Biden plan would overhaul 151-year-old mining law, make companies pay royalties for copper and gold

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The Biden administration is recommending changes to a 151-year-old law that governs mining for copper, gold and other hardrock minerals on U.S.-owned lands, including making companies pay royalties on what they extract

The White House plan would impose a variable 4% to 8% net royalty on hardrock minerals produced on federal lands. The proposal needs approval by Congress — unlikely when the House is controlled by Republicans who have long opposed such fees.

The U.S. stands out among other countries, such as Australia, Canada and Chile, that collect royalties on minerals. At least a dozen Western states also collect royalties on hardrock mining. “Securing a safe, sustainable supply of critical minerals will support a resilient manufacturing base for technologies at the heart of the president’s investing-in-America agenda, including batteries, electric vehicles, wind turbines and solar panels,” said Joelle Gamble, deputy director of the White House National Economic Council.

Rich Nolan, president and CEO of the National Mining Association, said the report did little to advance Biden's stated goal to secure domestic mineral supplies while supporting responsible mining.

 

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