Mining Industry Economic Impact: Growing Force in Alaska’s Economy
McDowell Group "Economic Impact of Alaska's Mining Industry" - January 2017 for the Alaska Miners Association
Mining is a growing force in Alaska’s economy, providing jobs for thousands of Alaskans and millions of dollars of personal income throughout Alaska. Alaska’s mining industry includes exploration, mine development, and mineral production. Alaska’s mines produce coal, gold, lead, silver, zinc, as well as construction materials, such as sand, gravel, and rock.
In 2016, Alaska’s mining industry provided:
- 4,350 direct mining jobs in Alaska.
- 8,600 total direct and indirect jobs attributed to Alaska mining industry.
- $675 million in total direct and indirect payroll.
- $111 million in payments to Alaska Native corporations.
- $81 million in state government-related revenues through rents, royalties, fees, and taxes.
- Mostly year-round jobs for residents of more than 50 communities throughout Alaska, half of which are found in rural Alaska where few other jobs are available.
- Some of Alaska’s highest paying jobs with an estimated average annual wage of $108,000, over twice the state average for all sectors of the economy.
- $23 million in local government revenue through property taxes and payments in lieu of taxes.
Each year AMA commissions the McDowell Group to research the economic impact of Mining in Alaska. Continued investments by the mining industry ensure Alaska’s continued economic growth. http://alaskaminers.org/economic-impact/
Livengood Gold Project - Positive Economic Impacts
- The Livengood Gold Project is an economic opportunity for interior Alaska through local jobs, contracts and purchasing. Based on the Company's October 2016 Pre- Feasibility Study, the long life mine is estimated to create:
- +800 direct construction jobs for 2 years
- +350 direct operational jobs for 23 years
- $1.8 Billion Construction Capital - 2.7 Billion Capital over life of Project
- Taxes and Royalties paid to the State of Alaska and the State Mental health Trust that will support needed services for Alaskans
- Significant local contracting and purchasing opportunities
- Investments in education, training and community non-profit organizations
- Mining industry jobs typically are stable year round and include benefit plans, such as, health, life, retirement, etc., which add to the overall economic impact as well as the desirability of employment in that sector.