One of a Kind

THE BIG STORY

One of a Kind Mines

These are the only mines of their type in the U.S. — most of which begun in the last few years, as the country belatedly wakes up to its over-dependence on other countries.

Once upon a time, the United States was a mining powerhouse. Almost any mineral one might need for industrial or economic purposes was being extracted in the U.S. Those that were not could be acquired through trade with allies.

Three primary phenomena converged in the 1990s to upend this arrangement, as can be seen in this chart. The first and most consequential was the fall of the U.S.S.R. This both removed the urgency behind depending on one’s country’s own resources, and expanded the number of countries with which it was possible to trade for resources. Many of those countries were ruined after decades of Russian misrule and colonialism — including Russia itself — and in addition to representing opportunities, also cratered the price of many minerals, driving mines in the west out of business.

The second of the three phenomena was that the environmental movement truly came into its own and was able to lobby for new laws constraining industry. This partly depended on the fall of the Russian-led U.S.S.R., which created a vacuum into which various once-unified factions could pour their energy. Without an enemy against which to tilt, conservatives swarmed into the fight against “Islamofascism” and terrorism. More progressive and forward-thinking Americans put their time into advocating for a gentler approach toward the earth. Combined with irrefutable scientific proof of the harm many mines caused to their local environment, and grassroots advocacy from communities affected by toxic spills, legislation at the state and national level further constrained an industry already battered by foreign competitors.

Finally, the third phenomenon (assisted by the first two, increases global economic opportunity combined with strict and enforceable regulations around any development that might impact the environment) was the beginning of the supply chain revolution. Aided by increasing communication over the fledgling internet, companies became bigger, multinational, and oriented toward the most cost-efficient business models. Companies that were subsidized by governments (at least in the West) were the only ones to survive, and few of those existed in the U.S. mining industry. Over the coming decades, this centralization enabled certain countries to establish themselves as key nodes in the production chain — most conspicuously China, which produces and / or refines substantial amounts of the world’s graphite, lithium, and cobalt.

This is the backdrop for a recent resurgence in mining in the U.S. The following are “one of a kind mines” — for one reason or another, or a constellation of variables — the only mine of their type in the U.S., producing or being built to produce some key component for industry.

Lithium: The Silver Peak mine is currently the only lithium mine in the U.S. Owned and operated by Albemarle, which has its corporate headquarters in Charlotte, North Carolina, Silver Peak is in a region rich with lithium and related minerals. More mines could be forthcoming soon.

Rare Earths: MP Materials began operation at an old mine in Colorado in 2017, and has ramped up operations ever since. As of 2020, according to their website, its production accounted for 15% of global consumption. It is the only mine of its kind in the U.S.

Cobalt: Australia-based Jervois Global has a facility in Idaho that is the only mine for cobalt based in the U.S. A key component in lithium-ion batteries needed for electric vehicles and with several defense applications, the mine is dependent on government subsidies, owing in part to Chinese refiners being willing to buy cheap cobalt mined under unspeakable conditions by African children — and U.S. companies being willing to take that refined cobalt (after it’s been laundered through China).

Nickel: Since 2014, The Eagle Mine has been the only mine in the U.S. producing nickel. From deep underground in the upper Michigan peninsula, the ore is sent north to Canada for refining. It’s viable in part because copper mining is still profitable and viable in the U.S., a longstanding strength in the country that was never allowed to fully lapse.

Graphite: No mines producing graphite currently exist in the U.S., though as of February of this year, federal funds were made available to begin mining and processing operations in Alaska and Washington state.

Other Military Media pieces have focused on problems with manufacturing in the U.S. — how Congress is blocking investment in basic defense infrastructure, and why the federal monopsony on defense purchasing is distorting the market in unproductive and dangerous (for U.S. security) ways. One of the key takeaways, looking at defense industry, is how a healthy system requires decentralization, commitment, and years of investment in structures and in labor expertise. The same is true for raw materials — mining, especially doing so with environmentally and ethically sustainable methods, isn’t cheap. But it’s necessary for a secure nation.

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HUMOR

Soldier in his late 30s attends Hogwarts on the Post-9/11 GI Bill. Expectorum! (or whatever, I’m sorry I never read the books or watched the movies, I know Henry Potter says something when he waves the wand).