2016 Alaska Mining

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Alaska Miners Association Convention

Sunday, March 27, 2016

Welcome, Alaska Miners! By Deantha Crockett

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Hello, Fairbanks! This week, hundreds of Alaska miners will gather at the Carlson Center for several days of presentations, gatherings and showcases of all things mining in Alaska. We are excited to hold the Alaska Miners Association’s biennial convention in Fairbanks every other year, and this 25th anniversary of the event is no exception. The Alaska Miners Association is, as a large part of you readers already know, a professional trade association established in 1939 to promote responsible mineral development in Alaska. AMA members come from seven statewide branches. Outside of Fairbanks, our branches are located in Anchorage, Healy, Juneau, Kenai, Ketchikan/Prince of Wales Island and Nome. Alaska miners include those at the large operating mines and development projects, small family placer mines, and vendors and contractors who support Alaska’s mining industry. To this day, AMA’s main objective is to ensure Alaska’s miners are able to responsibly operate and provide

Deantha Crockett, Executive Director

contributions for Alaska’s economy, just as it was over 75 years ago. During our biennial convention, mining issues and projects will be featured as we put our collective heads together to work toward growth. These are challenging times for Alaska miners, but miners are no strangers to challenge. If you stop by the Carlson Center this week, you’ll witness this firsthand — people coming together to find solutions to ensure our industry remains strong.

Being Fairbanksans, it is no doubt you all know a miner. They are your next door neighbor or married to your son’s teacher or helped you pan for gold at last year’s Tanana Valley State Fair. I join them this week in welcoming you to our silver anniversary convention, just as your community welcomes those of us that are excited to visit this great city. Thank you, Deantha Crockett, Executive Director

Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

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Welcome to the AMA 25th Biennial Conference By Mark Huffington, AMA 25th Biennial Conference Committee Chairman Sitting here at my desk thinking about the upcoming Alaska Miners Association 25th Biennial Conference, I feel so fortunate of the wonderful people that I have met and became friends with in my five winters in Fairbanks. I love Interior Alaska and Fairbanks as it offers a wonderful place to live for enjoying a career I so dearly love — that of being a miner. Through my professional career, I have realized that miners are a wonderful group of people who care for others and will gladly jump in to help others; miners are family. If you know a miner or meet one, show appreciation by saying thank you as

mining has provided the raw material for countless products and services that we all enjoy in our daily lives. It has been an honor to chair the AMA Conference Committee for such a milestone event of having the AMA Fairbanks Chapter host this conference in Fairbanks during the week of April 4-9 at the Carlson Center. The conference’s theme of i)FSJUBHF t $PNNVOJUZ t &DPOPNZw XJMM CSJOH miners, educators, professionals and vendors from throughout Alaska and other parts of the globe. With Alaska being in the forefront of Arctic mining and exploration,

the week-long event will highlight innovation and research surrounding arctic environments with two days of short courses and three days of technical sessions that will also include mining projects throughout Alaska. Conference attendees will enjoy tours of local area mines and even the Permafrost Tunnel north of Fairbanks. Exhibitors of local and not-so-local mining-related vendors will display their products inside the Carlson Center, and heavy equipment will proudly be displayed. The conference allows attendees to reacquaint themselves with old friends and the opportunity of making

new ones. There is nothing like sharing stories at a vendor’s booth over a cup of coffee of what once was and what will be. Listening and learning from speakers during the short courses and technical sessions will excite even those with decades of experience, and the novice will go away shaking their head thinking, “I didn’t know it could be done this way, um, why didn’t I think of UIBU w Of course, miners love to feast at banquets. The Westmark will be the site for the conference banquet Thursday evening with good fellowship, entertainment, and silent and live auctions

supporting the Alaska Resource Education program. The banquet’s keynote speaker will be Warwick Morley-Jepson, executive vice-president and chief operating officer of Kinross Gold Corporation, who will share wisdom relating to his 35-year gold mining career. Let us not forget the Alaska Mining Hall of Fame Foundation. The foundation will be holding its special hall of fame event honoring mining pioneers and new hall of fame inductees on Wednesday evening at 7 p.m. at their museum in downtown Fairbanks at 825 First Ave. There will be something

Mark Huffington, AMA 25th Biennial Conference Committee Chairman

for everyone interested in mining at this weeklong event. It’s one that all miners can be proud of. For more information about AMA and the 25th Biennial Conference, visit the alaskaminers. org website and Alaska Miners Association Facebook page.

Resource Development Council for Alaska, Inc. (RDC) By Marleanna Hall, Executive Director

The Resource Development Council for Alaska, Inc. (RDC) is a statewide, nonprofit, membership-funded organization comprised of individuals and companies from Alaska’s oil and gas, mining, timber, tourism and fishing industries. RDC’s membership includes all

12 land-owning Alaska Native Corporations, local communities, organized labor and industry support firms. Our purpose is to link these diverse industries together to encourage a strong, diversified private sector and grow Alaska through responsible resource development. RDC’s strength comes

from the diversity in its membership and in the statewide 78-member board of directors. With the broad interests we represent, RDC is able to link a diverse network to help advocate for a strong private sector economy through responsible resource development. RDC tackles many issues these industries face through our involvement with the legislature and with state and federal agencies. RDC rallies its members to public hearings to support projects that will create new jobs, result in new opportunities for Alaskan businesses, and expand our economy. RDC was formed in 1975, originally as the Organization for Management of Alaska’s

Resources (OMAR). After three years working to obtain a trans-Alaska gas pipeline, RDC changed its name to reflect its broader agenda of education and advocacy on all resource issues in Alaska. RDC’s efforts are broad and far reaching, including support for oil and gas exploration and development in the Arctic, advancement of the Alaska LNG project, support for access to and development of new mineral prospects, support of economic timber sales for the forest products industry, and measures that will grow tourism and sustain our fishing industry. A major priority of RDC this year, as well as the last 20 plus years, is the implementation of a sustainable long-range

fiscal plan for Alaska - one that will encourage new industry investments to grow the economy over the long term. As a resource development state, Alaska and our economy depends on the development of our natural resources. As a matter of fact, it is engrained in our constitution: Alaska’s constitution, Article XIII, “It is the policy of the State to encourage the settlement of its land and the development of its resources by making them available for maximum use consistent with the public interest. The legislature shall provide for the utilization, development, and conservation of all natural resources belonging to the State, including

Marleanna Hall Executive Director

land and waters, for the maximum benefit of its QFPQMF w RDC believes, that if we are given even half the chance to develop a project, Alaskans can and will do it right. To learn more about our recent efforts, or to sign up for updates, visit akrdc.org.

Alaska Miners Association Convention

Sunday, March 27, 2016

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Alaska has a rich mining history that stretches through several centuries. Alaska miners have persevered throughout the years by hard work and innovative solutions to a sometimes harsh and unforgiving environment. After Alaska’s statehood in 1959, the 1971 Alaska Native Claims Settlement Act (ANCSA) and the 1980 Alaska National Interest Lands Conservation Act (ANILCA), established a settled land and mineral estate. Innovative solutions for environmental protection and stakeholder engagement were integral to initiating the modern era of large-scale mining, with the 1989 startup of the Red Dog and Greens Creek mines. More than a quarter century of production from the Red Dog Mine is a result of a pioneering 1982 agreement between the resource owner NANA Corporation (an ANCSA Native corporation), and Cominco (now Teck), the mine operator. The mine accounts for nearly 5 percent of the annual world zinc production. Development and production at Hecla’s Greens Creek Mine, the only operating mine in a U.S. National Monument, was made possible by a compromise provision in ANILCA. Greens Creek is the largest silver mine in the U.S. and accounts for 1 percent of the world’s annual silver production. At latitude 65 degrees north, the Kinross Fort Knox gold mine, near Fairbanks, is

the northernmost heap leach operation in North America and is producing 40 percent of its 2015 annual production of 400,000 ounces of gold from the year-round Walter Creek Heap leach facility. Fort Knox will pour its seven-millionth ounce of gold in 2016 after 20 years of operation. The SMM Pogo gold mine, near Delta Junction, poured its three-millionth ounce of gold in 2015 and is celebrating its tenth year of operations. The mine uses radio identification tags to track specific lots of ore during hauling and stockpiling to improve mill feed continuity. Pogo has engaged the Institute of Northern Engineering at University of Alaska Fairbanks to study the efficacy of using remote-operated vehicles to expedite underground minerescues. Alaska has the potential to supply new materials to fuel green energy systems in North American and PacificRim markets with Graphite One’s Graphite Creek deposit, containing 13.3 million tons of large-flake graphite, and Ucore’s Bokan Mountain rare-earth element deposit, with 103.8 million tons of contained rare-earth oxides. Ucore is investing in creative ore-sorting and metallurgical technologies to produce high-purity individual metal products. The Alaska Mineral Industry remained strong in 2015 despite lethargic global minerals invest-

ment markets and collapsing commodity prices. Alaska’s diverse geologic provinces; world class gold, copper, lead, zinc and coal deposits; and under-explored potential continue to attract exploration capital. Alaska’s world-wide significance in zinc, lead, gold and silver production from five major metal mines remained nearly steady despite a sharp decline in metal prices since 2013. Slightly lower coal production at the Usibelli Coal Mine is due to the weakened Pacific-Rim coal market. Mineral exploration in 2015 includes ongoing drilling and pre-development work to advance gold, polymetallic, porphyry copper, rare-earth element and graphite resources across the state. Additional prospects are undergoing discovery phase of drilling and surface exploration. The Alaska mineral industry is effected by low commodity prices, as are all Alaskans, but still contributes a significant amount of revenues to state and local government, with over $100 million dollars in royalties, taxes and other payments in 2014. David Szumigala is a Fairbanks-based geologist with more than 30 years of experience studying and discovering mineral deposits in Alaska and the western United States. Dave is an active member of the Alaska Miners Association (AMA) and currently serves as the treasurer of the Fairbanks branch.

Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

Anna Atchison’s childhood taught her about the balance between nature & life By Amanda Voshell

Since April 2013, Atchison has served as the external affairs manager, managing the social responsibilities program, at Fort Knox Mine in Fairbanks, Alaska. So, what exactly does an external affairs manager do and how did she get here? “The guiding principle that captures what I do is managing our social SFTQPOTJCJMJUZ QSPHSBN w she said. “This is essentially tracking and measuring our actions aimed at continuing as a responsible corporate citizen and developing new initiatives. Are we communicating our excellent safety and environmental records? Are we meeting our commitments? Are we continuing to add significant value to the community? Do community stakeholders know about our people, their good works and our commitment to them? Are our many financial investments in non-profits truly making a difference? â€œIt is important that we engage the community as whole in this discussion and that our employees know about the good UIJOHT XF BSF EPJOH w TIF said. “I have been here going on three years. I can’t believe that, it’s just whizzed by! I am where I always wanted to be. I work with safety-focused, hardworking, generous, accountable, family oriented people who love their job just as much as I do. We appreciate good,

fair pay and top-notch benefits and work in an industry that allows for dreams to come true. Mine has, and I am so blessed to CF IFSF w Atchison’s fun-humored, gracious nature and appreciation for the Earth’s bounty hatched in the early 1970s as a young girl growing up in a remote homestead lifestyle, unique to Alaska. She and her family occupied a little two-room cabin, “with a MPęw BDSPTT GSPN UIF -JUUMF Su River at the base of the Talkeetna Mountains. Atchison’s mother homeschooled her until the fourth grade, when they did eventually move into Wasilla, and taught her how to live a life without limitations. They did not have running water, power, or modern amenities, so they lived a subsistence lifestyle, eating seasonally off of the land, collecting fresh chicken eggs and blueberries, fishing for salmon, drinking the milk of their stubborn HPBU i/BOOZ w BOE VTJOH animal hides for clothing. “My mom made all of our clothes, which meant I spent a couple of summers in the same beaded, moosehide short coveralls, which * TUJMM IBWF w Her childhood also afforded Atchison many fun adventures, one including exposure to her uncle’s placer mining operation. “I grew up with a basic sense and appreciation of

XIBU NJOJOH XBT w TIF TBJE “My uncle, Paul Mahoney, was a well-known placer miner in Dawson City and we visited him during a couple summer trips to the area. One visit we spent the whole summer — all seven of us — living in a teepee near the banks of the Yukon. I’ll never forget UIBU TVNNFS w As a young woman she followed the love of her life to Fairbanks and quickly decided that it was a good place to start putting down some roots. “Coming from a community that was geographically spread out, and not very diverse, I connected to Fairbanks immediately and quickly became an advocate for its people and DPNNVOJUZ w TIF TBJE i* continued my education at UAF, graduating with a degree in natural resource management with an emphasis in DPNNVOJDBUJPOT w But she didn’t immediately go into the mining sector after that. In fact, she made several stops along the way, one of them being the meat department at the local grocery store, and in the process developed a great appreciation for being multi-dimensional. “I have done many different things and I am so glad to have that FYQFSJFODF w TIF TBJE “Six years working in the grocery business, several of those in the meat department, taught me the

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value of hard work and good customer service skills. It also taught me that that wasn’t what I wanted to do all of my life! I have worked on several political campaigns, for the local Chamber of Commerce working primarily on resource issues, a couple of summers spent as a tour guide, in health care public relations, public mediation and facilitation, business development — all of these have opened my eyes and provided me with tremendous experience. I am thankful that getting XIFSF * XBOUFE UPPL UJNF w Atchison credits her mother for her ambition — as a strong, influential mother, and a professional in the working sector but who can also share her own wealth of intuitive knowledge. With all of her experiences and everything she does today, how does Atchison juggle it all? “I simply balance it the best I can, and if it starts to feel out of balance in one area, I make small, reasonable changes to bring JU DMPTFS JO BMJHONFOU w TIF said. “For me, this includes family, faith, health and exercise, making time to laugh and being around people who are a positive influence in your life. “Recently my work took me away from family for a little longer than VTVBM w TIF TBJE i8IFO * returned I naturally felt like I was out of balance. I unapologetically took some time that week to dedicate to things that brought my family (and me) back into balance. Things like just hanging out on the couch holding my kids, getting errands done that were

lagging, getting up early with my husband to have coffee together, and going for an enjoyable fall hike — things that are necessary but also good for the soul. “If I don’t make this a priority, I find that all areas of my life suffer. This includes working out, sleeping well, drinking enough water and eating for health. These are very important to me and I make them a priority. I firmly believe that if those things slip, for most of us, other things start to slip. We are better employees, parents, spouses and friends if we take care of PVSTFMWFT w “Directly regarding balance of family, I am fiercely devoted to the fact that the four of us come first. My husband and I have one very important role during these few years: prepare our kids to leave us as joyful, compassionate,

respectful, engaged members of society who actively trust in and follow God. “An important part of my job is traveling to meet with stakeholders in the region, state and most recently, in South America. Can this be challenging as a mom of two girls in elementary school? Sure. And, it is hugely rewarding. The challenges are immensely cushioned by my husband, Shane, who keeps things running well at home, and works for a pro-family employer; I can only be successful through his TVQQPSU w “The bottom line is life is so much richer if you stay USVF UP ZPVS WBMVFT w As Atchison discovered from an early age, when you respect the balance of your values and are true to your own nature, life works.

Alaska Miners Association Convention

Sunday, March 27, 2016

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Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

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Council of Alaska Producers

Joe Usibelli, Jr. has mining and the Alaskan tundra running through his veins

By Karen Matthias

By Amanda Voshell

As a third generation Usibelli, growing up in the middle of the familyowned mining camp established in 1943 by his grandfather, Joe Usibelli Jr. has mining and the Alaskan tundra running through his veins. Joe was born in 1958 in Fairbanks and grew up at the remote mining camp, only accessible by airplane, with his parents and five siblings. Joe was only 5-and-ahalf years old when his grandfather passed away in a mining accident just prior to the 1964 earthquake. Joe’s father moved the family to Stanford so he could work on a master’s degree, but returned with the family to the mining camp when Emil Usibelli passed away. Joe and about 20 other kids called Usibelli Camp home. Naturally, they had very strict boundaries of where they were allowed, but the surrounding woods served as a great place to have tree limb sword fights and build tree forts. The camp was set up to function like a little city, complete with a post office, one-room schoolhouse, bunkhouse and a cookhouse where the miners ate. There were plenty of activities going on at the cookhouse, such as bingo, movie night and holiday fun to keep miners and their families entertained. Growing up, Joe recalls getting lots of visitors to their house. With one of only

two phones located at the Usibelli residence, people were frequently coming and going. In the late 1960s, the transportation system improved and the road to Healy was completed. Shortly thereafter, in 1971, the Parks Highway was completed, connecting the Interior to Anchorage. “We went down to the Hurricane Bridge, in school buses, for a field trip, to see the dedication. It really changed the atmosphere. There always was a road to Fairbanks, but you had to take a car ferry across the Tanana River. It was so much easier to jump in a QMBOF BOE UBLF BJS TFSWJDF w Usibelli Coal Mine is recognized for its early and innovative reclamation process. UCM started doing reclamation in 1970, long before it was required. “The biggest innovation with our reclamation plan was studying and trying to figure out how do you reclaim an arctic environment. What can you get to grow? What can you plant that will stabilize reclaimed ground, prevent erosion, deal with the harsh winters and seasonality that we have here. There was nobody in Alaska, at that time, and few now, that grows seed crops, and where do you get grass seed that will grow here. So we spend a lot of time with that, and have a lot of researchers, consultants, agronomists, and scientists in Alaska

and Canada that help us do test plots. We have tried a lot of different things. Not many people ask us why we would do this, why did we do it? The reason is because we were born here, we grew up here, we are Alaskans, we care about Alaska, we care about the land and we live here. We live right beside the mine. I have my whole life. I care about it and as a result we did something about it. And that is important. I think some people give us this label, give miners this label, all we do is take from the Earth, but we take from the Earth for the benefit of society and as a result of the coal mine that is here the energy crisis in Fairbanks and in Alaska is less than it would be otherwise. It is a local resource; it is geographically located in interior Alaska and contributes to the benefit of interior Alaska both in energy costs and in jobs, and the benefit of the economy here. “ Another really interesting fact about Usibelli Coal Mine is that there are second-, third-, and fourth-generation employees that, like Joe, also grew up there. Many of these people went to grade school and high school alongside Joe. That says a lot! “We try to foster B GBNJMZ BUNPTQIFSF w +PF said. Since Joe’s grandfather first hit ground with his International TD-40 dozer, there have been countless

changes to the policy and permitting structure of mining in Alaska. So how has Joe adapted to the challenges since stepping in as the president in 1987? “Early on, it was how do you mine coal, dealing with equipment breaking down, overcoming challenges of weather, the actual mining operations were the biggest challenge. The advancements of equipment over the last 40 years have made the mining side easier. Since I have been president, the regulatory issues, permitting, inspections, federal and state agencies, the bureaucracy, being scrutinized on a weekly basis and inspected multiple times a month, years and millions of dollars to get a single mine permit have created a system that is all about process rather than purpose. At times, it is very discouraging and seems to MBDL DPNNPO TFOTF w Joe still lives in Healy, next to the mine, with his wife, Marilyn, and daughter, Lexi. Usibelli Coal Mine: a great place to work, live and raise a family.

This year’s legislative session in Juneau has seen a flurry of presentations on proposed changes to the Alaska mining license. This prompts the question: What should Alaska’s mineral tax policy be? Presumably we want to find the balance between a reasonable share for the state and a competitive rate for industry that attracts investment. Why? Because a robust, responsible mining industry contributes to Alaska’s economic diversity by providing good jobs, procurement and contract opportunities for local businesses, state and local government revenue, and revenue sharing to Alaska Native corporations. It’s easy in Fairbanks and the Interior to see the benefit of mining. Don’t get us wrong, this is not about “taxing UIF PUIFS HVZ w 8F BSFO U opposed to paying taxes to support vital services in our state. We already do. Our members have had to make tough decisions to optimize operations, cutting budgets and positions over the past four years of declining mineral prices. We appreciate the depth of the state’s fiscal challenge and concur with many key elements of the governor’s fiscal plan for Alaska. The Alaska Miners Association and the Council of Alaska Producers have been consistent in our message: To achieve fiscal sustainability and a stable investment climate, we support strategic reductions in the cost of government, use of the Alaska Permanent Fund earnings, and broadbased revenue measures to fill the remaining gap. However, targeting one or a few resource industries for tax increases is divisive, discourages investment and does little to balance the

Karen Matthias, Managing Consultant

budget. In his State of the State address in January, Gov. Bill Walker said that if Alaska were a country, we would be the eighth-most mineral rich nation in the world. But despite billions of dollars spent on dozens of exploration projects since the 1980s, we currently only have five large metal mines and one coal mine in the whole state. Alaska has unique infrastructure challenges that result in longer and more costly development timelines than other mining states and countries. Given the high cost of development, we need a tax policy that makes Alaska more competitive and encourages investment in the mining sector. What other industry in Alaska has the potential to be double its current size? Alaska is home to more than a dozen advanced exploration projects, and just one of them going into production would bring more revenue to the state of Alaska than the proposed tax changes. The state must keep its eye on the prize, keep our current operations strong and bring new mines into production to increase the taxpayer base. Many Alaska communities, hundreds of Alaska businesses and thousands of Alaska miners and their families depend on a healthy mining industry. Karen Matthias is managing consultant of the Council of Alaska Producers.

