ARTICLES AND STATEMENTS
on proposed Crandon mine site buyout.

The
Wolf River
Headwaters
Protection
Purchase

State asked to buy mine site; Goal is to protect Crandon's resources

A coalition of environmental groups and tribal and local governments in the Crandon area today asked the state of Wisconsin to acquire 5,000 acres and mineral rights from the Nicolet Minerals Co. and stop the possibility of mining forever.

Gov. Scott McCallum termed the proposal "an intriguing idea that deserves further consideration and discussion." "It is my intent to meet with the affected parties and have a meaningful dialogue so that all sides can be heard," McCallum said. "Before making any commitments, I would like a thorough explanation of the environmental consequences, the import to the local economy and the impact on the state budget."

Members of the coalition, who announced the plan during a press conference in the Capitol this morning, said that informal contacts with Nicolet Minerals indicated the company might be willing to sell.

Dale Alberts, president of Nicolet Minerals, said later that the company would continue to pursue all necessary state and federal permits to construct and operate a mine on its property.

"However," he said, "the company would be willing to consider an offer to purchase the property, if the purchase is in the best interests of Nicolet's parent company, BHP Billiton, and the offer reflects the value of this project to our shareholders."

Nicolet's mining plan has been dealt recent setbacks, including a U.S. Supreme Court ruling backing the Mole Lake Chippewas' strict water regulation rights, and a state Department of Natural Resources finding that one example of a safe mine required to be submitted by the company does not comply with the state's mining moratorium law.

Nicolet Minerals wants to mine 55 million tons of zinc and copper ore in the Crandon area. The battle over the mining proposal has gone on for two decades.

"Simply defeating the mine permit is not enough, unless the land is permanently taken out of the hands of mining companies." said Zoltan Grossman of the Midwest Treaty Network.

Coalition members said that what they are calling the Wolf River Headwaters Protection Purchase should include a mix of public and private funding sources, including the state Stewardship Fund, with costs spread out over time.

It was also suggested that management of the site could be patterned on a state-tribal-local partnership, such as the Kickapoo Valley Reserve Board.

"What if the total energy and money likely to be spent by proponents and opponents of the Crandon Mine were instead diverted to a campaign for a sustainable economic and environmental future for Wisconsin's north woods?" the coalition asked in an open letter to the governor and legislative leaders.

"Resources management shall be carried out at the watershed scale to protect the high-quality water resources and habitat for game, non-game and endangered species while encouraging appropriate tourism development in an area that would otherwise have put these resources at serious risk."

Coalition members denied that the purchase amounted to a payoff of the mining company. "It most certainly is not," said Dave Blouin of the Sierra Club. "We will not support a public bailout of this company's bad investment."

The coalition said it would withdraw support of the proposal if Nicolet demanded a prohibitive price.

"A Crandon mine purchase makes sense so that future generations, whether Indian or non-Indian, will enjoy the clean water, natural resources and a pristine environment just as we and our ancestors have enjoyed," said Lisa Waukau, chairwoman of the Menominee Indian tribe.

The Menominee, Sokaogon (Mole Lake) Chippewa, Forest County Potawatomi and other area tribes have stressed the protection of wild rice resources downstream from the mine site, water quality issues, burial sites in the area and tribal access to the site for religious purposes.

"The state of Wisconsin has an exciting opportunity to end the state's most controversial environmental issue by helping to acquire this pristine and environmentally sensitive site," said Chuck Sleeter, board chairman of the town of Nashville. "We want to protect natural and cultural resources and grow our economy wisely instead of endangering it with risky, short-term mining."

State legislators who immediately indicated support of the purchase plan included Sen. Jim Baumgart, D-Sheboygan, and Rep. Spencer Black, D-Madison.

"The state's purchase and protection of this land will protect resources important to the Native American history of our state," Black said.

Wisconsin Manufacturers' & Commerce (WMC)
Raps Crandon Mine Taxpayer Buy-out

MADISON -- The state's largest business organization Thursday criticized the proposed taxpayer buy-out of a proposed mine of one of the world's richest zinc and copper deposits in Forest County.

"The state's only role should be to either approve or reject the permit for the mine," said James S. Haney, president of Wisconsin Manufacturers & Commerce. "Wisconsin has a $1.1 billion deficit and the taxpayers shouldn't be forced to pick up the tab to buy-out a project deemed politically unpopular."

A number of environmental groups Thursday proposed using the Wisconsin Stewardship Fund to purchase the land from Nicolet Minerals, which has proposed mining the zinc and copper deposit near Crandon.

"Today, it's the mine; tomorrow, it could be farms with manure pits, failing recycling operations or utility transmission lines," Haney said. "We've seen enough taxpayer bailouts in Wisconsin recently. The land ought to be sold on the market."

