Mining activity rose in 2010

BOISE – Mining activity in Idaho increased this year after a slight dip in 2009, with the state poised to match or beat a record set for mineral production two years ago.

Idaho produced a record $1 billion worth of minerals in 2008, before production suffered a small decrease in 2009. Production this year appears on track to match or surpass the $1 billion mark, said Virginia Gillerman, an associate research geologist for the Idaho Geological Survey.

“Idaho companies that have existing mines are doing better, and this year saw an increase in exploration activity and large projects,” said Gillerman, who released a report on the state’s mining economy in December.

Mining for precious metals expanded this year after prices rose in late 2009 and remained steady, Gillerman said, while mining for industrial materials, such as gravel and limestone for construction, did not fare as well.

“Those markets have not come back yet and won’t for a couple of years,” Gillerman said.

The Idaho Conservation League, which monitors Idaho mining projects to make sure they comply with water quality and other environmental regulations, has found it difficult to keep tabs on all the exploration projects for minerals amid the increase, program director Justin Hayes said.

“There’s so much exploration going on that it’s hard to track them all and figure out which ones are real projects and which ones are just people trumping up their stock,” Hayes told the Idaho Business Review.

Idaho boasts one of the world’s largest silver mines. Copper and gold are dug up in smaller areas around the state, and phosphate rock is mined for use in fertilizers, chemicals, and consumer products. The state also produces sand, gravel and crushed stone for construction, along with industrial garnets.

Mining has an element of stability that some other industries lack, Gillerman said.

“It’s one of the few that is specifically tied to Idaho,” Gillerman said. “You can’t pick up a phosphate mine and move it to China.”