Alaska Miners Association Convention

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ALASKA MINERS ASSOCIATION

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International Tower Hill Mine By Rick Solie

Tower Hill Mines is making progress with its Livengood Gold Project and continues to believe in the project’s potential. The project is located 70 miles north of Fairbanks on the Elliott Highway, in the centennial gold rush town of Livengood and boasts over 20 million ounces of gold resources (17.7 measured and 4.4 of inferred resource). If constructed, the mine would be similar

to Fort Knox, employing approximately 400 workers in family-wage jobs. “Livengood has all the fundamentals in place: gold resource, location, supportive community and strong team, and I remain committed to the jobs and economic opportunity it SFQSFTFOUTw TBJE 5PN *SXJO CEO. These fundamentals create a solid foundation for the project. The company has focused on reworking its 2013 feasibility study

in an attempt to bring the estimated capital and operating costs down and improve the economics. By thoroughly reviewing all aspects of the project, Tower Hill’s work has included extensive metallurgical test work and mine plan and engineering reviews. Optimizing the mill size to potentially reduce the throughput to something less than 100,000 tons per day assumed in the feasibility study could lower capital and operating costs. “We’re looking at everything: the ore body, our mining procedure, water management, tailing disposal and milling, including a onestage as well as a two-stage mill. We’re looking at how to PQUJNJ[F WBMVF w *SXJO TBJE One area of focus in the company’s optimization

efforts is a potential to accelerate the processing of higher-grade ore, leaving lower grades until later. Fort Knox followed this approach in its initial production. Another area of possible cost savings is water management and how to manage water most efficiently. This past summer, Tower Hill conducted pump tests on a regional aquifer and determined there was a substantial amount of water that could supply the project. This could potentially reduce the on-site water storage needs and lower costs. As well as the aquifer tests, Tower Hill continued its eighth year of environmental baseline studies. Those activities are necessary for eventual permitting and include rock characterization, water, air

quality, wetlands, wildlife and cultural resources, to name a few. The data has demonstrated that the environmental impacts of the project can be successfully managed. Energy is a major cost for the mine, and Tower Hill is still looking at purchasing power from Golden Valley Electric Association or generating its own. Natural gas from the North Slope via a pipeline or the Interior Energy Project could potentially reduce energy costs. The company

continues to monitor those efforts. A distinguishing aspect of the Livengood Gold Project is the team — experienced, respected Alaskans who have a history of building and operating mines right. They are led by Tom Irwin, a mining veteran who provided leadership for the Fort Knox mine and was Alaska commissioner of natural resources, and Karl Hanneman, chief operating officer, who is a lifelong miner in Alaska and led the development of the Pogo Mine.

High-Grade Information: Alaska Division of Geological & Geophysical Surveys – Mineral Resources Section

By Larry Freeman

The Mineral Resources Section of the Alaska Division of Geological & Geophysical Surveys researches and evaluates Alaska’s undiscovered mineral resources using its expertise in mineral deposit geology, geophysics, geochemistry, and mineral-resource evaluations. Publishing the results of geologic and mineral-resource research and evaluation directly meets the Department of Natural Resources’ constitutional mandate to promote responsible development of Alaska’s natural resources and the division’s statutory directive to determine the potential for production of metals and minerals on state land. To determine the state’s mineralresource potential, Mineral Resources Section staff conduct geophysical surveys, geologic mapping, mineral-resource

assessment, and ore deposit research. They also track mineral industry exploration and discoveries, development, and production. Additionally, the section’s expertise and knowledge are sought for other departmental actions such as state land selection conveyance prioritization, land-use plans, land disposal actions, review of federal actions, and infrastructure planning. Since 1993 the data products of the Airborne Geophysical/Geological Mineral Inventory (AGGMI) program have been an important component of successful resource exploration programs. Products have contributed to the privatesector discovery of more than 22 million ounces of gold in the Salcha River-Pogo and Livengood areas. Airborne geophysical data is used

to assist with geologically mapping an area, particularly in areas with poor bedrock exposure. Minerals exploration companies routinely use DGGS airborne geophysical data in their exploration programs. Freegold Ventures Limited recently announced a 2015 discovery drill hole at their Shorty Creek prospect near Livengood that encountered 300 feet of coppergold-silver mineralization with values equivalent to 0.71 percent copper. The hole targeted a DGGS airborne geophysics-delineated magnetic anomaly coincident with private-sector geochemical and other geophysical anomalies. Exploration, discovery, and resource development contribute significantly to the state’s economy and tax revenue. DGGS collected 4,500 square

miles of airborne geophysical data and published more than 9,500 square miles of data in maps and digital data for download during 2015. The largest of the surveys collected and published in 2015 was the federally funded Tanacross fixed-wing magnetic survey. The Tanacross survey was funded by the U.S. Geological Survey Minerals Program to support its YukonTanana terrane mineral-resource potential analysis, and it fills gaps between previous AGGMI data sets. Data collected in previous years from the Southern Dishna River, Fox Hills, Beaver Creek, Farewell, Middle Styx, Tok, and Tonsina helicopter-borne electromagnetic and magnetic surveys were published during 2015. The geophysical, geological, and resource surveys conducted by the

DGGS and UAF geologists at the start of multiple transects across the Hona pluton, which is host to gold mineralization and has been prospected for porphyry copper mineralization. The Hona pluton is in the Tok Geophysical survey area. (Larry Freeman, DGGS)

Mineral Resources Section not only inventory the potential for mineral resources but also add value to the state in terms of current and future revenue. Over the last two decades the state has conducted airborne-geophysical surveys for 11 percent of state lands. In 2014,

one-half of the state’s mining claim revenue came from the division’s geophysically surveyed areas. In 2014, mining claim revenue averaged over all state lands was 8 cents per acre, but in areas covered by a geophysical survey revenue was 37 cents per acre.

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Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

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Alaska Division of Geological & Geophysical Surveys – Engineering Geology Section By De Anne Stevens

The Engineering Geology Section of the Alaska Division of Geological & Geophysical Survey (DGGS) focuses on three major program areas: geologic hazards, including active faulting, climate and cryosphere hazards and coastal hazards; geologic mapping, including corridor

studies and engineeringgeologic mapping; and geohydrology. Maps and reports produced by DGGS are the front-line source of information about where damage from geologic hazards is likely to be greatest and where mitigation efforts should be concentrated. Engineering-geologic maps depicting construction materials

Aerial photograph of Panorama Mountain and the Nenana River, looking south along the proposed Alaska Stand Alone Pipeline (ASAP) route. Seven faults or fault systems have been identified that potentially intersect the pipeline route and represent an active fault hazard that can now be planned for. Photo by Rich Koehler, DGGS.

State-of-the-art image processing technology was used to make these three-dimensional model views of Shaktoolik from highresolution aerial photographs. The left image is in true color and the right image shows color-indexed elevation derived from the photography. In the elevation model, blue is lower elevation and red is higher elevation. Images by DGGS.

resources are important for building infrastructure to support resource exploration and development, and for locating valuable placer mineral deposits. Groundwater analysis and aquifer modeling and mapping are essential to ensuring an adequate and safe supply of water for development and resource access. This group’s recent projects highlight the wide range of activities that DGGS engages in to meet its statutory mission to determine the potential geologic hazards to buildings, roads, bridges and other installations and structures, as well as the locations and supplies of groundwater and construction materials. Potential seismic

Scientists from DGGS’s Climate and Cryosphere Hazard Program and the University of Alaska Fairbanks install a weather and ablation monitoring station on West Fork Glacier to help understand how climate change may affect Susitna basin hydrology and impact river discharge to the proposed Susitna–Watana Hydroelectric Project. Photo by Gabriel Wolken, DGGS.

hazards along gas pipeline routes: DGGS recently completed a major study that identified seven active faults that intersect proposed in-state pipeline routes, including the AK LNG gas pipeline. While data

The leading edge of this frozen debris lobe was only 130.9 feet from the Dalton Highway on May 21, 2015. It is expected to overrun the road within the next decade. Photo by Trent Hubbard, DGGS.

on active faults is critical in designing and constructing pipelines that cross these structures, knowledge of inactive faults also has important

implications, as seismic hazard mitigation will not be needed in these locations.

This modeled simulation of Fish Creek watershed in the National Petroleum Reserve in Alaska (NPR-A) shows the depth to groundwater in an area with abundant lakes. These lakes are sometimes connected by streams when groundwater levels are high, thus allowing fish migration. Green lines are creeks and white areas have surface water. Image by DGGS.

Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

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Division of Geological & Geophysical Surveys Research Contributes to Targeted Exploration Discovery By David LePain

Onshore northern Alaska is one of the most prolific hydrocarbon provinces in North America. According to a 2012 U.S. Geological Survey assessment, 28 billion barrels of oil equivalent have been discovered (cumulative production plus proved reserves) in this province to date, and they estimate that the mean volume of undiscovered,

the geology of the region, including the distribution of source and reservoir rocks. Since 2005, the DGGS Energy Resources Section has published numerous maps and reports, supported many relevant graduate student research projects, and given several dozen presentations on the geology and petroleum

reservoir intervals in Repsol’s and Armstrong’s recent discovery in the Colville Delta area. A preliminary well test of their Nanushuk reservoir yielded up to 4,600 barrels of oil per day with no pressure drawdown, indicating a relatively large and continuous reservoir. Field production rates, which will include contributions from other

Stratigraphic cross-section showing the sequence stratigraphy of middle to upper Cretaceous strata, including the Nanushuk Formation.

the Energy Resources Section contributes to discoveries such as this. Our work spurs

exploration investment and development success by providing unique, high-quality, relevant

information in the public domain to reduce investment risk.

