ANCHORAGE – Today, Defend the Brooks Range Coalition released a third-party report, detailing the realistic and enormous projected cost to the State of Alaska of the proposed Ambler industrial mining road. Adjusting for inflation, the report updates the Alaska Industrial Development and Export Authority’s (AIDEA’s) previous cost estimates to more than $2 billion, including maintenance and financing costs.
The report, developed by LNE Engineering and Policy, also found that AIDEA’s cost estimate used a cost per mile for the proposed Ambler road that is between1.5 to three times lower than estimates used by two other proposed Alaska roads in remote regions with comparable terrain – the proposed West Susitna road and the proposed road to Nome (all cost estimates updated to 2025 values). Those other cost per mile estimates suggest the price of the Ambler road would be much higher than AIDEA’s estimate.
AIDEA proposes paying for the vast bulk of the 211-mile Ambler mining road by selling bonds, leaving the state responsible for repayment regardless of the success or failure of the speculative mining district.
Lois Epstein, LNE Engineering and Policy, Anchorage, Alaska:
“This report tells us that AIDEA has significantly underestimated the cost of this private road to a speculative mining district. Additionally, mining interests have not committed to pay back the state for the full cost of this problematic road project.”
John Gaedeke, Owner of Iniakuk Lake Wilderness Lodge in Gates of the Arctic National
Park, Fairbanks, Alaska:
“Committing $2 billion or more in public funds for a private industrial road will bond a sales tax to all Alaskans and deepen the financial potholes of mineral revenue. Clearly AIDEA’s fear of oversight and fiscal accountability are justified.”
Maddie Halloran, State Director at Alaska Wilderness League:
“This report tells us what we already knew – this road is a bad deal for Alaskans. After widespread opposition from Alaskans during the environmental impact statement process, it’s adding insult to injury to have this project pushed through to benefit foreign mining companies. This isn’t economic growth for our state, it’s a giveaway that puts corporate profit ahead of Alaska’s communities and our environment.”
For more information please contact:
Lois Epstein: 907.748.0448, info@lneengineering.com