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Window of opportunity?

Every once in a while, a window of opportunity opens in life. Despite some nasty spring weather this week, the universe decided to open a window.
Thompson Creek Metals Co. has backed out of its option agreement with U.S. Energy, the mining company that holds the rights to take the molybdenum from Mt. Emmons.
Thompson Creek is real. It is a company highly respected in the mining world. CEO Kevin Loughrey is esteemed in the industry in general and the molybdenum trade in particular. The Thompson Creekers know what they are doing. And they have just backed away from a high-grade deposit of ore that is located in the mountain a stone’s throw from Crested Butte.
That action is real and it means something. Monday, between flights, Loughrey communicated to me that it was a decision of priority. To me that means the kazillion dollars-worth of moly in Red Lady isn’t a priority or at least very easy to get to within a certain profit parameter, at least right now. FYI, molybdenum is selling this week for about $17 pound.
So while many in this town will celebrate and declare victory (again), don’t be lulled into thinking this story is over. But a window has opened. U.S. Energy is not finished trying to mine the moly. They have already said they will re-establish contact with the Chinese to see if they want the ore. Seriously? Can you say hěn fán? I already know Tsingtao.
But the Thompson Creek decision makes it harder. A real company with real resources looked at the project and made a business decision to back away. So has an alphabet soup of smart mining companies: Amax, Kobex, Phelps Dodge, Climax. That has to send a message to the Larsen brothers who run U.S.E.
So now it might be time to look for the community to send a message as well. That message can include the fact that the community will continue to use every tool and pressure point to stop a potential mine that could damage the water we drink. But a second part of that message might be that it is time to end this war and find a permanent solution.

Some might argue that this is another sign a mine will never be developed and we can ignore it. That’s simply not correct. But let’s consider a shift and the idea of taking matters into our own hands. Is it time to approach the patent holders about a permanent solution where both sides walk away with a win? Can this community and its factions come together and rally to figure out a road map to take control of that land and thus its destiny?
Local politicos, the elected leaders of our community, might look at a mil levy for the county, the north end of the valley or the town of Crested Butte. That money could be used to at least pay the seven figures a year to operate and maintain the water treatment plant that sits on Mt. Emmons. It is a plant that will keep Coal Creek clear instead of orange. Now don’t do it unless you gain overall control, but U.S.E. could probably warm to the idea of taking that off its balance sheet.
Or think bigger. It might mean collaboration between the municipal governments, the area environmental organizations, the county, the local property owners and area businesses to define a plan where U.S. Energy benefits by washing its hands of this ill-fated mining project and it finally doesn’t have to worry about running a million-dollar plant it doesn’t want.
What other tools can the community utilize? Second-home owners? Conservation easements? Land trusts?
And then it will be the community that can decide to throw snow cats on that mountain instead of bulldozers. The community just might have a chance to take charge of its destiny. I’m just thinking out loud.

Windows of opportunity don’t always open easily. Sometimes they open just a crack. This one seems to be open in a spring storm and the snowflakes are pouring in, waking up everyone with hope and a chance. It doesn’t mean it will be easy. It doesn’t mean the window won’t close on our fingers. But it sure seems silly to ignore this chance and not try to at least explore what is on the other side of the glass.

By the way, some advice for our Chinese friends: Bú Yào and tiānì hěn lěng. (Loosely translated; We don’t want and the weather is cold here).

Proposed molybdenum mine on Mt. Emmons suffers major setback

The proposed molybdenum mine on Mt. Emmons has suffered a major setback. The primary partner, Thompson-Creek Metals Inc has pulled out of the project. See the announcement below and pick up a copy of the Crested Butte News this week for more details.
—Mark Reaman

 

Thompson Creek Terminates Option Agreement with U.S. Energy Corp.
Thompson Creek Metals Company Inc. (“Company” or “Thompson Creek”), a growing, diversified North American mining company, today announced that it has terminated its Option Agreement with U.S. Energy Corp. to acquire an interest in the Mount Emmons molybdenum project located in Gunnison County, Colorado. 

