NEW MEXICO ENERGY, MINERALS and
NATURAL RESOURCES DEPARTMENT
Bill Richardson
Bill Brancard
Governor
Director
Joanna Prukop
Mining and Minerals Division
Cabinet Secretary
FOR IMMEDIATE RELEASE: March 4, 2005
CONTACT: Laura J. Mulry, (505) 476-3226
Cell: (505) 690-1689
MINING AND MINERALS DIVISION
APPROVES CONTINENTAL MINE RECLAMATION PLAN
$30 million bond protects taxpayers from having to foot bill for reclamation
SANTA FE – Nearly $30 million has been secured by the state Mining and Minerals Division from
Phelps Dodge Corporation to protect the state from having to pay for reclamation of the copper
mines near Silver City once mining has stopped. The New Mexico Mining and Minerals Division
this week approved the reclamation plan and financial bond package for the Continental Mine, a
copper mine in Grant County. The mine is owned by Cobre Mining Company, a subsidiary of
Phelps Dodge Corporation and is located about 10 miles northeast of Silver City. The plan
requires that approximately 1,000 acres of disturbed mine property be reclaimed and provides
financial assurance to cover the cost if the company were unable to perform the required
reclamation.
"In developing reclamation plans across the state, our concern is always one of protecting
the taxpayers from bearing the cost of environmental clean up,” said Bill Brancard, director of the
Mining and Minerals Division. “We are also pleased that each of the large Phelps Dodge copper
mines – Chino, Tyrone and Continental – now has an approved reclamation plan and the funds to
cover reclamation should the company not be able to do so.” The reclamation plans for the Chino
and Tyrone Mines were approved in December 2003 and April 2004 respectively.
Since the inception of the Mining Act in 1993, the Mining and Minerals Division has
approved more than 75 reclamation plans for hard rock mines throughout the state. The Phelps
Dodge Copper Mines near Silver City are some of the largest in the southwest. These mines
have been operating since the 1800s and cover thousands of acres.
The reclamation plan approved by the Mining and Minerals Division this week requires the
mining company to cover waste rock piles and tailings with soil and re-vegetate them with native
plant species. The mining company will install test plots to determine the most effective methods
and designs to comply with the agency’s requirements. Much of the area will be returned to
Mining and Minerals Division, 1220 South St. Francis Drive, Santa Fe, New Mexico 87505
Phone: (505) 476-3400, Fax (505) 476-3402, www.emnrd.state.nm.us
February 12, 2016
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wildlife habitat. The financial assurance, which totals more than $29 million, consists of various
mechanisms including a trust fund, collateral and a guarantee.
The Mining and Minerals Division conducted a public hearing on February 3rd in Silver
City to provide the local community an opportunity to hear about, and comment on, the
Continental Mine reclamation plan. Phelps Dodge representatives and Mining and Minerals
Division staff answered questions from the public about the reclamation plan and financial
assurance requirements that are required by the New Mexico Mining Act.
A copy of the closeout plan can be viewed on the Mining and Minerals Division Web site,
go to www.emnrd.state.nm.us, click on Mining and Minerals, then Hard Rock Public Issues. For a
copy call Karen Garcia in the Mining and Minerals Division, at 505-476-3435. The Mining and
Minerals Division is part of the Energy, Minerals and Natural Resources Department.
The Energy, Minerals and Natural Resources Department (EMNRD) works to position New Mexico as a national leader in
the energy and natural resource areas and to create a New Mexico where individuals, agencies and organizations work collaboratively
on energy and natural resource management to ensure a sustainable environmental and economic future. There are five divisions:
Energy Conservation and Management, State Forestry, Mining and Minerals, Oil Conservation, State Parks, and Administrative
Services. The Office of the Secretary, headed by Cabinet Secretary Joanna Prukop, provides policy direction for the department and
is its link to the Office of the Governor. Contact EMNRD at (505) 476-3226 or visit www.emnrd.state.nm.us.
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