[Congressional Record Volume 141, Number 49 (Thursday, March 16, 1995)]
[Extensions of Remarks]
[Pages E618-E619]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


        INTRODUCTION OF THE GREENS CREEK LAND EXCHANGE AMENDMENT

                                 ______


                             HON. DON YOUNG

                               of alaska

                    in the house of representatives

                        Thursday, March 16, 1995
  Mr. YOUNG of Alaska. Mr. Speaker, today I introduce legislation which 
will ratify a land exchange agreement in Alaska between the U.S. Forest 
Service and the Kennecott Greens Creek Mining Co. [KGCMC]. This land 
exchange is a novel and public-spirited agreement which will provide 
jobs in Alaska for my constituents, promote sound economic and 
environmentally responsible resource development, and further the 
interests of land consolidation on conservation system units in the 
Tongass National Forest without any cost to the Federal Government. 
This land exchange is a true partnership between the private sector, 
KGCMC, and the Federal Government. In fact, the Secretary of 
Agriculture approved the land exchange agreement on October 26, 1994. I 
look forward to working with all interested parties toward the 
successful enactment of this legislation.
  The Greens Creek Mine is located on Admiralty Island near Juneau, 
Alaska's capital. The mine was located under the general mining law 
while the area was within multiple-use lands in the Tongass National 
Forest. Subsequently, the area became part of the Admiralty Island 
National Monument through the enactment of the Alaska National Interest 
Lands Conservation Act [ANILCA] in 1980. Because this mine had world 
class potential, Congress included a special provision in ANILCA to 
ensure that the mine could go forward. It provided a special management 
regime and specific provisions to permit perfection of the mine's 
claims. Under this special regime, the managers of the claims were able 
to perfect and patent 17 claims in the Greens Creek Mine which began 
operation in 1989.
  I remember the pride of all Alaskans when the Greens Creek Mine was 
opened. Unfortunately, low metal prices caused the temporary closure of 
the mine a year and a half ago. Since then, KGCMC has been working 
diligently to revise its mining development plan so that the mine can 
reopen in the near future. I hope that this reopening will occur soon.
  The land exchange agreement is the product of a nearly 10 year effort 
by KGCMC to deal with one of the problems created by the special 
management regime in ANILCA. Although that regime permitted the 
perfection and patenting of 17 claims, it did not provide an adequate 
time for exploration of all the area with mineral potential surrounding 
the Greens Creeks Mine. KGCMC estimates that approximately 8,000 acres 
surrounding the existing mining claims are of interest geologically. 
This area is now closed to mineral exploration and development because 
it is located in the National Monument. Under normal circumstances, in 
an operating mining district on general Forest Service or public domain 
lands, KGCMC would be able to explore any such areas.
  Since this area of interest has been off-limits to mineral 
exploration under ANILCA, KGCMC has been searching for a way to explore 
these areas. It has engaged in a multiyear negotiation with the Forest 
Service to develop a land exchange which would permit access to the 
area in a manner which is compatible with the monument designation 
provided by Congress.
  The management regime provided for in ANILCA permitted the 
development of the Greens Creek Mine under special circumstances. The 
mine is an underground mine and its footprint on the surface is quite 
small. There is a development area with a series of buildings and 
surface facilities such as tailings ponds, but generally the mine is 
located in a manner to minimize its effect on the area. For example, 
there is no permanent camp or town at the mine. All workers commute by 
boat daily from Juneau. The terms of the land exchange require KGCMC to 
utilize its existing facilities to the maximum extent possible to 
ensure minimal change to the existing footprint. Additionally, mining 
in any new areas would be under the same management regime by which 
KGCMC developed the existing Greens Creek Mine.
  Future exploration and development at Greens Creek will have minimal 
impact on the surface area and the mine will remain an underground 
operation. No open pit mining is permitted under the terms of the 
agreement, and the Forest Service will continue to administer the 
surface area just as it does now.
  [[Page E619]] This land exchange also provides other major benefits 
to the Government, the community and the environment:
  First, upon completion of mining, KGCMC's existing patented claims 
and any other claims which it holds on Admiralty Island will revert to 
the Federal Government. Although these claims cover a small area, the 
Forest Service considers this reversion very important to its overall 
general management plan within the monument.
  Second, KGCMC will also fund the acquisition of 1 million dollars' 
worth of landholdings within the Admiralty Island National Monument and 
on other conservation system units in Alaska. This land acquisition 
process will take the form of either an exchange or the formation of a 
special land acquisition escrow account which would permit the Forest 
Service to make the acquisitions. In any case, none of these lands can 
be acquired except on a willing seller/ willing buyer basis.
  Third, the lands to which KGCMC will acquire subsurface title also 
reverts to the Federal Government when mining ceases.
  Fourth, finally, and most important to me, the exchange will improve 
chances that 250 jobs created by the mine will continue for a longer 
period of time once the mine reopens. While there is never any 
certainty in mining, KGCMC is hopeful that new ore will be discovered 
and mined. This would lengthen the life of the Greens Creek Mine and 
keep jobs generated by the mine in Juneau longer.
  Mr. Speaker, the legislation I introduce today simply ratifies the 
land exchange agreement. It cannot be implemented without this 
legislation because the parties agreed that this matter should be 
approved by Congress. I believe that this land exchange is good for all 
parties involved. It helps the environment; it promotes mining in 
Alaska; and it encourages a good corporate citizen to continue to work 
toward full development of the mining area in which its claims were 
located under very strict and rigorous environmental requirements. I 
look forward to pursuing this matter in the Resources Committee and 
reporting this bill to the House for consideration. This is an issue 
which should be quickly agreed upon by all parties.


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