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Mine study, helicopters grounded for this summer

Permitting isn’t up to snuff

Odds are that the helicopters anticipated to be used for baseline studies on the proposed Mount Emmons Project won’t be flying in the nearby valleys this summer. In fact, all the baseline studies and the associated impacts likely won’t start until the summer of 2012 at the earliest. Read More »

Something’s got to change

 Writer’s Note: With the mine on Mt. Emmons gaining momentum, I found myself compelled to throw a few thoughts in the mix as the Forest Service closed out its comment period January 31. This is just the beginning, and as editor Mark Reaman says in this week’s editorial on page 2, “I wish it wasn’t necessary to talk at all about this issue, [but] it appears we are at the new start of a long process.”—MH

RE: Mt. Emmons Public Comment Period

Being a newspaper and magazine editor/journalist, I typically stay out of these discussions, but given the critical nature of this issue I can’t stay quiet. But I’m not here to speak for anyone else or as a journalist. I am reaching out to you as a member of this community. This mine will impact me personally—my business, my family, my future, my lifestyle, and my health. There is a whole community here with the same concerns.
Some disclosure—I’m an editor for the Crested Butte News, Backcountry Magazine, founder of local publishing company Stokelab Media LLC, a contributor to ESPN and a number of other publications and websites. I spend a lot of time writing and speaking about the Gunnison Valley, and make my living that way. Frankly, the mine fight is good for my wallet because it gives me something new to write about. But that is all it is good for, other than padding the wallets of U.S. Energy.
In my opinion you are beholden to a law that was crafted to help populate and extract riches from the western United States, not protect the environment and communities who are dependent on it for their livelihood. Consideration for a destination-based tourism economy wasn’t a concern when this law was crafted; really you can’t blame them, who could have foreseen how critical recreation and tourism would become to sustaining a place like Crested Butte? But things change; unfortunately, in this case, the law hasn’t evolved with our culture and economy. Thank you 1872 Hardrock Mining law. Something has got to change.
It disheartens me, scares me that the U.S. Forest Service is still beholden to an ancient law that was crafted without sufficient foresight for situations like these. I fear this mine greatly because I know the odds are all stacked in U.S. Energy’s favor. We get to submit comments for your consideration; lobbyists spend millions of dollars each year to make sure the mining industry gets its way. It’s an uphill battle that will be fought on one side by carpenters and waitresses versus corporate lawyers and corporate dollars. The carpenters and waitresses need the Forest Service’s representation far more than U.S. Energy. They’ve already got plenty on their side. Please keep that in mind as you make your decisions during this process. Imagine you live here, with your family and your community. What would you want the Forest Service to do?
I understand and respect that you as individuals have a job to do, just as I as an individual have the responsibility to protect my family, my community, and myself. What we are talking about here is the potential wholesale destruction of a community and tourism-driven economy. Point blank. I spend my working hours researching, editing and writing about all aspects of the tourism and recreation industry. Tourists don’t choose to visit towns with toxic water, industrial helicopters buzzing around, and a disenchanted, spiritually disemboweled populace. The bottom line is, even within just the state of Colorado, there are countless other places to visit. Unless you want to see where the longest running mine fight in the country was lost, and corporate interests crushed a community. That doesn’t sound like an attractive draw, does it?
As a destination, Crested Butte is unique for its inspired culture, vast and largely primitive wild places, and quiet solitude. That is why people come here. Our economy already suffers due to geographic isolation, and nothing is going to ever change that. But it also maintains its niche in the tourism industry because of all the latter unique-though-challenging qualities. Lose those attributes and not only are we hard to get to, but the public’s perception of this valley as a pristine destination will be shattered. There won’t be any way to hide it; the national media will be and is already all over this issue, believe me. I’ve spoken with several big-name writers from New York and around the country that are keeping their fingers on the pulse of this project and pitching stories to some of the top magazines in the country.
My final plea: Approving a new mine on the most iconic mountain in the town’s viewshed, and in the town’s watershed, is a direct endorsement of the destruction of the town’s economy, and will put the public’s health at risk to an absolutely unacceptable degree. Mitigation is reactive, not proactive. Never mind the impacts to biological capital and ecosystems outside of our anthropocentric perspective. This is a lasting decision that will impact generations of families, flora and fauna. You hold my fate and that of countless others in your hands. Please do everything and anything you can to factor that into the decision-making process. I beg you, as individuals, and as an agency. This may be the most important and impactful set of decisions you ever make.
Thank you for your time and consideration of my comments. I realize it’s a bit out of tradition for a journalist to approach the Forest Service in this scenario, but for me personally it is too important not to comment.

