World’s highest royalty on metals mining, which is threatened, would make US operations noncompetitive; threaten mining-dependent communities throughout the American West. The following statement was released today by National Mining Association (NMA) President and CEO Hal Quinn upon the introduction of legislation to amend the General Mining Law by House Natural Resources Committee Chairman Nick J. Rahall.  

“Thousands of high-paying mining jobs and mining-dependent communities throughout the West are put at risk by the Hardrock Mining and Reclamation Act of 2009 (H.R. 699), which was introduced today by House Natural Resources Committee Chairman Nick J. Rahall (D-W.Va.) and others. These are jobs and operations that can play a vital role in rebuilding America, but they cannot shoulder the world’s highest royalty and remain competitive in the international marketplace. 

“More than 50,000 Americans are employed at US metals mines. They meet half of this country’s manufacturing needs and can do more. Another 200,000 jobs are created because of US metals mines-generating $12.5 billion in payroll and $4.2 billion in personal income and payroll taxes.  These operations truly are the economic engines that drive countless communities across the West. 

“An 8% royalty on metals produced on federal lands would be the world’s highest.  This royalty and other provisions of H.R. 699 that are duplicative of other US laws and regulations would needlessly jeopardize US metals mining – further increasing our dependence on foreign sources for the metals we will need to rebuild America.  NMA supports responsible updates to the General Mining Law to keep US mining strong, but this is the wrong medicine for our economy and crushing news for thousands of families in America’s mining community.”