Good article. One of the things investors neglect to consider when buying into a mining company is the time and cost of permits. Here is a list of permits for a mining company in Arizona. The estimated times for permitting and the costs/fees are grossly underestimated. An MPO from BLM can take 2 years and cost hundreds of thousands of dollars. Even most legit junior miners run out of funds before they get all their permits.
Korn Kob Mine Project Permit Matrix
ITEM # Type of Permit Agency Project Trigger Comment Timeline Fee
FEDERAL
F1 Plan of Operation (PoO) US Forest Service (USFS) Mining Activity Required Permit 12 months $0
F2 Magazine Construction Permit Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) Storing of explosives on site for blasting To be determined 6 months $0
F3 Miner Registration Number Mine Safety & Health Administration (MSHA) All mining facilities Required Permit 3 months $0
F4 Section 404 Permit (certified by ADEQ under Section 401) U.S. Army Corps of Engineers Discharge of dredge or fill material into waters of the U.S. Required Permit 3 months $0
F5 Environmental Site Assessment NEPA Disturbance of lands Required Permit 24-36 months $100,000
F6 Radio Communication License Federal Communication Commission (FCC) Use of two way radios on site To be determined 2 months $0
STATE
S1 Aquifer Protection Permit (APP) Modification Arizona Department of Environmental Quality (ADEQ) Discharge Facility Required Permit 6 months $35,000
S2 Construction Activities Storm Water General Permit; Notice of Intent (NOI) Pima County Department of Environmental Quality (PCDEQ) Construction greater than 1 acre Required Permit 1 month $0
S3 Industrial Activities Storm Water General Permit; Notice of Intent (NOI) PCDEQ Industrial storm water discharge Required Permit 2 month $0
S4 RCRA Identification Number PCDEQ Hazardous waste generation Required Permit $0
S6 Individual Class II Air Quality Permit PCDEQ Construction and mining operations Required Permit 8 months $20,000
S5 Encroachment Permit/Right of Way Arizona Department of Transportation (ADOT) State highway right-of-way encroachment To be determined 5 months $0
S7 Above Ground Fuel Storage Tank Arizona State Mine Inspector (ASMI) 60 Gallons or more stored on site To be determined 3 months $0
S8 Notice of Start Up ASMI Any new mining operation Required Permit 2 months $0
S9 Well Registration Arizona Department of Water Resources (ADWR) Based on understanding that site is located outside of Active Management Area, Limited requirements apply. Must provide notice of intent to drill, deepen, replace, or modify a well To be determined, based on water source $0
S10 Notice of Intent to Clear Land - Native Plant Permit Arizona Department of Agriculture (ADAG) Notice is required before destroying native plants. Removal and transplant requires permit Investigate presence of trigger species (Mining is exempt but must file) 0 months $0
LOCAL
L1 Grading Permit Pima County If new contraction is requires To be determined
L2 Non-Residential Building Permit Pima County Construction, alteration, or additions to a building or structure To be determined
L3 Permits for various construction activities, including Dry Utilities, Temporary Construction Power, and Encroachment Pima County Construction activities To be determined
L4 Septic System Permit Pima County Construction of new or modified onsite wastewater treatment facility To be determined
L5 Public Water System Authorization Pima County Construction of new or modified public water system To be determined
L6 Floodplain Use Permit Pima County Flood Control District Construction within floodplain or area of special flood hazards To be determined
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