Will the Gold Rush Transform South Dakota’s Black Hills? The Impact of Open Pit Mining on the Region

A gold rush in the Black Hills of South Dakota lured many settlers about 150 years ago, leading to the displacement of Native Americans. Today, as gold prices surge past $3,000 an ounce, a new wave of miners is flocking to this historically significant area. They promise economic benefits but also raise concerns about the potential destruction of this cherished landscape.

Lilias Jarding, the executive director of the Black Hills Clean Water Alliance, noted, “These impacts can be long term and can hurt tourism and outdoor recreation.” The Black Hills, which cover over 1.2 million acres, are not just beautiful; they hold sacred meaning for the Lakota Sioux. Millions visit attractions like Mount Rushmore and state parks each year.

### Modern Gold Mining Challenges

Currently, there’s one operational mine in the Black Hills, but proposals for more mines and exploratory drilling are on the table. Native American tribes and environmentalists are voicing strong opposition. They worry that new projects could harm sacred sites, pollute waterways, and permanently alter the landscape.

Mining methods have evolved dramatically from the days of simple panning for gold. Today’s operations utilize heavy machinery and chemicals like cyanide to extract gold from rock. The land impacted by mining can never fully recover; for example, the Homestake mine, once the largest deep gold mine, now sits deserted and repurposed for scientific research.

The interest in gold mining is intensifying, largely due to skyrocketing gold prices. When the Homestake mine closed in 2002, gold cost around $300 an ounce. Today, it’s nearly ten times more.

Joseph Cavatoni, a market strategist at the World Gold Council, explains that “Gold tends to hold its value during inflation and performs well in recession. That’s why it remains a key investment.”

### Economic vs. Environmental Concerns

Coeur Mining operates the only active mine currently, but Dakota Gold has plans for a new open pit mine, projected to start in 2029. They estimate their deposits could be worth between $1.6 billion and $2.1 billion. This project could create up to 250 jobs and generate around $400 million in taxes over its lifespan. However, many locals, like Dakota Gold’s president, stress their commitment to the land and the community.

Gold mining significantly shaped the Black Hills. In 1868, the U.S. government recognized the Sioux Nation’s rights to this land through a treaty. However, after gold was discovered, the government seized it. Although the U.S. Supreme Court later ruled the Sioux deserved compensation, the tribes have refused any payment, insisting on their rightful claim over the land.

Despite potential economic benefits, many tribes oppose mining. Taylor Gunhammer, an Oglala Sioux and local organizer with the NDN Collective, remarked, “Mining companies aren’t drawn to rich minerals in the Black Hills but rather the lenient regulations that make it easier to operate.”

Additionally, environmental concerns are prominent. Coeur’s Wharf mine has experienced nearly 200 spills, and the former Homestake mine was closed due to contamination issues. Coeur’s environmental manager stated every spill is thoroughly investigated and addressed to prevent future occurrences.

Jarding emphasizes the increasing mining activity: “Over the last five years, there’s been exponential growth. Active mining claims now cover 271,000 acres, which is 20% of the Black Hills.”

Mining may promise economic growth, but it also brings uncertainty and risks to the natural beauty and cultural significance of the Black Hills. As conversations continue, it’s crucial to balance both the potential for profit and the need for preservation.



Source link

Gold Mining, South Dakota