Partnering with Alaska Native Corporations All Alaska Native corporations benefited from mining industry activity – in 7(i) and 7(j) royalty sharing payments, in jobs for shareholders, or through business partnerships. † In 2019, NANA received $241.4 million in net proceeds from Red Dog Mine and distributed $140.5 million to other Alaska Native corporations, $5.7 million to Kikiktagruk Iñupiat Corporation (KIC), and at-large shareholders via the 7(i) and 7(j) provisions of the Alaska Native Claims Settlement Act (ANCSA). † Between 1982 and 2019, NANA received $2.1 billion in net proceeds from Red Dog and paid more than $1.3 billion to other regional and village corporations, KIC, and at-large shareholders via 7(i) and 7(j) provisions of ANCSA. † 54% of the year-round Teck Alaska jobs at Red Dog are filled by NANA shareholders. † Calista Corporation has received millions of dollars in royalties and other revenue from mineral agreements, including lode exploration, placer gold production, and construction material sales. † 56% of all employees at the Upper Kobuk Minerals Projects, including contractor hires, were NANA shareholders in 2019. † Many Alaska Native corporations have taken the opportunity to work with Alaska’s mining sector, such as Alaska Peninsula Corporation, Bering Straits Native Corporation, Teller Native Corporation, Brevig Mission Native Corporation, Calista Corporation, Doyon Limited, Goldbelt, Inc., Iliamna Natives Limited, NANA Regional Corporation, The Aleut Corporation, Sealaska, and The Kuskokwim Corporation.
Strengthening Local Economies and Communities Mining companies strengthen Alaska’s local economies by employing residents from more than 70 communities. The industry also purchases supplies and services from hundreds of Alaska businesses. Mining companies are also a significant source of stable revenue for local governments, as well as significant state government revenue. In 2019, Alaska’s mining industry paid:
An estimated $112 million to state government in royalties, rents, fees, taxes, and other government-related revenues, including: † $57.1 million in mining license tax, rents, and royalties. † $6.9 million in corporate income tax collections, representing 6% of the State’s non-petroleum industry corporate tax receipts. † $7.2 million in state material sales, large mine permit coordination program receipts, miscellaneous fees, and other taxes. † $17.4 million to the Alaska Railroad Corporation for moving coal, sand, and gravel. † $22.8 million to Alaska Industrial Development and Export Authority for the use of state-owned facilities (DeLong Mountain Regional Transportation System and Skagway Ore Terminal). † $880,290 to the Alaska Mental Health Trust for mining claim and lease rent and royalty payments, and construction material sales.
An estimated total of $37 million to local governments, including : † $14.9 million in payment in lieu of taxes by Red Dog to the Northwest Arctic Borough, plus $8.0 million paid to the Village Improvement Fund. † $11 million in property taxes paid by Fort Knox to the Fairbanks North Star Borough. † $1.8 million in property taxes paid by Greens Creek to the City and Borough of Juneau. † $1.3 million in property taxes paid by Kensington to the City and Borough of Juneau. † Tax payments to other local governments, including Denali Borough, City of Nome and others † Mining industry employees also pay local property and sales taxes.
Special thanks to Constantine Metal Resources Ltd., Usibelli Coal Mine, Teck Alaska Red Dog Mine, Ambler Metals, and Northern Star for the use of their photographs in this publication. Sources used in this report include: State of Alaska Departments of Commerce, Community, and Economic Development, Labor and Workforce Development, Natural Resources, and Revenue, Alaska Railroad Corporation, Alaska Industrial Development & Export Authority, various local and borough governments, Avalon Development Corporation, and mining companies. Prepared in consultation with McDowell Group, Inc.
Alaska Miners Association, Inc. 121 W. Fireweed Lane, Suite 120, Anchorage AK 99503 TEL: 907.563.9229 www . alaskaminers.org
@alaskaminers
Alaska Miners Association
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