Carol Raulston
(202) 463-2610
craulston@nma.org

Luke Popovich
(202) 463-2620
lpopovich@nma.org

October 23, 2007

NMA Says House Mining Law Reform Does Not Meet Nation's Mineral Needs

National Mining Association (NMA) President and CEO Kraig R. Naasz made the following comments after the House Natural Resources Committee today approved a bill (H.R. 2262) that would amend the nation's General Mining Law:

"Despite progress made by Chairman Nick Rahall (D-W.Va.) and the House Natural Resources Committee to update the General Mining Law, the bill approved today is disappointing to those of us concerned about the nation's increasing reliance on imported minerals and public policy impediments to a sustainable U.S. mining industry.

"In several key respects, the committee bill falls short of the reforms we have worked hard to achieve. Specifically,

• " By levying the highest royalty in the world on this nation's mining industry, the bill goes far beyond providing for a fair economic return to the taxpayers and will damage the growth prospects of the U.S. hardrock mining industry and the tens of thousands of jobs it supports;
  
  
• " Levying an arbitrary fee on existing operations that were not designed to bear this cost raises fairness issues and may be of doubtful legality;
  
  
• " By imposing redundant environmental standards on the U.S. hardrock mining industry, which is already the world's most strictly regulated, the bill contradicts findings of the National Research Council that concluded current laws effectively protect the environment; and
  
  
• " The bill fails to provide the necessary assurances that significant mining investments on public lands will not be placed at risk by arbitrary and capricious restrictions from federal regulators.