawal and the stability of the treatment plant to handle pollutants.”

Green suggested a joint letter from the county and town be sent to Freeport signaling the desire to continue negotiations, while acknowledging the mining company’s good work on the site.

“Given the history of this, I don’t have heartburn where we are right now,” said commissioner Phil Chamberland. “Trust is certainly needed. We have moved leaps and bounds in the last year and a half. Let’s all take a breath and slow down and not feel a sense of urgency.”

“This could take a lot of time to totally accomplish,” admitted Michel.

“I have trust in the staff and feel they understand the big picture and are moving accordingly,” said commissioner John Messner.

“It’s important on the local level for us to present a unified front,” said councilman Roland Mason. “We are in the best position we have ever been in. If it takes another two or ten years, it is okay as long as nothing is mined up there.”

“I don’t want to lose the momentum,” said Michel. “We want to keep moving forward. A permanent solution to the mine continues to be the top priority for the Town Council.”

“It is important to let Freeport know we appreciate what they are doing, but we want to keep the foot on the gas,” said Houck. “As David said, we might have to go slow to go fast. We’re in for the long haul.”

HCCA’s Alli Melton agreed that the process could take time. “We are at a sticky point when everyone needs to sit back and access the situation,” she said. “We are all learning together. This is an unprecedented situation. Let’s make sure we take the time to ensure it is done right.”

It was agreed that a joint letter would be drafted and sent to the mining company from the county and town. “I think we all understand that the process will indeed take some time,” Michel concluded.

Pact reached to keep Mt. Emmons mine free

Town and mining company collaborating 

by Mark Reaman

A momentous agreement to try and end any possibility of industrial scale mining on Mt. Emmons has been reached between the town of Crested Butte and the Mt. Emmons Mining Company (MEMCO). The unique plan relies on a heavyweight mining company asking the U.S. Congress to permanently withdraw mining claims from mining activity along with town voters passing a bond issue that won’t raise taxes. The end result would be a mine-free Red Lady.

The plan is the result of recent collaboration and negotiations with MEMCO, a wholly owned subsidiary of Freeport McMoRan that owns the rights to the molybdenum beneath Mt. Emmons (also called Red Lady) and the town.

It will take the voters of Crested Butte to approve a $2.1 million bond issue this fall and the town and the mining company will have to work together “to complete a disposition of the mining and mill site claims for $2,000,000,” but the first tangible step in that direction has been taken.

On Tuesday, the Crested Butte Town Council unanimously approved a Memorandum of Intent (MOI) with MEMCO along with ballot language for a potential bond approval in the November election.

Town planner Michael Yerman reported to the council September 6 that a MOI had been forged with the mining company to jointly work on a plan that would lead to the U.S. Congress and the president agreeing to a withdrawal of the lands on and around Mt. Emmons from future mining claims under the 1872 General Mining Law.

In exchange, the town would give MEMCO $2 million. Basically, the 9,000 acres of unpatented mining claims held by MEMCO that impact four local watersheds and stretches from Oh-Be-Joyful to behind Whetstone mountain to the base of Carbon Mountain, would go back into the federal land bank and never be allowed to be used for mining purposes in the future.

If the initiative is successful, a major industrial mine would never have the needed land to make any mine feasible. Yerman described the move as historic.

“Today marks the start of a new chapter in the history of Mt. Emmons,” Yerman told the council. “The MOI and the proposed ballot language is the first step to end the threat of mining on Mt. Emmons and begin a new chapter of remediation and working collaboratively on the environmental protection of our water quality.”

Yerman said this step stays in line with the Memorandum of Understanding (MOU) signed last February, when the mining company made it clear it had no intention to develop a mine on Red Lady.

Because a mining company purchased by Freeport once held the rights to the moly mine and the water treatment plant situated just west of Crested Butte, Freeport had some potential liability for water quality issues under federal regulations. So it negotiated the takeover of then mine holder U.S. Energy last winter and signed an MOU with the town, the county and several state regulatory agencies.

The MOU outlined a path to secure the safe, long-term operation of the water treatment plant, upgrade water quality in Coal Creek and possibly eliminate the idea of a mine in that location.

This week’s action speeds up the process and would make a mine impossible at the site.

Freeport would still be responsible for operating the water treatment plant that treats acid mine drainage from the old Keystone mine before it is discharged into Coal Creek.

If Crested Butte voters approve the bond this November, the money would not change hands until the federal withdrawal is completed. “Once these unpatented claims have been federally withdrawn, this will eliminate the threat of a mine of Mt. Emmons,” Yerman stated clearly. “No money is exchanged until that is done.”

Yerman said Freeport would benefit by eliminating the ongoing maintenance fees associated with the unpatented claims, further reducing the operational expenses of running the plant. “The MOI will enhance our efforts toward a long-term solution that is consistent with our town’s environmental values of water quality,” he said. “Both parties worked hard to find common ground and built upon our working relationship … a certain level of trust has been achieved on both sides of the fence to come up with a creative solution to end the threat of mining.”

