The Economic Benefits of Alaska’s Mining Industry
February 2021
Mining is a growing force in Alaska’s economy . . .
In 2020, Alaska’s mining industry provided: † 4,700 direct mining jobs in Alaska. † 9,600 total direct and indirect jobs attributed to Alaska mining industry. † $890 million in total direct and indirect payroll, not including highly competitive benefit packages. † $880 million in purchases of goods and services from about 600 Alaska vendors (2016) . † Some of Alaska’s highest paying jobs with an estimated average annual wage of $115,320, over twice the state average ($56,985) for all sectors of the economy. † $49 million in local government revenue. † $117 million in state government revenue through mining licenses, rents, royalties, fees, and taxes, and other government- related payments. † $175 million in payments to Alaska Native corporations. † Mostly year-round jobs for residents of 90+ communities throughout Alaska, half of which are found in rural Alaska where few other jobs are available.
providing jobs for thousands of Alaskans and millions of dollars of personal income throughout Alaska. Alaska’s mining industry includes exploration, mine development, and mineral production. Alaska’s mines produce coal, gold, lead, silver, zinc, as well as construction materials, such as sand, gravel, and rock.
Key Industry Measures estimated
Exploration • $127 million spent on exploration (2020) • $4 billion spent on exploration since 1981 Development • $430 million spent on mine construction and other capital investment (2020)
Production • Export value of $1.9 billion , or 38% of Alaska’s total exports (2019. • 169 active placer mines produced about 47,747 ounces of gold with a gross production value of $66.8 million (2019) • About 120 active rock quarries, and sand and gravel operations throughout Alaska with at least $7.7 million in production value on state and federal lands (2019)
worker layoffs; millions of dollars in payroll continued to be infused throughout many Alaska communities. Additionally, through the quarantine and pre-shift quarantine facilities, mining companies injected critical dollars into local economies in Juneau, Fairbanks, and Anchorage.
As a critical industry, Alaska’s producing mines and projects implemented strict COVID-19 protocols to protect their workers and contractors, and keep community members safe. As a result,
mining was one of the bright spots in Alaska’s economy in 2020. There were no significant production disruptions or
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