NioCorp Developments Ltd., the mining company that wants to extract rare metals from a site near Elk Creek, is making plans to build a pipeline that will drain its underground mine of naturally occurring saltwater and pump it into the Missouri River.
The plans have set off alarm bells for environmental groups and people who depend on the river for their livelihoods, like Scott Mansker, who organizes the world’s longest non-stop river race on the river from Kansas City to St. Charles, Missouri.
While no permit applications have been filed, NioCorp is getting its ducks in a row, meeting with state and federal regulatory agencies, as well as county elected officials.
“We’re taking a careful and measured approach here, making sure we talk to everyone before we start submitting applications,” said Scott Honan, Niocorp’s mining engineer.
NioCorp wants to mine niobium, titanium and scandium. Once it's up and running, the operation would produce a pre-tax cash flow of $438 million a year.
NioCorp is working on a feasibility study and confident it will have the money to get it done. The study will be shown to lenders and investors in hopes of raising the nearly $1 billion to build and operate a mine and processing facility about 70 miles southeast of Lincoln.
NioCorp officials previously said the company hoped to begin construction by the end of this year, but spokesman Jim Sims said Monday mid-2017 is looking more likely.
NioCorp will need to continuously drain underground water from the surrounding bedrock to keep the mine from flooding. The water is naturally brackish and locked beneath 500 feet of impermeable limestone, according to NioCorp.
The water has a salt content of about 18,000 milligrams per liter, which is about half of seawater’s average of 35,000 mpl. Once mixed with the Missouri River, the water will be diluted, reaching fresh-water quality within less than 5,000 feet of where it discharges into the river, NioCorp says.
Mansker, who gets his drinking water from the Missouri and depends on its recreational quality for the annual paddle race, said the water would add to the many pollutants flowing into the river.
“On the surface, it doesn’t sound like a lot of water," he said. "But it’s just one more pipe, one more burden on this drinking water resource we all share. It’s a death by 1,000 cuts.
“They are a for-profit company. They’re looking for the cheapest way to get rid of this wastewater, and the cheapest way is to dump it in the Missouri River and never hear about it again.”
NioCorp estimates it will increase the average chloride content of the Missouri by approximately 5 parts per million from 25 to 30 milligrams per liter, well below the U.S. Environmental Protection Agency’s acute limit for chloride in freshwater systems, which is 860 milligrams per liter, and EPA’s chronic limit for chloride in freshwater systems, which is 230 milligrams per liter, the company said.
Plans call for the pipeline to run east from the mine site along the Johnson/Pawnee County line, then make a short jog north into Nemaha County, ending at the Missouri River Oxbow just downstream of the Little Nemaha River confluence.
Mansker said he also worries the water could become contaminated with water used in the process of extracting metals from rock.
NioCorp spokesman Jim Sims said that won’t happen. Plans call for keeping the bedrock water and processed water streams separate.
Most water for processing will be recycled, but all excess will be treated and discharged in accordance with all applicable federal and state standards, he said. How exactly it would be disposed of is not yet known because officials are still in the planning process.
Jane Kleeb, founder of watchdog group Bold Nebraska, said Nebraskans will be watching and urged NioCorp to be open with its plans.
"Any time a corporation wants to dump polluted water into our rivers, citizens must see in writing the plan to ensure our drinking water is not at risk and what the process is to see the test results," she said. "The NioCorp project is known for their initial community outreach so we hope transparency and accountability continues.”
NioCorp hopes to build the 30-mile pipeline along existing roads, using as many existing rights of way as possible to minimize the amount of leases it must get from private landowners. The company would have to cross some private land.
The 24-inch diameter pipeline would move 9,500 gallons per minute.
County board members have said they’re open to the idea of using rights of way but want to see more details. The mine proposal has been popular in Southeast Nebraska, with many locals investing in the startup.
Nemaha County Commissioner Marvin Bohling said the mine would boost the area economy, and the pipeline would provide tax dollars for local governments.
“By that, you should be supporting it,” he said. “We’ll probably go to some public input or farmer input before making a final decision (on right of way), but I don’t see any big major problems with it as of now
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