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Crandon applications on hold


The Laona-based owners ask for a halt, for now, to the permitting process

By Ray Barrington
News-Chronicle

The new owners of the Crandon zinc and copper mine property in Forest County have asked the state to put work on the project on hold.

The request means "there will not be a mine at Crandon any time soon," said a release from the office of state Rep. Spencer Black, D-Madison.

News of the change of mind first came from the office of Black, a mine opponent.

The property was bought in April by Northern Wisconsin Resource Group of Laona. The president of NWRG, Gordon P. Connor, also runs Nicolet Hardwood Corp. The group owns forestry rights in the mine area.

Connor could not be reached for comment Monday.

"Bottom line - this is good news," said Rebecca Katers, director of the Clean Water Action Council, one of several environmental groups that have fought against the mine.

The letter, sent to the Wisconsin Department of Natural Resources and the Army Corps of Engineers in St. Paul, Minn., said that with the recent change in ownership, "it seems an appropriate time for a pause in the process."

It said the hold would allow NWRG to complete an internal review of the project and consult with other parties. It asked the DNR and Corps of Engineers to:

- Stay further processing of all pending applications and approvals for the Crandon mine project.

- Delay further work on the draft environmental-impact statements until NWRG completes an internal review of the project.

- Direct employees, vendors and consultants working with the DNR and Corps to halt work.

NWRG says it will:

- Continue monitoring regional water and wetlands for future processes.

- Roll forward any deadlines regulators face until it resumes the process.

- Not withdraw any permit applications or request for approval.

- Not respond to outstanding requests for information or concerns raised on the applications. It will file responses after the hold ends.

"They're putting a hold on the process, asking that all consulting from the Corps of Engineers and the Department of Natural Resources essentially be put on hold," Black said.

"The practical sense of this is first, you can't stop or start due process on a dime. If it stops, it's going to take quite a long time to start."

Black said Nicolet Minerals Inc. would not have asked for the halt unless the review process was going well. The state's mining moratorium stopped that from happening.

Under the bill, no mine can open until the operator can prove another mine of the same sort had opened, operated and closed without environmental damage.

"We've been calling for the permit process to start over because of the new owners," Katers said. "They should have to demonstrate the capacity to do mining. We're very concerned they don't have a history with mining. It's a sensitive area.

"So it is good news they've stopped the current process. If they start up again, they should have to start at square one and have demonstrated their own capability."

In the release announcing the purchase of Nicolet Minerals Corp., Connor said, "Underground mining of zinc, copper and lead can be conducted in an environmentally safe manner. We will work out a plan to process the ore that meets our stewardship responsibility and safeguards the North Country.

It will also bring much needed economic opportunity to the region."

Environmental groups had protested the mine, citing its location near the headwaters of the Wolf River.

The mine has been an issue since a large zinc deposit was found five miles south of Crandon. Original owner Exxon Minerals Co. eventually sold to a British company, Rio Algom, which created Nicolet Minerals Co. in 1998. The company was later sold to BHP Billiton, an Australian firm, which sold it to Connor's company.

Connor said in April he was negotiating with established mining companies to partner on the project.

Katers said the hold might give the state another chance to buy the property. A sale was discussed last year.

"I think it was alarming learning that Connor bought the land for a little over $10 million when, before, they were charging (the state) $50-$90 million. If the (Scott) McCallum administration had put in more of an effort, it might have got the price down to a more manageable level," Katers said.

State Sen. Dave Hansen, D-Green Bay, was also pleased.

"There are a lot of people who would have benefited financially from the mine who want no part of it," he said.

He said work is continuing on a bill that would close loopholes in the mining law.

"If this is done again, we have to make sure it's done right," he said.


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