Bear Lodge Developer: Rare Element Resources Ltd. Location: Crook County, Prepared January 2018

Background Located in northeastern Wyoming, 20 miles there are many deposits across the nation, including from the South Dakota border and 22 miles southeast at Bear Lodge, Wyoming. More importantly, five of of the famous Devil’s Tower, Rare Element the REEs mined at the site are deemed ‘critical’ by Resources Ltd. has proposed a rare earth elements the U.S. Department of Energy based on their role in mine named Bear Lodge. This area, situated in the clean energy and supply risk (RER; Siciliano, 2018). Bear Lodge Mountains on the unique Rare Earth Resources frequently affirms their Uplift, contains one of the largest deposits of rare commitment and dedication to safeguarding the earth elements (REEs) in North America according environment. Following trends in the mining to the US Geological Survey. The Black Hills Uplift industry, the company declares that they are creates various levels of rock formations that contain committed to the environment and to responsibly the carbonatite and silicocarbonate dikes and veins managing any “risks to [their] employees, that are associated with REE mineralization. The communities and the environment” (RER Fact Sheet, proposed Bear Lodge mine would mine ten of the 17 2014). On their website, the company lists the rare earth elements including neodymium, possible mitigation measures it will take when dysprosium, and europium. building and operating the mine. They include erosion control measures, a reclamation plan, air quality control measures and more (Environmental Programs). Exploration and drilling for the Bear Lodge mine began in 2011. In January of 2016, Rare Element Resources suspended all permitting processes due to low market prices and a lack of funding from investors. This happened shortly after the US Forest Service released a Draft Environmental Impact Statement that recommended the advancement of the project (Fladager, 2016). Activity resumed again when the San Diego-based, Covering approximately 1,700 acres in the defense-contracting company, General Atomics Black Hills National Forest, the proposed Bear invested $4.7 million into RER in August of 2017. A Lodge mine has a predicted lifetime of 43 years. statement from RER’s President and CEO stated that According to a 2014 Pre-Feasibility Study released “the Company plans on resuming key permitting by the company, the project was predicted to have an activities and progressing the Project to be poised to initial capital cost of $290 million that would result be the next rare earth producer in the United States…” in an open-pit mine that extracted 423,000 tons of ore (RER, 2017). annually when operating at full capacity (RER, 2014). Policy Context Rare earth elements (REE) are becoming The state of Wyoming is known for its mining increasingly important to clean energy production. history and being generally mine-friendly. The state Although the U.S. is not a leading producer of REEs, supplies more energy in the form of fossil fuels to the country than any other state and is the nation’s leader Significant concerns were expressed by many in coal production (IER). groups in the area. The most vocal public input Historically, coal mining in Wyoming has been occurred during a public meeting held by the Black the cornerstone of the state’s economy. Due to recent Hills National Forest where around 140 people economic downturns, coal mining jobs in this area attended. A majority of the concerns were about the have taken a hit. The jobs created by the Bear Lodge potential for wastewater contamination and high Project could contribute to a revitalization of the levels of expected dust (Peterson, 2014). In addition, area’s economy. Bear Lodge’s proximity to Devil’s Tower posed Rare earth mining in Wyoming is still relatively many concerns for local Native American tribes due new, so many regulations specifically addressing the to the cultural and historical significance that the practice do not exist. Because of this, rare earth unique geologic feature holds for them. According to mining companies must only abide by water and air Native Sun News, Devil’s Tower, or Mahto Tipila, regulations enforced by the Wyoming Department of holds cultural significance to more than 20 native Environmental Quality and the Wyoming tribes in the area. The land surrounding the volcanic Environmental Quality Council. formation is “considered a holy land” which is “used According to Rare Element Resources, the for personal and group rituals for healing and project “attracted a great deal of attention at the spiritual guidance”. In response to the proposed national level” and one company representative cited development, the grassroots, non-profit organization, the Department of Energy, the Department of Defenders of the Black Hills, organized two prayer Defense, and the Department of Commerce all as gathering at the foot of that protested proponents of the mine (Storrow, 2014). the development and prayed for the protection of sacred lands and burial sites in the area (Naumann, 2014 ; Naumann, 2016). When given the opportunity to respond to public concerns about the mine, Rare Element Resources did not address the concerns posed by native communities (Fladager, 2013).

Conclusion The Bear Lodge Mining project appears to serve 2 Bull Hill: Location of proposed mine the job creation interests of local community Public Response residents and the metal needs of the national Mining proponents value the potential for job government. The rare earth element mine proposed creation at this site. It is predicted that 100 jobs by Rare Element Resources Ltd of Canada would would be created (RER FAQ). According to a press create create jobs in an economically depressed area release from 2013, Rare Element Resources and would contribute to America’s growing demand “received resolutions or letters of support for the for Rare Earth Elements. Despite this, some consider Project from three counties, six municipalities, one the mine to be too small to meaningful revolutionize school district and the Black Hills Regional Multiple the global market (Storrow, 2014). Additionally, the Use Coalition” (RER, 2013). The coal industry in mine is still subject to the whims of the global market nearby Gillette has suffered recent job loss with and contributions from investors. This uncertainty declines in production meaning that this mining calls into question the feasibility and profitability of project potentially offers smooth job transitions. This, the mine, especially during such a uncertain however, assumes that the job skills required for coal generation of mining. mining transfer to REE mining.

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Photo Sources 1http://www.rareelementresources.com/bear-lodge-project/overview#.Wo-I55M-fv0 2http://www.rareelementresources.com/bear-lodge-project/overview#.Wo-I55M-fv0