Mining
Over the Fence
Meet the transboundary neighbors
By Amy Newman
I

f British Columbia had its way, the Alaska Panhandle would’ve contained no mainland territory south of Glacier Bay. During a long-standing boundary dispute, the province asserted the maximum claim, leaving only the major islands of Chichagof, Baranof, and Prince of Wales for the United States.

For its part, the governments of Canada and the United Kingdom claimed somewhat less, leaving a fringe of mainland that would’ve excluded Juneau and Ketchikan from their dominion. And the United States claimed a deeper slice of the continent, to the eastern foothills of the coastal mountain ranges. The border settled by arbitration in 1903, five years after the Klondike Gold Rush, split the difference.

The temperate rainforest of the Pacific coast was first divided in 1825, when the Russian Empire agreed with its British rivals to demarcate their zones of influence along “the summit of the mountains situated parallel to the coast” until reaching 141 degrees west longitude, where a straight border through unexplored territory satisfied both parties. Vaguely defining which summits, exactly, led to the conflicting claims.

Since 1903, though, both sides have been friendly neighbors. Alaska does its business on its side of the border, and Canada keeps its affairs confined to its side. Except…

Just as coastal rivers don’t abide the imposition of the 1825 or 1903 border agreements, neither do the interconnected economies of the Panhandle.

Golden Triangle
Thirty-six years before the Klondike Gold Rush brought prospectors to the Yukon and Skagway, Alexander Choquette discovered gold in northwestern British Columbia. His 1861 discovery kicked off the Stikine Gold Rush, which led to more than a century of exploration and production in the area of not only gold but copper, silver, zinc, and nickel. Today the mineral-rich region, which came to be known as The Golden Triangle, accounts for 44 percent of British Columbia’s total exploration expenditures and 36 percent of drilling activity, according to the British Columbia Regional Mining Alliance.

Recent infrastructure improvements to the region, including construction of a $700 million high-voltage transmission line, three hydroelectric facilities, ocean port facilities for easier export, and improved road access, combined with higher gold prices, have attracted renewed attention from resource development companies. Now, The Golden Triangle is experiencing something of a new golden age, with companies eager to explore the region and begin production.

What, though, does a British Columbia mining boom have to do with Alaska? The answer lies in the province’s shared border and the waters that flow through it. The Salmon, Unuk, Stikine, Taku, and Alsek Rivers originate in Canada and flow across the border into Southeast Alaska, and the Stikine, Salmon, and Unuk watersheds lie partially or entirely in the Golden Triangle. Many of British Columbia’s current and proposed mines are located along or upstream of these transboundary waters, which makes what happens downstream a direct concern for Alaskans.

Neighborhood Watch
Mineral production in British Columbia, particularly gold, is a net positive for the United States. In 2023, the United States was the third-largest importer of Canadian gold. But the gold that US buyers want comes with an added cost in the form of waste that accompanies exploration and production.

In July 2020, the nonprofit environmental group Earthjustice filed a petition with the Inter-American Commission on Human Rights (IACHR) on behalf of the Southeast Alaska Indigenous Transboundary Commission (SEITC), which represents fifteen sovereign Southeast Alaska tribal nations. The petition requested that IACHR intervene in what it says are human rights violations. The SEITC argues that the British Columbia mines “are likely to release harmful pollution that threatens the health and viability of salmon and eulachon, migratory fish that spawn in the waters of the Taku, Stikine, and Unuk watersheds,” threatening the tribes’ ability to practice their culture and maintain their livelihoods. The SEITC also argues that Canada is obligated to consult with tribal stakeholders and obtain the “free, prior, and informed consent” of tribes potentially threatened by water pollution or other adverse impacts of mining operations, an obligation the SEITC alleges the mines have failed to do. IACHR accepted the SEITC’s petition to hear its case last fall.

Alaska tribes aren’t the only groups monitoring British Columbia mining activity and its potential impact on the state’s environment. Under a memorandum of understanding and statement of cooperation plan with the Canadian province, the Alaska Department of Environmental Conservation (DEC) is part of a transboundary bilateral working group comprising Alaskan and British Columbian officials who meet biannually to review and discuss environmental topics related to the two countries’ shared waterways; agency staff meet monthly to implement the group’s directives.

“DEC monitors and engages with British Columbia on projects within the transboundary regions,” says Terri Lomax, statewide water quality program manager with the DEC’s Division of Water. “That includes providing comments on proposed projects and reviewing activity related to active mines.”

In addition to sitting on the transboundary working group, the DEC reviews US Geological Survey data on transboundary ambient water quality and every two years prepares and issues the Alaska Integrated Water Quality Monitoring and Assessment Report, which determines whether bodies of water meet Alaska’s water quality standards, Lomax says. It also continues to advocate for the remediation of the historical Tulsequah Chief Mine, which sits on the Tulsequah River about 5 miles upstream from its confluence with the Taku River, which flows south of Juneau. Active during the ‘50s and explored for possible redevelopment in the ‘00s, the mine was placed on care and maintenance status in 2015.

The state has several options available if a British Columbia mine harms Alaska waters.