Photo showing the uppermost part of the Nanushuk Formation, updip from the ultimate Nanushuk shelf edge. We infer that Repsol’s Nanushuk reservoir is in correlative rocks in the subsurface to the north, and probably includes similar facies. Placing their discovery in a schematic sense on the cross-section (Repsol’s discovery is north of this cross-section), it would likely be in the northeast half of the yellow (marine) Nanushuk polygon. Abbreviations: ss. = sandstone; sltst. = siltstone; mudst. = mudstone; sh. = shale; Fm = Formation; MCU = midCampanian unconformity; HRZ = highly radioactive zone; NPRA = National Petroleum Reserve–Alaska; ANWR = Arctic National Wildlife Refuge.

technically recoverable resources is approximately 30 billion barrels of oil plus 181 trillion cubic feet of nonassociated gas. Finding and producing these resources requires high-quality, detailed information explaining

potential of northern Alaska. Much of this work has focused on petroleum source and reservoir rocks in the Brookian sequence, including extensive work on the Nanushuk Formation, which includes one of the

reservoirs in addition to the Nanushuk, are estimated to be roughly 120,000 barrels of oil per day. Producing this resource will generate significant revenue for the state treasury. Results from applied research by

Figure 3. Timeline showing the impact of applied research by DGGS and materials archived at the Alaska Geologic Materials Center (GMC). Histogram shows the number of DGGS publications by year since 1980 that address the petroleum geology of northern Alaska. During this time period several bedrock geologic mapping projects and stratigraphic studies were carried out that are directly relevant to the reservoir intervals in Repsol’s and Armstrong’s discovery. Particularly relevant is DGGS work on the Torok and Nanushuk Formations on State lands between the Colville and Canning Rivers.

Alaska Miners Association Convention

Sunday, March 27, 2016

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Alaska Miners Association Convention

Sunday, March 27, 2016

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Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

This year marks the 20th anniversary for the Fort Knox Mine. Production of the mine began in 1996, and the first gold bar was poured in December 1996. Before the existence of the mine, the Fort Knox area was explored and mined for placer gold deposits since 1902. Historically, the surrounding Fairbanks Mining District has produced in excess of 8 million ounces of gold, predominantly from placer deposits, and placer mining operations continue to this day. As the placer miners discovered and mined gold in the Fish Creek valley, so is Kinross Gold with its hard-rock open pit gold mine. The Fort Knox Mine, Alaska’s

largest open-pit gold mine, is located 25 miles northeast of Fairbanks near the Steese Highway’s Cleary Summit. Between 1989 and 1992, the area known as Fort Knox saw major exploration activity, and by 1996 the mine produced its first gold ounces. The mine currently encompasses 12.5 square miles with its open pit, heap leach facility, mill, wetlands, and freshwater reservoir. Due to the hard work of over 650 employees who reside in Interior Alaska, the mine produced 401,553 ounces in 2015 and is Alaska’s largest gold producer. Dec. 18, 2013 saw a significant milestone when the mine poured its 6-millionth

ounce of gold. The mine anticipates producing its 7-millionth ounce in 2016. Since 1996, Fort Knox mined 840 million tons of rock from its open pit and processed 435 million tons of gold-bearing ore in its mill and heap leach facilities. The average production mined from the pit for 2015 was 167,000 tons per day. To achieve these production numbers, the mine uses a massive fleet of heavy equipment that includes three 35-cubic-yard hydraulic shovels, three 23-cubic-yard loaders, 44 haul trucks each capable of moving up to 240 tons of ore, seven blasthole drills, and several pieces of large support equipment including track dozers, motor graders, water trucks, loaders, and backhoes. This equipment consumes a daily average of 45,000 gallons of diesel fuel. None of this is possible without a dedication

Sumitomo Pogo Mine

of the city of Fairbanks, and Steve Jones was the chancellor of the University of Alaska Fairbanks. At this time 10 years ago, Alaskans had just received their 2005 Permanent Fund dividend of $845.76. The pipeline had 759,081 barrels of oil flowing through it each day, the average price of gold was $610.65 in April 2006, and Alaska’s oil was selling for $67.74 per barrel, also in April 2006. So much has changed in 10 years. Just 10 years ago, Pogo Mine was preparing for actual production. We had worked for years on exploration, environmental studies, permitting and construction. We were

ready to mine and produce gold. Jan. 12, 2016, marked the 10-year anniversary of the first ore to the mill at Pogo, and Feb. 12 was the 10th anniversary of our first gold pour. We are proud to have 10 years of operations under our belt. Pogo has come a long way. The transition from construction to operation can be tricky because the mindset is so different. In construction, you have deadlines, a project to complete before the next one starts. There’s a start and there’s a finish, and oftentimes there can be multiple paths from the beginning to end. Creativity is important because

Kinross Fort Knox By Mark Huffington

By Chris Kennedy

Ten years ago Nintendo released the Wii in North America at a list price of $249.99, the solar system was redefined as Pluto was downgraded from a planet to a dwarf planet, and the Winter Olympics were held in Tulin, Italy. Closer to home, Frank Murkowski was Alaska’s governor, Jim Whitaker was the Fairbanks North Star Borough mayor, Steve Thompson was still mayor

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to safety. Many great safety accomplishments were achieved in 2015. The administration group (i.e., warehouse, safety, environmental, accounting, human resources, engineering, surveying, geology, exploration) has not had a loss-time incident since April 2005 and has worked six years without a reportable incident. Mill maintenance has not had a loss-time incident since July 2003. Mill operation’s has worked two years without a reportable incident. Mobile Equipment Maintenance has not had a loss-time incident since December 2006. Mine operations achieved one year without a loss-time incident. Keeping safety at the forefront of everything done at Fort Knox is the first and most important priority. Fort Knox and its employees are proud to be part of the Fairbanks

community. Fort Knox’s commitment to the community in 2015 was demonstrated by its employees donating over 4,000 hours of recorded volunteer service to Fairbanks-area organizations. These hours included Fort Knox sponsored events, activities supporting local organizations, and employees who volunteer their personal time to area organizations. Fort Knox showed further commitment to the Fairbanks community by donating to 99 area

nonprofit organizations throughout 2015. This included funding of the second $1 million commitment to the University of Alaska Fairbanks. Fort Knox has proudly accepted its role as a safe and environmentally responsible mine and will continue these efforts throughout the coming years with its proud and dedicated workforce.

sometimes you need to find a way to make things work. The operations phase is different. It’s not about finishing the project; there’s a much longerterm view. A production environment focuses on safety, increasing performance, ensuring things are done the right way, and developing leadership. Today’s Pogo Mine boasts an outstanding safety record, top-notch environmental performance, and significant investment in our people. Production naturally follows. Milestones are important. They give us concrete accomplishments to celebrate. We’ve achieved

10 years of production, 3 million ounces of gold produced, and two years without a lost-time injury. But just as important are the intangibles, the things that are harder to quantify. Strong relationships with local businesses. Investment in local services. Support for local charitable organizations. Relationships with local communities. And our employees. The absence of any one of these elements could have prevented successful operation. We are grateful to the community for providing so many excellent miners, strong businesses, and support for our operations. We look forward to continuing these relation-

ships. Thanks to our team of talented exploration geologists, Pogo has the potential to operate for many years to come. As they work to extend the life of our mine, the rest of our workforce continues to hold safety and environment as values every day. We want to continue to be a part of this community. Our commitment to Alaska is long-term. And without the long-term support of our community, Pogo wouldn’t be here today. Thanks for playing such an important role in Pogo! Chris Kennedy is general manager at Sumitomo Pogo Mine, LLC.

Mark Huffington is environmental superintendent at Fort Knox Mine.

Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

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chairman of the board, and his grandfather, Emil Usibelli. Usibelli employs approximately 115 full-time workers. More than one-third of the workforce are second-, third- or fourth-generation family members. There are more than 600 fulltime jobs attributable to the coal industry in Alaska — high paying, skilled jobs to the Alaska economy. Abundance The mine’s surface mineable reserve on current leased lands is estimated to be approximately 700 million tons; more than 350 years of supply at current rates. Affordable Coal-fired energy is one of the lowest cost

power producers in Alaska. Environmentally sound In addition to very low sulfur content, Usibelli coal is low in mercury and other trace elements of concern, making it one of the cleanestburning coals in the world. It was no surprise that in 1970, six years before the government required, the Usibelli family pioneered a successful reclamation program. The ultimate goal of restoration is to establish a natural landscape on previously mined land. The earth is contoured and then seeded with a carefully researched mixture of grasses and plants indigenous to northern regions including alder,

Closing of the True North Mine

environmental disturbances are effectively working. If issues arise, we address them. Throughout the reclamation process, our commitment to environmental stewardship guides us in our environmental performance. At True North, regulatory requirements were exceeded. The Alaska Department of Natural Resources does not require planting of trees, but in 2012 we decided to helped nature out a bit and planted 30,000 seedlings. The chosen species were black spruce, white spruce, birch and alder. The state of Alaska is a member of the Interstate Mining Compact Commission (IMCC)

Usibelli Coal Mine By Bill Brophy

Usibelli Coal Mine, Inc. (UCM) is a fourth-generation family-owned business operating in Healy. Emil Usibelli, founder of UCM, provided 10,000 tons of coal in 1943 to Ladd Field, now Fort Wainwright, at the request of the military during World War II. Today, the company produces approximately 1.5 million tons of ultra-low sulfur, sub-bituminous coal to six power plants in Interior Alaska. Four are cogeneration plants providing both

By Jennifer Pyecha In 2001, mining commenced at True North Mine. During its four years of operations, 530,000 ounces of gold were produced with 25 million tons of waste. In 2009, FGMI made the decision to permanently close True North. Prior to mining, a Reclamation and Closure Plan and Financial Assurance (FA) must be approved and provided to the state. The True North Mine Reclamation and Closure Plan (R&C) is designed to return land disturbed by mining operations to a stabilized and near-natural condition, ensure the long-term

electricity and space heat. A mine-mouth plant operated by Golden Valley Electric Association includes the 25 MW Unit No. 1 and 50 MW Unit No. 2, which are located adjacent to the mine site. Over the years, Usibelli coal has been exported through the Port of Seward to several Pacific Rim destinations. The People Joe Usibelli Jr. is the president and a member of the third generation to lead the company following his father, Joe Usibelli, now

protection of land and water resources, minimize or eliminate long-term management requirements, and meet state and federal regulatory requirements. The plan describes the existing site condition, schedule for reclamation, general reclamation procedures and methods. The FA letter of credit is based on the plan and is provided in the form of an Irrevocable Standby Letter of Credit. It is the amount of money it would cost the state to hire contractors to perform the work outlined in the plan. The current letter of credit is $620,336, reduced from the original $3,006,526.