Haney said the environmental groups should buy the land themselves. "If the environmentalists want to purchase the land and keep it out of production, that's their right," Haney said. "They should raise the money privately and buy it. There are plenty of banks that would write the loan."

The Wisconsin Mining Association reports that federal, state and local government permits have been sought to mine the deposit since 1978.

"It's wrong to use delays in the state permitting process to allow environmental groups to try to send taxpayers the bill to buy the land," Haney said. "If they want to stop mining in Forest County, they should buy the land themselves and not stick it to the taxpayers."

Dave Blouin, Mining committee chair, Sierra Club-John Muir Chapter
Chuck Sleeter, Chairman, Town of Nashville
Ken Fish, Director, Menominee Treaty Rights and Mining Impacts Office

Recently, an alliance of tribal and local governments and environmental and other organizations proposed that the public acquire the Crandon mine site and mineral rights to preserve it as a conservation area. The management of the area will be devoted to sustainable land management practices, tribal cultural values and tourism suited to the environmentally sensitive headwaters of the Wolf River.

The people of Wisconsin understand that the Wolf River is one our most treasured resources and we believe the public strongly supports efforts to protect the Wolf. This unique Wisconsin proposal will help resolve the intense battle over mining in Northeast Wisconsin.

In 1968, twenty-four miles of the Wolf, from the Langlade-Menominee County line downstream to Keshena Falls, were designated as one of the original eight National Wild and Scenic Rivers. Wisconsin designated the river (but not its tributaries) an Outstanding Resource Water, in recognition of its excellent water quality and high quality fisheries. Today, the Wolf retains its scenic beauty and is largely undeveloped along its shores and adjacent lands.

The Wolf River and its headwaters areas are of significant economic, cultural, and spiritual importance to the Menominee and Chippewa tribes, supporting abundant wild rice beds and providing essential habitat for sturgeon of the Lake Winnebago system.

Our proposal, the "Wolf River Headwaters Protection Purchase," requires the State of Wisconsin to negotiate a reasonable price for this purchase and to use a mix of public and private funding sources including the State Stewardship Fund. We have also proposed to protect the land permanently by requiring oversight by an integrated management board of state, local, and tribal interests.

The Stewardship Fund is designed to make public funding available to acquire lands threatened by development. State purchase of the Willow Flowage properties is one recent example of a wise investment using Stewardship Funds that has helped the tourism economies of northern Wisconsin, with strong backing from hunters and anglers.

The Wolf River Headwaters Protection Purchase is consistent with the conservation and protection goals of the Stewardship Fund. Clearly, the Wolf River and its cultural and natural resources are threatened by development, whether mining or pressure to carve the site up and sell it on the open market. It is critical that the public acquire and protect the site to benefit future generations.

Some will ask whether this proposal is a buyout or a bailout of this mining company. It is not. We propose to pay a reasonable price for the property, but not for any costs spent by the mining company on its bad investment decision. We also believe that any value associated with potential mining would not be a consideration in the cost to taxpayers for the mineral rights.

Some will wonder whether the State can afford this acquisition given the sorry state of the budget. The fact is that the Stewardship Fund has no relationship to the operating budget. Bonds are sold to generate funds to acquire the lands. The bonds are repaid over twenty years by future generations who enjoy the site. More than $300 million is already appropriated through the year 2010 and some is already committed for planned projects. We have conditioned our support for the purchase on the need to spread payments over many years to respect the need for funding to be available for other important land acquisitions.

Our exciting vision for the Wolf River headwaters stands in stark contrast to the current mine proposal. In place of mining wastes that could pollute state waters for generations, we will save and protect a pristine and beautiful site for all to enjoy. Please help us do so by asking Governor McCallum (608-266-1212) today to support a public acquisition of the mine site.

Governor Tells Partners He is Seeking
'Win-Win' Solution for the Wolf Headwaters Purchase

Madison, Wis.: On Monday, July 15th, Governor Scott McCallum met for half an hour with proponents of the proposed public acquisition of the Crandon Mine site in the Wolf River Headwaters area and indicated that his administration was moving forward with efforts to negotiate a purchase that is a win-win for the people of Wisconsin. Meeting with the Governor were representatives of the Menominee and Mole Lake Chippewa tribes, Town of Nashville officials, Sierra Club, Mining Impact Coalition and Wolf Watershed Educational Project.

"The Governor assured us that he is seeking a solution that all parties will consider a win-win for Wisconsin," said Caryl Terrell, Wisconsin Sierra Club representative. "The Governor said he understood that tribal cultural and environmental resources would be protected and he stressed that he wanted to see solid economic development in the area," stated Terrell. "Even if there were no proposed Crandon mine, this would be a fabulous Stewardship Fund project."

