Supreme Court Declines to Take Up Challenge to Big Arizona Copper Project - WSJ



Supreme Court Declines to Take Up Challenge to Big Arizona Copper Project

Resolution Copper has been under development by Rio Tinto and BHP Group for roughly two decades

The mining companies say the mine could supply as much as a quarter of current U.S. demand for copper. Photo: stephanie keith/Reuters

The Supreme Court cleared a major obstacle for a giant copper project in Arizona being developed by the world’s two most valuable mining companies, declining to review a case from a coalition of Native American people, religious groups and others who say the planned mine will destroy a sacred site.

The project, called Resolution Copper, has been under development by mining giants Rio Tinto and BHP Group for roughly two decades. The companies say the mine could supply as much as a quarter of current U.S. demand for copper, a metal viewed as essential to everything from electric vehicles to the data centers powering the AI boom.

But it has faced repeated challenges from a group of local Apaches who argue the mine will turn a sacred area into a crater nearly 2 miles across, and deep enough to hold the Eiffel Tower.

Supported by other Native American people, Christian groups, environmentalists and outdoor enthusiasts, the Apache group appealed to the Supreme Court to block a federal land transfer needed for the project to advance. The court rejected its plea to review the case.

As a result, the U.S. Forest Service will be able to go ahead with republishing a final environmental impact statement required for the land exchange, which includes a piece of land called Oak Flat where opponents of the mine say they gather for religious ceremonies.

The Resolution project sits a few miles from Superior, a town in Arizona’s Copper Triangle, which is a mountainous stretch of roughly 250 square miles an hour’s drive east of Phoenix. The copper deposit is several thousand feet under Oak Flat.

The companies have made major changes to the original mining plan to “reduce potential impacts on tribal, social, and cultural interests” following consultation with Native American tribes and local communities, said Vicky Peacey, general manager of the Resolution Copper joint venture. “This ongoing dialogue will continue to shape the project.”

Many state and local officials back the project, which has generally been supported by the Obama, Trump and Biden administrations.

The opposing coalition, called Apache Stronghold, filed its lawsuit aiming to stop the land swap in 2021. It asked the Supreme Court to take up the case after the Ninth Circuit Court of Appeals rejected its challenge. Congress approved the land exchange in 2014.

The project is in alignment with Washington’s efforts to boost U.S. minerals production and reduce America’s reliance on supplies from other countries.

Peacey said it could become one of the largest copper mines in America and add $1 billion a year to Arizona’s economy. “The Resolution Copper mine is vital to securing America’s energy future, infrastructure needs, and national defense with a domestic supply of copper and other critical minerals,” she said.

Copper is arguably the most critical metal for an energy transition, used widely in electric cars and renewable energy and at quantities significantly higher than in conventional vehicles and power generation. It is also “a gateway” to many other critical minerals found in copper deposits, the companies say.

So far, Rio Tinto, which owns 55% of the project and is the operator, and BHP have spent more than $2 billion combined on Resolution without producing a single ton of copper.

Wendsler Nosie Sr., a member of the San Carlos tribe and founder of the Apache Stronghold group, said the coalition will continue to fight against the development of Oak Flat.

“While this decision is a heavy blow, our struggle is far from over,” he said. “We urge Congress to take decisive action to stop this injustice while we press forward in the courts.”