Bristol Bay’s Wild Salmon Ecosystems and the Pebble Mine: Key Considerations for a Large-Scale Mine Proposal Bristol Bay’s Wild Salmon Ecosystems and the Pebble Mine: Key Considerations for a Large-Scale Mine Proposal This report was produced in partnership by Wild Salmon Center and Trout Unlimited. Primary Contributing Authors Dave Chambers, Ph.D. Robert Moran, Ph.D. Lance Trasky Edited by Mark Trenholm Layout and Design by Lori Howk January 2012 Acknowledgments This report was made possible through the generous financial support of Stone Gossard and The Tiffany & Co. Foundation. Wild Salmon Center and Trout Unlimited would like to thank the primary contributing authors to this report, including Dave Chambers, Robert Moran, and Lance Trasky, for their time and expertise. We are also grateful for the assistance provided to us by several additional contributors to this report, including: Sandy Bryce, Luke Danielson, Laurele Fulkerson, Jessica Goin, Robert Hughes, Jan Konigsberg, Robert Spies, Greg Thomas, Mark Trenholm, and Tim Wigington. We would also like to recognize and thank those who reviewed this document during its development and provided critical feedback and/or editorial support, including: Jeff Baumgartner, Mihael Blikshteyn, Greg Block, Shoren Brown, Paula Burgess, Samantha Chilcote, Kristin Dizon, Randy Ericksen, Kurt Fesenmyer, David Finkel, Julia Gibson, Leah Hair, Sarah O’Neal, Hans Radke, Guido Rahr, Pete Rand, Bob Waldrop, Amber Gladieux, Trozell Weaver, Jack Williams, Laura Williams, and Carol Ann Woody. We are indebted to the contributions of photographers who have donated photos to this report, including: Steve Baird, Amy Gulick, Ben Knight, Erin McKittrick (Ground Truth Trekking), Ken Morrish (Fly Water Travel), Paul Vescei, and Bob Waldrop. Finally, we would like to thank our supporters and friends who are committed to the long-term conservation of Alaska’s wild salmon ecosystems. Their support helps make our work possible. Acronyms ACFEC – Alaska Commercial Fisheries Entry Commission MIBC – methyl isobutyl carbinol ACMP – Alaska Coastal Management Program NEPA – National Environmental Policy Act ADEC – Alaska Department of Environmental Conservation NEV – net economic value ADFG – Alaska Department of Fish and Game NMED – New Mexico Environmental Department ADNR – Alaska Department of Natural Resources NMFS – National Marine Fisheries Service AMD – acid mine drainage NOAA – National Oceanic and Atmospheric Administration ARCO – Atlantic Richfield Company NPUV – nonmarket passive use value ASARCO – American Smelting and Refining Company NPV – net present value AWC – Anadromous Waters Catalog NRC – National Research Council BBNC – Bristol Bay Native Corporation NTU – nephelometric turbidity unit CDA – Coeur d'Alene area PLC – public limited company CERCLA – Comprehensive Environmental Response, Compensation, and PLP – Pebble Limited Partnership Liability Act SDT – Seafood Development Tax CFB – Clark Fork Basin SDWA – Safe Drinking Water Act CWA – Clean Water Act SMA – Seafood Marketing Assessment DEQ – Department of Environmental Quality TDS – total dissolved solids DOGAMI – Department of Geology and Mineral Industries TSF – tailings storage facility EIS – environmental impact statement USEPA – United States Environmental Protection Agency ESA – Endangered Species Act USFS – United States Forest Service FBT – Fisheries Business Tax USFWS – United States Fish and Wildlife Service FEI – Formosa Exploration Inc. USGS – United States Geological Survey ICOLD – International Commission on Large Dams WHO – World Health Organization LNG – liquefied natural gas WISE – World Information Service on Energy Lake Iliamna (photo by Ben Knight). Table of Contents Executive Summary .................... 3 Introduction .......................... 7 The Bristol Bay Basin ................. 11 Pebble Mine Permitting Process .......... 69 6.1 State Process and Regulatory The Pebble Project ....................15 Requirements ...................... 69 2.1 Pebble Mine Project Overview .......... 15 6.2 Federal Statutory and Regulatory Requirements ...................... 73 2.2 Mine Waste Facilities ................. 16 6.3 Additional Requirements for Pebble Mine 2.3 Chemicals Used and Tailings Produced ... 20 Infrastructure ...................... 76 2.4 The Pebble Mine and the Emergence of the 6.4 Other Considerations ................ 77 Bristol Bay Mining District ............ 23 Economic Valuations of a Wild Salmon Potential Sources of Contamination .......27 Ecosystem .......................... 81 3.1 Mine Rock-Water Interactions: Effluents .. 28 7.1 Comparing the Economic Values of a Wild 3.2 Waste Rock. 28 Salmon Ecosystem and the Pebble Mine .. 81 3.3 Tailings ........................... 