A new report by consultancy group S&P Global found that it takes an average of 29 years to bring a mine online in the United States – the second-longest in the world. Only Zambia has a longer process, which takes an average of 34 years.
“To say that the U.S. is underperforming when it comes to domestic mineral production is putting it kindly,” said Rich Nolan, president and CEO of the National Mining Association (NMA).
“We have the proven reserves to be a global leader in producing the full range of minerals needed for our manufacturing and energy future, but our permitting and legal systems have imposed an unacceptable three decades – on average – of impediments to that potential. Given the urgent global mineral demand, and China’s determination to only tighten its stranglehold on mineral supply chains, we must do better.”
The report, which did not offer policy recommendations, was paid for in part by the NMA.
S&P studied 268 mining projects across the globe from when a metal deposit was first discovered until production began. Canada, Argentina and Mongolia rounded out the top five longest development periods, while Ghana, the Democratic Republic of Congo and Laos had some of the shortest development times at roughly 10 to 15 years.
The report also found that the development of a mine in the U.S. is not only long and costly, it’s unusually uncertain. While mine development times in Canada and Australia average 27 and 20 years, respectively, those mines more reliably enter production.
Compared with those peers – which have similarly high environmental, labor and safety standards – both federal and state/provincial governments have some jurisdiction over mining permits in all three countries. Canada and Australia, however, have dedicated ministerial offices for mining, while the U.S. has none. As such, NMA recommends creating a centralized U.S. government office/official to coordinate and promote the development of the nation’s mineral supply chains and advance mining research and development.
Other NMA recommendations include:
- Enact permitting reform that includes limits on litigation timelines.
- Pass the Mining Clarity Act of 2024 to reaffirm decades of mining law and precedent and provide certainty for America’s mineral producers.
- Provide responsible interpretation of section 45X of the Inflation Reduction Act to fully incentivize development of the nation’s mineral resources.
- Improve access to the nation’s vast mineral resources and reject ill-advised withdrawals of important mineral deposits on selected federal lands.
- Implement reforms to the National Environmental Policy Act enacted through the Fiscal Responsibility Act of 2023.
- Revisit and revise the nation’s “critical minerals” list to provide consistency across agencies and better recognize the minerals essential to the nation’s manufacturing base and economic, energy and national security.
- Invest in and support the development of the next generation of miners beginning with passage of the Mining Schools Act of 2023.
“Mine Development Times: The U.S. in Perspective” is available to view here.
Sources: Reuters and National Mining Association