According to a report by Mining.com citing Reuters, the US government on the 3rd granted Perpetua Resources a final mining permit for an antimony-gold mine, marking one of the country's efforts to expand domestic critical mineral production in response to escalating trade wars.
The permit has received support from billionaire John Paulson. Antimony can be used in the production of weapons, solar panels, flame retardants, and other products. Currently, the US does not produce antimony.
According to documents published on the US Forest Service's website, the agency announced its final decision on Perpetua's Stibnite project—essentially the permit for the mine.
Once the Stibnite project begins production in 2028, the mine will be able to supply 35% of the US's annual antimony demand and produce 450,000 ounces of gold annually.
The US Forest Service stated that the decision to grant the mining permit was based on detailed environmental data analysis, discussions with Indigenous groups, and consultations with other federal agencies.
"I analyzed the mine's environmental design, monitoring, and mitigation measures to minimize environmental impacts under adverse conditions," Matthew Davis from the Forest Service stated in the report.
Facing criticism, Perpetua Resources revised the mine's design three times. The mine is located 138 miles (222 kilometers) north of Boise, the capital of Idaho. Perpetua Resources stated that it would "build this mine to the highest standards."
The company's CEO, Jon Cherry, said, "Every detail of the project has been thoroughly studied."
Although the US Forest Service claimed that the decision was made after consultations with the US Army Corps of Engineers (USACE), Perpetua Resources still needs to obtain a wetlands permit from USACE.
The Stibnite project has antimony reserves of 148 million pounds and gold reserves of 6 million ounces. In 2020, the project was estimated to require an investment of $1.3 billion, but post-pandemic inflation has increased the investment costs.
The Pentagon has pledged $60 million in funding for the project, including costs for cleaning up pollution caused by mining during World War II and expanding the mining scope.
In April, the US Export-Import Bank sent a letter to Perpetua Resources, expressing willingness to provide an $1.8 billion loan for the project.
The project has not yet gained the support of the Nez Perce Tribe in Idaho, which is concerned about its potential impact on the state's salmon population.
According to the decision memorandum, the tribe was consulted during the permit review process, and modifications were made to address their concerns.
The Nez Perce Tribe did not immediately respond to a request for comment.
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