Water concern at Graphite mine
Tribal groups on the Seward Peninsula are registering concern over permits for water rights issued to Graphite One, a company planning a project to mine graphite in the area. The state has issued an authorization for the company to take 129,600 gallons a day from six creeks in the project area, which is near Kigluaik Mountains about 50 miles northwest of Nome. The Native villages of Teller, Mary’s Igloo and Brevig Mission have formed the Imuruk Basin Intertribal Watershed Council to assess potential impact of the mine on local water resources and subsistence. If a mine is developed the company would extract and manufacture high grade coated spherical graphite for the lithium electric vehicle market.

Mining economic impact in 2018
A new report from McDowell Group, the economic consulting firm, says mining employed 9,200 Alaskans directly and indirectly during 2018, and injected $715 million in payroll into the state’s economy. Mine workers were some of the highest-paid in Alaska in 2018, with an average salary of $102,100 per year. The research was conducted for the Alaska Miners Association, a statewide advocacy group for the mining industry. There are currently six large producing mines in the state producing gold, lead, zinc, silver and coal along with a large number of small to medium-sized placer gold mines, many which are family-operated.

Payments to the state:
A 2018 field survey conducted by the group documented pink salmon spawning in creeks that will be affected by water withdrawals. State agencies have the responsibility to ensure a sufficient flow of water in streams to support aquatic life. Graphite One conducted test drilling at the site last year and proposes another program this year.
Regional payments to local governments:

• $15.9 million paid to the Alaska Railroad for moving coal, sand and gravel
• $14.9 million paid to the Northwest Arctic Borough by the Red Dog Mine, in a negotiated payment-in-lieu-of-tax, or PILT
• $8.2 million in property tax paid by the Fort Knox Mine to the Fairbanks North Star Borough
• $1.7 million in property tax paid by the Greens Creek Mine to the City and Borough of Juneau
• $1.4 million in property tax also paid to Juneau- by the Kensington Mine.
• $58.8 million in mining license tax, rents and royalty
• $34.5 million in state corporate income tax
• $28.2 million to the Alaska Industrial Development and Export

Authority for use of the state- owned road and port facilities for the Red Dog Miner and, at Skagway, in support of mines in Yukon Territory