"The Governor has followed up on his commitment to advance this process," said Chuck Sleeter, Chairman, Town of Nashville. "The Governor asked us to work with his staff on future issues of the purchase agreement and use of the lands. We agree that we can be partners on this project."

"The Governor is concerned that taxpayers receive a fair deal and so are we," said Dave Blouin, coordinator of the Mining Impact Coalition of Wisconsin. "We have always said that the cost must be reasonable and that any value associated with potential mining would not be a consideration in the cost to taxpayers for the mineral rights.

"I relayed to the Governor the importance of the 'life' of the natural resources, the power of prayer and offering of tobacco to let the spirits know we are always grateful for the gifts from the Creator," said Tina Van Zile, Vice Chair of the Mole Lake Sokaogon Chippewa Community. "Cultural resources and sacred sites are in the whole area, not just on the reservation. Ken Fish of the Menominee Tribe and I stressed the importance of our future generations and that the Sokaogon will be in the area forever."

"The alliance to protect the Wolf Headwaters' environment and local economy has been a partnership between tribes, local governments, environmental, conservation groups and many elected officials," said Zoltan Grossman of the Midwest Treaty Network's Wolf Watershed Educational Project. "This positive partnership can continue in joint management of the former mine site by state, tribal and local governments drawing from the models of the Kickapoo Valley and Badger Munitions partnerships. Shared control of the site would also prevent mining companies from returning and prevent a sole owner from reopening the Crandon mine conflict."

"The Governor seemed open to such a partnership as the most permanent solution to the mine conflict, and as protection of the natural and cultural resources for future generations," said Grossman.

"I invited the Governor to come see for himself what our little town has been able to do," said Chuck Sleeter. "In a little wooden building with a leaky roof we currently have two grantwriters/administrators and two AmeriCorp*VISTA workers on staff full-time, working to help our community end poverty by implementing our economic development strategic plan."

"Mole Lake and the Town of Nashville are using an innovative, intense community approach to creating strategies capable of achieving the goal of reducing poverty in this area," said Town Clerk Joanne Sleeter, Town of Nashville. "The Mole Lake/Nashville Strategic Plan outlines a series of projects developed under a number of themes. The primary community goals are in the areas of business development, infrastructure, environment/tourism, education, job creation, public safety, health services, family resources center, social services, housing, culture and transportation."

Midwest Treaty Network statement on proposed Crandon mine buyout
At June 20, 2002 Capitol press conference

My name is Zoltán Grossman. I am on the Board of Directors of the Midwest Treaty Network, whose website is www.treatyland.com. Our Wolf Watershed Educational Project has worked to unite Native Americans with sportfishing groups, environmentalists with unionists, and rural residents with urban students, in a rural-based multiracial grassroots alliance to protect the Wolf River. This unprecedented movement has brought together four strands of Wisconsin's history: our state's progressive populist tradition, our people's environmental ethics, our Native nations' perseverence to keep living on the land, and our northern residents' sense of pride and independence.

This is an historic day in the long struggle to protect northern Wisconsin's environment, economy and cultures from metallic sulfide mining. It has been 26 years since Exxon announced discovery of the Crandon deposit. 26 years is longer than the series of wars in Afghanistan. The proposed Crandon mine is as old as Tiger Woods! The first battle lasted for a decade, from 1976 to 1986, when the company withdrew, only to return six years later. The second round has also lasted for a decade, from 1992 to 2002.

Our purpose here today is to say "never again." We will continue to oppose the mine permit if necessary. But we do not want to defeat the Crandon mine permit, only to see a mining company return again down the road for another ten-year battle. We want the land to be forever taken out of the hands of mining companies, as a final end to the Crandon mine controversy. We want a permanent and inclusive solution that rules out the future resurrection of this divisive mine project.

We welcome attention by the State to a public acquisition of the mine site. Yet exclusive control of the site by a sole owner, such as the State, would not permanently end the threat of a mine in this sensitive area. Future leaders and laws may change their priorities. A permanent solution would be best accomplished by a mix of public and private funds in the land acquisition, that creates a mix of land ownership (and therefore multiple jurisdictions) to "lock up" the ore body. Another option, even if the site is initally purchased by a single owner, is to allow control of the site by an integrated board representing state, tribal and local governments and private organizations.

The only way to safeguard the natural and cultural preservation of the site is with a partnership that includes as many legal powers as possible to defend the land from harm. The Kickapoo Valley Reserve Board stands as an example of a state-tribal-local partnership, working with a single land use plan that protects natural and cultural resources. The Crandon mine site not only contains wetlands and endangered species, but contains historic burial and ceremonial sites, and is key to protecting the downstream wild rice beds and Wolf River tourism industry. Joint control of the site would protect all these resources.