The bond would not raise taxes on Crested Butte citizens or property. The money would instead be borrowed against future revenues coming into the town’s real estate transfer tax (RETT) fund. Over 15 years, the initial $2,110,000 borrowed would amount to $2,785,000 in repayments at 3.75 percent interest. If repaid in 10 years, the cumulative amount would be under $2.5 million. Annual payments would not exceed $250,000. This cap allows the RETT fund, which is targeted toward open space acquisition, some flexibility.

The RETT brings in about $525,000 annually so this cap on the maximum bond payment would leave funding available for future open space projects.

Councilman Chris Ladoulis said while the patented mining claims holding the ore are not part of the deal, the elimination of the adjacent property from mine operations makes a mine impossible. Yerman said the company needed some land to continue with water treatment plant operations and mine remediation.

Councilman Roland Mason asked for the worst-case scenario. Yerman said if the voters turned down the bond for some reason, the council would have to decide whether or not to use other town money to complete the deal. “But the bond allows the town to not become stressed. That’s why we are not using reserves,” he said.

Town finance director Lois Rozman confirmed that if reserves were used to pay the money, several projects in the town’s five-year plan would be put on hold and services to citizens might have to be cut back.

“We certainly want the support of the citizens on this so let’s focus on that,” said mayor Glenn Michel. “This ends the possibility of a mine on Mt. Emmons so I would encourage the public to support this ballot initiative.”

In response to a question from councilman Jim Schmidt, Yerman said preliminary discussions have been held with U.S. Senator Michael Bennet’s office about how best to deal with the process of a congressional withdrawal of the unpatented claims. Attorney Barbara Green said the senator’s office had been in the loop during negotiations “and we will use their political savvy for the best way to approach (Republican) U.S. Senator [Cory] Gardner’s office.”

Yerman emphasized that the mining company must be the entity to initiate the withdrawal for the action to be considered by Congress. “It is a big deal for Freeport and MEMCO to do the request. That is the only way it could lead to nonpartisan support. That is huge,” he explained. He said that action could take years or even possibly be completed by the end of 2016.

High Country Conservation Advocates executive director Brett Henderson lauded the deal to the council. “We are pleased to support both the proposed ballot measure and the new MOI,” he said. “The intent of the ballot measure, which is aimed at ‘preventing mining activity on Mt. Emmons,’ has been HCCA’s goal since we formed to stop the initial mine proposal in the 1970s.”

Jim Starr, president of the Coal Creek Watershed Coalition, echoed that sentiment. “We are a scientific, non-advocacy organization but we want the water in Coal Creek to be up to standards. This is a huge step in doing that.”

Red Lady Coalition chair Bill Ronai said the RLC supports the action “whole-heartedly. Our group conducted a major economic impact study of the valley and one thing it found was that just the potential of a mine hanging over the valley impacted the valley’s economy to the tune of about a million dollars a year. We will do what we can to help get this through Congress.”

Mine opponent Sue Navy, who was a founding member of HCCA, commented, “This has been a long time in coming. I know it’s not over until it’s over, but this looks great. I want to say thanks.”

Yerman too thanked a number of people and groups in getting the plan on paper. He especially pointed out the efforts of town attorney John Belkin. “This deal would never have happened without the round-the-clock efforts of our town attorney, John Belkin,” he told the council.

“This community will ignite the flame to keep this momentum going,” noted Green.

“Today truly marks a turning point in the history of Crested Butte. It is a win-win for MEMCO and the citizens of our community,” reiterated Yerman. “But it is not over. Our citizens can send a strong message this November.”

As stated in the agreement with MEMCO, “The parties recognize that this MOI is only a first step in a long-term relationship.” In other words, the intent is historic and the first real step has been taken, but there is still a whole lot of work that needs to be completed to reach the goals of the town and the mining company.

Mt. Emmons Mining Co. withdraws its Plan of Operations

Shifting focus to water treatment plant

By Mark Reaman

Another significant step in the long walk to end the idea of mining on Mt. Emmons was taken this last week.

The Mt. Emmons Mining Company (MEM) sent a letter to Gunnison District forest ranger John Murphy on May 9 instructing the Forest Service to “terminate its processing of the various pending applications, including any Plan of Operations (PoO) previously filed by US Energy. Accordingly, the USFS should also terminate any analytical work associated with such applications, such as NEPA-related assessments.”

In other words, the subsidiary of Freeport McMoRan that acquired the moly mine site from U.S. Energy is stopping any immediate intention to pursue mining activities on Red Lady.

As part of a Memorandum of Understanding (MOU) between the company, the town of Crested Butte, Gunnison County and various Colorado regulatory departments, the company will move toward upgrading and protecting the water treatment plant that sits on Red Lady and treats contaminated water. The idea is to eventually move toward a complete transition from any chance of mining on Mt. Emmons.

