Michigan DNR considerations relating to Mining :

The mission of this web site is to provide a forum for information, proposals, and ideas on the use and development of a mineral mine in Lake Township of Menominee County Michigan so you can make more informed decisions about a course of action.  Click on word or picture links for more information. "We either grow it, or we mine it "

Questions for DNR personnel	DNR considerations
How is the DNR involved with the Back Forty Mining venture?	The DNR is involved in the permit process on state land for mining activities and according to Steve Wilson "We want to do it right, not right now." The Tilden and Empire mines took about 4 years for this process.
Would the Eagles on the Menominee River be considered in the permit process if this venture comes to that point?
Michigan Mineral Rights Mineral production in Michigan is an important contributor to the state's prosperity.  Mineral production is governed by mineral rights. Mineral rights are the rights of mineral owners to explore for and extract minerals, or receive payment for the extraction of minerals. Mineral rights are a form of real property rights and may be sold, transferred, or leased in a manner similar to other property rights, and may be sold separately from other property rights. Severed mineral rights are mineral rights that have been sold or retained separately from the surface rights.  They are a real property interest ("mineral estate") that follows a separate chain of title from the surface estate.  All or any portion of severed mineral rights can be sold or retained by a mineral owner. The ownership of mineral rights in a land parcel can be determined by examining the recorded chain of title to the parcel.  No one can "steal" mineral rights in a land parcel by filing papers in the courthouse.  If the mineral estate has not been severed from the surface estate, the mineral rights belong to the owner of the surface estate.  If they have been severed from the surface estate, they belong to their owner of record. In nature, commercial mineral deposits are extremely rare, and undeveloped mineral rights therefore have no value until a deposit is actually found and developed.  For this reason, undeveloped mineral rights in Michigan, whether severed or not, are not taxed, and severed mineral rights are exempt from real estate transfer tax when they are bought and sold. Developed (producing) mineral rights are subject to Michigan real estate taxation under various formulas, depending on the mineral commodity involved. A mineral owner may develop its own mineral deposit, but more commonly a mineral owner sells or leases its mineral rights to an exploration or mining company.  Such arrangements give the developer the right to explore and mine in return for cash payments and/or royalty payments from mining production. The mineral owner, or mineral developer if the mineral rights are leased, has the right to reasonable use of the land to extract minerals from the property. Minerals Processing Corporation	Terms of the Metallic Minerals Lease include a 20-year lease term, a $1.00 per acre minimum bid, and a rental rate mencing at $3.00 per acre per year for the first five years and $6.00 per acre per year for years six through ten.  In the absence of mining operations, a minimum royalty is due for years 11 through 20.  The rate begins at $10.00 per acre in the 11th year and escalates $5.00 per acre per year until the 20th year when  the rate is $55.00 per acre.  If production occurs, a production royalty shall be not less than two percent and not more than seven percent and shall vary with the adjusted sales value per ton.  Only direct leases with a term of 10 years have been issued for metallic minerals the past few years.  Direct leases may be negotiated for terms that are more favorable to the State, however, no lease will be authorized which provides for less than the standard royalty or rental rates, or for a lease  term longer than 20 years.  The maximum lease size is 640 acres.  There are 24,888 acres under 105 State Metallic Minerals Leases. Mining for metals in Michigan in Fiscal Year 2001 resulted in the production of iron ore along with a very small amount of copper and silver, all on private lands.  Exploration efforts continue on State-owned lands under lease. Michigan DNR Metallic Mineral Leases