— Photo courtesy DEC Alaska Gov. Teck Resources Limited (TSX: TCK.A and TCK.B, NYSE: TCK) ("Teck") announced that its subsidiary Teck Alaska Incorpo
— Photo courtesy DEC Alaska Gov.
Teck Resources Limited (TSX: TCK.A and TCK.B, NYSE: TCK) ("Teck") announced that its subsidiary Teck Alaska Incorporated ("Teck Alaska"), operator of the Red Dog Mine near Kotzebue Alaska, has made a filing with the U.S. District Court for Alaska outlining the findings of extensive study into a proposed 52-mile pipeline which would direct effluent from Red Dog Creek to the Chukchi Sea.
Based on that study, Teck Alaska has informed the court it is exercising its option not to build the pipeline.
The effluent pipeline study was conducted under a 2008 Settlement Agreement and Consent Decree, which resolved litigation under the Clean Water Act. Under the agreement, Teck Alaska agreed to review the feasibility of constructing a pipeline to carry effluent from the Red Dog Mine along the DeLong Mountain Transportation System ("DMTS") to a marine discharge at or near the DMTS port site.
Teck Alaska conducted engineering, geotechnical, environmental and other studies to look at various pipeline options at a cost of $1.7 million. That work determined that an underground pipeline is not a technically feasible option because it would be vulnerable to breakage due to ground movement caused by seasonal ground freezing and thawing. Engineering and environmental studies determined that an above-ground pipeline is also not a viable option. While potentially technically feasible, there were no demonstrable environmental benefits, rather it was determined that there would be increased environmental risks and impacts associated with pipeline construction and operation, energy use and emissions, and potential effects on caribou migration. Further, the estimated US$261 million capital cost of an above-ground pipeline would be prohibitive. As stipulated in the Consent Decree, Teck will pay a civil penalty of $8 million in connection with the decision not to construct the pipeline.
Red Dog currently releases water to Red Dog Creek that is treated at an on-site facility to meet the strict requirements of an Alaska Department of Environmental Conservation discharge permit and is fully protective of both human health and the environment.
"Following extensive environmental and technical study, it is clear that a pipeline is not a viable option," said Henri Letient, General Manager, Red Dog Operations. "More importantly, there is no clear environmental benefit to building a pipeline, as the treated water currently being released to Red Dog Creek meets stringent permit requirements and is fully protective of aquatic and human health. In fact, the creek is demonstrably healthier than it was before mining commenced, supporting a thriving fish population because of our water treatment program."
Teck is a diversified resource company committed to responsible mining and mineral development with major business units focused on copper, steelmaking coal, zinc and energy. Headquartered in Vancouver, Canada, its shares are listed on the Toronto Stock Exchange under the symbols TCK.A and TCK.B and the New York Stock Exchange under the symbol TCK. Further information about Teck can be found at teck.com.
Source: Marketwire