Start with common sense

First off… that reference to Dickie Brown as Klinger from the TV show MASH by forester Jeff Burch at the Mt. Crested Butte mine meeting last week… that was funny. Lighten up people.
But on the main point, here’s what I heard more than once at the Forest Service-sponsored meetings on the mine. The Forest Service cannot categorically deny anyone a Plan of Operations for mining activities on public lands. But I didn’t hear the Forest Service representatives say they had to categorically approve a proposed Plan of Operations, either.
A friend described the Wednesday meeting in Mt. Crested Butte as “sobering.” Still, information that came from the meeting presents opportunity. There may be opportunity in trying to get the agency to look at the project as a whole and putting appropriate restrictions on the plan. Instead of picking up one crumb at a time, the whole cookie should be considered.
The agency seemed a bit off the mark when pressed by High Country Citizens’ Alliance president Billy Rankin that they had promised to look at everything as a whole instead of in pieces. While I understand that information the baseline studies produces will help with the big picture, there are a lot of pieces from this puzzle floating around right now.
There is a water quality issue with Coal Creek right now. I cannot overstate my dissatisfaction in the U.S. Energy response when questioned about the results of state tests showing huge spikes in heavy metals going into parts of Coal Creek. The right answer from U.S. Energy CEO Keith Larsen is not pushing off obligations and responsibilities, but rather standing up and saying unequivocally that the company would try to be a partner with the community and find out with the help of the town how to solve any pollution issues. Alas, that’s not where Keith went and that is disappointing. But it is a piece of the puzzle. It is a crumb.
Then there’s the drift issue. The state is allowing a prospecting drift, or tunnel, that will result in piles of waste rock that could ultimately pollute the water in the basin even more. They want to start that drift this summer. That should be a piece of the puzzle. It is another important crumb.
What appears to be a quick NEPA review of the proposed baseline studies through the Environmental Assessment process is another piece of the puzzle. The mining company would like those studies to ideally take place this coming summer. When U.S. Energy’s Fred Kraft wouldn’t even venture an approximate guess of the number of helicopter trips needed as part of the baseline studies, that should be a red flag to the Forest Service that more finite information is needed before even considering approval for the tests.
The helicopter issue appears to be a major concern for people in the tourist town of Crested Butte. It seems a bit rough to be flying what could be multiple helicopter trips every day starting July 1, which is the start of the six busiest weeks of the year. I like Jeff Deutsch’s suggestion to restrict the flights and let them fly moderately in June and not at all between July 1 and August 15. Protection of the environment, including the human environment, seems reasonable.
So there are some things the Forest Service can do and they should do them. They shouldn’t make a decision in a vacuum. If there is water pollution in Coal Creek from Mt. Emmons, if a new prospecting tunnel and its impacts are part of the greater but immediate plan that should all be considered as part of the process. That just makes common sense.
Another thing to take into consideration… if the Forest Service cannot ultimately refuse a PoO outright, there are other agencies that have permitting power as well and concerned citizens should be aware. The state, the county and the town of Crested Butte all have some legitimate regulating authority over these proposals.
Crumbs seem to again be falling from the cookie that is a proposed mine a few miles from Crested Butte. While I again reiterate that I wish it were not necessary to talk at all about this issue, it appears we are at the new start of a long process… and putting common sense to work and looking at the big picture is the least everyone involved should be required to do.