Between 2005 and 2012 , the 480 acres disturbed by mining activities have been graded, scarified and seeded. To date, 200 tons of fertilizer has been broadcasted over the disturbed area. Growth media has been placed on 140 acres. Trails that were removed due to mining activates have been re-established. In 2012, the state confirmed True North was reclaimed in accordance with the R&C Plan. Simply put, we did what we said we were going to do. We are now in the post-closure phase. During this phase, we ensure and verify mitigation efforts used to address

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spruce and willow. What’s new? t ćF +VNCP %PNF Mine will begin to produce coal in earnest by the end of year 2016. Base line data collection started in 2002, pioneer road construction began in 2005, and seven miles of new haul road construction was completed in 2014. Jumbo Dome will be a valuable complement to UCM mining operations; capable of producing an abundance of good quality coal for more than 40 years. t "ęFS NPSF UIBO three years, Wishbone Hill Mine in Sutton received a renewal of its mining permit during 2015. UCM continues to pursue a potential customer for the

bituminous coal deposit as current international market conditions have declined. t 6$. BDIJFWFE POF calendar year of no lost-time injuries during 2015 and more than 555 continuous days as of January 22. Usibelli Coal Mine’s commitment to provide a quality product, on schedule, at a reasonable price utilizing innovative technology and dedication to environmental excellence has earned the mine a position of leadership in Alaska and in the U.S. coal industry. Usibelli Coal Mine: a great place to work, live, and raise a family.

True North Mine reclaimed 2015.

which comprises 26 member states, and is the only interstate body of its kind for mining in the USA. Alaska’s Department of Natural Resources recommended that Kinross Fort Knox apply for a reclamation award for its work at True North. Fort Knox received an honorable mention in April 2015. It’s a prestigious distinction. Each year, only one such award is handed

out in three categories — coal, non-coal and small operator. When merited, honorable mentions are given out as well. Reclamation is not limited to the Fort Knox environmental department. It takes all departments, vendors and contractors to create a legacy. We extend our gratitude to all involved and for continuing support and look forward seeing the reclamation progress.

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Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

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“Variety is the spice of life and I have enjoyed my variety.� – Roger Burggraf By Amanda Voshell I am sure it is no surprise to anyone that Roger Burggraf was presented with the William A. Egan Outstanding Alaskan of the Year Award this year at the Chamber of Commerce luncheon. Roger was under the impression that he was supposed to go to the chamber luncheon to lend support at Deantha Crockett’’s iQSFTFOUBUJPOw BOE XBT TIPDLFE when it was really a ploy. So what brought this upstate New Yorker to Alaska and drove his great passion all of these years? Upon hearing about his childhood, it is evident that two of Roger’s instinctual traits into early manhood are strength and survival. Roger’s father passed away when he was just an infant, and at the ripe age of 14, the time when he was able to start defending himself against an abusive alcoholic stepfather, he knew that he would have to leave home and find refuge elsewhere. He moved in with a family that had a farm he could work for room and board and still managed to be president of the student council and play high school sports. Staying with the first family soon became intolerable, so Roger made a decision to move on. Fortunately Roger had befriended Fred Lamb, the smartest kid in his class. He suggested that Roger come and stay with them. Arrangements were made, despite threats from the husband of the first family to prevent Roger from staying in the area. Mr. Lamb had been a professor at Cornell University, and his wife encouraged Roger to enroll there upon his graduation from high school. He felt that he wasn’t properly prepared to enter college and applied for the opportunity

to take post-graduate studies at high school (This was unheard of in 1949). The Board of Education allowed Roger to take classes. He worked half days operating a small milk plant bottling milk and making cheese at the farm next door. Few graduates from Mayfield Central attended college, but in 1950 five other classmates joined Roger at Cornell. While still in high school Roger joined the Navy Reserve, going through basic training and determining that as an officer he would be able to think for himself and have more control over his life. After high school Roger knew that he needed to make some money to go to college. He heard that there were a lot of opportunities in the Alaska Territory to make money, so Roger hitchhiked across the country and purchased a ticket in Seattle to Southeast Alaska. He arrived with just a duffle bag on one arm, a sleeping bag on the other, and a phone number for a friend of a friend. The first impression that Roger had of Juneau was that the streets were up and down and all around. He didn’t know where he was going to stay or what he was going to do, but instead of worrying about that, he spent two hours checking the place out. He eventually arrived at the Baranof Hotel and asked to use their phone to call the number he was holding. When he called he was told that “they have company at the moment, but it would be OK to come by later; UIFZ XPVME MJLF UP NFFU IJN w )F distinctly remembers the man giving him directions to take a right at the governor’s mansion and that their house was around the corner. When he got out of

the telephone booth he asked the first person he crossed paths with for directions. Roger has a special memory of the man with whom he asked directions. “I am Roger Burggraf, can you tell me XIFSF UIF HPWFSOPS T NBOTJPO JT w This man was very nice and gave Roger directions. “I said thank you and I introduced myself, and he replied ‘I am Governor Frank Heintzleman.’ I was in Alaska less than two hours and there I was face to face with the governor of "MBTLB w Roger arrived for dinner at the house of the friends of his friend, the Argetsingers, and afterward offered to wash dishes. Mrs. Argetsinger didn’t care for housework or washing dishes and was so impressed by Roger’s manner that she quickly offered him a place to stay in exchange for household chores and working in the garden. Roger settled into the basement of the Argetsingers and after about three weeks found work at the lumber mill in town. He noticed that the people he worked with were good people but had a tendency to swear like a bunch of sailors. He quickly learned the ropes and from time to time would patron the old Red Dog Saloon for entertainment, watching from the corner, as schoolteachers fresh off the boat kicked up their heels. He came back every summer after that and has plenty of wild stories to share about all of the rich experiences that stirred up his love for Alaska. In 1953, while in Alaska, Roger purchased an Alaska malamute pup (sire and dam were World War II army sled dogs). Roger returned to Cornell and the dog was struck by a car requiring that his right front leg be amputated if he was going to survive. Chinook soon became known as Tripod at Cornell. He followed Roger to school each day and attended classes with him. He liked to sit on the stage where the professor lectured. He would be attentive but when bored would fall asleep, occasionally snoring. Tripod loved to attend football and basketball games. His appearances at one of the football games led to the referees and players trying to chase him off of the playing field and served as a form of amusement

for spectators at the game. He attended the ROTC parade events making an A-list appearance during official ceremonies. He soon became the unofficial mascot of Cornell University. During Roger’s senior year at Cornell he met an attractive Estonian student named Malle Kaysta. She was admitted to the U.S. as a displaced person sponsored by the Kelsey family near Cornell. After several encounters among mutual friends he finally introduced himself to her. “She did not remember me, CVU TIF EJE 5SJQPE w 3PHFS MBVHIT Roger graduated in 1955 and after that summer, when he returned from Alaska he had a beard. Malle loved the beard and wanted him to keep it, but he was having a tough time finding an apartment to rent. He quickly recognized that his beard was the culprit, and upon shaving, to further instill his suspicion, an apartment became available. He worked briefly for the New York State Conservation Department before his active duty into the service. He went through the Artillery school at Fort Sill, Oklahoma, and Ranger School at Fort Benning. Malle graduated in 1956. Tripod must have made a great first impression because they were married shortly after she graduated college in the fall of 1956. Roger’s proposal went a little something like this: “I love you, and I want to marry you, but I am going back to Alaska and if you are not interested in Alaska, UIFO ZPV BSF OPU JOUFSFTUFE JO NF w Roger went to active duty status in February 1957 and though he and Malle tried to get stationed in Germany or Alaska, they instead found themselves at Fort Devens, Massachusetts, which they enjoyed nonetheless. In 1959 Roger got out of the service and the two packed up to make the long-anticipated trip to Alaska. “We drove up the Alaska Highway and met up with the .JDIJHBO FST w IF TBJE "T ZPV may remember, the Michigan 59ers was a large group of 21 families, from Detroit, with the intent on starting a homestead in the Kenai region of Alaska. “I had a four-wheel truck and ended up pulling them out of ditches and KPJOFE UIFJS HSPVQ w " SFQPSUFS

from a Detroit newspaper was with the group the entire passage, and Life Magazine sent a photographer. By the time they hit Alaska, the group was practically famous. In Tok, Roger and Malle came across a young couple with children that had been pulling a trailer behind a station wagon, and with the frost heaves the springs had given out. Roger told them, “If you pay for a hitch for my truck I will pull your trailer into Anchorage for ZPV w 3PHFS SFDBMMT ićFSF XFSF no electric brakes on the trailer. Coming down Sheep Mountain the hill was steep and a couple of times we almost lost it. By the time the group made it to Palmer, the 59ers had created a lot of attention. Tripod became quite a celebrity. When we arrived in Anchorage we received the Red Carpet treatment. The mayor spoke to us and we were treated to fantastic food. From Anchorage we got as far as Hintons Lodge when someone from the BLM stopped us and told the group that all the good land around Homer had already been taken up for homesteading. BLM informed us that there was other land more suitable for homesteading and they suggested the 59ers should go to Talkeetna, which at that time could be reached by railroad. The remaining members of the group went to the Anchorage BLM office for consultation. A group of us did meet with BLM. We returned to Hiltons Lodge and had a meeting deciding to return to Anchorage and made plans to take the railroad to Talkeetna. A few members of the group parted ways, some ended up staying on the Kenai 1FOJOTVMB w Roger and Malle made the

decision to continue on to Fairbanks and for Roger to begin post-graduate studies at the University of Alaska. Malle and Roger met up with the Merdes family in Fairbanks. Ed was a Cornell graduate and was a practicing attorney. We agreed to look after Ed and Norma’s family while he and Norman traveled around the U.S. fulfilling his commitment of serving as the National Junior Chamber of Commerce president. “During the times they were away we looked for land and purchased a piece of land with a small cabin on it. When Ed and Norma returned home we moved to the property, which was located next to the slough that was just off of the Chena River. That summer we built our new log cabin home with an attached garage. We planted a garden and prepared to settle in to our cabin for our first winter in 'BJSCBOLT w Roger purchased a female dog and Tripod managed to father the pups that became his first dog team. During the 1960s Roger became quite active in the dog mushing field, racing his dogs and taking them on long cross-country trips. “My dogs were mostly AKC registered Alaskan malamutes. I sold pups to people living all over UIF XPSME w )F XBT BDUJWF JO UIF Alaska Dog Mushers Association, serving as special events coordinator and the president of the association. Roger used his dogs for glacier freighting, hunting, hauling wood, and racing, and served under the National Park Service VIP program as an adviser to the park service at Mt. McKinley National Park, helping the rangers (continued on page 17)

