PIERRE, S.D. (KELO) — A company that intends to mine gold in the northern Black Hills of South Dakota wants a Sioux Falls firm to study the socioeconomic impacts associated with the project.
State law requires the study as part of seeking a mining permit from the South Dakota Board of Minerals and Environment.
The board on Thursday approved the Dakota Gold Corp request for Sioux Falls-based Dakota Institute to perform the study.
Dakota Gold, based in Lead and Vancouver, says it has “high-caliber gold mineral properties” on more than 48,000 acres surrounding the old Homestake Mine at Lead.
The company has been test drilling at the Richmond Hill and Maitland project sites a few miles northwest of Lead. The Richmond Hill site is directly north of the Wharf Mine, which is the Black Hills’ last remaining large-scale gold producer.
At this point, there is no application yet from Dakota Gold, according to Ben Koisti, public affairs officer for the South Dakota Department of Agriculture and Natural Resources. He said the socioeconomic study is part of the baseline work a mine permit applicant must do before applying for a mine permit.
One of the state’s board members, Bob Morris of Belle Fourche, asked Thursday whether there was any connection between Dakota Gold and Dakota Institute.
“To my knowledge there is no connection between the two companies,” replied Roberta Hudson, a scientist with the Minerals, Mining, and Superfund Program in the South Dakota Department of Agriculture and Natural Resources.
Dakota Gold environmental director Timm Comer said they aren’t connected “in any way.” Jerad McEntaffer, the institute’s CEO and chief economist, likewise said there wasn’t any connection.
The state board’s chair, Glenn Blumhardt of Bowdle, said he couldn’t recall that Dakota Institute had performed any other socioeconomic study required by the board.
“That’s correct. This is my first time before you guys,” McEntaffer said.
Board member Doyle Karpen of Jefferson suggested a tour of the Dakota Gold proposed site later this year.
Blumhardt had told board members at their January meeting that he wanted a meeting in the Black Hills for September 17-18.
“I think that’s kind of the plan,” Blumhardt replied to Karpen on Thursday.
