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ANCSA 7(i) and 7(j), Donlin Gold also would pay Alaska mining license fees, corporate income taxes, and local property taxes to municipalities along the natural gas pipeline route.
Another great example of the state encouraging new enterprise is the Alaska Industrial Development and Export Authority (AIDEA) which was created by the Alaska Legislature
in 1967 “in the interests of promoting the health, security, and general welfare of all the people of the state, and a public purpose, to increase job opportunities and otherwise to encourage the economic growth of the state, including the development of its natural resources, through the establishment and expansion of manufacturing, industrial, energy, export, small business, and business enterprises...”
One of AIDEA’s original projects was the nancing of
the Delong Mountain Transportation System to support the development of the Red Dog mine – one of the world’s largest producing zinc mines – in northwest Alaska. The system comprises the infrastructure for the transport of concentrate from the Red Dog mine site to a port where lightering barges load ships that carry the concentrate to o shore smelters. It includes
a 52-mile all-weather gravel industrial haul road, a port facility,
an o shore conveyor system, a fuel storage and distribution facility, concentrate storage facilities, on-site power, and residential quarters for up to 96 workers. The Delong Mountain Transportation System is illustrative of the types of investment that AIDEA can make to support resource development in Alaska.
As its oil revenues dwindle, how keen is Alaska on encouraging new enterprise?
$105M $23M
18
*source: http://alaskaminers.org/economic-impact
Sufficient cash to advance the Donlin Gold project through completion of permitting.
Includes $75M in term deposits as of November 30, 2016.
2017 budget.
$10.0M Donlin Gold $2.0M Galore Creek $11.0M G&A
2017 anticipated budget expenditure disclosed on January 25, 2017.
We believe that Alaska is welcoming new development opportunities as a means of diversifying its economy, which continues to be dominated by the oil industry and government. Donlin Gold, the Alaska Miners Association, and the Council of Alaska Producers continue to work with Governor Walker and the legislature to advance the cause for the development of new mines in Alaska. In 2014, the state’s mining industry provided:*
f 4,400 direct jobs
f 8,700 total (direct and indirect) jobs
f $620 million in total payroll
f $119 million in state government revenue through rents,
royalties, fees, and taxes
f $144 million in payments to Alaska Native corporations f mostly year-round jobs for residents of more than 50
communities throughout the state – half of which are found
in rural Alaska, where few other jobs are available
f some of Alaska’s highest paying jobs (an estimated average
annual wage of $100,000, over twice the state average for
all sectors of the economy)
f $20 million in local government revenue through property
taxes and payments in lieu of taxes
Donlin Gold would contribute signi cantly to Alaska’s mining sector with an anticipated annual construction payroll of approximately $375 million and an anticipated annual operating payroll of about $100 million. Local purchasing and contracting would support businesses in the region and throughout Alaska. In addition to the royalties to be paid to Calista and TKC, which would be shared among all ANCSA corporations through