Alaska Miners Association Convention

Sunday, March 27, 2016

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ALASKA MINERS ASSOCIATION

the president of First Federal asked him to choose between the bank job and his position of National Guard commander. Roger had to resign at the National Guard. After 14 years in banking and a divorce, Roger was faced with the job of being able to support two households, so he had to find a job that would allow him to meet his financial obligations. He found work on the trans-Alaska oil

“My interest has been in Alaska, and in the community. . . .�

(continued from page 16) train their dogs. Roger went on many patrols with the rangers and shared many adventures with them in the park. During his first year at UAF Roger lost three friends in airplane accidents, doing the same type of work he would do after getting his master’s degree. “Although I love the work, I felt I could not jeopardize my family and made the decision to seek another MJOF PG XPSL w 3PHFS USJFE IPUFM management at what used to be the Travelers Inn, owned by Walter Hickel. He started out as a janitor and maintenance man. “The job did not really provide me the PQQPSUVOJUJFT * XBT MPPLJOH GPS w So, he picked up a job as a right of way man for Golden Valley Electric Association. “The pay was good and I enjoyed meeting so many members of the community. Some people did not like signing rights of way across their property; the person I remember the best of all was Otto Guest (a famous archaeologist whose work greatly benefitted UAF and the Smithsonian Institution). He was watering his waterbed at the time that I approached him, and when I told him that I wanted a right of way across his property he turned the hose on me! He laughed and invited me into his house for

coffee. I did eventually get a right of way from him. He had a strong German accent, and we spent a good 45 minutes sharing stories together. The money for that job finally ran out, so I was back to MPPLJOH GPS BOPUIFS KPC w Being an instinctually resourceful man, Roger turned directions again and went into the banking field. Roger started out working for ABC Finance Co. for a year and a half, and then had an opportunity to work for the Alaska State Bank, which was previously owned ABC Finance. He worked there for two years and was offered a job at First Federal Savings and Loan Association where he worked for 11 years, rising to the position of senior vice president in charge of the loan department. Roger commanded the Fairbanks National Guard in Fairbanks for three years. He was proud of the opportunity to work with Fairbanks citizen soldiers. He was the first commander to take charge of the new armory. Gov. Bill Egan attended the grand opening and Roger was honored to be able to share the dedication ceremony with him. “This memory makes the William A. Egan award I just SFDFJWFE NPSF TJHOJĕDBOU w The job working for the National Guard as commander was very demanding and eventually

pipeline for three years as a laborer working closely with the 798 pipe liners. “They were a rough and tough bunch of guys, but I loved XPSLJOH XJUI UIFN w In 1971 Roger became aware of an old hard rock gold mine located on Ester Dome near Fairbanks. An old Klondike Stampeder O.M Grant staked the mine in 1928 and worked the Irishman vein until he died in 1955. Roger purchased the mining claim from Grant’s niece in 1972. Now the challenge was how to further develop the mine. Roger was making a good wage and began investing more into his mine. “That gave me a start and gave me a chance to move ahead with the project. The mineshaft had to be cleaned out, recribbed, and new ladders installed. There was no equipment, so I had to acquire it. I met Rolan Makler, a miner at the bank and he helped me get started. A miner extraordinaire, Gil Doffy, entered into the picture after that. We started developing the property and worked on the Grant Mine for six years. My son Karl helped me work on it underground. He was only 14. There was no Mine Safety Health Administration then. All you had to do to develop a mine was buy and stake a claim, have equipment, and the funds to invest JO UIF QSPQFSUZ w In 1976 Roger started attending the Fairbanks branch AMA meetings. Working in the AMA has been quite an experience for him. During the time when he got involved, there were expansive changes taking place in the mining industry. “New laws and regulations were being passed. The EPA over-reacted sending in SWAT teams to placer mines. It was overkill and the Alaskans started protesting the strong-

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arm tactics used by the federal government. I was the chairman of the Fairbanks branch at that time. Most of the officers were placer miners, so in the summer months they would be out mining. I ended up being chairman or acting chairman for many years. I was also a statewide director and became statewide president of AMA in 1984. It was a turbulent and stressful time for all who just wanted to carry on with their small mines, which is an integral part of MJGF JO "MBTLB w‍ڀ‏ Many of the placer miners were dissatisfied with AMA support of the small miners. The Alaska Placer Miners Association was formed to look after the interest of small miners. Roger tried to ride two horses at one time and worked with both AMA and APMA, pushing to unify them. The EPA singled out one family. Rose and Stan Rybachek fought back and took on EPA with the support of the APMA. They could not afford to hire an attorney and took on the government pro se in federal court. Washington sent six high-powered attorneys to defend the government portion. It was disgusting to see the heavy hand of the federal government trying to destroy the lives of two individuals. I still can visualize Rose and Stan sitting at a little court facing six federal attorneys in black suits. Rose and Stan stood their ground and were really making the highpowered attorneys look stupid. The case was going well for the Rybachek’s when both of them were seriously injured in an auto accident. The court would not allow them to recuperate so they could properly defend themselves, so the case was settled out of court with the Rybacheks paying a NJOJNBM Ä•OF w In 1980 Roger met DeLois. They were both friends with his renter and at a mutual visit he invited her to visit his cabin and see the mine. “We struck up a pleasant conversation over instant coffee. She had fought many battles in her life and was very involved in helping to bring about the passage of the Alaska Native Claims Settlement Act (ANCSA). The stress of trying to accomplish one of the largest settlements in U.S. history destroyed her marriage. We were married in 1980 and have been married for almost 35 years OPX w Roger and DeLois started a little

homestead around their mine. “We both came from a farming background and were used to living the subsistence lifestyle. We had chickens, turkeys, geese, goats, sled dogs, a couple head of beef and we had a big garden to sustain ourselves. One day the director for the BLM and the DNR Commissioner for Alaska, Ester Wannicke, showed up for a visit and were astonished to see everything that was going on around the active mine site. It was an unusual mine to say the least, but they could not say we were using the land illegally because we XFSF NJOJOH w In the 1980s Roger got more involved and became active in numerous other resource development organizations in Alaska. “My interest has been in Alaska, and in the community. I don’t know if that is the basis for my award. The fact that I have been involved in my community and a strong supporter of developing our natural resources and trying to secure a better future for all Alaskans, because we have been under assault ever since the birth of ANILCA in 1980. I just feel strongly that we should be allowed to develop our natural resources and have a more prosperous Alaska. It has been a battle. There are forces that do not want to develop the state. Back in the ‘50s I was an early member of the Sierra Club. I am a conservationist. If you look up the term ‘conservationist,’ it says ‘the wise use of natural resources’; that is what I was taught in school. I was a conservationist and not an environmentalist. And I still believe that, but things are different now. I do not believe in locking all of our resources up and denying people the option to live off of the land and to be able contribute to society. That is where my big rub has been with the environmental movement. I have had a chance to see both sides of the picture. The environmental movement is being manipulated by DFSUBJO TQFDJBM JOUFSFTUT w “A good example of this is the Valdez oil spill. I was involved in a state water quality committee for placer mining. There was a member, Randy Bayles, who worked at DEC, on the committee who was very outspoken in his disdain for placer miners. Later on I talked to him. ‘How come DEC wasn’t doing their job and making

sure they had adequate response teams.’ He said ‘We were given a lot of money from the oil companies so we stayed away from them. We figured we could make a lot of money from going after you Placer .JOFST w “The Sierra Club and the Northern Alaska Environmental Center: A lot of these outfits are just fundraising entities whose mission is to stop the development of our natural resources. These environmental organizations sue, and if they win, they can have their attorney fees covered, so it is no skin off their back. They can sue and delay a project. They don’t have to be held accountable and a lot of these lawsuits are just to delay progress and stop development. If they can delay the progress long enough, a company will walk away because it just isn’t worth the fight if they can invest their money in foreign countries where there are no restrictions. I have seen this happen locally and nationwide. Alaska has been tied up in knots on developing a lot of their resources because of lawsuits. Why don’t they allow Alaska to develop our natural resources? We are doing it in a lot more responsible manner than Third World countries, where they are not held responsible. I do believe in doing things responsibly, but I don’t believe in stopping everything just for the sake of ‘stopping a project.’ We have been hopeful that eventually the U.S. would wake up and realize the potential. The silver lining is with people like our discredited former vice president, Spiro Agnew. The only reason why the trans-Alaska pipeline was built is because, as vice president, he cast the deciding vote. Even then they were trying to lock up Alaska and prevent Alaska from developing resources it was given by the federal government at the time of the Statehood Act. Now efforts are being made to put all Native lands under federal trusteeship, thereby controlling how the Native community can develop its land. “What I keep hoping for is that we in Alaska finally get in office a state government in the executive and legislative branches that will help the state gain control over its land and will start developing its resources for the benefit of its people. We don’t need the federal government and outsiders telling VT IPX UP EFWFMPQ PVS MBOE w

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Alaska Miners Association Convention

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ALASKA MINERS ASSOCIATION

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Picture the scene — you have just Fiscal Effects of Commercial Fishing, completed your day at the mine Mining, and Tourism: What does Alaska receive in revenue? What does it spend? By John O’Brien

