Ask Midas: Financial Assurance

Communications, News |

Ask Midas: Financial Assurance

Midas Gold Idaho wants to keep the community informed about the work we are doing at the Stibnite Gold Project site. The Ask Midas blog series gives the experts in our company a chance to answer some of the community’s most frequently asked questions and help clear up any misconceptions around the project.

MYTH: Recent news stories claim that mining companies in the U.S. no longer have to provide proof of financial responsibility, also known as financial assurance or bonding, for the cost of environmental cleanup and reclamation.

FACT: Mining companies are still required to provide financial assurance for the cleanup and reclamation of the sites where they work. Recently, the Environmental Protection Agency (EPA) was considering adding a new rule that would have required mining companies to provide additional financial assurance over and above what is already required. However, the Agency Administrator for the EPA determined that this would be a duplication of existing federal and state regulations that ensure mining companies prove the necessary funds set aside to reclaim project sites. This ruling aims to reduce unnecessary duplication of laws but does not let industry off the hook for responsible cleanup practices and providing financial assurance to ensure cleanup work is done. Reclamation and bonding is a requirement for all modern mining companies.

Midas Gold will be required by the U.S. Forest Service, and state agencies overseeing our project, to provide financial assurance and set aside millions of dollars to guarantee environmental restoration work is fully funded before we receive a permit.

If you have a question you would like us to answer, please email it to community@midasgoldcorp.com.