Alaska mining industry health update.
Position | Industry Overview |
Alaska's mining industry, which topped $1 billion for the first time in 1996, continued its strong growth in 1997. According to the latest edition of Alaska's Mineral Industry, exploration, development and production of the industry increased 13 percent in 1997 to a new record of $1.162 billion.
"Alaska's world-class mineral deposits continue to attract attention from around the globe," said Gov. Tony Knowles. "The mining industry continues to show strong growth thanks to the healthy partnership between the industry and state. That partnership means making Alaska open and ready for business by working with industry to expedite the permitting process while the mining industry works with the state to do development right, which means protecting Alaska's air, water, and fish and wildlife habitat."
The rise follows on the heels of a 10 percent improvement over 1995 levels. According to the report, exploration investment of $57.8 million in 1997 was up 30 percent from 1996, and production expenditures of $936.2 million were up 59 percent. These increases combined to more than offset a 57 percent decline in development expenditures from $394 million in 1996 to $168.4 million in 1997.
Exploration was widespread throughout the state. Highlights include the addition of new reserves at the Red Dog Mine near Kotzebue; doubling of the resource at Pebble Copper near Iliamna and at Donlin Creek near Iditarod; identification of a 4.5-million-ounce, high-grade gold resource at Pogo near Delta; and many exciting prospects throughout Interior and Southeastern Alaska.
Development projects included work on the mine and port at Red Dog, on the pit and leach pad at Illinois Creek south of Galena, on the tanks and tailings dam at Fort Knox, and permitting at the Kensington Mine near Juneau, which is now fully permitted.
"Despite falling metal prices and market concerns, there was a record number of mining locations established in Alaska in 1997," said Department of Natural Resources (DNR) Commissioner John Shively. "Exploration and future production are vital, especially in rural areas where mineral development provides...
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