AASG Minerals Committee Report
June 2014
Challenges for the Minerals Industry and USGS continue in the 2013/2014 year. The U.S
imports 100% of its supply of 19 minerals that range from wood preservative additives to critical
electronics components. This figure has increased steadily, from 12 in 2000.
The 2013 value of the U.S. non-fuel mineral production is estimated at $74.2 billion, a decrease
from 2012’s estimated value of $76.5 billion.
The Committee participated in an AGI-lead effort to distribute information to Congress, asking
for additional funding for mineral research and information functions in the federal government that new funds be authorized and appropriated to develop forecasting capabilities in the National
Minerals Information Center at the U.S. Geological Survey (USGS).
The President’s budget for 2015 sustains the Mineral Resources efforts at last year’s staff levels,
and increases the funding by 0.8%, barely a figure to keep up with inflation. To quote/paraphrase
a portion of the President’s Budget:
Mineral Resources (+$400,000/No Change FTE )
The MRP supports data collection and research on a variety of nonfuel mineral resources
that are important to the Nation’s economic and national security. …Research and
Assessment function helps to understand the geologic processes that concentrate known
mineral resources … and to assess quantities, qualities and distribution of undiscovered
mineral resources for potential future supply.
Rare Earth Elements Research - The …MRP is expanding its activities in AK
to provide an up-to-date geologic foundation for mineral resource activities. …
includes acquisition of new airborne … data…
Characterization and Identification of Critical Mineral Resources – MRP is
expanding its research and assessment activities … for more up-to-date
information on the Nation’s and the world’s critical mineral resources. … will
conduct geologic, geochemical, geophysical, and remote sensing surveys to
comprehensively characterize the unconventional REE potential of the
Appalachian front and coastal plain regions of the Southeastern United States.
Global Assessment of Undiscovered Copper, Platinum Group Metals and
Potash – MRP will roll out the results of a 10-year cooperative assessment
recently completed.
Assessment of Undiscovered Resources – New work includes integrating
remote-sensing alteration mapping into resource assessments.
Mineral Resource Research and Information – MRP will complete work this
year on genesis and regional geologic controls of various minerals including
phosphates, REE, and gold.
Minerals and the Environment – as a forward-looking matter, MRP will
develop geochemical baselines to better understand and minimize resource
development impacts on the environment.
From the Congressional view, several Legislative actions may/will have impacts on the minerals
commodities of the US:
H. R. 527 - To amend the Helium Act to complete the privatization of the Federal helium
reserve in a competitive market fashion that ensures stability in the helium markets while
protecting the interests of American taxpayers, and for other purposes.
PURPOSE. – a common sense plan to sell helium from the Federal Helium Reserve in a
responsible manner to prevent a global shortage, protect jobs and the economy, and
ensure a fairer return for taxpayers.
Passed Congress Sept 27, 2013, Law on 2 October 2013.
H. R. 687 - To facilitate the efficient extraction of mineral resources in southeast Arizona
by authorizing and directing an exchange of Federal and non-Federal land, and for other
purposes.
PURPOSE. - promote job and other economic opportunities; facilitate the development
of a domestic copper deposit; significantly enhance Federal, State, and local revenue
collections; etc. by expediting the exchange of land between Resolution Copper and the
United States.
Passed by House, awaits Senate action, little chance of passage.
H. R. 761 - To require the Secretary of the Interior and the Secretary of Agriculture to
more efficiently develop domestic sources of the minerals and mineral materials of
strategic and critical importance to United States economic and national security and
manufacturing competitiveness.
PURPOSE. - require the Secretary of the Interior and the Secretary of Agriculture to
more efficiently develop domestic sources of the minerals and mineral materials of
strategic and critical importance to United States economic and national security and
manufacturing competitiveness. Bill seeks to limit numerous types of delays to mining
permits.
Passed House Sept 18, 2013, awaits Senate action.
H. R. 957 - To reduce temporarily the royalty required to be paid for sodium produced on
Federal lands, and for other purposes.
PURPOSE. -To reduce temporarily the royalty required to be paid for sodium produced
on Federal lands – the royalty rate on the quantity or gross value of the output of sodium
compounds and related products at the point of shipment to market from Federal land in
the 5-year period beginning on the date of enactment of this Act shall be 2 percent.
Dead
H. R. 981 - To direct the Secretary of the Interior to conduct a global rare earth element
assessment, and for other purposes.
PURPOSE. - direct the Secretary of the Interior to conduct a global rare earth element
assessment, and for other purposes. Not later than 3 years after the date of enactment,
Out of Committee May 15, 2013.
H. R. 1063 - Directs the Secretary of the Interior, through BLM and the USGS, to report
to Congress: (1) an inventory of the nonfossil-fuel mineral potential of lands under BLM
and U.S. Forest Service jurisdiction.
PURPOSE. -To prepare, submit to Congress, and make public a report that includes; (1)
an inventory of the nonfossil-fuel mineral potential of BLM and BoF lands and identify
such lands that have been withdrawn, segregated, or otherwise restricted from mineral
exploration and development; (2) an assessment of the mineral requirements to meet
current and emerging national security, economic, industrial manufacturing,
technological, agricultural, and social needs; the Nation’s reliance on foreign sources to
meet those needs; and the implications of mineral supply shortages or disruptions; (3) a
detailed description of the time required to process mineral applications, operating plans,
leases, licenses, permits, and other use authorizations for mineral-related activities on
lands under the jurisdiction of the Bureau of Land Management and the Forest Service,
and identification of measures that would streamline the processing of such applications,
such as elimination of overlapping requirements or set deadlines; (4) an itemized list of
all use authorizations for which applications are pending before the Bureau of Land
Management and the Forest Service, and the length of time each of those applications has
been pending; (5) an assessment of the impact of litigation on processing or issuing
mineral exploration and mine permits, identification of the statutes the litigation was
brought under, and the cost to the agency or the Federal Government, including for
payments of attorney fees; (6) an update of the 2009 Economic Impact of the Department
of the Interior’s Programs and Activities report to include locatable minerals; (7) an
assessment of the Federal workforce with educational degrees and expertise in economic
geology, geochemistry, mining, industrial minerals, metallurgy, metallurgical
engineering, and mining engineering, including retirement eligibility and agency plans
for retention, recruitment, and succession planning; comparison of the existing Federal
salaries and recruitment and retention bonuses with the salaries, recruitment incentives,
and retention packages normally offered in the mineral industry; and examination of the
differences between Federal and private financial packages for early-, mid-, and latecareer workers; and (8) an inventory of rare earth element potential on the Federal lands,
and impediments or restrictions on the exploration or development of those rare earth
elements, and recommendations to lift the impediments or restrictions while maintaining
environmental safeguards.
Out of Committee on May 15, 2013. Little chance of passage.