Mining in the U.P.
Posted: 01.17.2008 at 6:56 PM

The mining industry in Northern Michigan has a long tradition, and it's taking on new form into the future.

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MARQUETTE -- You don't have to dig deep to learn about the history of the Upper Peninsula.  The mining industry gave thousands of Irish, German, Polish, Italian, and other immigrants a new beginning in the late 1800s and early 1900s.  Today, it's still providing jobs, new construction and an increased tax base.

Cleveland-Cliffs has been in operation since 1847.

"And we've been involved right here in the Upper Peninsula since the founding of the corporation," says CCI Spokesperson Dale Hemmila.  "We're not only the oldest company in the U.P., but one of the oldest in the state of Michigan."

CCI employs over 1,500 people and has a local economic impact of about $425 million annually.

Hemmila, along with other industry representatives, talked with members of the Upper Peninsula Economic Development Alliance about the past, current, and the future for sustainable economic growth in the U.P. through mining.

"Over the years, mining has changed, and one of the important things about mining is that they have a high spin-off factor for jobs," says UPEDA president Joseph Esbrook.

According to Esbrook, if a mining company employs 500 people, there could be anywhere from an additional 1,500 to 2,500 jobs in support industries.

The highly-controversial Eagle Project, run by Kennecott Minerals Company, is the latest proposed mine--they plan to employ 100 people.  However, Kennecott is still awaiting for approval from the DNR on a mining reclamation plan and a lease agreement before they can begin construction on their nickel-copper mine.

Since 1983, the DNR has given out around 800 leases allowing for companies to explore state-owned land for possible mineral resources, but only two small mineralized areas have been found, said Milt Gere of the DNR.

"It comes and goes in flurries," says Gere.  "Quite a few years ago there were a number of companies looking for things, and then it died out."

Although Gere says with the recent rise in international prices for metals that interest is picking up, and most likely we'll see mining for a very long time.