Donlin Gold: A project with real potential

By Marleanna Hall

In its scoping comments on the Donlin Gold project’s upcoming Environmental Impact Statement (EIS), RDC urged the U.S. Army Corps of Engineers (Corps) to consider the social and economic benefits of the proposed mine to the region, state, and nation.

The Donlin Gold project is located in Southwest Alaska, approximately 277 miles west of Anchorage, outside the community of Crooked Creek. It is located in a region of Alaska that experiences high unemployment with few employment opportunities. Through the exploration stages, Donlin has shown a strong commitment to local hire and for supporting communities and cultures in the region.

The project is on surface land owned by The Kuskokwim Corporation, and subsurface land owned by Calista Corporation. The project is in the early phase of the permitting process and the Corps recently solicited public comments as part of its efforts to prepare the EIS.

In a March 29 letter to the Corps, RDC also urged the agency to acknowledge the potential for the project to bring lower cost energy options to the region that could benefit both residential and commercial users, and provide for energy infrastructure. RDC encouraged the Corps to also consider the job opportunities the project would bring, leading to reduced out-migration, which in turn would help maintain rural schools and allow people in the region to maintain subsistence activities.

As an example of how the Donlin Gold project would transform the region economically, RDC highlighted the Red Dog Mine. Located in the Northwest Arctic Borough, Teck and NANA Regional Corporation’s joint project employs more than 550 people, of which 56 percent are NANA shareholders. In partnering with NANA, Red Dog operations make royalty payments to NANA, with much of the money redistributed to other regional and village corporations through the shared wealth provision of Alaska Native Claims Settlement Act (ANCSA).

RDC stressed that the Donlin Gold project would be done in a way that creates opportunity for local employment and economic growth, while protecting the subsistence resources and culture of the region, and protecting the environment.

In a letter submitted by Millrock Exploration Corporation, Greg Beischer, President & CEO, pointed out the major social benefits of the project, including reduction of energy costs, increased employment, local and new business opportunities, potential tax revenues, access to improved local health care, increased quality of education, improved health, revenues to Native Corporations (through ANCSA), and economic diversification.

“The Donlin project has the ability to transform the entire region and create truly sustainable communities,” Beischer said.

Long-time RDC board member Steve Denton of Healy addressed the social benefits the project. “Many communities in the region are losing population not only from high cost of living, but perhaps more importantly, from lack of gainful employment,” Denton said.

Denton also highlighted the effectiveness of the State of Alaska’s permitting and regulatory program, noting that when coupled with federal and local programs, permits require a project be designed to eliminate all significant risks to the natural environment and human health and safety.

In its letter, RDC applauded the State’s rigorous permitting process that reviews and analyzes all potential impacts and benefits, noting Alaska’s existing mines are operating to the highest standards and in harmony with renewable resources.

To view RDC’s letter, and letters by members, visit: http://www.akrdc.org/alerts/2013/donlinmembercomments.html

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