“In the coming weeks, MEM will be filing with your office a PoO to address the water treatment site, including a reclamation bond,” the letter, signed by MEM remediation projects manager David Gosen, states. “As we have indicated, having only acquired the site on February 11 of this year, MEM is currently focused on storm and surface water quality issues and we expect to start that work once the snow melts.”

Gunnison County attorney David Baumgarten said this isn’t the last step on the journey but it is very positive movement in the process. “This is certainly a significant step,” he said. “It is not the final part of the deal but it is a big step in the direction we all embarked on together through the MOU. The Mt Emmons representatives are being as good as their word.”

Crested Butte town attorney John Belkin agreed that the company’s correspondence to the Forest Service is meaningful. “Mt. Emmons Mining Company’s letter to the Forest Service is an important first step towards ending the mining threat on Mt. Emmons,” he said. “In many ways, it is a historic first step and reflects the commitment by MEM and Freeport to retiring the mine. We at the town are working closely with MEM, their attorneys and business team, to affect the matters in the memorandum of understanding, and we thank MEM for taking this important first step in the larger process.”

The High Country Conservation Advocates noted that under federal law, approval of a PoO is required before any mining-related activities can occur on public land. U.S. Energy had previously submitted to the Forest Service, and the agency was considering, two PoOs, one for the large mine proposal (submitted in 2012) and the other for a preliminary drilling program (submitted in 2014) to gather geotechnical and other data to support the main mine proposal. HCCA feels the latest action is major.

“These are significant positive developments toward a long-term, sustainable, and permanent solution for Red Lady and our watershed,” said Alli Melton, High Country Conservation Advocates’ Red Lady program director. “Now, with the termination of the PoO for the mine and with the intention to submit a PoO for the WTP, the skies are clearing over Red Lady. The reclamation bond, in tandem with Freeport/MEMC prepaying WTP operation for the next two years, as provided in the MOU, is much needed assurance that HCCA, other community groups, and the town and county have unwaveringly sought for years.”

Melton made it clear that the parrot isn’t dead yet and there is still much hard work to be done before finding a permanent mine-free solution for Red Lady and protection for the watershed, but major progress is continuing.

The Red Lady Coalition agrees with that assessment. “We think that this is excellent news and reconfirms our support for the MOU,” said Red Lady Coalition president Bill Ronai. “There is much work still to be done, but the letter clearly shows that Freeport is pursuing their stated intentions.”

Belkin told the Town Council on Monday that there is plenty of activity with the mine transition process. “After the snow melts, there will be a series of site visits to the site,” he said. “We have been creating a lot of maps of the property to help with the land transfers. There are lots of things in the works. Everyone is cooperating well. It’s all goodness.”

State officials also pleased with Mt. Emmons mining developments

“We are a good team”

by Mark Reaman

The evolving Mt. Emmons mine site situation is not just a local issue since state ramifications come with the site. Colorado regulatory agencies are a part of the deal, along with Gunnison County and the town of Crested Butte. Overall, the state agencies are also pleased with the positive movement taking place.

Last February, it was announced that the Mt. Emmons Mining Company (MEMC), a subsidiary of international mining giant Freeport-McMoRan Inc., acquired the mining site from U.S. Energy. U.S. Energy had been experiencing financial difficulties in recent months and the company was recently restructured.

The site acquisition came with the water treatment plant (WTP) on Mt. Emmons, also known as Red Lady, along with the mining permits, some land and the buildings. Under EPA regulations, Freeport had ties to the site when it purchased mining company Phelps Dodge in 2007. MEMC was a part of Phelps Dodge that controlled the mining rights and built the water treatment plant. Once tied to a site, a company always carries some potential liability for that site.

The county, town, MEMC and the state all entered into a Memorandum of Understanding (MOU) after the acquisition from U.S. Energy. That MOU outlines a path toward a permanent solution to keep the WTP secure and operating and to potentially take the idea of mining molybdenum off the Red Lady table.

Colorado Division of Reclamation, Mining and Safety (DRMS) director Ginny Brannon said the new developments are a “very positive move” from the state’s perspective.

“The site is in a better financial position with Freeport,” Brannon explained. “There has been concern that the treatment plant might stop operating for lack of funding and this assuages those concerns.”

Brannon said the change has brought good direction but it comes with hard work on the part of the mining company, the state and the local entities. “We are collaborating on a number of issues at the site. We’ve had numerous long meetings that were hard work, but we’ve always kept in mind that we have the same goals,” Brannon said. “We are a good team.”

The Water Quality Control Division of the state Department of Public Health and the Environment is a part of the MOU and it too is pleased with the transition of the mine site.

“All parties are working together. The move from U.S. Energy has changed the situation for the better,” said Water Quality Control Division director Patrick Pfaltzgraff. “The division has worked collaboratively with our sister agencies, local government and Freeport during the transfer of the site to discuss current and future issues.

“There is certainty for ongoing water treatment at the site and a commitment to work together on the issues at the site,” Pfaltzgraff continued.

Regular meetings between all the parties involved in the MOU continue to take place in an effort to come to a permanent solution for the Mt. Emmons site.