A public acquisition could not only turn an environmental threat into an environmental jewel, and turn an economic gamble into a economic opportunity, but also can turn a project that has pit neighbor against neighbor into an example of cooperation between neighbors. By including the voices and histories of different communities, we can help start the process of healing in Forest County. Opponents and proponents of the mine have sepnt millions of dollars and hours on this mine. Now they can turn their energies toward developing a sustainable local economy.

Wisconsin has become a leading area of concern for the global mining industry (See http://www.alphacdc.com/treaty/antimining.html). People from all around the world, from Arizona to Australia, from Montana to England, have been following the Crandon mine controversy. Whether they support or oppose the mine, they will be closely following the unfolding developments here. Let's show them how the people of Wisconsin can work together, drawing from the best of our history and our traditions.

Midwest Treaty Network
Wolf Watershed Educational Project
P.O. Box 14382,
Madison WI 53714 USA
Hotline (800) 445-8615
Tel./Fax (608) 246-2256 E-mail: mtn@igc.org
Web site: http://www.treatyland.com
Links:
http://www.alphacdc.com/treaty/antimining.html
http://www.nocrandonmine.com

Groups Asked for Mine Site Transfer in 2000

Opponents of the proposed Crandon mine cited a recent mining company declaration that the project is a "non-core asset" as a strong indication that the mining proposal may be dumped by its new owner.Ê Based in South Africa with headquarters in London, Billiton Plc is the fifth owner of the controversial Crandon project in the last 25 years. [Billiton merged with the Australian miner BHP in 2001 to create BHP Billiton.]

Billiton's designation of the Crandon deposit as a non-core asset is a move usually taken by corporations towards operations they are willing to abandon or sell." Billiton Chairman Brian Gilbertson has previously said that the company would dispose of its non-core gold and uranium assets but has thus far remained silent on the fate of the Crandon project.

In an effort to encourage the company to rid itself of the proposal, organizers of several state organizations have called on the state's likely next Governor, Scott McCallum, to halt permitting activities by state regulators and to ask Billiton to transfer the mine site to the people of Wisconsin. The spokespeople urged all Crandon mine opponents to e-mail our new Governor Scott McCallum with congratulations on his new position, and to ask him to end the 25-year Crandon mine dispute." Governor McCallum should ask Billiton to drop its risky investment, and to transfer the mine site to the people of Wisconsin.

Herb Buettner, president of the Wolf River Chapter of Trout Unlimited said, "The change in Wisconsin's leadership is an ideal opportunity to bring the 25-year Crandon mine conflict to an honorable end." The project has gone through four owners, and it has lost all credibility with sportfishers, tribal members, and all citizens of Wisconsin who depend on clean water."

Organizers also cited recent predictions by Billiton itself, that the mine -- if permitted -- would violate state groundwater quality standards. Wisconsin groups opposed to the mine have urged Billiton to abandon the Crandon proposal due to:
*The inability of this and previous owners to demonstrate the ability to operate the mine safely or to gain state and federal approvals to mine in the last 25 years;
*The proposed mine's proximity to extremely sensitive natural resources such as the wild rice beds at Mole Lake and the Wolf River;
*The lack of local approval for the proposal.Ê At the mine site itself, the Mole Lake Sokaogon Chippewa community and the town of Nashville oppose the proposed mine." Below the mine, every community on the Wolf River down through the Menominee Nation oppose the proposed mine;
*Continued opposition by Wisconsin tribes, labor, environmental and conservation groups and efforts to ensure that the use of cyanide in mining is banned in the state;
*The strong upsurge in anti-corporate sentiment in rural Wisconsin, including the powerful campaign to stop the Duluth/Wausau transmission line that would provide power via a feeder line to the Crandon mine.

"Governor McCallum, added Buettner, "should call on Billiton to drop the mine permit application and open talks on the future of the mine site with federal, state, tribal, and local governments, to ensure that such a grave threat to surface and ground waters never rears its head again." Just as Governor Thompson has urged Perrier to rethink its plans, our new Governor McCallum should explain to mining companies that the Crandon mine is a risky investment."

Zoltan Grossman of the Wolf Watershed Educational Project said, "The Crandon proposal's new owner, Billiton, has insurmountable technical and legal hurdles in front of it." It is time for Billiton and state officials to recognize that state and local residents do not want environmentally destructive sulfide mining to take place in the headwaters of the Wolf River."

Dave Blouin, coordinator of the Mining Impact Coalition of Wisconsin, said, "Billiton's own data continues to show that the mine would violate state groundwater standards." Since it cannot get state permits if it will be a polluter, Billiton should abandon the proposal." There is a reason this proposal is the hot potato of the mining industry - it is in an entirely inappropriate site for an underground mine."