Mt. CB mine meeting digs deeper, stirs passions

Forest Service obligated to approve a plan

As expected, the second of two U.S. Forest Service meetings concerning a proposal by representatives of the Mount Emmons Project to conduct geotechnical studies packed a bit more zip than the first. The second meeting was held Wednesday, January 26 in Mt. Crested Butte and drew more than twice as many people and took twice as long as the first meeting, which was held in Gunnison the night before. Read More »

Moving along

Things aren’t slowing down any on the mountain that rises above the town. If you care either way about a mine just west Crested Butte, be aware things are moving along at a pretty good clip. I suppose when you start talking billions of dollars, people pay attention and keep moving toward that pot of gold. That’s to be expected.
I really don’t want to write about the mine. I don’t really want to think about the mine. I don’t want to think about what appeared to be something closer to rain on a Monday afternoon in January than snow. But while the temperatures will drop at some point, the mine this week feels like a juggernaut.
There are three stories in the paper this week concerning the possible molybdenum mine on Mt. Emmons. The state brushed aside an appeal by HCCA, and the mining company will be allowed to dig a new tunnel to the kabillion dollar moly deposit. The mine owners sent a nine-page response on why the heavy metals charted the last couple of years in Coal Creek on Mt. Emmons aren’t really a problem for the company. They’ll sit down with state reps on Friday. And then there is a preview of the two upcoming meetings concerning the mine. The meetings are “informational” and put on by the Forest Service. I get a feeling the Forest Service wants a chance to explain ahead of time why they can’t say no to the next step (baseline studies) in a mine above Crested Butte. Can you say lots of helicopters?
Like it or not… and most people up here don’t like it… if there is $10 billion in moly beneath Red Lady, the juggernaut isn’t going to just fade away. I guess this is simply an awareness update. In sports terms, it was a good week for the visiting team.

Things aren’t stopping.
Thompson Creek paid another million bucks to U.S. Energy just a few weeks ago for the chance to keep investigating how to dig out the ore. Last week, the state said go ahead and dig a new drift. The mine company this week said while there are indeed heavy metals coming off the mountain, it isn’t their responsibility and if you measure it differently, it isn’t so bad. The Forest Service next week appears ready to explain why baseline studies have to be okayed to find the best places for a mill and other mine facilities.
I’m just saying… things are moving at a pretty good clip.
By the way, the price of molybdenum oxide closed early this week at just over $17 a pound. According to Thompson Creek’s website, it is estimated there is more than 760 million pounds of high-grade molybdenum beneath Red Lady. You do the math and tell me why things would be slowing down.

USFS to host meetings on new mining proposal

Tuesday in Gunnison, Wednesday in Mt. Crested Butte

Two informational meetings concerning the proposed molybdenum mine on Mt. Emmons will be held by the U.S. Forest Service in the valley next week. The first will take place Tuesday, January 25 at the South Ballroom at the Western State College Student Center from 5:30 to 8:30 p.m. On Wednesday, January 26, the meeting will be held in Mt. Crested Butte at the Lodge at Mountaineer Square Conference Center from 7 to 9:30 p.m.

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Comment period open on mine proposal

A public meeting will be held in January

Given the sensitivity of anything having to do with a proposed Mt. Emmons molybdenum mine, the U.S. Forest Service is trying to cover every base with any proposal having to do with the project. As a result, the agency is asking for significant public input concerning a Plan of Operations (PoO) for Mt. Emmons Geotechnical Baseline Studies from U.S. Energy Corp. Written comments will be taken until January 31 of 2011 and a public community forum is tentatively slated to take place sometime in the middle of January in Crested Butte. The mine company would like to start the studies this coming summer. Read More »