Most of your 12-hour shift involved monitoring the actions of a fully automated excavator. Now you step into the demarcated take off area and prepare to launch your quadcopter aerial vehicle to document the day’s digging from the air and get a good idea of the best, most profitable direction for tomorrow’s work. Your safety record is impeccable. Sound futuristic? It is no longer, unmanned aerial vehicles (drones) are here and now within the price range of independent operators. But hang on a minute, partner ... what about the legality of all this? Is it really worth the trouble given the onerous regulations miners are already burdened by? And don’t drones present a hazard to Alaska’s aviators and passengers? To get to the bottom of this we tracked down (with a drone, just kidding!) Carl France, the general manager and flight officer of a small drone company in Fairbanks. Carl holds a private pilot’s license and first became involved with drones while finishing his engineering degree at the University of Alaska Fairbanks. “I was in the final year of the aerospace track of my degree right when UAF’s unmanned aircraft program

By Bob Loeffler and Steve Colt, University of Alaska Anchorage, Institute of Social and Economic Research

really starting growing. It was a dream come true for a student to be a test pilot and design engineer on actual ĘZJOH BJSDSBÄ™ w France had this to say about the legality of drones for use in mining: “Though it’s been slow coming, the FAA has made its rules and commercial drone flights are safe and finally legal. Just last month we flew 1,200 feet of pilot line up a high wall for an electrical conduit install. It’s not some idea for the future anymore, it’s here OPX w “We anticipate the market for commercial applications of unmanned aircraft will explode as the regulatory environment catches up to UIF UFDIOPMPHZ w BEEFE 4BN Vanderwaal, CEO of Aquilo’s parent company, Northern Embedded Solutions. Founded by several graduate students from the electrical engineering department at UAF, Northern Embedded Solutions has provided engineering and operations support for the Alaska Center for Unmanned Aircraft Systems Integration and the University of Alaska FAA Unmanned Aircraft Test Site as well as developed custom electronics for a variety of commercial industry clients. The usefulness of drones on a mine site has not been completely explored but could include aerial

prospecting, analysis of surficial geology, magnetic and LiDAR surveys, security and surveillance, volumetric calculations, baseline habitat and ecosystem surveys (think wetlands), among others. NES-Aquilo and its associates are positioning themselves to capture a part of this market as it develops. As far as aviation safety goes, drones will actually keep the flying public safer in the long-run says John O’Brien of Remote Aquatics, a consulting fisheries biologist and drone user. “Drones are not going to replace conventional BJSDSBę w 0 #SJFO TBJE iCVU they will supplant some of the most hazardous manned flights, what Greg Walker, former Poker Flat Rocket Range manager used to call the ‘dirty, dull, and dangerous’ missions. For the purposes, I am interested in using drones for, aerial recon of salmon spawning streams, the drone is flying so low, that the risk of a mid air collision between it and a Bush plane or helicopter is virtually nil. However, it is imperative that we adhere to the very highest safety standards and abide by the FAA safety rules. Even a single incident is one too many. Manned aircraft need to have a very, very large right of way. We have a chance to do this right, do UIJT ĕSTU BOE EP JU TBGFMZ w

Alaska’s Division of Economic Development asked us a research question: how do taxes and fees the commercial fishing, mining, and tourism industries pay the state government compare with what the state spends to manage and promote them? Below we highlight findings from a report we wrote for the division. Findings. Figure 1 summarizes our estimates of revenues from and spending for these three industries. Commercial fishing, mining, and tourism all generate combined state and local revenues in the same ballpark—$120 million to $135 million a year. But the breakdown between state and local revenues, and the levels of state management spending, differ considerably. All three industries pay more in combined state and local taxes than the state spends to manage them; mining pays much more. Revenues from tourism and fishing are especially important to local governments, which get 60% of tourism revenue and 40% of fishing revenue. Counting only revenue that goes to the state, commercial fishing generates less than the

state spends to manage it. Mining brings in about six times more than the state spends. State spending for and revenues from tourism are roughly equal. Most of the state’s management spending is for day-to-day operations, but capital spending is also important, especially for tourism and fishing. Capital projects help maintain and enhance public facilities and infrastructure the

industries depend on—like ports, salmon hatcheries, and museums, to name a few. Comparisons With Oil. We did not attempt to analyze the potential of the fishing, tourism, and mining industries to generate more state revenue than they do—or to assess whether they already pay too much. We were only asked to (continued on page 21)

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(continued from page 20)

estimate how much they do pay. But it’s worth noting that under any conceivable conditions, none of these industries could generate revenues anywhere close to what oil has generated for 30 years. Oil is unique among Alaska’s resources: its economics are different—it has a much higher market value, compared with the costs of producing it. Figure 2 compares annual state revenues the fishing, tourism, mining, and oil industries pay: billions of dollars from oil and about $220 million from the other industries combined. The figure also shows the extreme volatility of oil revenues. With falling oil prices, the state’s oil revenues this fiscal year (2016) are expected to be only about a quarter of what they were in 2014.

Bob Loeffler is a visiting professor of public policy at ISER, funded by a grant to the University of Alaska Foundation from the Council of Alaska Producers. Steve Colt is a professor of economics at ISER. Both have long studied Alaska resource issues. Their full report, Fiscal Effects of Commercial Fishing, Mining, and Tourism (December 2015) is available on ISER’s website, www.iser.uaa.alaska. edu, under Publications. The findings are those of the authors, not ISER, the University of Alaska Anchorage, or the research sponsor.

Pogo Mine camp medic, Lisa Scharff By Amanda Voshell You could easily say that Pogo Mine struck gold when they found their camp medic, Lisa Scharff. Some could say, that she, too, has been in search of and found her own shiny nugget, “If you find a job that you love, you never work a EBZ JO ZPVS MJGF w Although Lisa was born in Philadelphia and grew up mostly in Denver, she considers Las Vegas to be her home since she had been a resident there the longest. Lisa started out at a young age following into her family’s USBEFNBSL iOVSUVSFSw role, volunteering at the Children’s Hospital. But as a young lady she was living a more UZQJDBM i7FHBTw MJGFTUZMF working as a bartender/ cocktail waitress at a neighborhood bar. The turning point for Lisa, revealing a glimpse of her true calling, was when she witnessed a woman get violently mugged by a street-side thug, who dragged her halfway down the street, the woman’s bloody hand still grasping

her purse strap. Lisa doesn’t recall whatever happened to the purse, but she distinctly remembers the physical and emotional trauma the woman suffered, as she sat by her side until the paramedics arrived. Lisa was so enamored by the way the paramedics calmly and swiftly helped the woman — “They just LJOE PG Ä•YFE FWFSZUIJOHw — that she immediately enrolled in EMT classes. “I wanted to come into situations that are chaotic and bring in a sense of control and DBMNOFTT w‍ڀ‏ After a series of A’s, she knew that this was clearly the right path for her. On a hot pursuit, Lisa received her twoyear associate’s degree at the Community College of Nevada. She first received her EMT and then EMT intermediate certifications in order to qualify for an ambulance job. She was hired at American Medical Response (AMR), the nation’s leading, privately run, emergency response and dispatch service company. She started out doing special event gigs, like one of the last Grateful Dead concerts, and moved into the field, working the 911 system, shortly after she was accepted into the paramedic program. After nine years of working the supercharged Vegas network, experiencing some of the flight medic culture and teaching on the

side, Lisa was ready for a change and transferred within the AMR company to a job in California. At this point she was determined to direct all of her energy on PA school and made arrangements to nanny her friend’s daughter in exchange for rent costs. She quickly recognized that she could not do all three, so she left AMR to focus full-time on her education. It was after only a year that AMR called her and asked if she would consider a training position in Claremont, California. She took the job and was transferred to Riverside,  where she was put in charge of running the field training program. She quickly branched out, teaching in the paramedic program at UCLA and at the Riverside Community College Program, as well as picking up hours in the field, to keep up her qualifications, all while still pecking away at PA school. Lisa did this for a while and was then offered a position with AMR as the operations supervisor in San Diego. She did this for about six months but found she was more interested in the training position that had opened up, doing the same sort of thing that she did in Riverside, and slid into that seat. Two years in, she had an inspiring conversation with a friend of hers who was a flight medic. With the brief introduction from her life in Vegas,

Alaska Miners Association Convention

she found herself enticed to try this again. â€œThis was an opportunity to broaden my skills and offer a higher level of DBSF w TIF TBJE ‍ڀ‏ She earned her flight paramedic and critical care paramedic certifications and found a job working for Guardian in Fairbanks, Alaska. She came up in the winter and flew all over Alaska — “Everything was pitch CMBDL w *U EJEO U UBLF MPOH for Lisa to remember that she loved everything about being a flight medic but was scared to death of flying. “I would constantly think of Ritchie Valens, because IF EJEO U MJLF UP ĘZ w After several months of anxiously serving as a flight paramedic, she found herself driving the Alcan, back to San Diego. After returning to California, she landed a job as the EMS coordinator for the network of fire stations in Mountain View, also known as the home of Google. She worked there for about a year, then accepted a job as the program director at AMR’s paramedic school in Livermore. She worked intensely as the program director for two years when visions of Alaska crowded her mind. She knew three things at this point in her life: She wanted to teach, she wanted to work with patients, and she really wanted to go back to Alaska. She started to put out feelers to people she had connections with. Her previous medical director from Guardian, who was also the

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Lisa Scharff, camp medic

medical director for Fort Knox, knew that a position was going to be opening at Fort Knox and put her in touch with someone. Meanwhile, another medic position opened up at Pogo, so she sent them both a resume. “I never thought about working at a mine before, but when this job came up I thought it would be DPPM w At Pogo, Lisa gets to nurture all the best attributes of her background: She is a paramedic, a teacher, a health and wellness adviser, a friend, and with an alternating schedule still has plenty of time to pursue her college education and has the balance that she has always sought between her work and personal life. â€œEverything I have done up until now has prepared NF GPS UIJT KPC w TIF TBJE After years of searching, she found out a lot about what she did and did not want. Pogo offers her the diversity and challenges that she needs and the closeness of a family atmosphere. “It is like caring for a small town; I have never had more responsibility in a job but GFMU TP DPOÄ•EFOU w

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Alaska Miners Association Convention

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ALASKA MINERS ASSOCIATION

Alaska Mining Hall of Fame By Tom Bundtzen

Patrick H. ONeill; circa 1991. image courtesy of O’Neill family.

