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Escaping Environmental Hell

Roy I. ThunManaging DirectorBridge Environmentalroy.thun@bridgeenviro.comwww.bridgeenviro.com

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The opinions and views expressed herein are those of Mr. Thun and do not necessarily reflect the views of USEPA, Nevada Department of Environmental Protection, Nevada Department of Wildlife, US Forest Service, Atlantic Richfield Company/BP, Cleveland Cliffs, DuPont, Teck Cominco, Shoshone-Paiute Tribes or any other company, group or person(s) alive or dead.

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Disclaimer

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Rio Tinto Mine Site Settlement ResourcesOn September 27, 2012, EPA, the Department of Justice, and the Nevada Division of Environmental Protection announced a $25 million agreement for the cleanup of the Rio Tinto Mine, an abandoned copper mine in Elko County, NV.  Four companies agreed to pay for the environmental project. The state of Nevada will oversee the cleanup with input from EPA and the Shoshone Paiute Tribes of Duck Valley.

The consent decree associated with the cleanup was approved by the United States District Court, District of Nevada on May 20, 2013.

Retrieved from: https://www.epa.gov/enforcement/case-summary-agreement-secures-25-million-cleanup-rio-tinto-mine-nevada

Case Summary: Agreement Secures $25 Million Cleanup for the Rio Tinto

Mine in Nevada

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..endless characterization and data collection requirements...undergone multiple interim actions without a clear path to closure...constant stops and starts or direction changes...lots of private meetings between agency reps and stakeholders.

You might be in environmental hell if your site has…

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Agencies – policy, politics, funding Tribes – duty, restoration, reparation NGOs – duty, righteousness, politics Elected Officials – duty, politics,

reputation Community – family, punishment,

compensation PRPs – cash flow, compliance,

reputation 12.09.16

Causes: Disparate Interests

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Site Location

Rio Tinto Proposed Plan, October 2010

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Pond 2 Pond 4Pond 3FWP

Mill Creek

Heap Leach Pad

Rio

Tinto

Gul

ch

Dry CreekPlant & Town Site

Area B

Area A

Hillside Tailings

SW-2GW-1A

SW-1

Owyhee Rive

r

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Metals loading (primarily copper) into surface water

AMD influence on surface water Ecological impacts to fishery

(Redband Trout) Economic impact to ranching

interests Loss of tribal hunting/fishing

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Areas of Concern

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Note: Total spend = Area under time vs. spend curves

Interim Action Approach

Time

Spen

d

0

CLOSURE

Traditional Remedy Path

SI RI/FS O&MRA

SI

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IA IAInterim Action Path

1986

1996

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What’s The Answer?  Area A

RemedyArea B

RemedyMine Pool Remedy

Tribes Total Restoration Likely TBD Likely TBD

EPA Tailings Removal Possible TBD Possible TBD

NDEP Water Treatment Not Likely TBD Not Likely TBD

NDOW Provide Fish Passage Position Unclear Position Unclear

RanchersKeep

Freshwater Pond

Maintain Diversion Position Unclear

USFS Position Unclear Position Unclear Position UnclearProperty Owner

Against Any Remedy Position Unclear Position Unclear

PRPs Unnecessary Unnecessary Unnecessary

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Trustees – Restore Mill Creek Valley and resolve NRD claim.

Agencies – Who’s driving the bus? Property

Owner Ranchers – We need access to clean

water. PRPs – Don’t Blame Me! 12.09.16

Warning Bumps Ahead

– Who’s going to compensate me?

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The Train Wreck

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State lead site would ensure a fair and reasonable approach

Avoid allocation fight

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PRP Strategy Blinders

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Train Is Off The Tracks

Note: Total spend = Area under time vs. spend curves

Time

Spen

d 1986 Interim Action

RD RA O&M ?

1996Interi

m Action

2007Interim Action

SI RI/FS

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Global Settlement PathPRP

Issues• Cost uncertainty• Long term liability• Allocation

Agencies &

Trustees

• Lead Agency / Regulatory Framework

• Past Costs• Redband Trout & Vegetation• NRD

Global Settleme

nt• Federal CD• State Lead

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Remedy - partial removal of valley tailings Restored fish passage and vegetation No mine pool remedial action Phased surface water compliance approach Resolved NRD & Past Costs Resolved 3rd Party Liability (property owners) Maintained State lead CERCLA remedy with covenant not to sue Use of environmental trust and insurance to

satisfy FA12.09.16

Global Settlement

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How Do You Escape Environmental Hell?

Recognize any site can end up in hell. Never discount stakeholders’ interests

and influence on site work or remedy selection.

Learn what the stakeholders “real” concerns are.

Augment your teams with resources experienced in stakeholder relationship management and developing global solutions.

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Adam S. Cohen and Elizabeth H. Temkin (March 3, 2014). The Rio Tinto Mine Site, Elko County, Nevada: A CERCLA Case Study. Superfund and Natural Resource Damages Litigation Committee Newsletter

Retrieved from: https://www.dgslaw.com/?s=Rio+Tinto+Mine+Site

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Additional Reference

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If you would like more information regarding this presentation, or are interested in evaluating a site

strategy, please contact me at roy.thun@bridgeenviro.com

Office: 1-661-287-3855

Thank YouWeb: www.bridgeenviro.com