Trump Administration Supports Revoking Minnesota Mining Ban

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Written by Eric Funderburk for IIR News Intelligence (Sugar Land Texas)

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Summary

Congress has 60 days to act on legislation introduced by U.S. House member Pete Stauber (R-Minnesota) to overturn a mining ban near Minnesota's Boundary Waters area, paving the way for a subsidiary of Chilean-focused Antofagasta to construct a copper-nickel mine in the area.

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Overturning More Biden-Era Legislation

U.S. House member Pete Stauber (R-Minnesota) introduced legislation on Monday to overturn a Biden-era ban on mining an environmentally sensitive area of Minnesota, which he painted as a "dangerous and illegal mining ban [that] was thrust upon my constituents and our way of life in Northern Minnesota and put our nation's mineral security in jeopardy."

Back & Forth

In what has become a common feature of the back-and-forth of U.S. politics, the ban on mining activity in a portion of the Boundary Waters region of Minnesota was initially considered by the Obama administration, but the first Trump administration put an end to the idea. At that time, no on-the-ground movement was seen toward developing a mine in the area, despite a mining company pursuing development there.

It wasn't until January 2023, around the half-term mark of the Biden administration, that the government enacted a 20-year ban on mining and geothermal activity for the region in question, which covers the Boundary Waters Canoe Area Wilderness and surrounding watershed, representing 225,504 acres (352 square miles).

But now, Stauber, with the support of the Trump administration, is seeking to overturn that ban--a move possible because Biden officials didn't dot all the i's and cross all the t's needed to make the ban ironclad.

Legal Loophole

According to MPR News, the 20-year moratorium was a "mineral withdrawal," which is allowed under the Federal Land Policy and Management Act (FLPMA) of 1976. However, under the law, the Secretary of the Interior must notify Congress of the withdrawal--a move that Stauber says the Biden administration didn't make.

The Trump administration is now taking that critical move that was skipped in 2023, and Congress has 60 days to vote whether to uphold or cancel the withdrawal. The Republican-majority Congress will likely vote to cancel the withdrawal, paving the way for a new mine that has been in the plans of a Chilean-focused company for several years.

Antofagasta in Minnesota

That company is Antofagasta plc, which despite having corporate headquarters in London is very much focused on interests in Chile--and northeastern Minnesota.

Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more by viewing the project report.

Industrial Info's first project report on the underground copper mine near Ely, Minnesota, entered the GMI Metals & Minerals Project Database in July 2007, placing Antofagasta as the lead developer of the project. That lead position was cemented in November 2014, when Antofagasta acquired Duluth Metals for $85 million and 100% of the Twin Metals copper metals project near Ely, becoming the head of subsidiary mine developer Twin Metals Corporation (Ely).

Throughout the years, Industrial Info's project report updates tell a story of adding nickel and platinum group minerals (PGM) to the mine's extracted products and, most significantly, adding plans to build a concentrator at a nearby site in 2014.

An extended look at the description of current projects on Antofagasta's website provides a description of the company's Minnesota plans: "The planned project is over a portion of the total resource and envisages mining and processing 18,000 tonnes of ore per day for 25 years to produce three separate concentrates--copper, nickel/cobalt and PGM. However, further development of the current project, as configured, is on hold while litigation takes place to challenge several actions taken by the U.S. federal government to deter its development."

The Project's Future

That pending litigation, if still existent, which the company reports was under appeal in late 2023, may be rendered null and void by the potential overturning of the mining ban over the 350-square-mile area. With a supportive presidential administration and a Congress willing to back it up, Antofagasta seems ready to strike while the permitting iron is hot and construct a Minnesota mine that it has been planning for nearly two decades.

The legislation may meet some headwinds. Stauber initially introduced the proposal to scrap the mining ban in an original text of the One Big Beautiful Bill Act. That provision was removed thanks largely to efforts of U.S. Senator Tina Smith (D-Minnesota), who subsequently has led an apparently unsuccessful attempt to make the mining ban permanent.

Key Takeaways

• The Trump administration and Congress are preparing the way to overturn a 20-year mining ban over a portion of Minnesota that was enacted under the Biden administration.
• Twin Metals Corporation, which is 100% owned by Chile's Antofagasta, has had plans to develop a multi-element mine and concentrator in the area for several years.
• The company is poised to develop a mine in the currently protected area near Ely, Minnesota, that will mine 18,000 metric tons of ore per day over a 25-year mine life to produce copper, nickel and other precious metals.

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About IIR News Intelligence
IIR News Intelligence is a trusted source of news for the industrial process and energy markets, powered by Industrial Info Resource's Global Market Intelligence (GMI).

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).