Alaska regulators have rejected IPOP LCC´s request for a land use permit due to severe environmental risks and questionable economic claims. The Department of Natural Resources (DNR) announced its decision on Tuesday, stating that approving the project would contradict responsible land management and public interest protections.
The Nevada-based business suggested dredging gold in Bonanza Channel, a vulnerable biological area essential for gathering food for subsistence. The DNR concluded, however, that the proposal would seriously impair appropriate water management and public navigation.
Regulators also became skeptical of IPOP´s assertions regarding the amount of gold in the sediment. According to the Department of Natural Resources´s finding, IPOP estimated that its dredging operation would yield 49 grams of gold per cubic meter.
Officials noted that this figure is five times richer than known onshore sediment in Nome and 37 times higher than ocean deposits in the region. The agency rejected these claims, stating that no exploration data supports such exceptionally high gold concentrations.
The project faced strong opposition from Nome residents, tribal organizations, and environmental groups. The Village of Solomon, a local tribal government, expressed relief at the DNR´s decision.
Delilah Johnson, the tribe´s resource director, emphasized that the rejection aligns with longstanding concerns from agencies like the Environmental Protection Agency and the National Oceanic and Atmospheric Administration.
Despite the permit denial, IPOP still holds a federal wetlands-fill permit from the US Army Corps of Engineers. The Corps reversed a rejection and approved it last year after IPOP investors sued the agency.
Meanwhile, The Nome-based tribal consortium Kawerak has challenged the Corps permit decision in court. IPOP can appeal the state´s rejection but requires additional permits from environmental and wildlife agencies.
This news article was originally published by Alaska Beacon.