The Alaska Mining Hall of Fame Foundation was established in 1997 as a federally recognized nonprofit to honor Alaska’s mining pioneers. Through their lives, the AMHF tells the story of mining in the 49th state. Since 1997, 105 men and women

have been inducted in ceremonies held in Fairbanks, Anchorage, Juneau and Nome. Since 2013, the AMHF has operated a museum in Fairbanks at Historic Hall, where pioneers are honored, history books are sold, mining videos are shown, and biographies and records are stored and archived. In conjunction with the Alaska Miners Association spring convention, on April 6, two pioneers associated with Alaska’s gold dredging industry will be inducted into the AMHF: Walter W. Johnson and Patrick H. O’Neill. Born to Irish immigrants during 1915 in Cordova,

Alaska, O’Neill was the seventh of 12 children. He arrived in Fairbanks to attend classes at the University of Alaska during the 1930s, where he would receive a mining engineering degree. O’Neill served in the Army Air Corps during World War II, training pilots throughout the war. Upon his return to Alaska, he became superintendent of the USSR&M dredge fleet in Fairbanks during the early 1950s. In 1952, O’Neill organized the first Golden Days celebration, which then commemorated the 50th anniversary of the discovery of gold by Felix Pedro. Afterward, O’Neill

Donlin Gold: A golden opportunity in Southwestern Alaska By Kurt Parkan

As the state of Alaska faces serious financial challenges, the Donlin Gold project may be coming at just the right time. The proposed Donlin Gold mine is located in the remote Yukon-Kuskokwim region of Alaska on land owned by the Calista Corp. and The Kuskokwim Corp. (TKC), two Alaska Native corporations. The corporations selected this site under the terms of the Alaska Native Claims Settlement Act because of its mineral development potential. If developed, Donlin Gold would provide hundreds of jobs and

produce over 33 million ounces of gold during operations that are expected to last over 27 years. Calista and TKC, as well as their respective shareholders, will benefit from the property’s mineral development and ultimately, production through royalties, employment opportunities, scholarships and preferential contract considerations. Moreover, through the ANCSA 7(i) and 7(j) revenue-sharing provisions, the Donlin Gold project will provide revenue to all Alaska Native regional and village corporations. The Donlin Gold project

would be an important economic development project for the state of Alaska. Both directly and indirectly Donlin Gold could provide financial stability for families and communities, business growth, and improved infrastructure access. Up to 3,000 direct jobs could be offered at Donlin Gold during construction and between 600 and 1,200 during operations. Notably, the project’s commitment to Alaska hire is undeniable with a local hire record that exceeded 90 percent at the Donlin Gold camp during exploration activities.

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became best known to the mining industry for managing successful gold and platinum dredging operations internationally, with a focus on Columbia in South America. O’Neill, now 100 years old, and his wife, Sandra, live in Connecticut. Johnson is being recognized for his contributions to the Alaska gold dredging industry during the early to mid-20th century period. From the early years of the Gold Rush to the 1950s, nearly 40 bucket line stacker dredges were manufactured by Johnson’s company, the Union Construction Company, of Oakland, California, and placed into production throughout the territory of Alaska. Johnson was

a hands-on manager and often participated in the transport to and installation of the gold dredges. An avid equestrian, Johnson owned a home and horse stables in Nome and at other Alaska locales. He often rode a horse or mushed dogs to remote dredge sites. Although Johnson liquidated his company due to the fixed price of gold and the overall

The project would also indirectly support many other firms and sectors that supply mining operations with goods and services. All of these factors represent a significant positive impact on both the region and state. Donlin Gold’s commitment to the Y-K region and its residents spans over two decades. Keeping local residents engaged and informed has been a fundamental value of Donlin Gold since the start. Consistent community engagement has helped shape the project and will continue to ensure a balanced development plan that brings long-lasting benefits to the region while upholding a commitment to responsible development. After years of extensive exploration, baseline

studies, analysis, research, broad community engagement and a whole lot of hard work, the Donlin Gold project hit a major permitting milestone in late 2015 with the publication of the draft Environmental Impact Statement (EIS) by the U.S. Army Corps of Engineers. The draft EIS outlines the proposed project, identifies alternatives to some of the project components, addresses possible impacts of the project and alternatives, and identifies potential mitigation measures to reduce impacts. The public comment period will last until the end of April. Donlin Gold encourages people to review the draft EIS and communicate what this project means to them and their family as the Corps of

Walter W. Johnson near Nome, Alaska, circa 1918. Image courtesy of W. W. Johnson family.

decline of gold mining prior to statehood, the dependable service he provided to North Country gold dredgers would never be forgotten. The April 6 Alaska Mining Hall of Fame induction ceremony will be held at Historic Hall, at 825 1st Ave. in downtown Fairbanks. The event is free and open to the public.

Kurt Parkan, external affairs manager of Donlin gold

Engineers gathers input during this critical and exciting time. Information on how to submit comments can be found at www.donlingoldeis.com. More information about Donlin Gold can also be found at the Donlin Gold website (www.donlingold. com). Kurt Parkan is external affairs manager of Donlin Gold

Alaska Miners Association Convention

Sunday, March 27, 2016

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Environmental Concerns By Mark Huffington Environmental concerns are at the heart of today’s mining industry. Mines, whether they are placer or hard rock, large or small, must comply with environmental regulatory requirements, and they often initiate environmental programs that voluntarily operate in a stricter fashion than that of regulatory agency requirements. From conception to closure, a myriad list of permitting and environmental regulations must be complied for a mining company to be sustainable. Federal environmental laws and regulations have effected the way Alaska

mines are permitted and operated. This everevolving governance of the mining industry has been and continues to be influenced by the Antiquities Act; Clean Air Act; Clean Water Act; Comprehensive Environmental Response, Compensation, and Liability Act; Emergency Planning and Community Right-to-Know Act; Endangered Species Act; Migratory Bird Treaty Act; National Environmental Policy Act; National Historic Preservation Act; National Forest Management Act; Oil Pollution Act; Resource Conservation and Recovery Act; Surface Mining Control and

ALASKA MINERS ASSOCIATION

Reclamation Act; Toxic Substances Control Act; and the Wild and Scenic Rivers Act to name a few. Congress-enacted legislation has occurred since the early 1900s with the signature of the An Act for the Preservation of American Antiquities by President Theodore Roosevelt on June 8, 1906. This Antiquities Act was a major influence to the 1980 Alaska National Interest Lands Conservation Act. Federal and Alaska environmental regulations are based upon legislation and are managed by appropriate agencies. The agencies have an active role in the permitting, operation, and closure of today’s mines, whether they are placer, hard-rock open pit, or underground mines.

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and oversite of mining Federal agency projects. The Department involvement often of Natural Resources includes the US Environmental Protection is responsible for approving and issuing Agency, US Army Corps of Engineers, US Fish and plan of operation permits, reclamation Wildlife Service, Bureal of Land Management, US and bonding, water rights, fish habitat and Forest Service, and the fishway permits, tideland National Parks Service. leases, dam safety Depending on the location and type of mine, certifications, cultural mining companies may be resources surveys, monitoring plans, and required to comply with coastal zone consistency federal permitting and determinations. regulatory requirements The Department for water discharges, of Environmental waste management, Water Sampling at Fort Knox. Conservation is wetlands, rivers and responsible for approving harbors, historical and and issuing waste cultural resources, land management permits use, threatened and and bonding, wastewater endangered species, essential fish habitat, bald and stormwater permits, air quality permits, and eagle protection, and migratory bird protection. certification of US Army Corps of Engineers Alaska agencies are permits. heavily involved in Not only are the the permitting process agencies involved

in mining, private stakeholders provide a non-written “social MJDFOTFw GPS UIF NJOF UP operate, and one that is necessary for mining to be sustainable within the community it is located. Private stakeholder involvement has greatly influenced the mining community. Without public involvement and the mining company’s awareness of that “social MJDFOTFw UP PQFSBUF UIBU iMJDFOTFw NBZ OFWFS CF issued. Mining and protection of the environment has evolved through the years. Without interaction and cooperation between mines, regulatory agencies and private stakeholders, mining’s future would struggle to provide the natural resources the world demands.

Resource Education: Out of the Ground and Into the Classroom By Michelle Brunner, Executive Director Alaska Resource teachers and 25 percent Education believes of students in ARE that these three words programs have been are the key to bringing from grades 9 through Alaska’s resources out 12. Based on this of the ground and into increased demand and the classroom. Since a need from industry 1982, this small but for a competent, Alaska powerful nonprofit workforce, ARE organization has been is committed to igniting young minds developing a 9‐12 and inspiring students curriculum focused and teachers about the on Alaska’s energy and importance of resources mineral resources. in their everyday lives. Alaska’s economy ARE’s mission is to depends on the mineral teach students about and energy industries; Alaska’s natural therefore, providing resources, and they a path for students to are committed to the choose careers in these belief that we need to industries is critical. reach students often and ARE’s goal is to ignite early. an interest early in high In the past three school to encourage years, 22 percent of students to take required

Ignite, Inspire, Educate. steps in developing relevant skills through vocational or post‐ secondary education. ARE will take students on a journey through the history, process, geography, economics, and careers associated with Alaska’s mineral and energy industries. It will teach students the fundamental Science, Technology, Engineering, and Math (STEM) knowledge and the career and employability soft skills they will need to be successful in any industry career. The curriculum will be deployable across the state, including the most remote corners of Alaska.

Students will build a historic timeline of milestone events on resource locations to provide context and relevance to the importance of these projects. They will create a flow chart diagraming how a resource gets from its natural state to a useful product while learning crosssector skills in STEM disciplines. Students will map where mineral and energy projects are located in the state to better understand the unique challenges projects face in remote locations. The economic activities will demonstrate the

important role mineral and energy industries play in Alaska’s financial stability and demonstrate the direct impact these industries have on student’s lives. Career lessons will help students identify the wide range of career opportunities associated with natural resource industries. Combined, each curriculum section will provide students an opportunity to learn about the industries that drive our state’s economy and provide thousands of jobs. Knowing that a healthy economy starts with an educated future workforce and voting populace, ARE is dedicated to the

Michelle Brunner, Executive Director

sustainable future of Alaska so that when today’s students – tomorrow’s voters – draw the curtain in the ballot box, they do not draw the curtain on natural resources. Partner with us today to bring resources out of the ground and into the classroom.

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