Mineral production and the minimal contribution of mining to the general economy of Oregon and Josephine and Curry counties is primarily from the extraction and sale of common variety minerals (also known as non-locatable minerals) that come mostly from private land.
It's also important to remember that the federal government actually gives away all hardrock minerals (including gold) extracted from our National Forest and BLM lands. Yes, the minerals are free. Unlike oil, no royalties are paid back to the public who own these lands and equally egregious the public is often stuck with the clean-up costs and polluted streams and permanently scared lands
Examples of hardrock minerals are: gold, nickel and chromium. Examples of common variety mineral are: construction sand, gravel and talc. The two classes of minerals come under an entirely different set of laws. The far reaching rights granted by the 1872 Mining Law (Mining Law) apply strictly to hardrock minerals on federally owned lands open to operation of the Mining Law.
Nor does the mining of hardrock mineral contribute to the property tax base of Josephine and Curries counties. Mining rights advocates, claim extensive property rights in mining claims on federal lands, but its important to note that federal mining claims in the state of Oregon are not taxable property:
307.080 Mining claims. Except for the improvements, machinery and buildings thereon, mining claims are exempt from taxation prior to obtaining a patent therefor from the United States.A document submitted to the Josephine County Commissioners by the South West Oregon Mining Association begins with:
"The mining industry makes up an important part of the property tax base of the County, and its payroll and expenditures for supplies and is important to the economic stability of the County. Mining is one of the historical uses of public land ... Mineral resource production provides an important contribution to the economy of not only the county of Josephine but the State and nation as a whole, directly or indirectly ... "
The statement refers to a generic "mining industry" and "mineral resources" and then mentions "public land." However, since mining claims on federal lands are not taxable property, if the mining industry does contribute to the tax base, it can only be for sand and gravel type minerals on private land. Its a similar story with regard the contribution to the economy of Josephine and Curry County and the State of Oregon. See the 2006 USGS Report Mineral Industry of Oregon. The report states that:
"Industrial minerals accounted for all of Oregon's non-fuel raw mineral and materials production."
Industrial mineral produced in Oregon are mostly construction sand and gravel. These accounted for 72% of non-fuel mineral production. In Curry and Josephine Counties, the only mineral production shown by USGS is for gravel, crushed stone and talc in 2006.
No measurable gold, silver, nickel and other locatable minerals that come under the 1872 Mining Law are reported for Oregon or for Josephine or Curry County. Contrast the Oregon report with Nevada where USGS reports that 78% of non-fuel mineral production in 2006 was for gold. See the Mineral Industry in Nevada.
A February 26, 2009 General Accounting Office Report (BAS-09-429T) found that in Oregon there were essentially no net proceeds from the sale of hardrock (locatable) minerals (p. 6). See GAO Hardrock Mining Report.
See also this post on hardrock mining's minimal contribution to the economy of Southwest Oregon and Oregon.
