HR6391-119

What This Bill Does

The Save Oak Flat from Foreign Mining Act blocks the Resolution Copper land exchange and mining pathway for Oak Flat in the Tonto National Forest. Congress makes findings that Resolution Copper is owned by Rio Tinto and BHP, that Chinalco is a major Rio Tinto shareholder, that both companies derive large revenue from mineral exports to the People’s Republic of China, and that the 2014 Southeast Arizona Land Exchange Act required the Forest Service to transfer Oak Flat after a final environmental impact statement without any domestic smelting, refining, sale, or consumer-benefit requirement. The bill defines Oak Flat as about 2,422 acres of Forest Service land and defines Resolution Copper. Operatively, it repeals section 3003 of Public Law 113-291 and withdraws Oak Flat, subject to existing valid rights, from entry, appropriation, or disposal under public land laws; mining-law location, entry, and patent; and mineral, geothermal, or mineral-material disposition.

Who Benefits and How

San Carlos Apache and other tribal communities tied to Oak Flat benefit because the bill keeps the site under federal protection instead of transferring it for mining. Oak Flat recreation, cultural, and conservation users benefit from withdrawal from mining and land-disposal authorities. Arizona water users and East Salt River Valley communities benefit if the withdrawal prevents groundwater pumping, subsidence, and mine-waste risks described in the findings. U.S. supply-chain security advocates benefit from a statutory response to concerns about copper exports to China.

Who Bears the Burden and How

Resolution Copper, Rio Tinto, BHP, and investors tied to the proposed mine bear the direct burden because the bill repeals the land exchange authority and blocks new mining-law and mineral-disposition routes at Oak Flat. The Forest Service must adjust land-management treatment for the withdrawn area. Supporters of domestic copper extraction may lose a potential mine project, while foreign customers and supply chains that expected Oak Flat copper lose prospective supply.

Key Provisions

• Finds that Resolution Copper is a Rio Tinto and BHP joint venture and links the project to Chinese mineral demand and Chinalco ownership of Rio Tinto shares.
• Finds that the 2014 land exchange requires transfer of Oak Flat after a final environmental impact statement and lacks domestic processing or sale conditions.
• Defines Oak Flat as about 2,422 acres of Tonto National Forest land.
• Repeals section 3003 of Public Law 113-291, the Southeast Arizona Land Exchange Act provision.
• Withdraws Oak Flat from public-land disposal, mining claims, mineral leasing, geothermal leasing, and mineral-material disposition, subject to valid existing rights.