Water Management and Environmental Regulation
World-class resources in the face of climate change
There has been a common point among consultancies operating in Nevada in 2022: firms saw a net increase in the demand for their water-related services. Beyond Nevada being the driest state in the US and receiving only around 10 inches (241mm) of rain per year, this shift in demand was also prompted by a firmer stance by authorities on closure and reclamation, environmental practices, and firms’ need to manage a resource becoming ever more scarce. The above suggests that consultancies able to shift their focus toward water management will remain resilient in the years to come.
Nevada is a world leader in terms of environmental standards, and firmly intends to retain this position while balancing the societal need for mineral resources. Discharge of water from mining operations is regulated by the State of Nevada and by federal statutes, such as the Clean Water Act and Safe Drinking Water Act. On the environmental side, initiatives setting the state apart from other jurisdictions are the excellence in mine reclamation and the abandoned mine lands programs from the NDOM. Pledging not to reproduce the mistakes committed during eras of unregulated mining, stringent – yet comprehensive – environmental laws developed in the past decade have placed the model of Nevada mining as a leading one: “Nevada has consistently been recognized as a model for other jurisdictions that seek to replicate our environmental protection and reclamation standards for mining operations”, explained Justin Abernathy, deputy state director for Energy and Minerals at the BLM.
In today’s mining, mine closure must be thought of by operators before a single shovel hits the ground. In Nevada, an expert web of consultancies, environmental regulators, and associations have been collaborating for decades to get early-stage projects up and running. With a changing climate and Nevada’s geographical position, one trend that will probably only strengthen in the coming years is early conversations between contractors and regulators about water, along with the role of associations– particularly the NVMA – when bringing all stakeholders together to ensure the project’s environmental compliance.
Consultants at SRK Consulting’s Reno office have known the regulators for decades. Similarly, Boulder City-born Broadbent Associates can leverage their long-lasting relationships with regulators built through 35 years of experience to facilitate dialogue ahead of permitting projects. Still, for all stakeholders, “There is a lot of work to be done in terms of water management”, acknowledged Alan Driscoll, VP, director of mining services at Forsgren Associates and chair of the Suppliers Committee of the NVMA, who has seen a growth in activity in the firm’s planning of reclamation bonds that will be needed in the backend of an exploration project.
"Managing water will ultimately become costlier. 30 years ago, the industry did not think as much of water as it does today. Today, stakeholders in the southwestern US demand a better accounting of how water is managed."
Scott Britton, Director USA, Mining Plus
The irony of excess water
Issues linked with water management are not always where one expects them to be. Mines are like small cities. They need water, wastewater, and facilities to manage these. In a context of resource scarcity, consultancies in Nevada have found that their services are more often than not used in the dewatering space of operations.
In northern Nevada, most mining in the Humboldt Basin for instance occurs in mines excavated 1,000 feet below the groundwater table. Mines that extend below that level must pump local aquifers to keep their pits and shafts dry. Jeremy Dowling, president of Piteau Associates, with contracts at the Robinson Mine and a strategic agreement with Freeport McMoRan in mine water management, expanded: “Mine dewatering is needed in situations where the open pit will eventually deepen below the local water table. Groundwater will then seek from the rock to the mining voids. If not managed, this will cause concerns for the geotechnical stability of the mine and can cause it to flood.”
Even amid droughts, Tierra Group’s geotechnical experts primarily focused on managing excess water related to processing operations and tailings disposal. Pete Kowaleski, founder and principal engineer at the firm, discussed the tailings and water-related consultancy services he and Tierra Group offers, expanding on the design work to prevent excess water at the plant: “Facility siting is followed by a geotechnical investigation of the foundation conditions to characterize the foundation materials for use in the design to ensure there are no stability issues during construction, operations, or closure. The design work also includes a surface water management evaluation, diverting stormwater around the heap-leach pad, and associated infrastructure to minimize contact water volume.”
Barr Engineering, which saw the demand for environmental site assessments significantly grow since 2020, is also a leading firm in the field of aquifer restorations, storing groundwater, and replenishing groundwater systems. Barr Engineering’s vice president and senior geotechnical engineer Charlie Rehn explained: “Excess water from dewatered mines in Nevada “can then be restored into nearby aquifers so that it is available for surrounding municipalities and mining operations.”
"We are working with several groups to develop algorithms that help evaluate options and sustainability measures related to climate change. We see an opportunity to develop tools that will allow for water planning in a changing climate."
Jeremy Dowling, President, Piteau Associates
Sustainable practices in tailings management
The awareness of the risks associated with poor mining practices, particularly in terms of tailings management, will be another factor keeping consultancies busy in the coming years. Worldwide, the growing annual rate of tailings dam failures, due to previously poor engineering, disposal of more rejects due to lower grade exploitation, and harsher environmental conditions have awakened public scrutiny to the sometimes-fatal consequences of tailings dam failures.
In recent years, firms in Nevada have mitigated that risk, particularly as modern tailings impoundments designed in the state incorporate geomembrane liners and underdrain systems for environmental containment. But majors work actively with local consultancies to remain ahead of the curve. Jeff Parshley, corporate consultant at SRK Consulting, explained that recognition of the critical aspects and risks associated with mining, particularly in terms of tailings management” drove growth for SRK’s activities in Nevada. He added: “We are extremely busy with the new GISTM. ESG standards generally and the concept of responsible investing have heightened the industry’s awareness of responsible mining.”
The introduction in 2020 of the GISTM, the acronym for Global Industry Standard on Tailings Management, will be a key factor driving growth for consultancies helping clients to identify gaps in compliance with the standard. Tierra Group provides a “tailings stewardship” service, during which the firm audits, reviews and supports projects to fit within the standard. Risk management then becomes vital during every board session, as for both miners and consultancies, there is a high volume of risk associated with the design, construction, operation, and closure of these large mine waste repositories.
Calculating risks brought by meteorological events will undoubtedly be key for mining firms in the southwestern US looking ahead. Reno is the fastest-warming city in the US, and firms across the sector are taking action as the environment fatally changes. The more extreme storm events witnessed during Nevada’s summer monsoon season bring the need to understand how flash floods that occur at mine sites can be managed. As put by Jeremy Dowling: “The increasing number of flash floods prompted by climate change will be the next area of focus for the industry.”
Image courtesy of Davis Ladd via Unsplash