31 7.2 Regional Economic Expenditures in Wild 3.4 Process Water and Concentrates ........ 32 Salmon ........................... 81 3.5 Post-mining Pit Lake. 32 7.3 Willingness to Pay. 82 3.6 Pipeline Failures .................... 32 7.4 Non-market Passive Use Value ......... 83 3.7 Tailings Dam Failures ................ 35 7.5 Taxation and Local Revenues .......... 84 7.6 Local Employment and Native Communities. 85 The Salmonids of Bristol Bay ............ 41 7.7 Potential Treatment Costs and Liabilities. 86 4.1 Habitat and Adaptation .............. 41 4.2 Ecological Importance of Bristol Bay Salmon ........................... 43 Conclusions ......................... 91 4.3 Salmon Species of Bristol Bay .......... 44 Literature Cited ...................... 97 Potential Effects of the Pebble Mine on Salmon ...................... 51 5.1 Acid Mine Drainage and Changes in pH. 51 5.2 Acid Mine Drainage and Copper Toxicity. 56 5.3 Whole Effluent Toxicity and Community Effects ............................ 58 5.4 Water Appropriations ................ 60 5.5 Sediment and Turbidity ............... 64 5.6 Predictions versus Performance in Maintaining Water Quality ...................... 66 Front cover: top left, Wild Salmon Center; additional photos by Ben Knight. 170°W 165°W 60°N Maps Bristol Bay Watersheds .................... 11 Pebble Mine Project Footprint .............. 16 Pebble Mine and Mining District ............ 21 59°N Growth of the Mining District .............. 22 Potential Sources of Contamination .......... 27 Faults and Seismic Activity ................. 36 Anadromous Waters Catalog ............... 48 Case Studies 58°N Tunnel Drainage Failure ................... 29 Holden Copper Mine (Washington) Pit Lake Failure ......................... 33 Grouse Creek Gold Mine (Idaho) Pipeline Failures ......................... 34 Cape Black Mesa Pipeline (Arizona) Newenham Century Mine (Ohio) 57°N Alumbria Mine (Argentina) El Chino Mine (New Mexico) Tailings Dam Failures ..................... 35 Martin County Coal Corporation (Kentucky) Brewer Gold Mine (South Carolina) Buffalo Creek Valley (West Virginia) Acid Mine Drainage 56°N Formosa Copper Mine (Oregon) . 53 Mount Washington Copper Mine (British Columbia) . 55 Ground Water Contamination .............. 59 Bingham Canyon Mine (Utah) Failures at Alaska’s Largest Mine ............ 78 Red Dog Mine (Alaska) 55°N The True Cost of Mining Couer d’Alene (Idaho) ...................... 86 Clark Fork Basin (Montana) ................. 87 Zortman and Landusky (Montana). 88 54°N 53°N 170°W 165°W 160°W 155°W 150°W 61°N LAKE CLARK NAT’l PARK 60°N R. tna ha ulc M . R Iliamna k ia g . Lake Cook Inlet R To k a R. g k a a h h s c u Kvi N 59°N Naknek R. Kvichak KATMAI Bay NAT’l PARK Egegik R. Becharof 58°N Bristol Bay Lake Ugashik R. 57°N 56°N 55°N Bristol Bay Drainage Boundary N National Park 0 25 50 75 100 Pebble Mine Claim Miles 54°N 160°W 155°W 150°W 2 Small stream near the Pebble Mine site (photo by Steve Baird). Executive Summary 3 aquatic ecosystems. Because mineralized rock is Executive Summary exposed to air and water in numerous mining loca- Located in southwestern Alaska, the Bristol Bay tions, keeping contaminated water controlled on-site in basin annually produces hundreds of millions of juve- perpetuity represents one of the greatest environmental nile salmon, yielding tens of millions of adults. The challenges to a hard rock mining operation like Pebble. most abundant wild salmon fishery in North America, While acid mine drainage is a primary threat at mine this resource is vital to the economy and culture of the sites, neutral and alkaline pH drainage can also release region and integral to the health and function of the mine-related contaminants into the environment. Bristol Bay ecosystem. Supporting robust subsistence, Data produced by PLP document that much of the recreational, and commercial harvests, the Bristol Bay site rock has sulfide-sulfur concentrations between 1% sockeye salmon fishery is the largest in the world and and 5%, sometimes up to 9% or greater. Significant the greatest source of private sector income in the volumes of rock containing 1% – 5% sulfide suggest Bristol Bay region. a concern for the development of acid mine drainage In 2007, a wholly-owned affiliate of the Canadian at the Pebble site. Thus, PLP proposes to permanently mining company Northern Dynasty Minerals Ltd. store mine tailings and most of the waste rock in flooded (Northern Dynasty) and a wholly-owned subsidiary impoundments, known as tailings storage facilities. of London-based Anglo American PLC established Storage of the billions of tons of Pebble Mine's waste the Pebble Limited Partnership (PLP) to develop one will involve construction of one of the world’s largest— of the world’s largest copper-gold-molybdenum