“If there was a spill or catastrophic failure that affected Alaska’s environment, DEC’s Spill Prevention and Response team would pursue the responsible party for remediation and cost recovery of state funds expended,” Lomax says. “For Alaska transboundary waters that don’t meet Alaska water quality standards, we would follow our normal process.”

That process, Lomax explains, involves examining data to determine whether the source was natural or man-made. If the source of the contamination was man-made, DEC would list the water as impaired, develop a plan to address the issue, and work with British Columbia officials to identify any other actions needed to remedy the issue. What those actions would be, she adds, is difficult to predict since impairment is case-specific.

Active Production
The border region has two active mines, and the Newmont corporation has a majority stake in both, having assumed ownership in November 2023 as part of its acquisition of Newcrest Mining.
“DEC monitors and engages with British Columbia on projects within the transboundary regions… That includes providing comments on proposed projects and reviewing activity related to active mines.”
Terri Lomax
Statewide Water Quality Program Manager
Alaska Department of Environmental Conservation
The $66.3 million Red Chris mine is a 70/30 joint operation between Newcrest Red Chris Mining, a Newmont subsidiary, and Red Chris Development Company, an Imperial Metals subsidiary. The open pit copper-gold mine, which began operation in 2016 and has an expected mine life to 2043, comprises five leases and 12,703 acres along the Stikine Watershed on the eastern point of the Golden Triangle. In fiscal year 2023, Red Chris produced 39,000 ounces of gold and 18,000 tonnes of copper; 2024 projections forecast the mine’s production at 40,000 ounces of gold and 27,000 tonnes of copper.

Newmont has a 100 percent ownership interest in the underground Brucejack mine, one of the largest highest-grade operating gold mines in the world. In operation since July 2017, the mine produced 286,000 ounces of gold during fiscal year 2023 and is forecast to produce 310,000 ounces in fiscal year 2024. Brucejack has an expected mine life of eighteen years.

Revival and Exploration
Skeena Resources is looking to bring back production at the Eskay Creek Mine, which was the world’s highest-grade gold mine when it operated from 1994 to 2008. During those fourteen years, Eskay Creek produced 3.3 million ounces of gold and 160 million ounces of silver. A November 2023 definitive feasibility study estimated the mine will produce 431,000 ounces of gold annually. Construction on the mine, which has a twelve year expected mine life, is scheduled for 2025 with production to begin in 2026.

The Premier Mine is another old mine looking to make a comeback. Located about 1 mile northeast of the British Columbia-Alaska border, the Premier Gold Project produced 2 million ounces of gold and 45 million ounces of silver during its thirty-four years in operation from 1918 to 1952; it briefly resumed operations in 1989 and was moved to care and maintenance status in 1996. Ascot Resources, which acquired the mine in 2009, announced in an April 8, 2024, press release that it had introduced first ore on April 5 and anticipated first gold would be poured later that month. Its tailings storage facility, water treatment plant, tailings thickener, and pipeline systems are also ready for operations.

Other mines in the proposal or exploration phases include the Kerr-Sulphurets-Mitchell (KSM) Project, which owner Seabridge Gold boasts is “the world’s largest undeveloped gold project as measured by reserves and resources,” located about 40 miles northeast of Stewart near the Unuk River, which flows north of Ketchikan. A preliminary feasibility study estimated proven and probable reserves at 47.3 million ounces of gold and 3.3 million tonnes of copper. The deposit, which also includes silver and molybdenum, will be mined in three distinct open pit operations plus some underground mining. Construction on the KSM mine, which has an expected working life of more than fifty years, includes the mine site and a processing plant about 18 miles northeast of the mine. Construction is expected to begin this year.

In northwestern British Columbia, the Galore Creek Mining Corporation, a 50/50 joint venture between Newmont and Teck Resources, is “working to advance one of the world’s largest undeveloped copper-gold-silver deposits” at Galore Creek, according to its website. Its 2024 field program includes nearly 20,000 feet of geotechnical, metallurgical, and resource development drilling, surveys, and site-sustaining activities. The joint venture is currently working on an updated pre-feasibility study, which is expected to be completed in 2025, and optimizing its project design.

Also in northwestern British Columbia, Teck Resources and Copper Fox Metals are managing the Schaft Creek project, approximately 37 miles south of Telegraph Creek, the only permanent settlement on the Stikine River, which flows north of Wrangell. The Schaft Creek project is part of a 75/25 joint venture, with Teck as operator. At nearly 140,000 acres of mineral concessions, Schaft Creek has of one of the largest undeveloped porphyry copper-gold-molybdenum-silver deposits in North America, according to the project website. Its 2023 program included nearly 30,000 feet of geotechnical drilling, collection of geotechnical data, an environmental baseline data collection program, and an archaeology impact assessment study performed in consultation with the Tahltan Nation.

DEC notes that mining activities in Canada do not require any approval by the State of Alaska, of course. However, the state government does play a role in environmental assessments administered by British Columbia, if activities could affect water quality, fish habitat, or fishery resources across the border. These channels of communication help maintain friendly relations between neighbors sharing the coastal mountains.