BLM chief wants ‘fair return’ on mining

U.S. Bureau of Land Management Director Bob Abbey said Tuesday he believes hardrock-mining companies should pay a royalty for use of the public land, especially at this time of high gold prices. He said, however, that Congress isn’t showing much interest in the BLM’s latest proposal. The BLM’s budget proposal for 2012 proposes that new mining claims and new mining operations pay a royalty, but current operations and claims wouldn’t have to pay, he said during a roundtable with Elko media. Gold, silver and copper mines don’t pay a royalty under the 1872 Mining Law, while coal mines and oil and gas operations do. “This is one reason Congress needs to look at the 1872 Mining Law. It’s a disservice to the American public,” he said. Taxpayers should receive “a fair return” on their public land, Abbey said. The BLM budget asks Congress to reassess how mining is done on public lands and to look at a royalty, but Abbey said whether the royalty would be on net proceeds or gross proceeds would be up to Congress...more