TAMARACK, Minn. — The DNR is processing a proposal to dig a new mine in north central Minnesota that would supply nickel to Tesla for the automaker's electric car batteries.
Talon Metals Corp. filed papers with state regulators Wednesday to launch the environmental review process for its proposed underground nickel mine near the town of Tamarack, which is in Aitkin County.
The Department of Energy (DOE) has already given Talon a $114 million grant to build an ore processing plant in North Dakota, part of the Biden administration’s efforts to boost domestic production of nickel, lithium and other metals needed for electric vehicles and the fight against climate change.
DNR officials say the mine and supporting facilities would have a footprint of about 80 acres. Talon would mine ore-bearing rock from a depth of approximately 500 to 2,000 feet below the surface, and then transport that rock by train to the ore processing plant in Mercer County, ND. Disposal of the waste tailings would take place at the Mercer facility, according to the DNR.
Talon says water from mine operations would be collected and treated before being returned to the environment, and access from the surface to the high-grade ore below the surface would be through sealed, concrete-lined tunnels to limit groundwater seepage.
The agency will now work to prepare an environmental impact statement as is called for by Minnesota law. The DNR will begin scoping, which is a process used to focus on the most important issues surrounding the project and identify technical, environmental and social elements that may have an impact.
State officials will also schedule at least one public meeting to allow the public to comment on the proposed mine.
"We understand that Minnesotans have widely differing perspectives regarding this proposed project and nonferrous mining more broadly. The DNR, however, must base its decisions on the facts and the law,” said Katie Smith, director of the DNR’s Ecological and Water Resources Division. “I want to assure all Minnesotans that the DNR is committed to a rigorous, transparent, and neutral review of the project, based on science and applicable state law.”
Talon kicked off the review process by submitting an environmental assessment worksheet to the DNR. The agency will use that document as a starting point for developing a more extensive environmental impact statement on the project, which will ultimately guide the department and other agencies in deciding whether to issue permits for the Tamarack Mine.
The Talon mine may have administration support, but it already faces opposition from the Mille Lacs Band of Ojibwe and environmental groups. They're concerned about the potential impacts on water resources and Native communities in the area, about 115 miles (185 kilometers) north of Minneapolis. Nickel is bound up in sulfide minerals that can generate sulfuric acid when exposed to the environment.
"There is much at stake; the proposed mine would be located just 1.3 miles from our communities and has the potential to impact our forever home and critical environmental and cultural resources," the Mille Lacs Band of Ojibwe said in a released statement. "The Band supports transitioning to a green economy but in a way that does not cause further harm."
Talon Metals is a joint venture with the Anglo-Australian company Rio Tinto, the world’s second-largest metals and mining corporation, which has long been criticized by environmental and Indigenous groups around the world, according to the Associated Press. Talon has an agreement with Tesla to supply 75,000 metric tons (165 million pounds) of nickel concentrate and smaller quantities of cobalt and iron from the mine over six years once it goes into commercial production.
The company insists its plan contains ample safeguards.
“We do not believe that addressing climate change should come at the expense of the natural environment,” Talon CEO Henri van Rooyen said in a statement. "We can move to a clean energy system, protect the environment, respect tribal culture resources and self-determination, involve front line communities and working people in project approvals and create good paying union jobs. It doesn’t have to be a choice."
The review process historically takes several years, at least. The DNR launched a website on Wednesday outlining the hoops Talon must jump through to get the mine approved. No local or state permits can be granted until the Environmental Impact Statement is completed.
But Talon is hoping the mine's design will speed things up enough so that it can begin production for Tesla in 2027.
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