Canada's Aquila Resources may not learn until early 2018 whether it will be issued the fourth and final permit needed for Michigan's first zinc mine, the so-called Back Forty project in the state's Upper Peninsula, a Michigan official said Thursday.
By the end of August, Toronto-based Aquila is expected to forward additional project-related information sought by the Michigan Department of Environmental Quality, which is evaluating the company's application for a wetlands permit for the open-pit mine, DEQ mining specialist Joe Mackey said in an interview.
"The wetlands information previously submitted by Aquila was old and needs to be updated," he said. Fresher data is especially important because there has been more precipitation in the past couple of years in the proposed mine area along the Menomimee River near the Michigan/Wisconsin border, and additional wetlands could have been formed. Aquila filed its wetlands application with the DEQ in late 2015.
The Sierra Club, which opposes the project, says the Menomimee River is culturally significant "as a major prehistoric travel corridor for indigenous peoples and the source of Creation for the Menominee Indian tribe."
If Aquila submits the additional information, as expected, in the next two weeks, Mackey said the agency will begin evaluating it.
But given the fact that 2017 is about two-thirds over, the review process could spill over into early next year, he said. Aquila officials could not be reached for comment.
The DEQ already has awarded three permits for Back Forty, including an air use permit to install, national pollutant discharge & elimination systems permit and a non-ferrous metallic mineral mining permit.
If the final permit is forthcoming in the next few months, Aquila says it could begin mine construction next year.
Over its projected 16-year life, Back Forty is expected to produce a total of 721 million pounds of zinc, 532,000 ounces of gold, 74 million pounds of copper, 4.6 million ounces of silver and 21 million pounds of lead.
Aquila says the "near-surface characteristics of the ore body provide the opportunity to develop a low-CapEx, high-grade initial phase operation."
Over the past 10 years, Aquila and various joint venture partners, including HudBay Minerals, have invested more than $75 million exploring and advancing Back Forty.
Mackey said there currently is no zinc mining in Michigan. "The state has had an underground gold mine in the past. The only things being mined currently in Michigan are salt, nickel, copper and iron ore."
